Asian Stocks Follow U.S. Market Lower as Washington Sets Tone
- Investors react to Fed signals on shrinking balance sheet
- At least ten subgroups of MSCI Asia Pacific Index decline
The Fed’s Communication Challenge on the Balance Sheet
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Asian stocks followed the tone set for equities in Washington by the release of the Federal Reserve’s meeting minutes.
Benchmarks in Sydney, Tokyo and Hong Kong fell after U.S. shares were whipsawed by commentary that Fed officials considered stocks prices to be “quite high” and by a potential delay in tax reform. The MSCI Asia Pacific Index fell 0.8 percent to 146.23 as of 4:26 p.m. in Hong Kong as 10 groups declined.