Asian shares fall, but tighter Central Bank monetary policy boosts sentiment on Investing.com

Author: Gina Lee

Investing.com – Asia Pacific stocks fell mostly on Friday morning, although recent central bank tight monetary policies have boosted investor sentiment.

Japan fell 0.80% to 21:19 ET (2:19 GMT), while South Korea fell 0.12%.

In Australia, an increase of 0.70%.

Hong Kong fell 0.60%.

China fell by 0.55% and 0.53%.

Central banks around the world are tightening their monetary settings to reduce high inflation, while at the same time controlling the impact of the omicron COVID-19 variant.

The U.S. Federal Reserve accelerated the pace of its asset reduction program by forecasting three-quarter rate hikes in 2022, another three in 2023 and another two in 2024, as it made its policy decision on Wednesday.

Some investors are now warning that global stocks could be tougher patches after nearly doubling the COVID-19 low.

“The cycle you’re seeing here is really about a change of tone, a change of regime, about the possibility of a tighter policy in 2022, not only in the Fed but also around the world,” said BNY Mellon (NYSE 🙂 Wealth Management and Alicia Levine. He told Bloomberg.

In an unexpected move, the interest rate rose to 0.25% on Thursday. The one who gave his policy on the same day pushed for the purchase of regular monthly bonds for a temporary year.

In Asia Pacific, he will make his monetary policy decision later.

Meanwhile, the U.S. Senate did not approve a $ 2 trillion bill for President Joe Biden’s economic agenda, and measures on the tax and spending bill were postponed to January 2022.

However, China passed a law banning property in the Xinjiang region of China unless it is proven that it was not done with forced labor. The U.S. added 34 Chinese targets to its list of banned entities.

According to U.S. data, the forecast for the week was more than $ 206,000, and construction permits in November were $ 1,712 million. It was 57.8 and 57.5 for December.

Investors are facing a quarterly revaluation of the S&P Dow Jones Indices, which will take effect after the markets close on Friday. It’s also a “quadruple witch” day in U.S. markets when index and stock options and futures expire.