Asian stocks slide for 3rd day on economic growth fears

BEIJING (AP) — Asian stocks fell for a third day Friday after more rate hikes by the Federal Reserve and other central banks to control persistent inflation spurred fears of a possible global recession.

Shanghai, Hong Kong, Seoul and Sydney declined. Oil prices edged lower. Japanese markets were closed for a holiday.

Wall Street's benchmark S&P 500 index fell Thursday for a third day after rate hikes by central banks in Britain, Switzerland, Turkey and the Philippines. The Fed hiked its key rate on Wednesday for a fifth time this year and indicated more rises were on the way.

“Global equities are struggling as the world anticipates surging rates will trigger a much sooner and possibly severe global recession,” Edward Moya of Oanda said in a report.

The Shanghai Composite Index lost less than 0.1% to 3,107.88 and Hong Kong's Hang Seng sank 0.4% to 18,064.67. The Kospi in Seoul tumbled 1.8% to 2,290.54.

Sydney's S&P-ASX 200 fell 2% to 6,567.30 and India's Sensex opened down 1.1% at 58,467.75. New Zealand and Southeast Asian markets declined.

The S&P 500 lost 0.8% on Thursday to 3,757.99. The Dow Jones Industrial Average fell 0.4% to 30,076.68 and the Nasdaq composite slid 1.4% to 11,066.81.

Also Friday, Vietnam’s central bank raised a key lending rate by a full 1 percentage point, surprising forecasters. The State Bank of Vietnam appeared to be trying to cool inflation while also discouraging a capital outflow in search of higher interest rates abroad.

Investors fear the Fed and other central banks might be willing to tolerate a painful slump in economic activity to get prices under control.

Some point to signs the U.S. economy is cooling as support for the Fed to back off plans for more rate hikes. But chair Jerome Powell said Wednesday the Fed will keep...