A look at the day ahead in Asian markets from Lewis Krauskopf
The Federal Reserve's highly anticipated policy decision arrives later on Wednesday, with markets bracing for another big dose of tightening. The lead-up to the U.S. central bank event has been bumpy and could spell more volatility for Asian markets in the hours before the Fed's statement.
Ahead of the rate decision, rates continued their ascent. Yields on the benchmark U.S. 10-year Treasury note hit 3.6% on Tuesday, their highest since 2011. The 2-year Treasury yield , which tracks Fed rates closely, approached 4%, the highest since 2007.Equity markets are struggling to digest the persistent move up in rates. The S&P 500 slid 1.1% and touched its lowest point in two months, as traders positioned ahead of the Fed.
Will Sweden prelude a similar outcome in the U.S.? Markets are bracing for the Fed to raise rates by 75 basis points, but since inflation data came in hot last week, they have been pricing in a chance of a full percentage point hike. Such odds were around 16% late on Tuesday. Beyond Wednesday's rate move, what Fed Chair Jerome Powell has to say in a press conference following the decision will be critical for investors seeking to gauge the rate trajectory going forward. How Powell is thinking about the threat to the economy from higher rates is also top of mind.Key developments that could provide more direction to markets on Wednesday:Korea 20-day exportsRegister now for FREE unlimited access to Reuters.
Brasil Últimas Notícias, Brasil Manchetes
Similar News:Você também pode ler notícias semelhantes a esta que coletamos de outras fontes de notícias.
Asian Stock Market: Displays mix performance ahead of central bank week, oil slips below $85.00Markets in the Asian domain are displaying a mixed performance ahead of a volatile week, which will be full of surprises led by interest rate announce
Consulte Mais informação »
Kim Kardashian Taps Brooke Shields, Juliette Lewis, Becky G and More for Skims Bra CampaignThe brand is debuting underwire bras with a bang.
Consulte Mais informação »
Lewis Capaldi Blasts to No. 1 In U.K. With ‘Forget Me’The Scottish singer-songwriter’s first release in three years is also his third song to hit No. 1.
Consulte Mais informação »
Asian stocks brace for salvo of central bank hikesMarkets idled as investors braced for a week with 13 central-bank meetings that are certain to see borrowing costs rise.
Consulte Mais informação »
Asian markets slip lower following last week's broad decline on Wall StreetAsian shares fell Monday after another week of sizable losses on Wall Street, as investors braced for another interest rate hike by the U.S. Federal Reserve.
Consulte Mais informação »
Analysis: Asian farmers plant to boost palm oil output, seedling shortage slows paceFarmers across Asia are busy planting trees to boost palm oil production but nurseries are struggling to keep up with demand for sprouts and seedlings, risking a delay in the industry's recovery from the COVID-19 pandemic.
Consulte Mais informação »