Global Markets:
- Asian Stock Markets : Nikkei up 0.4%, Shanghai Composite up 0.52%, Hang Seng up 0.162% ASX up 0.2%
- Commodities : Gold at $3382.35 (-0.29%), Silver at $32.8 (0.49%), Brent Oil at $61.8 (0.69%), WTI Oil at $58.47 (0.9%)
- Rates : US 10-year yield at 4.293, UK 10-year yield at 4.4595, Germany 10-year yield at 2.4851
News & Data:
- (USD) Federal Funds Rate 4.5% to 4.5% expected
Markets Update:
Asia-Pacific markets showed a mixed performance following the U.S. Federal Reserve’s decision to keep interest rates unchanged. Japan’s Nikkei 225 edged up 0.25%, while the Topix dipped 0.11%. South Korea’s Kospi rose 0.21% and the Kosdaq gained 0.58%. Meanwhile, Australia’s S&P/ASX 200 remained flat. Hong Kong’s Hang Seng Index added 0.24%, whereas mainland China’s CSI 300 showed no significant movement.
The Federal Open Market Committee maintained its benchmark interest rate in the range of 4.25% to 4.5%, a level it has held since December. This move was widely anticipated by markets. However, Federal Reserve Chair Jerome Powell cautioned that current tariff hikes could slow economic growth and increase long-term inflation.
Investors are also closely monitoring developments in U.S.-China trade relations. U.S. Treasury Secretary Scott Bessent is scheduled to meet with his Chinese counterpart in Switzerland this week to discuss economic and trade matters.
In the U.S., futures remained mostly flat after the Fed’s announcement. S&P 500 and Nasdaq-100 futures both dipped by 0.1%, while Dow Jones futures fell by 42 points.
Despite cautious trading earlier, Wall Street ended on a positive note. The S&P 500 rose 0.43% to close at 5,631.28, the Nasdaq Composite gained 0.27% to end at 17,738.16, and the Dow Jones Industrial Average jumped 284.97 points, or 0.70%, finishing at 41,113.97.
Upcoming Events:
- 06:00 PM GMT – GBP Official Bank Rate
- 12:30 PM GMT – USD Unemployment Claims
