Asian markets decline as Fed signals March rate hike; Dow Futures sheds over 300 points

27 Jan 2022 , 08:45 AM

Asian markets on Thursday slumped after the Federal Reserve’s chairman signaled plans to steadily tighten policy. Japanese ‘Nikkei’ trading lower by 734 points as global markets react to the Federal Reserve outlook.

South Korean ‘Kospi’ also was weak for another day as ETF outflows from Asia saw most markets trade in the red. Chinese stocks have seen contrarian buying which could continue as the economy recovers. The Shanghai Composite was up fractionally, but the Shenzhen Component slid 0.24%.

Hong Kong’s Hang Seng index and Australian shares fell 2%, Topix was down 1.23% and Hong Kong’s Hang Seng index fell 2%. The Taiwan market is closed for a holiday today.

Further, Dow Jones Futures also fell over 346 points or 1.02%.

Meanwhile, Dow Jones Industrial Average ended the day down 129 points, after gaining more than 500 points in intraday trade. The S&P 500 slid 0.2% to 4,349.93, while the Nasdaq Composite ended the session almost flat at 13,542.12.