Asian stock markets are in negative territory following the overnight sell-off on Wall Street. Warnings on profit outlook from bellwether U.S. companies and worries about rising bond yields as well as their impact on inflation have dampened investor sentiment. Overnight, the ten-year U.S. Treasury yields climbed above 3 percent for the first time since early 2014.
The Japanese market is declining, with the weak cues from Wall Street and worries over rising bond yields dampening investor sentiment.
In late-morning trades, the benchmark Nikkei 225 Index is down 105.32 points or 0.47 percent to 22,172.80, off a low of 22,089.80 earlier.
Shares of Takeda Pharmaceutical are down 6 percent after the company raised its takeover bid for Shire plc to 49 pounds per share.
Among the major exporters, Mitsubishi Electric is declining more than 2 percent, Canon is losing more than 1 percent, Panasonic is down almost 1 percent and Sony is lower by 0.6 percent.
In the tech space, Advantest and Tokyo Electron are declining almost 1 percent each.
Among the major automakers, Toyota is edging up less than 0.1 percent and Honda is adding 0.3 percent. In the banking sector, Mitsubishi UFJ Financial is lower by 0.4 percent, while Sumitomo Mitsui Financial is higher by 0.2 percent.
In the oil space, Inpex is losing 1 percent, while Japan Petroleum Exploration is adding 0.6 percent.
Among the market's best performers, Otsuka Holdings is gaining almost 5 percent, Chughai Pharmaceutical is rising more than 3 percent and Eisai Co. is up more than 2 percent.
On the flip side, Showa Denko is falling almost 9 percent and Casio Computer is losing more than 8 percent.
In economic news, Japan will on Wednesday see February figures for its all industry activity index.
In the currency market, the U.S. dollar is trading in the upper 108 yen-range on Wednesday.
Elsewhere in Asia, Hong Kong is declining more than 1 percent, while South Korea, Indonesia and Taiwan are all down almost 1 percent each. Shanghai, Singapore and Malaysia are also lower. The stock markets in Australia and New Zealand are closed on Wednesday for ANZAC Day.
On Wall Street, stocks closed sharply lower on Tuesday as traders shrugged off an initial positive reaction to earnings news from several big-name companies. Selling pressure may also have been generated by a continued increase in U.S. treasury yields, with the yield on the benchmark ten-year note climbing above 3 percent for the first time since early 2014.
The Dow tumbled 424.56 points or 1.7 percent to 24,024.13, the Nasdaq plunged 121.25 points or 1.7 percent to 7,007.35 and the S&P 500 slumped 35.73 points or 1.3 percent to 2,634.56.
The major European markets turned in a mixed performance on Tuesday. While the German DAX Index edged down by 0.2 percent, the French CAC 40 Index inched up by 0.1 percent and the U.K.'s FTSE 100 Index rose by 0.4 percent.
Crude oil futures reversed course Tuesday, unable to extend four-year highs as U.S. stocks were hammered. WTI crude fell $0.94 or 1.4 percent to $67.70 a barrel on the New York Mercantile Exchange.