Asian stock markets rebound after Wall St falls from record

BEIJING (AP) — Asian stock markets rebounded Wednesday after Wall Street fell on weak retail sales as investors awaited an update from the Federal Reserve on possible plans to reduce U.S. stimulus.

Shanghai, Tokyo, Hong Kong and Sydney advanced.

Wall Street's benchmark S&P 500 index declined Tuesday from a record high after U.S. retail sales in July were weaker than expected.

Investors watched for the Fed's release Wednesday of minutes from its July policy meeting for an update on when the central bank might start reducing bond purchases that pump money into the financial system and might look at raising interest rates.

Some Fed officials, citing strong hiring growth and rising inflation, say policy normalization should start soon. Others argue the Fed needs to see stronger economic data to be sure a recovery is established.

“Overall, there seems to be an absence of positive catalysts to boost sentiments,” said Yeap Jun Rong of IG in a report. “Market sentiments may thus largely remain on hold, with the upcoming Fed minutes on watch next.”

Also Wednesday, Japan reported July exports were flat.

The Shanghai Composite Index gained 0.9% to 3,487.44 and the Nikkei 225 in Tokyo added 0.6% to 27,671.57. The Hang Seng in Hong Kong was 0.7% higher at 26,025.14.

The Kospi in South Korea advanced 0.6% to 3,175.88 and Sydney's S&P-500 lost 0.1% to 7,532.90.

India's Sensex opened up 0.2% at 56,118.57. New Zealand and Southeast Asian markets advanced.

On Wall Street, the S&P 500 lost 0.7% to 4,448.08 for its biggest decline in four weeks amid signs the coronavirus is holding back the U.S. economy.

The Dow Jones Industrial Average lost 0.8% to 35,343.28. The Nasdaq composite dropped 0.9% to 14,656.18.

Technology and consumer-oriented stocks declined as concern about...