HONG KONG, May 9, 2022 (BBSS/AFP) - Asian stocks fell Monday as investors

remained anxious over inflation and the ongoing impact of China's Covid
lockdown policies, despite an initial Wall Street bounce thanks to a solid US
jobs report.

   Global markets have taken a beating over a series of crises including
surging inflation, rising interest rates, China's economic slowdown and the
war in Ukraine.

   Wall Street on Friday saw a brief lift in equities after the US Labor
Department reported that the world's largest economy added a better-than-
expected 428,000 jobs in April, with the unemployment rate remaining at a low
3.6 percent.

   But it still finished lower, with the S&P 500 dropping 0.6 percent, while
the other two US indices also dipped at the close of Friday -- with the
Nasdaq suffering the most at 1.5 percent.

   The losses globally capped a volatile week, though markets were briefly
lifted due to temporary relief after the Federal Reserve hiked borrowing
costs 50 basis points -- the most since 2000.

   Any short-term outlook is bound to be "messy", said Diana Mousina, a
senior economist at AMP Investments.

   "There may be more downside as markets worry about a significant economic
slowdown or 'hard landing' and aggressive interest-rate hikes," she wrote in
a note according to Bloomberg.

   The United States' fierce monetary tightening -- combined with the news of
more restrictions in China -- has continued to send traders running for the
hills.

   Lockdowns across dozens of Chinese cities -- from the manufacturing hubs
of Shenzhen and Shanghai to the breadbasket of Jilin -- have wreaked havoc on
supply chains over recent months, crushing small businesses and trapping
consumers at home.

   Equities fell in Australia, Singapore, Seoul and Tokyo on Monday, while
China's two mainland indices -- Shanghai and Shenzhen -- were also lower.
Hong Kong's stock exchange was closed for a public holiday.

   "Given the unsettled backdrop of the Ukraine War and China's economic
woes, it is challenging for the Fed to aggressively raise interest rates
without dropping the US economy into a sinkhole," said Stephen Innes of SPI
Asset Management.

   "Questioning the ability of central banks to lean against inflation
effectively remains a significant source of angst... The longer this goes on,
it will drive even higher investor anxiety levels and pressure stocks lower."

   Crude prices rebounded Friday after key producers led by Saudi Arabia and
Russia refused to lift output more than their planned marginal increase as
they weighed tight supply concerns caused by Moscow's invasion of Ukraine.

   But by Monday, it had lowered slightly -- likely due to "broader market
anxieties suggesting recessionary concerns", Innes said.

   - Key figures at around 0230 GMT -

   Tokyo - Nikkei 225: DOWN 2.2 percent at 26,410.30 (break)

   Hong Kong - Hang Seng Index: Closed for a holiday

   Shanghai - Composite: DOWN 0.6 percent at 2,999.67

   Brent North Sea crude: DOWN 0.4 percent at $111.92 per barrel

   West Texas Intermediate: DOWN 0.5 percent at $109.18 per barrel

   Euro/dollar: DOWN at $1.0512 from $1.0556 on Friday

   Pound/dollar: DOWN at $1.2295 from $1.2339

   Euro/pound: DOWN at 85.51 pence from 85.52 pence

   Dollar/yen: UP at 130.88 yen from 130.56 yen

   New York - Dow: DOWN 0.3 percent at 32,899.37 (close)

   London - FTSE 100: DOWN 1.5 percent at 7,387.94 (close)