Stocks mostly fall on interest rate concerns, China cuts LPR

Most stocks in the Asia-Pacific region fell on Monday as worries about Fed hikes returned, but Chinese markets rose after China lowered lending rates.

The Shanghai boat It was 0.61% higher at 3277.79 and Shenzhen Component Gain 1.19% to 12505.68.

China’s central bank cut its one-year benchmark lending rate by 5 basis points to 3.65% and the five-year benchmark rate by 15 basis points to 4.3%.

“We believe the asymmetric cuts … are intended to support long-term borrowing especially mortgages, as public credit supply remains plentiful while credit demand slows,” analysts said in a Goldman Sachs Economic Research note on Monday.

Elsewhere in Asia, Hong Kong Hang Seng Index It fell 0.6% in the last hour of trading.

The Nikkei 225 In Japan trimmed some losses but fell 0.47% to 28794.5 and Topix fell 0.1% to 1,992.59.

South Korea Cosby The KOSDAQ Index lost 1.21% to 2462.5, and the KOSDAQ Index lost 2.25% to 795.87.

The S & P / ASX 200 In Australia it fell 0.95% to end the session at 7046.9.

MSCI’s broadest index of Asia Pacific shares outside Japan was 0.95% lower.

“Fed speakers have recently been emphasizing the message that more rate hikes are coming as the fight against inflation has not yet been won,” Rodrigo Cattrell, a currency analyst at National Australia Bank, wrote in a note on Monday.

Investors are looking forward to the Federal Reserve’s annual Jackson Hole Economic Symposium that begins Thursday in the United States.