Wall Street, FTSE 100 Mixed Ahead of Fed Rates Decision
Global markets are pivoting around central bank policy expectations and the prospect of a US-Iran deal, with the Federal Reserve’s imminent decision keeping risk appetite in check, First National Bank said in a brief on Wednesday.
Wall Street closed mixed as the Dow Jones gained 0.64% on rotation into value, while profit-taking in semiconductor names weighed on the S&P 500, which was down 0.57%, and the NASDAQ, which fell 1.15%.
In Europe, falling oil prices on hopes of a breakthrough between the US and Iran supported the FTSE 100, up 0.61%, and the Euro Stoxx 50, which closed 0.45% higher, with banks and industrials leading.
Asian trading is split as investors await new stimulus signals from China and the Federal Reserve’s direction. The Nikkei 225 is currently up 0.68% and the ASX 200 has gained 0.51% so far, while the Hang Seng Index is moving 0.37% lower, reflecting both policy caution and uneven sectoral momentum.
The Johannesburg Stock Exchange (JSE) is set for a firmer open Wednesday as global futures edge higher, and commodity signals remain broadly constructive, FNB said.
Asian markets are mixed in early trade, yet a 0.40% gain in Tencent offers a positive read-through for Naspers and Prosus. The ASX 300 Metals and Mining Index’s 1.05% advance lends further support to local resource counters.
Gold is treading water near recent highs, providing a steady backdrop for gold miners, while softer platinum and palladium prices may temper enthusiasm among PGM counters. Overall, the offshore tone favours risk, with resources likely to underpin early JSE momentum.
The local bourse continued to ride on the previous session’s momentum on Monday as markets rallied on the back of a tentative peace agreement between the US and Iran.
This led to record gains on the day, with emerging markets benefiting from improved investor appetite for riskier assets. In terms of performance, the All Share Index and Top 40 Index gained 2.51% and 2.72% to 115 556 points and 107 546 points, respectively.
Resources remained ahead of the pack, rallying 6.40% on the day on the back of a solid performance in the precious metals and mining index (+9.15%), which was led by Harmony (+11.21%) and Implats (+11.01%). Industrials and Financials also delivered solid gains, closing up 0.51% and 1.38%, respectively. Wall St. Leads Global Markets Higher on Tech Stocks Rally
