Asian markets slip as oil prices decline, dollar hits 13-year high

Most Asian stock market indices were trading lower on Thursday (17 November) with the Shanghai Composite down 0.31% at 3,195.26 as of 4.38am GMT. This followed a decline in oil prices and a surge in the US dollar.

The dollar hit a 13-year high overnight amid rising US bond yields and monetary easing expectations under the administration of President-elect Donald Trump.

The ICE Index – a leading benchmark for the international value of the dollar – rose overnight to 100.57 against a basket of six other currencies, which is the highest level since April 2003.

Meanwhile, oil prices were trading lower after the US said that its crude inventories were higher-than-expected last week amid a surge in imports and a buildup in Oklahoma. As of 4.55am GMT, Brent Crude was trading lower by 0.28% at $46.50 (£37.40) a barrel, while WTI crude oil was trading 0.24% lower at $45.46 a barrel.

Indices in the region were trading as follows at 4.48am GMT:

Overnight (16 November), the FTSE 100 closed 0.63% lower at 6,749.72, while the Dow Jones Industrial Average closed lower by 0.29% at 18,868.14.

Investors are now awaiting US data on October consumer prices, weekly jobless claims and export sales, which are due to be released later in the day.

Apart from this, markets are also said to be interested in US Federal Reserve chairwoman Janet Yellen's congressional testimony. She is said to give a view on the economic outlook on 17 November, according to MarketWatch.