Investing.com- Stocks were mixed across Asia in Tuesday’s session as traders looked pensive ahead of the start of the Federal Reserve’s two-day meeting later today.
In Asian trading Tuesday, Japan’s Nikkei 225 was lower by 0.24%. Hong Kong’s Hang Seng jumped 0.2%, but the Shanghai Composite fell 0.4%. Stocks on the Chinese mainland appear headed for losses after surging 2.7% in the previous two sessions.
After dealing with news that Italian Prime Minister Mario Monti will resign his post as soon as Italy passes a 2013 budget, traders now focus on the U.S. central bank to provide the impetus to bid stocks and other riskier assets higher.
With U.S. interest rates hovering near historic lows, a rate cut is unlikely and the Fed has already pledged to keep rates low through mid-2015. However, the Fed could engage in additional bond-buying activities, also known as quantitative easing.
With Operation Twist slated to end this month, traders are betting the Fed will start buying Treasuries again in an effort to boost the U.S. economy. Should the Fed employ additional stimulus measures, that would likely spark buying of riskier assets in the U.S., including commodities and emerging markets equities.
Oil was seen trading lower in the Asian session, but that did not stop materials giant BHP Billiton (NYSE: BHP) from helping Australia’s S&P/ASX 200 climb almost 0.4%.
OPEC is expected to keep its daily production quota at 30 million barrels. Saudi Arabia, the cartel’s largest producer, is content with where oil prices currently reside, but other OPEC members such as Iran and Venezuela favor higher prices. The cartel meets in Vienna on Wednesday.
Elsewhere, South Korea’s Kospi advanced modestly while Singapore’s Straits Times Index gained nearly 0.5%. New Zealand’s NZSE 50 fell 0.11%.
In Asian trading Tuesday, Japan’s Nikkei 225 was lower by 0.24%. Hong Kong’s Hang Seng jumped 0.2%, but the Shanghai Composite fell 0.4%. Stocks on the Chinese mainland appear headed for losses after surging 2.7% in the previous two sessions.
After dealing with news that Italian Prime Minister Mario Monti will resign his post as soon as Italy passes a 2013 budget, traders now focus on the U.S. central bank to provide the impetus to bid stocks and other riskier assets higher.
With U.S. interest rates hovering near historic lows, a rate cut is unlikely and the Fed has already pledged to keep rates low through mid-2015. However, the Fed could engage in additional bond-buying activities, also known as quantitative easing.
With Operation Twist slated to end this month, traders are betting the Fed will start buying Treasuries again in an effort to boost the U.S. economy. Should the Fed employ additional stimulus measures, that would likely spark buying of riskier assets in the U.S., including commodities and emerging markets equities.
Oil was seen trading lower in the Asian session, but that did not stop materials giant BHP Billiton (NYSE: BHP) from helping Australia’s S&P/ASX 200 climb almost 0.4%.
OPEC is expected to keep its daily production quota at 30 million barrels. Saudi Arabia, the cartel’s largest producer, is content with where oil prices currently reside, but other OPEC members such as Iran and Venezuela favor higher prices. The cartel meets in Vienna on Wednesday.
Elsewhere, South Korea’s Kospi advanced modestly while Singapore’s Straits Times Index gained nearly 0.5%. New Zealand’s NZSE 50 fell 0.11%.