TOKYO, Nov 17 (Reuters) – Chip stocks took a beating on Thursday, sending most Asian share indexes lower, after grim signals from Micron Technology overnight about excess inventories and sluggish demand.
Meanwhile, the U.S. dollar rebounded after stronger-than-expected U.S. retail sales suggested the Federal Reserve was unlikely to ease up in its battle with inflation.
That fuelled concerns about the economic outlook, with the U.S. Treasury yield curve remaining deeply inverted in Tokyo trading and suggesting that investors are braced for recession.
“Inflation is likely to remain elevated for some time … because in the U.S., at least, it’s services that are driving inflation, and that can have greater persistency,” Salim Ramji, global head of ETFs and index investments at BlackRock, told the Reuters Global Markets Forum on Wednesday.
“(In equities) minimum volatility strategies can help investors stay invested while reducing risk,” he…
