Tech Leads Losses Ahead Of FOMC; Hang Seng Resumes Descent

Virtually all Asia-Pac equity indices are in the red at typing, tracking a negative lead from Wall St. on Tuesday, with high-beta tech equities notably struggling ahead of the Fed’s policy decision due later today.

• Equities with exposure to Russia and Ukraine (OK Rusal MKPAO: -3.1%) underperformed following news of Russia moving to annex some occupied Ukrainian territory, noting that the Russian MOEX closed 8.8% softer on Tuesday.
• The Hang Seng trades 1.5% lower, recording fresh six-month lows as progress towards a relaxation of domestic COVID regulations has run up against bearish pressure from China’s prevailing COVID-Zero policy, property woes (Hang Seng Mainland Properties Index: -2.8%), and weakness in richly-valued tech equities amidst worry re: Fed hawkishness (HSTECH: -2.5%).
• The ASX200 is 1.5% worse off at typing on losses across >90% of its constituents. The major miners contributed the most to drag, dealing 2.1-3.8% softer apiece, adding to underperformance in tech (S&P/ASX All Tech Index: -2.1%).
• E-minis trade 0.2% higher apiece at writing, having stuck firmly around the lower end of their respective ranges on Tuesday throughout Asia-Pac dealing.