FXstreet.com (Barcelona) - Asian markets have declined sharply on Monday on concerns about economic recovery after Friday's decline in U.S. Consumer Confidence. Dollar and Yen have strengthened across the board.
Japanese Nikkei Index 2.6%, while Hong Kong's Hang Seng Index went 2.8% down , and South Korean Kospi Index dropped 1.6%. Markets in Singapore, Taiwan and Australia posted losses by about 1%.
Investors confidence has deteriorated ion concerns about the strength of recent economic recovery, specially after U.S. consumer's confidence declined unexpectedly in August, which, together with retail sales, have shown that economic growth will remain weak despite having got over the worst part of the recession.
Dollar strengthens across the board
EUR/USD decline from Friday's high at levels above 1.4300 has extended during Asian session to prices below 1.4200 and the Euro trades now below 1.4150, at 1.4135.
GBP/USD decline from 16665 high on Thursday has accelerated during Asian session, as the Pound broke below 1.6500 to approach, last week's high at 1.6390 at the moment of writing.
USD/JPY has dropped during Asian session from levels about 94.90 to test last week's low at 94.90 ahead of the European session opening. The Dollar continues its decline from 97.75 high on August 7.