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© Reuters.
Written by Gina Lee
Investing.com – Asia-Pacific stocks fell mostly on Wednesday morning, with yields rising on the U.S. Treasury contributing to continued global sell-offs. Investors also continue to weigh the likelihood of a tighter monetary policy by the U.S. Federal Reserve to curb inflation.
Japan fell 1.89% to 21:01 ET (2:01 GMT) and South Korea 0.11%
In Australia, it fell 0.51%. showed that in January it decreased by 2% compared to 1% of the contraction from the previous month.
Hong Kong rose 0.05%. China fell 0.15% while rising 0.07%.
Global stocks had a volatile start to 2022, with challenges including the Fed hawk, the economic impact of the omicron variant of COVID-19, and rising inflation. Higher bond yields are also forcing investors to re-evaluate the value of a range of assets.
“Overall, we expect to see the bond market boost volatility, more broadly based, in stock markets and other markets,” Winnie Cisar, global leader of CreditSights’ strategy, told Bloomberg.
She was also a little worried about corporate revenues in the last quarter and in the first half of 2022, as high expectations could be lacking.
In the U.S., data from Tuesday showed it fell to 0.70 in January. Data on housing units, including, arrive later in the day.
The question investors are struggling with most is whether the US Federal Reserve will have to tighten monetary policy to drive inflation lower, or whether easing economic growth will allow the central bank to be less aggressive in tightening, 22V Research founder Dennis DeBusschere told Bloomberg.
The first would be “terrible” for cyclical and technology stocks, he added.
At the front of the company, Goldman Sachs Group Inch. (NYSE 🙂 trading income in the fourth quarter of 2021 was worse than expected, which again burdened banks. Alibaba (NYSE 🙂 U.S. shares of Group Holding Ltd. (HK 🙂 fell because of reports that the U.S. is reviewing its cloud business to assess national security risk.
Companies including Morgan Stanley (NYSE :), Bank of America Corp. (NYSE :), UnitedHealth Group Incorporated (NYSE 🙂 and Netflix Inc. (NASDAQ 🙂 will announce its earnings throughout the week.
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