Asian Stocks Reach 11-month Low Due to High US Interest Rates, Mixed Corporate Earnings and Stronger Dollar

Mixed corporate earnings and stronger dollar further exacerbate Asian market's woes; tech stocks severely impacted due to increased borrowing costs, while slower growth in Alphabet's cloud division leads to a substantial slide in shares.

An uptick in US home sales triggered bond market concerns, magnifying fears that US interest rates will remain high, adversely affecting Asian stocks.
Alphabet's shares dropped 9.5% due to a slowdown in its cloud division growth, marking its worst session since March 2020. The tech giant's shares further dropped by 2% after hours, causing the Nasdaq futures to decline by around 1%.
Asian markets dominated by tech companies, like Facebook and Alphabet, which heavily rely on financing, face vulnerability due to higher borrowing rates.
Strong third-quarter inflation triggered the possibility of the Australian central bank raising interest rates, leading to a swoon in Australian shares to a one-year low. The Australian dollar also reached nearly a one-year low.
In China, despite the initial market bounce from news of a trillion yuan ($137 billion) sovereign debt issuance, both mainland and Hong Kong indexes retracted their gains. The anticipated boost was short-lived, causing the Hang Seng to fall 0.8%.