Global Markets:
- Asian Stock Markets : Nikkei down 0.38%, Shanghai Composite up 0.49%, Hang Seng up 2.24% ASX down 0.20%
- Commodities : Gold at $5266.05 (2.82%) Silver at $114.793 (8.35%), Brent Oil at $66.94 (0.53%), WTI Oil at $62.81 (0.67%)
- Rates : US 10-year yield at 4.233, UK 10-year yield at 4.5270, Germany 10-year yield at 2.8713
News & Data:
- (USD) CB Consumer Confidence 84.5 to 90.6 expected
Markets Update:
Asian stock markets are trading mixed on Wednesday as investors remain cautious ahead of the U.S. Federal Reserve’s monetary policy announcement later in the day. While the Fed is widely expected to keep interest rates unchanged, market participants are closely watching the accompanying statement for guidance on the future rate outlook. Sentiment is also being influenced by rising tariff uncertainties and escalating tensions between the U.S. and Iran, which could further strain an already fragile global economy. Asian markets had closed mostly higher in the previous session.
Australian equities are modestly lower, snapping a three-day winning streak, after initially opening in positive territory. Gains in gold miners and energy stocks, supported by higher commodity prices, are being offset by weakness in financial and technology shares. The S&P/ASX 200 is trading below the 8,950 level, while the broader All Ordinaries index is also lower. Mining majors are mixed, oil stocks are mostly higher, and technology shares are under pressure. Meanwhile, Australia’s annual inflation rose to 3.8 percent in December, exceeding expectations and remaining above the Reserve Bank of Australia’s target range.
Japanese markets are notably weaker, reversing Tuesday’s gains, amid losses in index heavyweights, exporters, and financial stocks. The Nikkei 225 has slipped below the 53,050 level. Bank of Japan meeting minutes indicated a moderate economic recovery, though some weakness persists, following a recent rate hike.
Elsewhere in Asia, markets are mostly mixed, while Wall Street ended Tuesday with gains in the Nasdaq and S&P 500, offset by a sharp decline in the Dow. Rising geopolitical tensions pushed crude oil prices sharply higher.
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