Stocks sputter as growth fears deepen despite China COVID shift

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Asia’s stockmarkets wobbled lower as reality bit on hopes for a soft economic landing in the United States, and investors curbed their enthusiasm about China’s reopening. | Reuters

“Some of the optimism that had driven the rally is being put to the test,” said Shane Oliver, head of investment strategy at Australia’s AMP.

The Shanghai Composite Index fell 0.6 percent, Hong Kong’s Hang Seng fell 1 percent and the yuan was broadly steady, giving up early gains.

The growth fears rallied longer-dated bonds and helped the safe-haven U.S. dollar to pause its recent retreat.

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