Japan's Nikkei 225 (N225) fell 1.3%, South Korea's Kospi Index (KOSPI) edged down 0.2% and Australia's S&P/ASX 200 fell about 1.1%. Hong Kong's Hang Sang Index (HSI) dipped 0.9% in early morning trade, while China's Shanghai Composite Index (SHCOMP) opened down about 1%.
"Investors will still need to adjust their expectations on corporate earnings in the next 6-12 months and this could be a source of equity market volatility, as we've seen in the [United States] and Europe," said Tai Hui, chief market strategist for Asia at J.P. Morgan Asset Management.
Growth in Asia is expected to stall at 0% this year, according to the International Monetary Fund.
"This is the worst growth performance in almost 60 years, including during the Global Financial Crisis and the Asian Financial Crisis," Chang Yong Rhee, Director of the IMF's Asia and Pacific Department, said in a blog post dated Wednesday.
US stock futures were down in after-hours trading after the Dow and S&P on Wednesday logged their worst trading day since April 1.
Dow (INDU) futures were down 117 points, or about 0.5%. S&P 500 (SPX) futures were down about 0.5% and Nasdaq (COMP) futures were down about 0.5%.
Stocks plummeted on Wednesday following a plethora of negative economic data and weak earnings.
The Dow dipped 445 points, or 1.9%. The S&P dropped 2.2% and the Nasdaq dropped 1.4%, paring its longest four-day winning streak since early February. Both the Dow and S&P 500 logged its worst day since April 1.
Bank of America (BAC) and Citigroup (C) saw weak bank earnings as they prepare for loan defaults incurred from the pandemic. Bank of America's first quarter profits dropped by 45%. The bank announced on Wednesday it has set aside $4.8 billion for credit losses linked to the virus.
Economic data released on Wednesday also saw sharp declines. Retail sales in March tumbled 8.7%, the worst monthly decline since the department began tracking data in 1992. Thursday's weekly jobless claims report is expected to post another 5.1 million people — in the week ending April 11 — who have filed for unemployment benefits.
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April 16, 2020 at 09:45AM
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Asian stocks sink as investors brace for the lowest growth since the 1960s - CNN
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