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Asia stocks slip on U.S. data; Nikkei drops 1.48%

Published 02/24/2010, 02:59 AM

Investing.com - Most Asian stock markets slipped on Wednesday, following losses on Wall Street in the wake of disappointing data on U.S. consumer confidence and German business sentiment. 

Shortly before the start of the European trading session, South Korea's Kospi Composite Index shed 0.99%; Australia's S&P/ASX 200 Index dropped 1.48%; Japan’s Nikkei 225 Index slid 1.48%; and Hong Kong's Hang Seng Index was down 0.64%. 

But the Shanghai Composite Index bucked the trend, rising 1.33%. 

On Tuesday, a private report by an industry group showed that consumer confidence in the United States had plummeted to a 10-month low in February, far further than expected. The key Ifo German business climate index, meanwhile, unexpectedly dropped, also fueling fears about the strength of the global recovery. 

Meanwhile, the outlook for U.S. markets was rosy: Dow Jones Industrial Average futures indicated a rise of 0.31%, S&P 500 futures pointed to an increase of 0.32% and Nasdaq 100 futures indicated a rise of 0.48%. 

Also Wednesday, investors awaited Federal Reserve Chairman Ben Bernanke's testimony before the financial committee of the House of Representatives. 

The Fed chief was expected shed light on the central bank's sudden decision on Friday to hike an emergency bank-lending rate, which triggered speculation on monetary tightening.

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