Asian stocks muted as rate hike fears reemerge, China uncertainty weighs
Investing.com-- Most Asian stocks moved in a flat-to-low range on Wednesday as recent comments from Federal Reserve officials suggested that the central bank may not be done raising interest rates.
Uncertainty over China also kept regional sentiment muted, following a string of weak economic readings from the country for October.
While Asian markets had enjoyed a stellar rally in the wake of a less hawkish Fed from last week, they largely cooled their gains in recent sessions as investors awaited more cues from the Fed and from China.
Japan’s Nikkei 225 index rose 0.3%, while the broader TOPIX fell 0.6%. South Korea’s KOSPI fell 0.2%, somewhat stabilizing after the South Korean government’s ban on short-selling spurred wild swings in local stocks this week.
Australia’s ASX 200 rose 0.2%, with major bank stocks benefiting from the Reserve Bank’s decision to hike interest rates. But this was largely offset by a sharp decline in commodity stocks, as metal and oil prices plummeted this week.
Futures for India’s Nifty 50 index pointed to a marginally positive open, with the index having somewhat lagged its peers in recent sessions.
China’s Shanghai Shenzhen CSI 300 and Shanghai Composite indexes were flat on Wednesday, while Hong Kong’s Hang Seng index added 0.3% on strength in locally-listed Chinese property stocks.
Media reports said that Chinese regulators held a symposium with several major property developers, including China Vanke Co Ltd (HK:2202), Poly Real Estate Group Co Ltd (SS:600048) and Longfor Properties Co Ltd (HK:0960), to gauge their financial positions amid a sustained decline in the property market.
The news ramped up hopes that the government will provide more support to the ailing property sector,
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