Asian Stocks Up, but Press Pause Button as COVID-19 Concerns Persist By Investing.com

© Reuters.

By Gina Lee

Investing.com – Asia Pacific stocks were up on Wednesday morning but took a pause as the continuous spread of COVID-19 globally makes concerns over its impact on the economic recovery hard to shake off.

Japan’s was up 0.35% by 9:45 PM ET (1:45 AM GMT) and South Korea’s was up 0.24%.

In Australia, the inched up 0.08%.

Hong Kong’s was up 0.21%.

China’s edged down 0.15% while the slid 2.33%. The country’s intensified regulatory tightening impacted companies such as Alibaba (NYSE:) Group Holding Ltd. (HK:), Baidu Inc. (HK:) and JD.com Inc. (NASDAQ:) and caused another tumble in Chinese equities listed in the U.S.

The debate also continues on whether inflation will be temporary and when central banks will begin asset tapering.

The handed down its policy decision earlier in the day, with the country entering a after reporting its first COVID-19 community transmission since February 2020.

Investors now await the , due later in the day.

Fed Chair admitted that COVID-19 is “still casting a shadow on economic activity” at a town hall meeting on Tuesday, but did not elaborate further on the subject. However, the Fed’s Jackson Hole symposium taking place in the following week could offer more clues about the Fed timetable for asset tapering and interest rate hikes.

On the data front, U.S. entered contraction territory, falling 1.1% month-on-month and falling 0.4% month-on-month in July.

For some investors, the pause was a much-needed one after global shares’ 90% advance from 2020’s lows.

“So much growth is priced in and it’s really a question of being able to deliver on that earnings-per-share and whether these multiples are warranted… the big thing I am worried about is whether we are going to have an environment where we see higher prices but not necessarily the growth that people are expecting,” Quadratic Capital Management founder and chief investment officer Nancy Davis told Bloomberg.

Disclaimer: Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. All CFDs (stocks, indexes, futures) and Forex prices are not provided by exchanges but rather by market makers, and so prices may not be accurate and may differ from the actual market price, meaning prices are indicative and not appropriate for trading purposes. Therefore Fusion Media doesn`t bear any responsibility for any trading losses you might incur as a result of using this data.

Fusion Media or anyone involved with Fusion Media will not accept any liability for loss or damage as a result of reliance on the information including data, quotes, charts and buy/sell signals contained within this website. Please be fully informed regarding the risks and costs associated with trading the financial markets, it is one of the riskiest investment forms possible.

Source link

Leave a Reply

Your email address will not be published.

$27,819.33  $180.63  0.65%  
$1.41  $0.0000  0.00%  
$24.08  $1.46  5.72%  
$0.2006  $0.0000  0.00%  
$2,514.24  $33.36  1.34%  
$3.08  $0.012  0.39%  
₹ 17,687.10  ₹ 152.35  0.87%  
$7,988.71  $85.87  1.06%  
$1.03  $0.0013  0.12%  
$1.22  $0.0022  0.18%  
$133.12  $0.25  0.19%  
$4,210.24  $87.77  2.13%  
$186.60  $3.43  1.87%  
$33,309.51  $535.11  1.63%