Asian stocks mixed after Wall St falls on rate hike worries
Asian stocks are mixed after a Federal Reserve official suggested U.S. interest rates might have to be raised higher than expected to cool inflation
BEIJING (AP) — Asian stocks were mixed Friday after a Federal Reserve official suggested U.S. interest rates might have to be raised higher than expected to cool inflation.
Shanghai and Hong Kong gained while Tokyo declined. Oil prices gained.
Wall Street's benchmark S&P 500 index lost 0.3% on Thursday after a Fed official indicated the U.S. central bank might need to raise its key lending rate as high as almost double its already elevated level to rein in price increases. Officials warned previously that rates might have to be kept high for an extended period, but traders hoped signs of slowing economic activity might cause the Fed to back off those plans.
Traders worry unusually large rate hikes this year by the Fed and central banks in Europe and Asia to stop inflation that is at multi-decade highs might tip the global economy into recession.
