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Japan, China, South Korea caution about fallouts from Russia-Ukraine war

Financial leaders from Japan, China and South Korea delivered a joint statement this Thursday, warranting caution over fallouts from the Russia-Ukraine crisis.

Key takeaways

We should be cautious about fallouts from Russia/Ukraine conflicts.

Need to guard against risks of earlier-than-expected normalisation of monetary policy, supply-chain disruptions and rising inflation pressure.

We remain committed to continue with support measures to maintain financial stability and long-term fiscal sustainability.

Downside risks to regional economies could cause volatility in financial markets and capital flows.

Market reaction

The joint statement had little to no impact on the market sentiment, as the Asian equities incur losses while the S&P 500 futures remain 0.50% higher on the day.

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