Stocks fall in Hong Kong; most other Asian markets closed

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Shares fell more than 3% in Hong Kong on Monday in holiday-thinned trading in Asia, with other big markets in Tokyo and Shanghai closed.

Investors are watching to see whether the Federal Reserve will take any action to address the impact of rising prices on businesses and consumers.

The company was expected to miss interest payments, as ratings companies forecast it may default on its debt. The Fed is due to deliver its latest economic and interest rate policy update on Wednesday. The central bank has said higher costs for raw materials and consumer goods are still likely to be temporary as the economy recovers, but analysts worry that higher prices could stick around and dent companies’ bottom lines while also crimping spending.Stocks closed lower on Wall Street Friday, marking a feeble ending to an up-and-down week of trading. The S&P 500 index SPX, -0.91% lost 0.9% to 4,432.

“Quadruple witching,” the simultaneous expiration of four kinds of options and futures contracts, contributed to market volatility. The phenomenon happens four times a year and forces traders to tie up loose ends in contracts they hold. More than 750 billion single stock options were due to mature Friday, said McKnight.

 

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