Asian Markets Decline Amid U.S. Economic Concerns

Asian share markets fell on Monday as fears of a U.S. economic downturn impacted Wall Street, resulting in lower bond yields and commodity prices. Japan's Nikkei experienced significant losses, while U.S. futures remained slightly down. Investors are cautious about the Federal Reserve's upcoming rate decisions amidst mixed economic signals.

Asian share markets tumbled on Monday following concerns of a potential U.S. economic downturn, which also affected Wall Street. The decline led to lower bond yields and commodity prices as investors sought safer investments.

Japan's Nikkei was notably impacted, dropping by 2.4%, exacerbating last week's near 6% decline. The MSCI's broad Asia-Pacific shares index outside Japan dipped 0.6%, building on a 2.25% loss last week.

U.S. futures for the S&P 500 and Nasdaq edged slightly down after Friday's downturn. Market participants are closely watching the Federal Reserve's upcoming meeting, debating whether recent mixed U.S. jobs data will prompt substantial rate cuts. A 29% chance of a large cut remains, influenced by statements from Fed officials. Analysts from Barclays believe the labor market is slowing but not rapidly enough to necessitate a 50bp rate cut immediately.

(With inputs from agencies.)