Asian shares slide after Wall Street retreat

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A currency trader walks by a screen showing the Korea Composite Stock Price Index (KOSPI) at the foreign exchange dealing room in Seoul, South Korea, Thursday, June 11, 2020. Asian shares were mostly lower Thursday, with Tokyo dropping more than 1% as the Japanese yen gained after the Federal Reserve said it would keep interest rates low through 2022. (AP Photo/Lee Jin-man)

BANGKOK – Asian shares were mostly lower Thursday, with Tokyo dropping more than 1% as the Japanese yen gained after the Federal Reserve said it would keep interest rates low through 2022.

Asian markets had been expected to fall after the Fed signaled a long path to recovery from the devastation of the coronavirus pandemic.

Overnight, stocks ended a bumpy day mostly lower on Wall Street, though gains for several big technology companies helped push the Nasdaq above 10,000 for the first time. It gained 0.7%, to 10,020.35.

The Fed has cut its benchmark short-term rate to near zero, making the dollar less attractive for investors, as part of a historic effort to counter the economic ravages of the coronavirus pandemic.

Investors tend to seek refuge in the yen in times of financial turmoil, but a strong yen tends to hurt Japan’s major exporters, such as Toyota Motor Corp. and Fast Retailing Co.

Toyota shares fell 1.9% while Fast Retailing's also dropped 1.9% by midday.

The dollar fell to 106.98 Japanese yen from 107.12 yen late Wednesday. The euro rose to $1.1387 from $1.1377.

Japan's benchmark Nikkei 225 lost 1.2% to 22,842.90 and South Korea's Kospi edged 0.2% lower to 2,190.74. Australia's S&P/ASX 200 sank 2.3% to 6,010.20.