The global forecast for the Asian markets is negative ahead of key risk events – specifically today’s FOMC’s rate decision, and next week’s Brexit vote. The European and U.S. markets were down and the Asian markets are tipped to follow suit.
The KOSPI finished modestly lower on Tuesday as losses from the retailers were tempered by support from the technology stocks and shipping companies.
Among the actives, Samsung Electronics added 0.44 percent, while SK hynix jumped 2.65 percent, Hanjin Shipping surged 6.26 percent, Hyundai Merchant Marine advanced 2.75 percent, Lotte Confectionery skidded 2.54 percent and Lotte Chilsung tumbled 3.93 percent.
The lead from Wall Street is soft as stocks were down on Tuesday, if well off their worst levels of the day.
The Dow slipped 57.66 points or 0.3 percent to 17,674.82, while the NASDAQ edged down 4.89 points or 0.1 percent to 4,843.55 and the S&P 500 dipped 3.74 points or 0.2 percent to 2,075.32.
Traders expressed trepidation ahead of the Federal Reserve’s monetary policy announcement later today. The Fed is widely expected to leave interest rates unchanged, but traders will keep a close eye on the accompanying statement.
Ongoing concerns about next week’s referendum on whether Britain will remain in the European Union also weighed on the markets.
In economic news, the Commerce Department reported stronger than expected retail sales growth in May. The Labor Department also noted that import prices surged more than expected in May amid another substantial increase in fuel prices.