Asian equities fell on Thursday due to sustained US inflationary pressures and higher interest rates.

The US dollar reached a 10-month high against the yen and was near its best level since mid-March.

Brent crude maintained above $90 due to tightening supply, raising inflation concerns.

The MSCI’s broadest Asia-Pacific index fell 0.68% after Wall Street and European losses.

The Nikkei fell 0.64%, ending an eight-session winning streak.

The Federal Reserve is expected to not raise rates this month, but traders consider the risk of one by year-end a coin toss.

The dollar index rose 0.07% against six developed-market counterparts, including the yen and euro.

The yuan remains below the 7.3 per dollar threshold in offshore trading.

Worries over Chinese demand offset hopes for a drop in US stockpiles and extended production cutbacks by Saudi Arabia and Russia, halting crude’s two-week rise.