Asia, Europe track post-Fed surge on Wall Street, although caution is urgedAFP, HONG KONGShares yesterday slipped in Europe after gains in most Asian markets following a surge on Wall Street fueled by hopes that the US Federal Reserve might slow its pace of inflation-fighting interest rate hikes. The Fed raised its main interest rate by 75 basis points as expected, and reiterated inflation control as its priority. Hong Kong slipped 0.2 percent to 20,622.68, as its de facto central bank followed the Fed in lifting rates owing to its currency peg. There is growing concern that the sharp rise in rates is bearing down on the world’s top economy and could send it into a recession. After a 1.6 percent contraction in the previous three months, another negative reading could put the economy into a technical recession.

Source: Taipei Times July 28, 2022 19:00 UTC