Mixed Trading On Asian Bourses Ahead Of Fed Meet

Tokyo’s Nikkei fell, while Hong Kong’s Hang Seng and Australia's S&P/ASX 200 made losses. Markets in mainland China and South Korea were closed; European markets were trading in positive territory; The US markets ended mostly higher on Monday

New York: Shares were mixed in Asia on Tuesday as world markets geared up for the Federal Reserve's most anticipated meeting in years.Tokyo's Nikkei index fell 1 per cent to 36,203.22 and the Hang Seng in Hong Kong advanced 1.3 per cent to 17,654.79. Markets in mainland China and South Korea were closed. Australia's S&P/ASX 200 gained 0.2 per cent to 8,140.90. Traders are eagerly awaiting the Fed's decision Wednesday on interest rates. It is expected to cut its key rate for the first time in more than four years after keeping rates high to tamp down inflation. The main question is how much relief for the economy the Fed will deliver. “The warning is that markets steeped in rich policy expectations are ripe for volatility,” Mizuho Bank said in a commentary. “Accordingly, it may be best to be braced for (policy) curveballs that could potentially force market re-pricing.” US retail sales and industrial output are due out later in the day.

On Monday, the Dow rose 228 points, or 0.6 per cent, to surpass its prior all-time high set a few weeks ago. It closed at 41,622.08. The S&P 500 index, which is much more comprehensive and widely followed on Wall Street, ticked up by 0.1 per cent to climb within 0.6 per cent of its own record set in July, ending at 5,633.09. The Nasdaq composite slipped 0.5 per cent to 17,592.13 as big technology stocks and other market superstars gave back a bit of their big gains from recent years. Most stocks rose, and Oracle's 5.1 per cent gain helped lead the market. The software company continued a strong run that began last week with a better-than-expected profit report. Alcoa jumped 6.1 per cent after saying it would sell its ownership stake in a Saudi Arabian joint venture to Saudi Arabian Mining Co. for USD 950 million in stock and USD 150 million in cash.