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

Shanghai, Hong Kong, Seoul and Sydney refused. Oil prices fell. Japanese markets are closed for the holiday.

Wall Street’s benchmark S&P 500 index fell for a third day on Thursday after central banks in Britain, Switzerland, Turkey and the Philippines raised rates. The Fed raised the key rate on Wednesday for the fifth time this year and indicated that further increases are expected.

“Global equities are struggling as the world expects rising rates to trigger a major global recession much sooner,” Oanda’s Edward Moya said in a report.

The Shanghai Composite fell 0.3% to 3,098.87, while Hong Kong’s Hang Seng lost 0.3% to 18,085.72. The Kospi in Seoul fell 1.5% to 2,296.39.

Sydney’s S&P-ASX 200 index fell 1.7% to 6,588.10. New Zealand and Southeast Asian markets declined.

The S&P 500 lost 0.8% to 3,757.99. The Dow Jones Industrial Average fell 0.4% to 30,076.68, while the Nasdaq Composite dropped 1.4% to 11,066.81.

The sell-off reflects investor concerns that the Fed and other central banks may be willing to put up with a deep slowdown in economic activity to bring prices under control.

Some point to signs of a cooling US economy as support for the Fed to abandon plans for further rate hikes. But Chairman Jerome Powell said Wednesday that the Fed will keep rates higher for as long as it takes to get inflation back to its 2% target.

US consumer inflation eased to 8.3% in August from a peak of 9.1% the previous month. But core inflation, which excludes changing food and energy prices to give a clearer picture of the trend, rose to 0.6% from the previous month, compared with a 0.3% rise in July. This suggests that upward pressure on prices is still strong.

On Wednesday, the Fed raised its benchmark rate, which affects many consumer and business loans, to a range of 3% to 3.25%. It released a forecast showing the base rate is expected to be 4.4% by the end of the year, a full point higher than expected in June.

Traders are also waiting for the quarterly financial results of major companies.

In energy markets, benchmark US crude lost 21 cents to $83.28 a barrel in electronic trading on the New York Mercantile Exchange. The contract rose 55 cents to $83.49 on Thursday. Brent crude, which is used to measure international oil, fell 28 cents to $89.25 a barrel in London. It rose 63 cents in the previous session to $90.46.

The dollar fell to 142.01 yen from 142.49 yen. The euro fell to 98.28 cents from 98.31 cents.

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