29 Dec 2021
Asian Stocks Plummet, Spurred by U.S. Mega Cap Tech Payoff
The Index Today
The Asia Pacific shares had dipped Wednesday morning due to ripple effects that rose in the aftermath of a major U.S. technology payoff.
Japan’s Nikkei 225 dipped by 0.96% at 9:26 PM ET (1:26 AM GMT) while South Korea’s KOSPI dropped by 0.93%. Additionally, the Hang Seng index in Hong Kong retreated by 0.77%. China’s Shanghai Composite plunged by 0.45% alongside Shenzhen Component which decreased by 0.44%.
A U.S. index of Chinese stocks also plummeted on the account of the recently passed regulatory policies that check international share trade, in efforts to aid the struggling real estate sector in the country. Stricter monetary rules, Chinese policies, and the ongoing COVID-19 pandemic have been predicated as the top fiscal challenges of 2022 for the global market. However, there have been reassuring reports of late that establish the Omicron’s comparatively milder symptoms despite its rapid spread across the world.
Katie Nixon, the Chief Investment Officer at Northern Trust Wealth Management, echoed a similar sentiment in her statement to Bloomberg News, “We are pretty constructive going into 2022...we’re having fits and starts related to this omicron of course. This will create maybe demand delayed but not destroyed.”
©Photo: Isaac Lawrence/AFP/Getty