Liz Truss resigned as prime minister of Great Britain. Inflation in Japan is at an 8-year-high.

Citing a “disappointing lack of progress in curbing inflation,” Philadelphia Federal Reserve President Patrick Harker said yesterday that he expects interest rates to be “well above 4% by the end of the year.” Also, Harker doesn’t expect rates to fall next year.

Shares of Tesla fell more than 7% after mixed third-quarter results, although experts remain optimistic about the electric-car maker. Shares of Snap fell by 26% due to slow revenue growth in the third quarter.

Unexpected events took place in the UK. Liz Truss announced her resignation as prime minister after just 45 days in office, the shortest term ever. Truss faced calls to leave because of the disastrous effects of her mini-budget. The prime minister’s departure provoked a struggle among conservative lawmakers to find a successor. Because of the uncertainty, investors are now advised to avoid speculating on any British assets.

Oil prices were little changed during Thursday’s trading session, as concerns over inflation dragging down oil demand were contradicted by the news that China is considering reducing the quarantine period for visitors to 7 days from 10 days. This is seen as a positive indicator of demand in the market, as China is the largest oil importer. But investors should not forget that, on the other hand, the looming European Union ban on Russian oil and oil products, as well as production cuts by the Organization of Petroleum Exporting Countries and its allies, known as OPEC+, are supporting prices.

The US is exploring new sanctions against Russia and Iran because of their military and technical cooperation. White House National Security Council Coordinator John Kirby also said that the US confirms the presence of Iranian military personnel in the occupied territories of Ukraine to help Russia.

Asian stock indices were mostly down yesterday. Japan’s Nikkei 225 (JP225) decreased by 0.92%, Hong Kong’s Hang Seng (HK50) fell by 1.40%, while Australia’s S&P/ASX 200 (AU200) was down by 1.02%.

The Japanese yen hit a 32-year low versus the dollar after data showed that Japanese consumer price inflation in September was 3% y/y, the highest in 8 years. The data points to increased pressure on the world’s third-largest economy in the coming months and will also create obstacles for the Bank of Japan, which is struggling to maintain its adaptive stance. Analysts expect that the government may intervene in the currency again.