The Asian stock market opened up at low notes on Friday morning. This led the stocks to register steep losses for the month. The Asian stock market struggled throughout September pushed lower by hawkish U.S Fed Reserve interest rates and critical inflation. As a result of global central banks amping up their interest rates, several inventors depicted a loss of risk appetite.
The Wall Street index also triggered regional stocks to take a weak lead. Moreover, wary investors caused a slump in overnight trades. The worst performing indexes in the Asian market were the technology laden indexes. The Hang Seng index went down by 14% for the month of September. On the other hand, Taiwan’s Weighted index also dropped 11% this month, in addition to this the South Korean KOSPI also recorded an 11% loss for September.
Japan’s Nikkei 225 traded 2.1% lower on Friday morning, recording an 8% monthly loss. This was an unexpected turn after industrial production and retail sales data from Japan showed improvement. However, despite the improvement in data, it is expected that the weakening Japanese currency and increase in commodity prices will pressure the Japanese economy to slump this year.
Asia’s largest economy also followed the pursuit as China’s major index, Shanghai Shenzhen CSI 300 recorded 0.2% on Friday setting a 7% loss in September. While India’s blue chip Nifty 50 was up by 0.5% after the RBI set a 50 basis points rate hike.