Asian stocks fell in muted trading on Wednesday as investors looked ahead to the Federal Reserve’s monetary policy announcement due out later in the day.
With bond markets flagging the threat of inflation, market participants are looking for the central bank’s forecasts for the economy, inflation and interest rates.
Chinese and Hong Kong shares ended on a flat note as the U.S. sanctioned an additional 24 Chinese and Hong Kong officials over Beijing’s ongoing crackdown on political freedoms in the semi-autonomous city.
China’s benchmark Shanghai Composite Index finished marginally lower at 3,445.55, while Hong Kong’s Hang Seng Index ended marginally higher at 29,034.12.
Japanese shares ended a choppy session little changed after trade data for February showed the country’s exports dropped 4.5 percent year-on-year in February.
The Nikkei 225 Index slipped 6.76 points to 29,914.33, while the broader Topix closed 0.1 percent higher at 1,984.03.
Market heavyweight SoftBank Group fell over 2 percent, while Uniqlo operator Fast Retailing gained 0.9 percent. Automakers Honda Motor, Nissan and Mitsubishi Motors ended down 1-2 percent.
Shares of Tokyo Electric Power Co. Holdings plunged 10.2 percent after Japan’s atomic regulator found safety breaches at the company’s Kashiwazaki Kariwa station.
Australian markets ended lower to snap a three-day winning streak as investors waited to see whether the Fed will push back market expectations that an interest rate increase could come as soon as the end of next year.
The benchmark S&P/ASX 200 Index dropped 31.90 points, or 0.5 percent, to 6,795.20, while the broader All Ordinaries Index ended down 31 points, or 0.4 percent, to 7,048.
Energy stocks such as Woodside Petroleum and Santos fell about 1 percent after oil prices declined for a third day on Tuesday. Mining heavyweights BHP and Rio Tinto fell 1.6 percent and 1 percent, respectively on lower copper prices.
Gold miners Evolution Mining and Northern Star Resources lost about 3 percent, while tech stocks such as Xero and WiseTech Global rose 2-3 percent.
Corporate Travel Management shares plunged 5.6 percent after the business travel firm’s founder Jamie Pherous offloaded 1.5 million shares of the company.
Seoul stocks drifted lower as investors remained on the sidelines ahead of the Fed announcement. The benchmark Kospi slid 19.67 points, or 0.6 percent, to settle at 3,047.50 after having gained 0.7 percent on Tuesday. LG Chem led losses to end 3.8 percent lower.
New Zealand shares fell, with the benchmark NZX-50 Index ending down 66.84 points, or 0.5 percent, at 12,622.21. Sanford slumped 7.6 percent after its acting chief executive Andre Gargiulo said the ongoing effects of the pandemic were a significant challenge for seafood producers.
New Zealand had a seasonally adjusted current account deficit of NZ$2.695 billion in the fourth quarter of 2020, Statistics New Zealand said. That beat forecasts for a deficit of NZ$2.88 billion.
U.S. stocks ended mixed overnight as retail sales and industrial production data disappointed and Treasury yields saw considerable volatility ahead of the Fed’s guidance on inflation and interest rates.
The Dow dropped 0.4 percent and the S&P 500 dipped 0.2 percent, while the tech-heavy Nasdaq Composite inched up 0.1 percent.
Asian Shares Subdued Ahead Of Fed Meeting
2021-03-17 08:42:48
