Asian Stocks Trade Mixed Ahead of Fed Verdict
The stocks on the Asian bourses remains on the back foot and trade mixed
this Wednesday, as traders turn cautious heading towards the key FOMC
policy decision. Although its widely expected that the Fed may remain on
hold this week, the wordings in the accompanying statement will be
closely eyed for fresh hints on the rate hike prospects at its June
meeting.
Meanwhile, markets ignored the strong rebound staged by
the oil prices in the overnight trades following the release of bullish
API weekly inventory report.
Australian stocks buck the trend
The
Japanese stocks extend the previous decline as wide-spread cautiousness
ahead of the Fed and BOJ policy decisions; keep the demand for the
safe-haven JPY underpinned. The Japanese benchmark index, the Nikkei 225 now drops -0.53% to 17,266 points, while USD/JPY trades at 111.20, down -0.12% so far.
The
Chinese equities attempt a tepid bounce and trade marginally higher,
with the benchmark Shanghai Composite index muted around 2,965 points,
the CSI300 index trades marginally higher around to 3,183. Hong Kong’s
Hang Seng trades -0.06% to 21,390 levels.
While the Australian
indices outperforming their Asian counterparts, on the back of
increasing RBA rate cut expectations, especially after the Australian
CPI figures surprised markets to the downside. Australia’s ASX 200 index
jumps +1% to 5,271.
