Equities in Asia declined on Tuesday after stuttering economic growth in China and Europe spurred growing concerns about the future trajectory of global economies. The U.S. dollar was on the rise as investors reflected on the increased likelihood that the Federal Reserve would continue to raise interest rates in September.
Hong Kong’s Hang Seng index declined by 0.56% while China’s benchmark CSI300 Index fell by 0.59% with China’s trade data for August set to be released on Thursday. Analysts are expecting exports and imports to continue declining, albeit at a slowing pace. Japan’s Nikkei 225, in contrast, grew by 0.52%, with energy shares performing amid a slide in crude oil prices.
The U.S. dollar rose to almost a six-month high against a basket of major currencies, with the dollar index standing at 104.768. The euro slid 0.61% against the dollar to $1.0731, while the sterling fell 0.41% against the greenback to $1.262.