On July 26, 2021, individuals gathered in front of an electronic display showcasing the Hang Seng Index in Hong Kong’s Central district, following a significant drop in stocks due to China’s decision to overhaul the private education sector by barring tuition firms from generating profits.
Isaac Lawrence | AFP | Getty Images
On Wednesday, markets across the Asia-Pacific region experienced declines as investors prepared for the impending country-specific tariffs from U.S. President Donald Trump set to take effect at midnight in the U.S.
The S&P/ASX 200 in Australia decreased by 1.06%.
Japan’s Nikkei 225 opened 3.14% lower, while the Topix fell 3.26%. In South Korea, the Kospi dipped 0.18%, and the small-cap Kosdaq fell 0.44%.
In Hong Kong, Hang Seng index futures stood at 19,300, significantly below the previous close of 20,127.68.
New tariffs are set to take effect just after midnight in the U.S., compounding the 10% basic duty already implemented on Saturday. The White House has confirmed that Chinese goods will now incur a total tariff rate of 104%.
Investors are also focused on the Reserve Bank of India’s upcoming decision, with expectations of a second consecutive rate reduction, bringing its policy rate to 6%, as indicated by economists surveyed by Reuters.
In the U.S. overnight, the three major indices closed down. The Dow Jones Industrial Average fell by 320.01 points, or 0.84%, finishing at 37,645.59, marking a cumulative loss exceeding 4,500 points over four days amid tariff concerns. Apple was a major contributor to the losses, as the company’s expenses are poised to increase due to the new tariffs on China.
The S&P 500 decreased by 1.57%, closing at 4,982.77. The index was perilously close to entering bear market territory, down almost 19% since its February all-time high, and concluded below 5,000 for the first time since April 2024. Over the past four trading days, the S&P 500 has fallen more than 12%.
— Report contributions from CNBC’s Hakyung Kim and Sean Conlon.
