News Formal

Asian Stocks Slide After US Markets Plunge on Fed Rate Cut Signals

  • 📰 SooToday
  • ⏱ Reading Time:
  • 53 sec. here
  • 7 min. at publisher
  • 📊 Quality Score:
  • News: 42%
  • Publisher: 85%

Business News

FED,ASIAN MARKETS,STOCKS

Asian stock markets tumbled on Thursday following a sharp decline in US markets the previous day. The Federal Reserve's indication of potentially fewer rate cuts in 2025 than previously anticipated triggered investor concerns, leading to a sell-off on Wall Street. The Fed, as expected, cut its key interest rate by a quarter percentage point to a range of 4.25% to 4.5%. Other major central banks, including the Bank of Japan, maintained their current rates.

BANGKOK — Shares skidded Thursday in Asia after U.S. stocks tumbled to one of their worst days of the year when the Federal Reserve hinted it may deliver fewer rate cuts in 2025 than earlier thought.

A weaker yen tends to push prices higher in Japan, which depends heavily on imports, and that in turn raises pressure on the Bank of Japan to raise rates. Analysts say they expect a BOJ rate hike in January, but also that the central bank is wary of big changes as it waits to see possible shocks from President-elect Donald Trump's policies on tariffs.

Australia's S&P/ASX 200 shed 1.9% to 8,153.80, while the Kospi in South Korea slipped 1.5% to 2,447.17. India's Sensex fell 0.9%.On Wednesday, the S&P 500 fell 2.9%, just shy of its biggest loss for the year, to close at 5,872.16. The Dow Jones Industrial Average lost 1,123 points, or 2.6%, to 42,326.87, and the Nasdaq composite dropped 3.6% to 19,392.69.

Powell said some Fed officials, but not all, are also already trying to incorporate uncertainties inherent in a new administration coming into the White House. Worries are rising on Wall Street that President-elect Donald Trump’s preference for tariffs and other policies could further fuel inflation.

We have summarized this news so that you can read it quickly. If you are interested in the news, you can read the full text here. Read more:

 /  🏆 8. in US
 

Thank you for your comment. Your comment will be published after being reviewed.
Please try again later.

United States United States Latest News, United States United States Headlines

Similar News:You can also read news stories similar to this one that we have collected from other news sources.

Asian stocks slip, rattled by South Korean political unrestSouth Korea’s finance ministry said it was prepared to deploy ‘unlimited’ liquidity into financial markets if needed
Source: globebusiness - 🏆 31. / 66 Read more »

U.S. Stocks Dive as Fed Signals Fewer Rate Cuts in 2025Stocks tumbled after the Federal Reserve indicated a slower pace of rate cuts in 2025, disappointing investors who had anticipated further stimulus for the economy.
Source: CP24 - 🏆 30. / 67 Read more »

Premarket: Global stocks dip on concerns over Fed rate plans, disappointing China retail dataEuropean PMIs weak again
Source: globeandmail - 🏆 5. / 92 Read more »

Premarket: Stocks edge up on Fed cut bets; euro firm ahead of ECB decisionCrude extends gains amid threat of more Russia sanctions
Source: globeandmail - 🏆 5. / 92 Read more »

Fed rate view in focus as robust stocks year draws to closeSome investors brace for ‘hawkish cut’
Source: globeandmail - 🏆 5. / 92 Read more »

Stocks rise, Nasdaq at record high as Fed decision, data awaitedThe Kitco News Team brings you the latest news, videos, analysis and opinions regarding Precious Metals, Crypto, Mining, World Markets and Global Economy.
Source: KitcoNewsNOW - 🏆 13. / 78 Read more »