Investing.com– Most Asian stocks retreated on Wednesday with focus turning to key U.S. economic data for more cues on interest rates, while Chinese markets rose despite heightened concerns over U.S. trade tariffs.
Regional markets mostly ducked a positive lead-in from Wall Street, where strength in technology stocks saw the S&P 500 and Dow Jones Industrial Average hit record highs despite threats of increased trade tariffs from President-elect Donald Trump.
U.S. stock index futures were steady in Asian trade, with focus turning to upcoming PCE price index data, due later on Wednesday. The reading is the Fed’s preferred inflation gauge, and comes after the minutes of the central bank’s November meeting showed policymakers split over plans for future rate cuts.
A revised reading on third-quarter U.S. gross domestic product data is also due later on Wednesday.
Broader market sentiment remained cautious after Trump announced plans to impose more import tariffs on China, Mexico, and Canada. Analysts noted that these tariffs could dampen recovery prospects for export-driven economies in Asia.
Japan’s Nikkei 225 index fell 0.6%, while the TOPIX slid 1%.
South Korea’s KOSPI edged 0.2% lower, while Thailand’s SET Index dropped 0.4%.
The Philippines’ PSEi Composite index declined 0.8%, while futures pointed to a muted start for India’s Nifty 50.
In Australia, the S&P/ASX 200 rose 0.7%, driven by mining and financial stocks, benefiting from steady commodity prices. The index was hovering near a record hit hit on Monday.
Data showed that Australia’s consumer price inflation rate stayed at a three-year low in October as government rebates drove electricity and rent prices down, though core inflation picked up in a sign of lingering cost pressures.
