Hong Kong, March 17 (AFP/APP): Asian investors edged lower Wednesday after a two-day advance with focus on the Federal Reserve’s crucial policy meeting, which comes against a backdrop of heightened inflation fears fuelled by an expected surge in economic activity this year. While the battle against coronavirus continues to rage and some countries reimpose containment measures, the rollout of vaccines, signs of slowing infections and huge government and central bank largesse are providing massive support to equities. But that has also raised concerns about soaring prices and the prospect the Fed will have to wind back the loose monetary policies — including record low interest rates — that have powered a year-long rally. US benchmark 10-year Treasury yields — a guide to future interest rates — have risen to a one-year high in recent weeks. Highlighting the importance of the issue to markets, a survey by Bank of America Merril Lynch found that the virus as not traders’ main concern now. “That honour goes to higher-than-expected inflation, with a bond market tantrum at number two,” said Axi strategist Stephen Innes. “So indeed, inflation tops the markets new ‘Wall of Worry’.” With that in mind, the end of the Fed’s two-day … Continue reading Asian investors edge lower after two-day advance