Shares in Asia Pacific markets were in mixed session on Wednesday after Wall Street in the United States reported its third day of losses overnight as traders continued to assess the likely pace of Federal Reserve monetary tightening.
As of 9:30 a.m. Thai time, Japan’s Nikkei 225 fell 0.44% and mainland China’s Shanghai Composite lost 51%.
Hong Kong’s Hang Seng index dropped 0.97%.
The S&P/ASX 200 in Australia added 0.60% while in South Korea, the Kospi was about flat.
The Dow fell 154.02 points, or 0.47%, to 32,909.59 in overnight trading in the United States. The S&P 500 down 0.22%, to 4,128.73, while the Nasdaq Composite slid 0.18%, to 12,381.30.
“Equity markets weakened overnight on relatively light trading as poor manufacturing and housing data weighed on risk sentiment,” ANZ Research said in a Wednesday note.
Bloomberg said that recent data revealed a slowdown in economic activity around the globe, from the United States to Europe and Asia, highlighting the challenge the Federal Reserve faces in trying to reduce elevated inflation without triggering a recession.
In upcoming Friday, Fed Chair Jerome Powell will speak at the Jackson Hole symposium, and investors will be paying close attention to how hawkish the US central bank will be in the face of rising economic challenges.
