Moscow. October 28. Most stock indices in the Asia-Pacific region declines on Wednesday pending the outcome of the meeting of the Federal reserve system (FRS), reports Bloomberg.
China’s Shanghai Composite fell during the auction by 0.4%, Hang Seng – by 0.6%, the Australian S&P/ASX 200 is 0.2%, South Korean KOSPI – 0.3%. The Japanese Nikkei 225 was up 0.6%.
The U.S. Central Bank on Wednesday concludes a two-day meeting and will announce the final decision on the amount of the basic interest rate in the near future at 21:00 Moscow time.
According to the quotations of futures for the interest rate, the probability of its increase by the Fed at the October meeting, the market is estimated at 4%.
“I don’t think the fed will dare to tighten policy this year, says analyst at AMP Capital Investors in Sydney Nader, Naami. – There is a sense that markets have suspended growth, and we use the pullback of quotations as an opportunity to buy”.
This week, October 30, will also host a meeting of the Bank of Japan. 16 of 36 analysts surveyed by Bloomberg predict an increase in the Japanese Central Bank amounts to stimulate the economy.
Friday will be the most active day in the current reporting season in Japan. The results for the past quarter on this day, will publish more than 300 companies, including NTT Docomo Inc. and Japan Airlines Co.
“I suppose that fluctuations in the Japanese market environment will be limited, says analyst at SMBC Nikko Securities in Tokyo Chihiro Ohta. – For the last time left a lot of reporting in both the U.S. and Japan, as well as statistical data, but it has not given a clear direction of markets. All attention is focused on the fed meeting”.
Shares of Japanese automaker Mazda Motor gained 3.3% on stronger than expected statements of the company for the first finalpage.
The cost of one Telecom operator SoftBank grew by 3.2% on good results Alibaba Group, which owns stakes in the Japanese company.
The price of the shares of Panasonic fell 1.9% on the information of the newspaper Nikkei that the rival company LG Chem Ltd. in talks to supply batteries to electric car manufacturer Tesla Motors.
Canon paper, published on the eve of weaker-than-expected quarterly reports, fell by 3.4%.
Chinese stock market falls on Wednesday at unfavourable corporate reports, as well as lowering the forecast of GDP growth of the PRC UBS analysts.
Experts UBS downgraded China’s GDP growth in 2016 to 6.2% from an earlier projected 6.5 per cent. According to their estimates, the growth rate of the Chinese economy in the fourth quarter of 2015 will remain stable at 6.9%. The GDP growth of the country by the end of this year will amount to 6.9-7%, analysts predict.
Chinese company real estate seeks to reduce inventory of unsold homes that has a negative impact on various sectors of the economy, including the industrial and mining sectors, notes the UBS analyst Tao Wang.
Stock quotes financial and technological companies in China are the largest decline on Wednesday.
The value of the securities Hundsun Technologies fell 5%, Huatai Securities – 3.6%, China Life – 3%.