Asia Stocks Slide As Bond Yields And Oil Prices Rise Before RBA Decision

Asian stock markets retreated in the session ended September 28, weighed down by a combination of rising bond yields and firmer oil prices. Investors trimmed positions in riskier assets while they waited for the Reserve Bank of Australia's upcoming policy decision. Higher yields tend to make bonds more attractive relative to stocks, and pricier oil raises input costs for many companies, so the pair of moves gave investors reason to pull back broadly rather than in any single sector. Individual decliners in the region included Cochlear and Nidec, both of which saw their shares slide during the session, according to separate wire reports, though the specific drivers behind those individual moves were not detailed. The RBA decision is the next catalyst traders are watching. A hold would likely be read as confirmation that the central bank sees inflation risks as contained, while a surprise move either way could reset expectations for the rest of the region heading into October.