Asia Stocks Decline on Fed Bets and Weak China Data – Asia Market Wrap
January 17, 2024
Stocks fell throughout Asia as investors reduced their bets on a Federal Reserve interest rate cut and as new data confirmed worries about China’s growth.
Hong Kong’s Hang Seng Index fell 3%, while the CSI 300 mainland Chinese benchmark fell more than 1%. The declines were caused by official data indicating that although China has achieved its 2023 GDP target, the nation’s housing crisis has gotten worse and domestic demand is still apathetic.
Equities from South Korea to Australia sank, weighing on a regional indicator. Japan was an exception, boosted by a weaker yen. US stock futures also fell, while Treasuries remained stable and the dollar rose marginally.