Asia-Pacific shares mostly fell on Friday as investors continue to weigh the Federal Reserve’s aggressive stance.
In Australia, the S&P/ASX 200 fell 1.56% on its return to trade after a holiday on Thursday. South Korea’s Kospi dipped 1.05% and the Kosdaq declined 1.66%.
Hong Kong’s Hang Seng index lost 0.18% in early trade. Mainland China stocks were comparatively flat, with the Shanghai Composite rising 0.07% and the Shenzhen Component slightly lower.
MSCI’s broadest index of Asia-Pacific shares outside Japan was down 0.54%. Japan markets were closed for a holiday Friday.
Elsewhere in Asia, Singapore and Malaysia will report August’s consumer price index data.
On Wall Street overnight, stocks fell for a third consecutive day over recession fears following the Fed’s latest 75-basis-point rate hike.
The S&P 500 was 0.8% lower at 3,757.99, while the Nasdaq Composite lost 1.4% to 11,066.81. The Dow Jones Industrial Average dipped 107.10 points, or 0.3%, to 30,076.68.
|.N225||Nikkei 225 Index||*NIKKEI||27153.83||-159.3||-0.58|
|.HSI||Hang Seng Index||*HSI||18112.81||-35.14||-0.19|
|.AXJO||S&P/ASX 200||*ASX 200||6589.8||-110.4||-1.65|
|.FTFCNBCA||CNBC 100 ASIA IDX||*CNBC 100||7314.1||-20.52||-0.28|
— CNBC’s Samantha Subin and Sarah Min contributed to this report.
Australia’s S&P Global flash PMI shows growth in private sector
Australia’s flash manufacturing Purchasing Managers’ Index (PMI) rose slightly to 53.9 in September from 53.8 in August, according to data from S&P Global.
The flash services PMI ticked higher to 50.4 in September, compared with 50.2 in August.
“The latest survey data indicated that the manufacturing sector was the primary driver of Australia’s private sector growth during September,” S&P Global wrote in a release.
“The service sector, though expanding more quickly than in August, saw activity rise only marginally with activity and new business growth rates remaining below the historical averages,” it said.
— Abigail Ng
Japanese yen hovers around 142 against the U.S dollar
The Japanese yen traded at 142.33 against the greenback in Asia’s morning the day after Japanese authorities said they intervened in the currency market for the first time since 1998.
The yen strengthened to 140-levels before heading back to 142-levels.
“In our view, the Ministry of Finance [in Japan] needs to convince the U.S. Treasury to join the intervention,” Joseph Capurso of the Commonwealth Bank of Australia wrote in a Friday note, adding solo intervention by Japan “fails within a few weeks.”
— Abigail Ng
CNBC Pro: Back hedge funds to outperform equities and bonds this year, UBS says
As both stocks and bond prices fall simultaneously, hedge funds have broadly outperformed and are “well placed to navigate current market volatility,” according to a new report by UBS.
As market volatility persists, the Swiss bank shared the types of hedge funds it prefers.
— Ganesh Rao
Source : CNBC