Main stock indexes in the Asia-Pacific region declined on Monday in another day of losses. The S&P/ASX 200 shed 0.08%, while the Shanghai Composite and the Shenzhen Composite decreased by 0.16% and 0.55% respectively. The Hang Seng Index lost 0.94%, and the KOSPI declined by 1.2%. Japan's stock market was closed today for a holiday. However, the Nikkei 225 lost 1.11% on Friday.
US markets finished last week in negative territory as well. Investors were anxious that the upcoming interest rate hike in the US could lead to an economic downturn. More than 80% of economists expect a 75 basis point hike in the US at the Fed policy meeting this week, and some are even predicting a 100 bps move.
Later this week, the central banks of Japan and the UK will hold their own policy meetings. Most analysts believe the regulators would also increase interest rates to fight accelerating inflation.
In Hong Kong, the worst performing stocks on the Hang Seng Index were Sino Biopharmaceutical, Ltd. (-6.6%), Longfor Group Holdings, Ltd. (-5.9%), Wuxi Biologics (Cayman), Inc. (-5.1%), Country Garden Holdings, Co., Ltd. (-5%), as well as Alibaba Group Holding, Ltd. and Netease, Inc. (-3.4% and -3.1% respectively.).
Shares of China Vanke, Co., Ltd. lost 1.7% following reports that its subsidiary company Onewo, Inc. plans to raise 6.15 billion Hong Kong dollars ($783.15 million) in an IPO on the Hong Kong stock exchange.
In South Korea, stocks on the KOSPI declined slightly, with LG Electronics, Inc. losing 0.3%, Samsung Electronics, Co. decreasing by 0.2%, and Kia, Corp. shedding 0.1%.
Shares of major Australian companies also went down on Monday. BHP fell by 0.1%, while Woodside Energy and Santos lost 1% and 0.8% respectively.
