ASIAN EQUITIES DIP A BIT AS US STOCKS GAIN
Asian equities slipped on Wednesday after most US stocks pared gains made during their recent rally, although the Nasdaq benchmark reached its second straight day at a record high as oil prices rose, Chibuike Oguh wrote for Reuters on June 10, 2020.
Investors adopted a more cautious stance as attention turned to the U.S. Federal Reserve, which wraps up its two-day meeting later on Wednesday.
“Markets have taken a pause given the run-up we’ve had in recent weeks,” said Charlie Ripley, senior investment strategist at Allianz Investment Management. “If you look at past Fed meetings it has been gloomy so it would be interesting to see the data they put forward given the jobs report.” Australian S&P/ASX 200 fell 0.4%, Japan’s Nikkei 225 index lost 0.8% and South Korea’s KOSPI slipped 0.3%.
No major policy announcements are expected from the Fed, but the US central bank will issue its first economic projections since December. Investors will be watching as the Fed attempts to gauge the economic cost of widespread pandemic-related lockdowns, as well as any hints of future stimulus.