Skip to Content

Asian stocks slump after Fed says US rates will rise ‘soon’

KVIA

By JOE McDONALD
AP Business Writer

BEIJING (AP) — Asian stock markets have tumbled by unusually wide margins after the Federal Reserve indicated it plans to start raising interest rates soon to cool inflation. Market benchmarks in Tokyo and Hong Kong fell by more than 2%. Seoul and Sydney sank nearly 3%. Wall Street’s benchmark S&P 500 index lost 0.1% after a Fed statement said the U.S. central bank “expects it will soon be appropriate” to raise rates. Investors expect as many as four rate hikes this year, starting in March. The Fed also said monthly bond purchases that push down long-term rates by injecting money into the financial system would be phased out in March.

Article Topic Follows: AP National Business

Jump to comments ↓

Associated Press

BE PART OF THE CONVERSATION

KVIA ABC 7 is committed to providing a forum for civil and constructive conversation.

Please keep your comments respectful and relevant. You can review our Community Guidelines by clicking here

If you would like to share a story idea, please submit it here.

Skip to content