Asian stocks shrug off Wall St weakness but growth concerns remain

MSCI`s broadest index of Asia-Pacific shares outside Japan rose 0.35%, Australian shares were up 0.33%, and Seoul and Taiwan both ticked upwards 0.61% and 0.2%.

Hong Kong`s, Shanghai`s and China`s CSI300 indexes opened marginally higher: Reuters

Asia stocks opened mostly in positive territory on Wednesday even as global growth concerns and weak U.S. economic data weighed on Wall Street overnight.

MSCI`s broadest index of Asia-Pacific shares outside Japan rose 0.35%, Australian shares were up 0.33%, and Seoul and Taiwan both ticked upwards 0.61% and 0.2%.

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Hong Kong`s, Shanghai`s and China`s CSI300 indexes opened marginally higher while Japan`s Nikkei share average was down 0.18%.

On Wall Street, the Nasdaq Composite dropped 2.35% and the S&P 500 lost 0.81% as worries returned over surging global inflation cornering central banks into aggressive rate hikes, thereby slowing growth.

"The Fed`s problem right now is that plenty of soft indicators and surveys are pointing to a slowdown," Steve Englander of Standard Chartered Bank said.

"While hard data on activity and inflation do not suggest an imminent slowdown, it is hard to ignore a day when the S&P services PMI, new home sales, and Richmond Fed index all come in below the lowest expectation."

New home sales in the U.S. fell 16.6% month-on-month in April, the largest decline in nine years, sending U.S. Treasuries yields down to one-month lows as investors turned once again to safety. The benchmark 10-year note was at 2.768% and the two-year yield fell to 2.464%, the lowest since April 19, before rising back to 2.483%.

Gold prices also held their ground at $1,865.39 per ounce, having risen to their highest in two weeks on Tuesday as the safe-haven metal`s appeal was lifted by a weaker U.S. dollar and lower Treasury yields.

Oil prices climbed on the prospect of tight supplies U.S. crude futures stood at $110.45 a barrel, and Brent rose to $114.22.

Social media stocks were left in particularly bad shape on Wall Street after a profit warning from Snap sent its shares plunging 43%.

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