Global Markets React to U.S. Credit Downgrade with Mixed Results

Asia-Pacific markets were mixed as Wall Street experienced a sell-off following the downgrade of the United States' credit rating. Hong Kong's Hang Seng index dropped, while mainland Chinese markets rebounded. Japan's Nikkei 225 tumbled, leading losses in the region. South Korea's Kospi fell, but the Kosdaq rose. Australia's S&P/ASX 200 slid as the country's trade balance came in above expectations. In other news, Nintendo reported a surge in quarterly profits, and AMD sees India as crucial for its product development. China's services sector expanded for the seventh consecutive month, while Hong Kong's business activity contracted for the first time in 2023. Additionally, the cost of hedging against a market downturn is at a 15-year low, and Kakao's net profit slumped in the second quarter.