Asian Stocks Mixed: Fed’s Final Interest Rate Decision Ahead

Asian Stocks Mixed: Fed’s Final Interest Rate Decision Ahead

On Wednesday, major Asian markets were mixed ahead of the United States Federal Reserve’s interest rate decision due later in the day stateside. For example, mainland Chinese stocks ended their trading day mixed.

Shanghai composite added 0.24% to about 2,924.42. Hong Kong’s Hang Seng index also advanced around 0.8%, as of its final hour of trading. On the other hand, the Shenzhen component lost 0.64% to 9,852.71. The Shenzhen composite dropped 0.445% to around 1,639.50, as well.

In Japan, the Nikkei 225 slipped to end its trading day at 23,391.86. The Topix index also declined 0.34% closing at 1,714.95. On the other hand, South Korea’s Kospi ended the trading day at 2,105.62 or 0.36% higher.

Also, Australia’s S&P/ASX 200 added 0.68% closing at 6,752.60.

As a result, MSCI’s broadest index of Asia-Pacific shares outside Japan was 0.51% higher.

U.S.-China Trade Development and Stock Market on Nearing Tariff Deadline

US-ChinaInvestors awaited the Fed’s final interest rate decision for the year. According to senior currency strategist at Commonwealth Bank of Australia Joseph Capurso, they expect the Federal Open Market Committee to leave the Fed funds rate unchanged.

Meanwhile, developments in the U.S.-China trade war will be watched. As Sunday moves closer, more tariffs on Chinese exports to the United States are set to kick in. That comes as markets have been expecting a “phase one deal” to be reached between the USA and China.

According to the Tuesday report, Washington plans to delay slapping Beijing with additional tariffs as both sides try to work out the agreement.

Meanwhile, stocks on Wall Street dipped overnight. The Dow Jones Industrial Average ended its trading day 27.88 points lower at 27,881.72. The S&P 500 lost 0.1% as well, closing at 3,132.52. The Nasdaq Composite also dipped 0.1% to end at 8,616.18.

The USD index was last at 97.534 after seeing an earlier drop at 97.483 while the Japanese yen traded at 108.72 per dollar after weakening from levels below 108.6.