Stocks fell broadly in morning trading on Wall Street Monday, adding to their recent losses as the Federal Reserve stays focused on raising interest rates to fight historically hot inflation.
By JOE McDONALD
BEIJING Asian stocks were mixed Tuesday after Wall Street fell following last week’s Federal Reserve pledge to fight inflation by keeping interest rates elevated.
Shanghai and Hong Kong fell while Tokyo and South Korea advanced. Oil prices retreated.
Wall Street’s benchmark S&P 500 index lost 0.7% on Monday, adding to last week’s losses.
Stocks tumbled after Fed chair Jerome Powell indicated Friday the U.S. central bank will stick to a strategy of rate hikes to cool inflation that is running at multi-decade highs. That appeared to quiet speculation the Fed might ease off due to signs economic activity is cooling.
“Markets are still digesting Jay Powell’s hard-hitting message on inflation containment,” said Venkateswaran Lavanya of Mizuho Bank in a report, while the European Central Bank also is giving “more hawkish” signals.
The Shanghai Composite Index lost 0.
