Tokyo, Japan (BBN)-Asian markets traded lower on Thursday with investor sentiment dented by weaker than expected growth in the world’s largest economy- the US.
The US economy grew at an annual rate of 0.2% in the first three months of the year, far lower than forecasts, reports BBC.
The US Federal Reserve also kept interest rates at a record low, blaming the slower growth on “transitory factors”.
Japan’s Nikkei 225 was down 1.8% to 19,696.19, leading the region’s losses.
Shares in Honda fell 6.7% after it announced a fall in profit for the fiscal year to March, as it deals with recalls due to exploding air-bags.
Drug maker Takeda shares fell 3.6% after it warned it would make a loss because of a $2.4bn US legal settlement linked to its Actos diabetes drug.
Chinese shares headed in opposite directions with Hong Kong’s Hang Seng index down 0.5% to 28,264.89, while the Shanghai Composite was up 0.5% to 4,497.19.
Shares of AAC Technologies in Hong Kong fell 8% after a report in the Wall Street Journal that the Apple Watch had key defective component supplied by the Chinese company.
In Australia, the benchmark S&P/ASX 200 was down 0.6% to 5,803.2.
Bucking the trend were shares of Ten Network, up 1.2% despite its warning that the broadcaster may not survive an unexpected fall in advertising revenue.
South Korea’s benchmark Kospi index was down 0.5% to 2,132.91.
Government data showed that the country’s industrial output fell by a seasonally adjusted 0.4% in March from February – missing market expectations.