Stock indexes in the Asia-Pacific region largely finished Wednesday in negative territory. The Shenzhen Composite fell by 2.41%, the Shanghai Composite decreased by 1.38%, the Hang Seng Index declined by 1.53%, and the Nikkei 225 lost 0.45%. The KOSPI and the S&P/ASX 200 gained 0.27% and 0.51% respectively.
Investors remain cautious amid uncertainties over the global economic prospects. The latest statistic data shows business activity is on the decline. The overall economic situation has not deteriorated like this for several decades. This downturn, coupled with rising inflation, is causing concern among market players.
Investors hope that the upcoming speech by Jerome Powell at the upcoming conference in Jackson Hole this week would clarify the Federal Reserve's future policy. However, comments by some Fed policymakers signal that the monetary policy would not be eased, as inflation is becoming more persistent than previously expected. As a result, the US central bank would be forced to continue its aggressive policy.
In Japan, the worst performing companies on the Nikkei 225 were Konami Group, Corp. (-2.7%), Nintendo, Co., Ltd. (-2.5%), and Shiseido, Co., Ltd. (-2.1%).
Japanese tech companies also suffered losses – Tokyo Electron slid down by 1.7%, Keyence lost 1.2%, Recruit Holdings decreased by 1.1%, and M3 declined by 1.3%.
In Hong Kong, the Hang Seng Index dived to its lowest point in 6 months. The biggest losers were Xinyi Glass Holdings, Ltd. (-5.6%), Xinyi Solar Holdings, Ltd. (-4.9%), and BYD, Co., Ltd. (-4.4%).Shares of Ping An Insurance (Group), Co. of China, Ltd added 2.4% thanks to the company increasing its net profit by 3.9% in the first half of 2022 for the first time in 3 years.
JD.com, Inc. increased by 1.5% after the company reported that its net income rose 5-fold in April-June 2022. The Chinese commerce giant's net revenues increased by 5.4% during the same period.
On the KOSPI, Samsung Electronics, Co. shed 0.17%, while Hyundai Motor, Co. lost 0.5%.Shares of Hyundai Energy Solutions, Co., Ltd. jumped by 15.9%.
On the S&P/ASX 200, BHP added 1.1%, while Rio Tinto lost 0.8%.
