Asian markets today: Asian fell broadly on Tuesday as investors turned their attention to the upcoming meeting between U.S. President Donald Trump and Japan’s newly appointed Prime Minister, Sanae Takaichi.
Japan’s Nikkei 225 slipped 0.57 per cent at the open, retreating from its record high, while the broader Topix index declined 0.61 per cent.
Across the region, most Asia-Pacific traded lower despite Wall Street’s rally that pushed all three major U.S. indexes to record highs.
South Korea’s Kospi led the regional losses, dropping 1.4 per cent, while the Kosdaq slid 0.6%. Australia’s S&P/ASX 200 opened 0.32 per cent lower.
Meanwhile, Hong Kong’s Hang Seng Index futures stood at 26,534 — slightly above the previous close of 26,433.7.
What’s behind the fall?
After arriving in Tokyo on Monday, Trump met with Emperor Naruhito and is set to become the first foreign leader to hold talks with Takaichi since she assumed office.
According to reports, easing trade tensions had strengthened risk appetite, as US companies seemed largely unaffected by tariffs, managing to protect profit margins through price increases and cost reductions.
However, that optimism will be tested this week as investors turn their attention to the upcoming Federal Reserve meeting for signals on future rate cuts, while major technology players like Amazon.com and Microsoft Corp. report results that will indicate whether their earnings momentum can continue.
“With the Fed on track to cut rates, extending the run would appear to hinge on this week’s lineup of high-profile earnings releases. And it may, barring any surprises in US-China trade negotiations,” Chris Larkin at E*Trade from Morgan Stanley, was quoted as saying by Bloomberg.
US stock market today
’s major indexes closed at record highs for the second consecutive session on Monday, buoyed by optimism surrounding a potential U.S.-China trade agreement and anticipation of a busy week featuring key technology earnings and an expected U.S. interest rate cut.
The Dow Jones Industrial Average climbed 337.47 points, or 0.71 per cent, to 47,544.59. The S&P 500 gained 83.47 points, or 1.23 per cent, finishing above the 6,800 mark for the first time, while the Nasdaq Composite advanced 432.59 points, or 1.86 per cent, to close at 23,637.46.
Major drivers are on the horizon this week, with upcoming Big Tech earnings, the Federal Reserve’s rate decision, and a possible trade agreement with China.
(With inputs from agencies)
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