Asian Shares Close Mostly Lower Amid Rising Uncertainties in China

Contrary to the overnight pattern established by Wall Street, the main stock markets in Asia-Pacific are trading primarily down on Wednesday. A strong dollar and a minor increase in U.S. Treasury rates are weighing on the markets, even if corporate profits in the United States allayed some growth concerns. Investors are nonetheless concerned about the possibility of a worldwide recession.

Anxious Chinese investors in the midst of the upcoming Party Congress and higher-than-expected UK inflation numbers are two more factors driving the selling pressure.

The Nikkei 225 Index of Japan finished the day at 27257.38, up 101.24 or +0.37%. South Korea's KOSPI Index concluded at 2237.44, down 12.51 or -0.56%, while Hong Kong's Hang Seng Index is now trading at 16588.25, down 326.33 or -1.93%.

The benchmark Shanghai Index is now trading at 2237.4, down 12.51 or -0.56%, while the S&P/ASX 200 Index in Australia closed at 6800.10, up 20.90 or +0.31%.

China, Hong Kong Shares Decline Due to Concern Ahead of Party Congress

Even though a number of state-backed and significant asset managers announced moves to calm the market, China equities dipped on Wednesday as investors remained cautious amid concerns surrounding the Communist Party conference, according to Reuters.

In an effort to restore trust in China's stock market, at least 21 major onshore asset managers, including E Fund Management Co., Invesco Great Wall Fund Management, and Bank of Communications Schroder Fund Management, indicated this week they were spending their own money to acquire assets.