Asian tech and real estate stocks feel the nervousness after Wall Street liquidation



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Japan’s benchmark Nikkei (N225) slipped as high as 3.5%, taking the drop from recent highs to 10%, which briefly put the market in a correction. He then reduced the losses to 2.5%. Fast retail (FRCOF) sank 6.6%. Z Holdings, which owns Yahoo Japan (YAHOF), lost 5.8%.
South Korea Kospi (KOSPI) fell 1.7% and is expected to record its biggest drop in nearly two months.
that of Hong Kong Hang Seng Index (HSI) lost as much as 1.4% earlier in the morning, with tech and real estate stocks the worst performing. But it reversed the losses and rose 0.3%, as energy stocks surged, offsetting losses in other sectors.
The Hang Seng Technology Index underperformed, down 0.2%. Ali Baba (BABA) fell 1.6% to its lowest level since its initial public offering in Hong Kong two years ago.
Real estate stocks have also fallen sharply in Hong Kong amid Evergrande’s trading halt, as contagion fears grow that Evergrande’s debt problems could spread to the entire Chinese real estate sector. .
5 things to know about the Evergrande crisis: a simple failure

Fantasia Holdings, a Chinese real estate developer, announced Monday night that it had missed payment on a maturing bond. The company’s shares were halted on Tuesday.

Country Garden Holdings, China’s second-largest developer in terms of sales, lost 2.6%.

Its property management unit – Country Garden Services – fell 2.8% separately, after the company said Fantasia failed to repay a loan to the business and Fantasia was “likely” to default .

Concerns over Evergrande’s debt problems rocked Hong Kong stocks on Monday, after the real estate giant was suspended from operations, pending an announcement of a major transaction. The company has missed at least two bond interest payments in recent weeks.

Overnight, the US market closed sharply lower as investors grappled with concerns about inflation and the debt ceiling. Tech stocks led the losses as the Nasdaq Composite (COMP) fell the most among the major indices with a decline of 2.1%. Facebook (FB) lost nearly 5% following a failure on its platforms. Company services began to return later in the day.

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