Asian markets traded lower on Thursday, reflecting a negative reaction to the Fed’s hawkish stance and tracking the Wall Street’s movements a day earlier. Though the interest rate hike of 50 basis points was along expected lines, the higher peak of 5.1 percent for the federal funds rate dampened investor sentiment.
Disappointing industrial production and retail sales numbers from China on Wednesday added to the negative sentiment.
China’s Shanghai Composite Index dropped 7.88 points or 0.3 percent to finish at 3,168.65. The day’s trading ranged between 3,179.10 and 3,158.45. The Shenzhen Component Index, however, gained 36.29 points or 0.3 percent to close at 11,358.11.
The Japanese benchmark Nikkei 225 Index shed 104.51 points or 0.4 percent to end trading at 28,051.70. The day’s trading range was between 27,987.54 and 28,163.17.
Shiseido and Chugai Pharmaceutical both declined more than 2 percent. Nisshin Seifun Group, Kikkoman Corp. and SompoHoldings all declined more than 1 percent.
Meanwhile, Kawasaki Heavy Industries led the gains with a 5 percent surge. Mitsubishi Heavy Industries followed closely with gains of 4.1 percent. Hitachi Zosen Corp, IHI Corp and Fujikura all rallied more than 3 percent.
The Hang Seng Index of the Hong Kong Stock Exchange tumbled 304.86 points or 1.6 percent from the previous close to finish trading at 19,368.59. The day’s trading range was between a high of 19,675.68 and a low of 19,233.86.
The Korean Stock Exchange’s Kospi Index slumped 38.28 points or 1.6 percent to close trading at 2,360.97. The day’s trading range was between 2,360.95 and 2,392.11.
Australia’s S&P/ASX200 Index closed trading at 7,204.80 after losing 46.50 points or 0.6 percent. The day’s trading was between 7,202.60 and 7,251.30.
Pilbara Minerals declined more than 11 percent, while Core Lithium dropped more than 9 percent. Liontown Resources shed close to 8 percent. Sayona Mining and Megaport Limited both declined more than 6 percent overnight.
On the other hand, packaged food business Blackmores was the biggest gainer with a surge of more than 7 percent. Energy business New Hope Corp. added close to 5 percent. Thermal coal business Whitehaven Coal and beverage business Endeavour Group both added more than 3 percent.
