Asia-Pacific markets traded lower on Friday as recession fears mounted. Disappointing November retail sales in the U.S. revealed that inflation is weighing on consumers, prompting concerns that Fed’s rate hikes are driving the economy into a recession.
The Hang Seng index in Hong Kong was down 0.80% as of 9.24 a.m. (Thai time). The Shanghai Composite dipped 0.28% in mainland China as the second day of China’s annual Central Economic Work Conference reportedly takes place behind closed doors.
In Australia, the S&P/ASX 200 fell 0.38%. The Nikkei 225 dropped 1.65%, leading losses in the region, while the Kospi in South Korea dipped 0.42%.
The U.S. Commerce Department imposed limitations on Chinese enterprises seeking to use innovative technologies to help upgrade China’s military. This is only two months after the Biden administration restricted China’s access to advanced semiconductors.