Asian Shares Slide as Treasury Yields Hit One-Year Highs, Oil Extends Rally

Asian shares fell sharply on May 15, 2026, as rising U.S. Treasury yields and oil-driven inflation concerns outweighed recent enthusiasm for technology stocks. MSCI’s broadest index of Asia-Pacific shares outside Japan dropped 2.3% and was headed for a 1.8% weekly loss, while European and U.S. equity futures pointed lower. Brent crude rose 5.7% for the week to $107 a barrel amid stalled efforts to reopen the Strait of Hormuz and fresh concerns over energy supply disruptions. Japan’s Nikkei lost 1.8% after wholesale inflation accelerated to 4.9% in April, while Hong Kong’s Hang Seng fell 1.4% and China’s blue-chip index slipped 0.6%. U.S. 30-year Treasury yields rose 5 basis points to 5.067%, after a bond auction cleared at 5.046%, the highest since August 2007. The 10-year yield climbed to 4.528%, and the two-year yield rose to 4.065%. The dollar headed for a 1.3% weekly gain as markets priced a 45% chance of a Federal Reserve rate increase in 2026.