Stocks in Asia exhibited a mixed performance as investors awaited the Federal Reserve’s decision, following fresh peaks in US equities. The yen continued its decline, while Chinese equities saw gains after the country’s banks maintained their benchmark lending rates unchanged.
In Australia, shares slipped, while Japanese markets remained closed for a holiday. European futures and US contracts also fell, paring Tuesday’s gains on Wall Street, where tech giants staged a rebound, led by Nvidia Corp.’s new chips.
Reports that Nvidia Corp. was considering buying Samsung Electronics Co.’s memory chips contributed to the rally in the South Korean market. Meanwhile, Chinese equities recorded gains, indicating a potential base forming around the market following signs of government support this year.
Audrey Goh, the head of asset allocation at Standard Chartered Wealth Management, highlighted the need for additional policy support from the Chinese government to attract investors back to the market.
Traders increased short Treasury bets ahead of the Federal Reserve’s decision, expected later on Wednesday. The central bank is anticipated to maintain rates steady for a fifth consecutive meeting.
Investors are closely monitoring the Fed’s decision for insights into the future pace of rate cuts, which could significantly impact global financial markets.