It took almost 110 days, but the S&P 500 has finally fallen more than 1 per cent — and not a few Asia Pacific equities look primed to follow suit.
The S&P 500 index dropped 1.2 per cent to 2,344 on Tuesday in New York, the steepest sell-off since October as a bout of bearishness snapped a streak of 109 days in which the benchmark did not close lower by more than 1 per cent.
Investors have become more skittish over US government policy as the Trump administration faces a tougher time than some had expected in attempting to pass legislation that repeals the Obamacare reform.
In Sydney, the S&P/ASX 200 index is off 0.3 per cent in early trading, while futures tip Japan’s Topix index to drop 1.5 per cent at the open and in Hong Kong the Hang Seng is expected to fall 0.8 per cent when trading starts.
Corporate earnings reports out today include CK Hutchison, Cheung Kong Property, Tencent Holdings, Ping An Insurance, Haier Electronics, BOC Aviation and Geely Automobile.
The economic calendar for Wednesday just wants to have fun (all times Hong Kong):
- 07.50: Japan imports, exports and trade balance; Bank of Japan meeting minutes
- 08.30: Taiwan unemployment rate
- 11.30: Thailand customs-based imports, exports and trade balance
- 15.00: Malaysia foreign exchange reserves