Asian Shares Slump On US Rate Worries

RTTNews | 826日前
Asian Shares Slump On US Rate Worries

(RTTNews) - Asian stocks tumbled on Wednesday as hawkish comments from Fed Chair Jerome Powell on the first day of his semi-annual two-day testimony before Congress stoked concerns about interest rates being hiked by 50 basis points at the March FOMC meeting.

Resilient U.S. economic data since start of this year had raised the possibility of the U.S. central bank returning to large rate hikes, which Powell acknowledged.

According to CME's FedWatch tool, markets now price in an almost 70 percent chance of a 50-basis point rate hike at the Fed's March 21-22 policy meeting.

Most Asian currencies sank amid the broad dollar strength as focus shifted to the release of U.S. nonfarm payrolls report later in the week and next week's inflation figures.

Gold prices extended their fall while oil steadied after suffering heaving losses in the overnight session.

China's Shanghai Composite index fluctuated before finishing marginally lower. Hong Kong's tech-heavy Hang Seng index tumbled 2.35 percent to close at 20,051.25.

Japanese shares rose for a fourth straight session to reach a 3-1/2-month high as a weakening yen buoyed the outlook for exporters. Retailers also posted strong gains on optimism over demand from Chinse travelers after Japan eased its coronavirus border measures.

The Nikkei average rose 0.48 percent to 28,444.19 while the broader Topix index ended 0.30 percent higher at 2,051.21.

Mazda Motor jumped 3 percent as the yen hit a nearly three-month low at 137.90 to the greenback.

Fast Retailing, Front Retailing, Takashimaya and Isetan Mitsukoshi Holdings rallied 2-4 percent. Nissan Motor fell 3.5 percent after a rating cut by S&P to junk status.

Seoul stocks fell sharply to snap a five-day winning streak on U.S. rate hike fears. The Kospi average closed 1.28 percent lower at 2,431.91, dragged down by large-cap tech heavyweights.

Australian markets ended lower, with tech, mining and energy stocks pacing the decliners. The benchmark S&P/ASX 200 index dropped 56.90 points, or 0.77 percent, to 7,307.80 while the broader All Ordinaries index ended 0.78 percent lower at 7,503.90.

Across the Tasman, New Zealand's benchmark S&P/NZX-50 index ended down 0.54 percent at 11,855.54.

U.S. stocks tumbled overnight after Powell told lawmakers the U.S. central bank would be prepared to reaccelerate the pace of rate hikes if the economy grows too quickly.

The Dow lost 1.7 percent, the tech-heavy Nasdaq Composite shed 1.3 percent and the S&P 500 gave up 1.5 percent.

read more
Bay Street Seen Opening On Mixed Note

Bay Street Seen Opening On Mixed Note

It's likely to be a mixed start for Canadian shares on Wednesday with investors reacting to the crucial U.S. consumer price inflation data, and the developments on the trade front where U.S. and Chinese official reached a framework to implement the Geneva consensus following two days of discussions in London.
RTTNews | 55分前
CAC 40 Drifts Lower In Cautious Trade

CAC 40 Drifts Lower In Cautious Trade

The French market is down in negative territory Wednesday afternoon, with stocks moving in a narrow range as investors await further details on U.S.-China trade talks, and the crucial inflation data from the U.S. later in the day.
RTTNews | 2時3分前
Euro Rises Amid Risk-on Mood

Euro Rises Amid Risk-on Mood

The euro strengthened against other major currencies in the European session on Wednesday amid increased risk-on mood, as investors monitored the latest updates from Sino-U.S. talks and awaited crucial U.S. inflation data for direction. After two days of discussions in London, U.S. and Chinese officials have agreed on a limited framework to put their trade truce back on track.
RTTNews | 3時10分前
Euro Rises Against Majors

Euro Rises Against Majors

The euro strengthened against other major currencies in the European session on Wednesday.
RTTNews | 3時19分前
Sensex, Nifty End Modestly Higher; IT Stocks Lead Gains

Sensex, Nifty End Modestly Higher; IT Stocks Lead Gains

Indian shares eked out modest gains on Wednesday as markets assessed the outcome of high-level U.S.-China talks and awaited key U.S. inflation readings for additional clues on the Federal Reserve's rate trajectory.
RTTNews | 3時20分前
Tesla Shares Gain As Musk Sets Robotaxi Service Launch Tentatively On June 22

Tesla Shares Gain As Musk Sets Robotaxi Service Launch Tentatively On June 22

Tesla Inc. shares were gaining around 2.4 percent in the pre-market activity on the Nasdaq following a 6 percent jump on Tuesday's regular trading, after the founder and CEO Elon Musk confirmed that the much awaited robotaxi service is tentatively set to launch in Austin, Texas, on June 22. In a post on his social media platform X, Musk said, "Tentatively, June 22. We are being super paranoid...
RTTNews | 3時23分前