Stocks in Asia were subdued on Wednesday after U.S. Federal Reserve Chairman Jerome Powell tempered expectations for a potential interest rate cut.
In Japan, the Nikkei 225 slumped 107.22 points, or 0.5%, to 21,086.59, with shares of index heavyweights Fast Retailing and Softbank Group slipping.
The Japanese yen traded at 107.42 against the U.S. dollar after touching below 107.1 in the previous session.
In Hong Kong, the Hang Seng index regained 36 points, or 0.1%, to 28,221.98.
The Australian dollar changed hands at $0.6975 U.S., continuing to move upward from levels below $0.685 seen last week.
Stocks on Wall Street dived as Powell said the U.S. central bank is assessing whether current economic uncertainties call for lower rates. Powell noted the Fed will take a wait-and-see approach given how rapid recent economic changes have been, but added the Fed is “insulated from short-term political interests. ”
One strategist said Powell’s comments had left the market “none the wiser in terms of whether or not the Fed will look to embark on a new easing cycle at the end of July.”
CHINA
In Shanghai, the CSI 300 dropped 6.98 points, or 0.2%, to 3,794.33
Meanwhile, investors looked toward developments on the U.S.-China trade front, with Presidents Donald Trump and Xi Jinpingset to meet at the G-20 summit later this week.
In other markets
In Korea, the Kospi index inched forward 0.21 points to 2,121.85
In Singapore, the Straits Times Index shed 3.02 points, or 0.1%, to 3,301.25
In Taiwan, the Taiex Index retreated 54.17 points, or 0.5%, to 10,652.56
In New Zealand, the NZX 50 lost 10.24 points, or 0.1%, to 10,408.06
In Australia, the ASX 200 flopped 17.54 points, or 0.3%, to 6,640.48
