Hideyuki Sano and Noah Sin
TOKYO / HONG KONG (Reuters) – Asian stocks started on Wednesday when investors earned their political decision. The US Federal Reserve, which is expected to further review the remaining year's interest rate plans
European stocks are expected to be opened at a lower pace, while futures contracts will follow the British, French and German indices from 0.5 to 0.7 percent. Early Trading
MSCI's largest Asia-Pacific stock index outside Japan fell by 0.2 percent.
Japan rose 0.2 percent when the mainland's blue chip shares were flat
On Tuesday, Wall Street shares were narrow, and defeat at 0.01
Some market participants said sales were driven by US concerns about China's turning to American needs in trade negotiations
However, in general, many market participants expected a trade deal. between Washington and Beijing as officials on both sides were blocked in negotiations
Trade Representative Robert Lighthizer and Treasury Secretary Steven Mnuchin are planning to travel to China next week for another round of trade talks with Chinese vice president Liu, a short-term administration official said Tuesday.
"China Wants to Arrange Not to worry about meeting, many things will be resolved," said Wang Shenshen, strategist at Tokai Tokyo Research Center.
The confidence of Asian companies in the first quarter remained almost three years in the US and China's trade dispute continued, reducing the global economy, which is already falling, according to a Thomson Reuters / INSEAD survey. [ASIATOPCO/]
The surveyed companies described the World Trade War as a core business with rising interest rates and a slowing Chinese economy
The Federal Reserve is expected to remain stable at a later date and the main market will focus on its policy-makers' forecasts. xt several years
(GRAPHICS: Fed Dot Plot – https://tmsnrt.rs/2UDfpY1)
Since the beginning of the year, the Fed chairman Jerome Powell said the central bank will be patient – interpreted as a code word to prevent interest rate hike – slowdown in economic growth in the United States and many countries around the world
Financial markets have grown even more when prices have fallen this year. Fed fund futures suggest that by the end of the year it will fall by about 30 percent.
It is also expected that the Fed plans to break its $ 4 trillion balance or so-called quantitative tightening. Many policy makers have suggested that the Fed will complete the process by the end of this year and stabilize its bond assets.
"I think the market consensus is the end of September, but we expect the Fed to complete its balance sheet in June. US $ 3.85 trillion, based on our estimates of surplus stock, the Fed will need, ”said Shuji Shirota, Head of MacBusiness Strategy for HSBC Securities, Tokyo.
(GRAPHIC: Federal Reserve Bonds Ownership) https://tmsnrt.rs/2UD2oOr)
The US dollar is expected to become more cautious with the Fed, which was already hit by Powell this year, but showed a pause at the last meeting. 19659004] The dollar index, compared to the basket of six major currencies, hit 2 1/2 weeks and 96,288 on Tuesday, and the last – 96,445.
The euro has changed little – $ 1.1347, next to Tuesday's two-week high – $ 1.1362.
The dollar brought 111.54 yen, a slight decrease in the day and below Friday's nine-day high – 111.90.
The Australian dollar fell 0.1 percent. to $ 0.7080, as country bond yields have increased their downturn to the lowest level for many years due to expectations of domestic tariff cuts.
6% how Vale SA will start working in its largest iron ore mine in Minas Gerais State
The British pound remained hostage on Brexit banners.
It is expected that Prime Minister Theresa May will ask the European Union to postpone Brexit for at least three months after its plan to hold its third vote on its deal was offended by an unexpected intervention by a parliamentary speaker
. May. Parliament warned that if it did not ratify its deal, it would ask for the postponement of Brexit after 30 June, which Brexit advocates fear to endanger the entire divorce.
On the other hand, EU Chief Negotiator Michel Barnier said that an extension would only be meaningful if the possibility of ratifying the May deal in the UK House of Housing was increased.
Sterling was $ 1,3257 for the last time and $ 1.3380 for nine months ago. 19659004] Oil prices close to a four-month high, expectations that OPEC continued to cut production by the end of the year and after receiving data from the American Petroleum Institute (API), have surprised the stocks of raw materials
. West Texas Intermediate (WTI) futures were almost $ 59.02 per barrel after touching their highest $ 59.57 on Tuesday from November.