Asian stocks ended mixed on Wednesday following a mixed session overnight on Wall Street as well. Trade war worries persisted as United States President Donald Trump repeated his intention to impose tariffs on $267 billion worth of additional Chinese imports if Beijing retaliates for the last batch of duties from Washington.
Trump also said that he did not like the Federal Reserve's decision to continue hiking interest rates.
The U.S. central bank last raised its benchmark interest rate by a quarter point to 2 to 2.25 percent last month, marking the third rate hike this year, while raising its expectations for economic growth for this year and next.
European markets ended the trading session firmly in negative territory as an IMF report which lowered its global gross domestic product forecast for both this year and next weighed on investor sentiment. Tech and mining stocks led the losses.
Traders also kept a close eye on developments around Brexit as media reports suggested that a divorce deal could come as early as next week.
Across the Atlantic, US markets suffered the worst selloff since February, as concerns around rising rates continued to batter markets following a recent increase in treasury yields.
The CBOE Volatility Index, the most widely watched measure of investor fear, leaped about 44 percent to 22.96 — its highest level since the beginning of April.
Meanwhile, Trump described the stock selloff as “a correction we've been waiting for for a long time” but attributed the losses to the "crazy" policies of the Federal Reserve. "I think the Fed is making a mistake. They are so tight. I think the Fed has gone crazy," he said after walking off Air Force One in Erie, Pennsylvania for a rally. Trump does not want to see Fed policy lead to a slowdown in recent economic growth.
World Markets Headlines Today
Hong Kong shares poised to snap six-day losing streak (Nikkei Asian Review)
India: Sensex surges 400 points, Nifty reclaims 10,400 (Mint)
Australia: ASX posts modest gains (Australian Business Review)
European Shares Set To Open Lower On Growth Worries (RTT News)
European stocks open mixed amid political uncertainty in Italy (CNBC)
Stocks Sink the Most Since June (Bloomberg)
Dow skids 400 points, Nasdaq nearly 200; S&P risks longest losing streak in 2 years (Marketwatch)
Dow Posts Steep Losses, Nasdaq Down 2% as Tech Slides (The Street)
Gold steady as dollar takes a breather, Oil dips as IMF lowers global growth outlook; eyes on US hurricane (Reuters)
All Continents Stock Indices Closing Prices
Japan's Nikkei added 0.16% and Hong Kong's Hang Seng was up 0.08%
China's Shanghai Composite rose 0.18% while Shenzhen's Composite dropped 0.41%. Mumbai's Sensex increased 1.35% while Nifty 50 was higher by 1.54%. Australia's ASX200 climbed 0.14%. Singapore's STI was down 1.11%. Jakarta's Composite rose 0.41%. Thailand's SET grew 1.47%. Kuala Lumpur's KLCI plunged 2.20%.
The Paneuropean STOXX600 was lower by 1.61%. France's CAC slipped 2.11%. London's FTSE slid 1.27% and Amsterdam's AEX dropped 1.66%. Belgium's BEL 20 declined 2.13%. Lisbon's PSI20 moved downward 2.19% while Spain's IBEX 35 was off 1.05%. Italy's FTSE MIB decreased 1.06%.
In Russia, Moscow's IMOEX lost 1.07%. In Scandinavia, Stockholm's OMXS30 was off 1.81% while Copenhagen's OMXC25 plunged 2.25%. Helsinki's OMXHPI fell 1.88%.
In Central Eastern Europe, Budapest's BUX was lower by 0.78% while Warsaw's WIG was down 1.85%. Prague's PX rose 0.13%. Bratislava's SAX was off 0.82%. Tallinn's OMXT was higher by 1.22% and Riga's OMXR slid 0.15%. In Vilnius, the OMXV dropped 0.18%.
In Southeastern Europe, Bucharest's BET was off 0.67%. Sofia's Sofix ticked up 0.05%. Belgrade's Belex15 was up 0.24%. Podgorica's MNSE10 was higher by 1.23%. Sarajevo's SASX10 grew 0.18% while Banja Luka's BIRS decreased 0.26%. Ljubljana's SBI Top was down 0.79%. Zagreb's CROBEX moved downward 0.28%. In Skopje, the MBI10 climbed 1.57%. Istanbul's BIST 100 finished the day 2.37% in the hole. In Athens the General Index ticked down 0.05% while in Nicosia dropped 0.17%.
Dar Es Salaam's ASI gained 0.83% and Egypt's EGX30 added 0.24%. Nigeria's ASI was lower by 0.11%. In Mauritius, the ASI decreased 0.23%. Uganda's ASI fell 1.35% and Zimbabwe's Industrial Index surged 15.96%.
In the U.S., the Dow Jones plunged 3.15% and the S&P 500 tumbled 3.29%. The Nasdaq sank 4.08%. Canada's S&P/TSX Composite fell 2.12%. Brazil's Bovespa rose 1.65% while Mexico's IPC was off 0.76%. Chile's IPSA was down 1.42%.