Stocks in Japan are getting crushed

(Uriel Sinai / Getty Images)

As the global stock selloff extends in Asia, stocks in Japan have been belted in morning trade.

Traders hit the sell button as soon as markets opened at 11:00am AEST. A short time ago, the benchmark Nikkei index was already down more than 3%.

Markets Insider

It follows a sharp selloff in US markets, as fear takes hold amid a backdrop of rising interest rates and increasing signs of a slowdown in global economic growth.

The risk-off tone overnight drove demand for the Japanese yen, which is often considered a safe-haven asset alongside US bonds and gold.

A stronger currency often exacerbates falls for Japanese stocks, given many of Japan’s biggest companies are export-intensive.

The Nikkei has now fallen by almost 12% in the month of October alone.

The recent declines across Asian markets have seen the MSCI Asia Pacific Index fall into a bear market, with declines of 20.3% since late January.

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