Asian Stocks Decline as Korean Shares Fall, Investors Weigh ECB
- Kospi slumps by most in two months after North Korea nuke test
- Hong Kong equities jump to one-year high on Chinese buying
Should Markets Brace for Rising Rates Imminently?
Asian stocks fell as investors weighed the outlook for monetary policy in the U.S. and Japan after the European Central Bank downplayed the need for more economic stimulus. South Korean shares dropped after a nuclear weapons test in North Korea.
The MSCI Asia Pacific Index dropped 0.9 percent to 140.77 as of 4:28 p.m. in Hong Kong. The measure is heading for a 1.9 percent advance this week as traders pared bets the Federal Reserve will raise rates at its September meeting while speculation swirled over whether the Bank of Japan will add to already record stimulus. Shares in the U.S. and Europe fell Thursday after ECB chief Mario Draghi played down the prospect of an increase in asset purchases at a time when concern over the impact of Brexit on the euro area is mounting.