On Monday, the Nikkei 225 index opened down 1.58% at 28506.84. South Korea's KOSPI index opened down 0.94% at 3237.06. Australia's S&P/ASX 200 index opened down 1.2 per cent at 7283.60. The Fed's hawkish stance sent the S & P 500 down last week, with the S & P 500 down 1.9% for the week, its biggest weekly decline since February.
Us stocks fell for the fourth day in a row on Friday as the S & P 500 had its worst week since February as the Fed's unexpected hawkish attitude subverted the reflation trading that dominated the market this year.
Dow Jones, which is mainly composed of value stocksThe index fell more than the S & P 500 as investors exited with economic growth andTransactions related to inflation expectations. AppleLarge technology stocks, which are usually seen as safe havens, also fell on Friday, NASDAQ.The 100 index fell back from its all-time high.
St. Louis Fed President James Bullard said on CNBC that the Fed has begun to discuss scaling back its bond purchases.
"at some point you will find that the hawkish Fed is bad for all sectors, including technology stocks," said Giorgio Caputo, a senior fund manager at JO Hambro Capital Management.
By the close, the s & p 500 was down 1.3% at 4166.45. The Dow Jones industrial average fell 1.6% to 33290.08, falling for the fifth day in a row, the longest losing streak since Jan. 27. The Nasdaq composite index fell 0.9% to 14030.38. The Nasdaq 100 index fell 0.8% to 14049.58. The Russell 2000 index fell 2.2% to 2237.745.
Market analysis: the Fed's hawkish stance makes the S & P 500 index suffer its biggest weekly decline since February
Reflation trading, which dominated the market this year and helped propel the US stock market to record highs, has been suspended as traders assess the Fed's unexpected hawkish posture. On Friday, the s & p 500 fell for the fourth day in a row, down 1.9% for the week, its biggest weekly decline since Feb. 26. In this process, the 50-day moving average lost, which is a key technical indicator that some traders attach great importance to. On Monday, the index just hit an all-time high.