Asian Stock Market: Trades mixed after China tech crackdown and risk-off mood
- Asian stocks trades mixed on Monday as investors turn pessimistic after the Chinese technology sector crackdown.
- US Treasuries inch lower ahead of the Fed’s two-day policy meeting this week.
- Beijing imposed sanctions on seven Americans ahead of the bilateral talks.
Asia-pacific stock trades mixed on Monday following diverging from the fresh record highs on Wall Street.
Market participants remained cautious as a technology-sector crackdown in China keeps the investors' nerves in check.
MSCI’s broadest index of Asia-pacific shares outside Japan fell 1.14%.
Japan’s Nikkei 225 gained 1.22% in Monday morning trade as traders returned from long holidays. The manufacturing sector in Japan grew the least in the last five month in July.
Hong Kong’s Hang Seng Index lost 2.59%, while Hong Kong-listed shares of Chinese tech giant Tencent slipped 4.52% on Monday.
China’s antitrust regulator ordered Tencent to surrender its exclusive music licensing rights and slapped a fine on it for anti-competitive behavior
The Shanghai Composite fell 1.32% after China released plans to reform the $100 billion education sector.
Meanwhile, investors keep their eyes on US-China bilateral talks. Tensions with the US were also high as US Deputy Secretary of State Wendy Sherman and Chinese Foreign Minister Wang Yi held their first high-level talks since March 2021.