Asian markets today: Asia-Pacific markets traded mostly lower in early Wednesday session, led by declines in South Korea. The benchmark Kospi fell 1.02% at the open, while the small-cap Kosdaq edged slightly lower.
MSCI Inc.’s gauge of regional equities was down 0.1% after a three-day rally. Japan’s Nikkei 225 slipped 0.20%, although the broader Topix gained 0.46%.
Australia’s S&P/ASX 200 also opened in the red, down 0.17%. Meanwhile, Hong Kong’s Hang Seng index futures were last quoted at 24,510, marginally above the benchmark index’s previous close of 24,493.95.
Why Asian markets are falling today?
Asian markets opened lower on Wednesday, 17 June, mirroring the overnight weakness seen on Wall Street.
Brent crude prices ticked up in early Wednesday trading after tumbling nearly 5% in the previous session to settle below $79 a barrel. The recent pullback in oil prices has alleviated fears that rising energy costs could fuel inflation again, leading investors to revisit expectations around future interest-rate moves.
Apart from the widely anticipated rate hike by the Bank of Japan, most major central banks across developed economies, including the US Federal Reserve, are expected to keep policy settings unchanged this week. Investors are instead focusing on the likely policy direction under Warsh.
At the same time, the US and Iran are moving toward formally signing an interim peace agreement, with both sides portraying the deal as a success. However, key details are still unfolding, leaving several European governments, energy market participants, and shipping firms cautious about how quickly the Strait of Hormuz can return to normal pre-conflict operations.
US stock market today
US stock futures were largely flat on Tuesday night as investors awaited the Federal Reserve’s upcoming interest rate decision.
Futures linked to the S&P 500 edged slightly higher, while Nasdaq 100 futures gained less than 0.1%. Dow Jones Industrial Average futures also rose modestly, adding 47 points, or around 0.1%.
In regular trading, the Dow Jones Industrial Average reached fresh intraday and closing records, ending the session up 328.64 points, or 0.64%. The blue-chip index briefly crossed the 52,000 mark for the first time during the day before settling just below that level at the close. Meanwhile, the broader S&P 500 and the Nasdaq Composite declined 0.57% and 1.15%, respectively.
(With inputs from agencies)
Disclaimer: This story is for educational purposes only. Please consult with an investment advisor before making any investment decisions.
