Stock market today: Asia markets higher ahead of U.S. inflation, Fed rates decision
CTV
Asian stock markets were mostly higher Tuesday ahead of a U.S. inflation update and a Federal Reserve decision on another possible interest rate hike.
Asian stock markets were mostly higher Tuesday ahead of a U.S. inflation update and a Federal Reserve decision on another possible interest rate hike.
Shanghai declined while Tokyo and Hong Kong advanced. Oil prices rebounded from Monday's plunge.
Wall Street's benchmark S&P 500 index rose 0.9% to a 14-month high ahead of the release of U.S. inflation figure Tuesday. Forecasters expect it to show inflation eased in May but still was double the Fed's 2% target despite interest rate hikes to cool business activity.
Traders hope the Fed will skip another rate increase when its monthly board meeting ends Wednesday, but that might be complicated if inflation is higher than expected. Central banks in Europe and Japan also are due to meet this week to discuss possible rate hikes.
The Fed's benchmark lending rate is at a 16-year high, which has led to a contraction in manufacturing activity and three high-profile bank failures.
"The bull market rally looks like it doesn't want to stop," said Edward Moya of Oanda in a report. "Wall Street appears confident that the Fed will not be delivering its 11th straight rate hike this week."
The Shanghai Composite Index lost less than 0.1% to 3,227.57 after China's central bank lowered its one-week lending rate for the first time since last summer. That appeared to reflect official concern about the health of China's economic recovery after growth in factory and consumer activity weakened.
