Asian stocks sink after Wall St pulls back from record

Asian stocks sink after Wall St pulls back from record


BEIJING (AP) — Asian stock markets declined Wednesday after Wall Street pulled back from a record as investors awaited a Federal Reserve report for signs of when U.S. stimulus might be withdrawn.

Investors also were uncertain how much farther China will go with a regulatory crackdown that set off a slide in its internet share prices.

Shanghai, Tokyo and Sydney retreated while Hong Kong advanced.

Investors were digesting U.S. earnings reports while worries increased after the Centers for Disease Control and Prevention recommended even vaccinated people return to wearing masks indoors in areas where the coronavirus's more contagious delta variant is spreading.

“Investors turned cautious,” said Edward Moya of Oanda in a report.

A meeting of the Federal Reserve board that began Tuesday is expected to bring an update on when the U.S. central bank might start to reduce bond purchases that inject money into financial markets and keep interest rates low.

The Shanghai Composite Index lost 0.7% to 3,357.28, declining for a third day, while the Nikkei 225 in Tokyo fell 1.4% to 27,581.66. The Hang Seng in Hong Kong gained 1.1% to 25,360.77.

The Kospi in Seoul lost 0.1% to 3,236.86, while Sydney's S&P-ASX 200 gave up 0.7% to 7,379.30.

India's Sensex opened down 0.9% at 52,087.70. New Zealand gained while Southeast Asian markets declined.

On Wall Street, the benchmark S&P 500 fell 0.5% to 4,401.46, snapping a five-day streak of gains. The Dow Jones Industrial Average dropped 0.2% to 35,058.52. The Nasdaq lost 1.2% to 14,660.58.

Selling was most pronounced in technology and communication stocks, and in companies that rely on consumer spending. Traders shifted money into sectors seen as less risky, including utilities, health care and in companies that make household and...

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