Asian stock markets hit after Nancy Pelosi defied China to visit Taiwan, angering Beijing
Asian markets took a hit after Nancy Pelosi defied China to visit Taiwan.
Beijing stepped up its military activities across the Taiwan Strait in response to the next leg of the US House Speaker’s journey through Asia.
Shares of the Hang Seng in Hong Kong fell 2.4 percent, Japan’s Nikkei fell 1.4 percent and the Chinese index fell 3.2 percent.
Nancy Pelosi’s trip to Taiwan has sparked a diplomatic spat between Beijing and Washington
On Wall Street, the Dow Jones Industrial Average fell 0.7 percent and the S&P 500 fell 0.1 percent in early trading.
Pelosi’s trip to Taiwan has sparked a diplomatic spat between Beijing and Washington. China’s claim that Taiwan — home to more than 23 million people — is part of its territory has been rejected in the West.
Pelosi, 82, will meet with Taiwanese President Tsai Ing-wen tomorrow after becoming the most senior American politician in 25 years.
Michael Hewson of CMC Markets UK said: “Any disruption to Taiwanese trade resulting from these tensions could add to the difficulties already felt in global supply chains.”