Asian markets fell again on Wednesday as traders worried about the impact of Donald Trump’s presidency on the Chinese and global economies, and feared his policies could reignite US inflation.

The prospect of further price rises from tax cuts, import tariffs and loosened regulations has given fresh momentum to the dollar, which has rallied since the Republican’s election victory last week .

Traders are also watching bitcoin after it came close to surpassing $90,000 for the first time, although observers are betting it will hit $100,000 due to Trump’s pro-crypto campaign promises.

After an initial rally following the tycoon’s return to the White House, Asian markets fell this week as his cabinet began to emerge.

The appointment of known China hawks to key positions has fueled concerns about a debilitating new trade war between the economic superpowers.

It comes as Beijing struggles to revive growth at home, unveiling a series of measures in late September but leaving traders disappointed with anything new in a highly anticipated announcement on Friday.

Uncertainty over the outlook for 2025 weighed on Asian stocks, with Hong Kong, Shanghai, Tokyo, Sydney, Seoul, Singapore, Taipei, Wellington, Manila and Jakarta all in the red.

The selloff comes after a negative lead from Wall Street, where all three major indexes finished in the red as investors took a breather following a week-long rally to record highs.

Bitcoin was hovering just above $88,404.

The dollar maintained its gains against its peers, after hitting a one-year high against the euro, as it retreated towards 155 yen.

The greenback rose as traders reduced their bets on Federal Reserve interest rate cuts following Trump’s victory, with two cuts through June, compared to four planned before the election, according to Bloomberg.

The focus now shifts to the release of key US consumer price data for October, expected later today, with expectations for a slight rise from the previous month.

This reading will be examined to get an idea of ​​the central bank’s plans for borrowing costs at its new meeting in December.

It cut rates by 25 basis points last week, after lowering them by 50 points in September, the first since the start of the pandemic.

Tokyo – Nikkei 225: DOWN 1.1 percent to 38,953.44

Hong Kong – Hang Seng Index: DOWN 1.1 percent to 19,626.71

Shanghai – Composite: DOWN 0.4 percent to 3,409.38

Dollar/yen: UP to 154.68 yen from 154.59 yen on Monday

Euro/dollar: UP $1.0626 from $1.0625

Pound/dollar: DOWN to $1.2747 from $1.2748

Euro/pound: UP to 83.37 pence from 83.34 pence

West Texas Intermediate: up 0.1% to $68.17 per barrel

Brent from the North Sea: up 0.1% to $71.94 per barrel

New York – Dow Jones: DOWN 0.9 percent to 43,910.98

London – FTSE 100: DOWN 1.2 percent to 8,025.77

Dan/Fox

INDEX CORP.

This article was generated from an automated news agency feed without modification to the text.