Asian stocks are mostly lower after Wall Street’s tepid gains
Asian stocks are mostly lower as investors focus on the Ukraine conflict. Also what the world’s central banks might do to keep inflation under control.’
Tokyo, Seoul, Hong Kong, and Shanghai benchmarks fell while Sydney advanced. Oil prices have dropped.
Concerns about rising inflation have prompted investors to weigh the latest Federal Reserve updates. The Fed has denoted that it is willing to continue raising interest rates also reducing its stockpile of bonds and mortgage-backed securities to contain the highest inflation in 40 years.
“Global appetite for risk remains uncertain in the short term. With hawkish central banks weighing on sentiment.” The situation in Ukraine and Russia remains a headwind, with markets now waiting for a significant breakthrough to adjust current pricing. In a comment, Anderson Alves of Activ Trades stated
The Nikkei 225, Japan’s benchmark index, fell 0.3 percent in morning trading to 26,801.26.
The Kospi in South Korea fell 0.2 percent to 2,691.41. The S&P/ASX 200 index in Australia rose 0.6 percent to 7,490.70. The Hang Seng Index in Hong Kong fell 0.6 percent to 21,689.38, while the Shanghai Composite fell 0.1 percent to 3,234.54.
Technology companies led a late-afternoon rebound on Wall Street. The S& P 500 gained 0.4 percent to 4,500.21, its first gain in two days. The benchmark index will post its first weekly loss in four weeks.
“The market is certainly digesting a Fed that appears willing to be very aggressive in combating inflation,” said Rob Haworth, senior investment strategist at US Bank Wealth Management.
Stocks in communication services were among the market’s heavyweights. Twitter dropped 5.4 percent. HP, the computer also printer maker, rose 14.8 percent, the most in the S& P 500. After Warren Buffett’s Berkshire Hathaway disclosed an 11 percent stake in the company. The 10-year Treasury yield increased to 2.65 percent from 2.61 percent late Wednesday.
