Asian Markets Fall despite Overnight Gains on Wall Street

Shares in Asian markets began the day on a negative note, despite Wall Street recovering most of its losses at the close. 

As of 09.24 hrs. local time in Thailand, Hong Kong’s Hang Seng index fell 0.55%, while mainland China’s Shanghai Composite was 0.65% lower, and the Nikkei 225 in Japan dropped 1.27%.

South Korea’s Kospi slipped 0.85% and the S&P/ASX 200 in Australia was 0.21% lower.

U.S. stock market indices dropped sharply Tuesday morning but recovered later in the day. The Nasdaq Composite gained 1.75% to close at 11,322.24 and the S&P 500 gained 0.16% to close at 3,831.39.

Meanwhile, the Dow Jones Industrial Average fell 129.44 points, or 0.4%.

Looking ahead, Bank Negara Malaysia is anticipated to announce its monetary policy statement today. Reuters’ poll of experts predicts a rate hike of 25 basis points.

Shanghai will conduct mass testing in many districts following the resurgence of Covid cases earlier this week, according to a statement on the city’s WeChat account.

According to Ting Lu, chief China economist at Nomura, restrictions on local movement had been implemented in eleven Chinese cities as of Monday, up from five the previous week.