Global Markets Brace Amid Rising Bond Yields and Key Economic Data

Asian stock markets were under pressure as increasing bond yields challenged equity valuations, especially in the tech sector, amidst upcoming central bank meetings and economic data releases. In China, retail sales growth fell short of expectations, suggesting the need for stronger economic stimulus. Interest rates are projected to decrease in the U.S. and Sweden.

Asian stock markets found themselves in a cautious state on Monday as bond yields surged, raising concerns about equity valuations, particularly within the tech sector. This comes ahead of crucial central bank gatherings and pivotal economic data releases expected this week.

In China, newly released data on Monday unveiled a meager 3.0% rise in retail sales for November compared to the previous year, falling short of the market's anticipated 4.6% growth. This shortfall signals a potential need for more assertive economic stimulus as the country's industrial production met expectations, while housing prices continued their slow descent.

Meanwhile, interest rates are poised to decrease in the United States and Sweden as this week's end approaches, while Japan, the UK, and Norway are likely to maintain current levels. The Fed is at the forefront, with markets predicting a strong likelihood of a rate cut of 25 basis points.

(With inputs from agencies.)