Asian markets mixed; tech companies weigh down Nikkei

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Shares were mixed in Asia on Wednesday after stocks rallied on Wall Street following comments by the chair of the Federal Reserve signaling that last week’s...

BANGKOK — Shares were mixed in Asia on Wednesday after stocks rallied on Wall Street following comments by the chair of the Federal Reserve signaling that last week’s stunningly strong jobs report won’t by itself sway its stance on interest rates hikes.

The Nikkei 225 index NIK in Tokyo lost 0.4%, weighed down by losses in electronics and tech-related companies like Nintendo 7974 and Sharp Corp. 6753 that have reported steep losses in the latest round of earnings. Tuesday on Wall Street, the benchmark S&P 500 SPX climbed 1.3% following a shaky day where stocks pinballed between losses and gains as Fed Chair Jerome Powell gave his first public comments since raising rates last week. Other indexes also gained.High inflation and how high the Fed will take interest rates to combat it have been at the center of Wall Street’s gyrations in the last year. Powell said on Tuesday that progress is being made on inflation, though a long battle remains.

Powell said Tuesday at the Economic Club of Washington, D.C., that the market’s big moves since the jobs report have gotten it closer to in sync with the Fed’s thinking. Not only did stocks fall, Wall Street raised its forecast for how high the Fed will take rates by the summer.

 

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