Asia-Pacific markets fell on Wednesday as worries about the state of the global economy sharpened ahead of the US Federal Reserve’s meeting, which is widely expected to result in a further cut in interest rates. Markets had started mildly higher, tracking Wall Streets gains overnight but the mood changed sharply as the day progressed.

South Korea led the region’s decline by closing 3 per cent lower after investment bank Macquarie said orders for new vessels from the country’s shipyards would slow. Hong Kong ended down 2.6 per cent and Singapore’s Straits Times index closed 1.6 per cent lower at 3,000.03. Shanghai dropped 0.9 per cent to its lowest since early August as heavy snow continued to disrupt China.