Central bank meetings leave stocks lower and bonds stronger

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Asian shares fell to their lowest since April 2020 as risk appetite among investors faded

The MSCI all country stock index was down 0.2%, adding to its 25% drop so far in 2022, wiping out the gains clocked up in 2021.

Eren Osman, MD of wealth management at Arbuthnot Latham, said earnings so far in the US and elsewhere have shown resilience as many companies beat expectations. “Once we start to see the ISM manufacturing data start to trough, the markets will get some confidence that we have seen the worst of it. A lot of people are waiting for that moment of capitulation and it might not happen,” Osman said.Asian shares fell on Thursday to their lowest since April 2020 as risk appetite among investors faded after inflation data across the globe reignited fears of aggressive interest rate hikes by the Fed.

China’s stock market fell while Hong Kong stocks hit levels last seen during the 2008-09 global financial crisis.

 

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