Share

Asian markets mixed as investors look ahead to Fed report

Share

BANGKOK (AP) — Shares were mostly falling in Europe after a lackluster day of trading in Asia and U.S. markets appeared set for a slightly higher open ahead of the Federal Reserve’s policy statement.

Germany’s DAX sank 1.2 percent to 11,644, dragged down by a profit warning by BMW and a court ruling against Bayer’s Roundup weed killer. The CAC 40 in France gave up 0.1 percent to 5,419. Britain’s FTSE 100 was flat at 7,325.

Wall Street was on track for small gains when the market opens, with the future contract for the Dow Jones Industrial Average gaining 0.1 percent to 25,933. That for the Standard and Poor’s 500 rose less than 0.1 percent, to 2,838.

In Asia, fresh news on China-U.S. trade talks helped Chinese benchmarks to trim early losses. The Shanghai Composite was flat at 3,090.64 and Hong Kong’s Hang Seng fell 0.5 percent to 29,320.97.

White House officials said Tuesday that top U.S. trade and economic officials will visit China late next week for another round of negotiations on their dispute over Beijing’s industrial policies and other issues.

The officials, who spoke on background because they weren’t authorized to comment publicly, said Treasury Secretary Steven Mnuchin and U.S. Trade Representative Robert Lighthizer will lead the delegation.

The news suggested hope for progress, albeit delayed, in the tariffs war between the two largest economies. Business lobbyists say an agreement now probably won’t be reached until late April.

Elsewhere in Asia, Japan’s Nikkei 225 index gained 0.2 percent to 21,608.92, while the S&P ASX 200 gave up 0.3 percent to 6,165.30. South Korea’s Kospi was virtually unchanged at 2,177.10. India’s Sensex advanced 0.2 percent to 38,422.94.

Shares were higher in Taiwan and Thailand but fell in Singapore and Indonesia.

Global investors are looking ahead to the Federal Reserve’s interest rate policy update due later Wednesday. The central bank has signaled that it will be “patient” in raising interest rates.

“Against the backdrop of heightened concerns over U.S.-China trade and ahead of the Fed meeting, Asia markets may well trade cautiously once again,” Jingyi Pan of IG said in a commentary. She added that “the broad sense is that regional markets will be attuned toward the Fed meeting.”

The Fed has made clear that with a dimmer economic picture in both the United States and globally, it no longer sees the need to keep raising rates as it did four times in 2018. Among the key factors, besides slower growth, are President Donald Trump’s trade war with China, continually low inflation levels and Prime Minister Theresa May’s struggle to execute Britain’s exit from the European Union.

May was set to ask the European Union this week for a delay to the country’s divorce from the bloc, due to take place in nine days. But a frustrated EU warned it could keep Britain waiting for an answer. Parliament last week voted for a three-month delay to the end of June, but some EU leaders have suggested another two years might be necessary.

GERMANY SLUMPS: The DAX faltered on a double dose of bad news from German companies. Automaker BMW projected lower profits for the year, while shares in Bayer plunged after a U.S. jury found the company’s Roundup weed killer contributed to a California man’s cancer. It’s the second such verdict against the German conglomerate.

Related:
Police Detain Man in CEO Murder Case Thanks to Tip from Elderly McDonald's Customer

CURRENCIES: The dollar rose to 111.51 Japanese yen from 111.40 yen. The euro rose to $1.1360 from $1.1351 on Tuesday.

ENERGY: Benchmark U.S. crude oil lost 52 cents to $58.51 per barrel in electronic trading on the New York Mercantile Exchange. Brent crude, the international standard, gave up 20 cents to $67.41 a barrel.

___

Ott reported from Madrid.

The Western Journal has not reviewed this Associated Press story prior to publication. Therefore, it may contain editorial bias or may in some other way not meet our normal editorial standards. It is provided to our readers as a service from The Western Journal.

Truth and Accuracy

Submit a Correction →



We are committed to truth and accuracy in all of our journalism. Read our editorial standards.

Tags:
Share
The Associated Press is an independent, not-for-profit news cooperative headquartered in New York City. Their teams in over 100 countries tell the world’s stories, from breaking news to investigative reporting. They provide content and services to help engage audiences worldwide, working with companies of all types, from broadcasters to brands. Photo credit: @AP on Twitter
The Associated Press was the first private sector organization in the U.S. to operate on a national scale. Over the past 170 years, they have been first to inform the world of many of history's most important moments, from the assassination of Abraham Lincoln and the bombing of Pearl Harbor to the fall of the Shah of Iran and the death of Pope John Paul.

Today, they operate in 263 locations in more than 100 countries relaying breaking news, covering war and conflict and producing enterprise reports that tell the world's stories.
Location
New York City




Advertise with The Western Journal and reach millions of highly engaged readers, while supporting our work. Advertise Today.

Conversation