Hong Kong, China – Asia-Pacific markets experienced a mixed opening on Tuesday, reflecting the diverse performance seen on Wall Street as investors awaited the U.S. Federal Reserve’s upcoming decision. Australian stocks on the S&P/ASX 200 index rose by 0.73%, while Japan’s Nikkei 225 and Topix saw increases of 0.12% and 0.11% respectively. In contrast, South Korea’s Kospi fell by 1% and the Kosdaq dropped by 0.92%. Meanwhile, Hong Kong’s Hang Seng Index declined by 0.4%, while mainland China’s CSI 300 rose by 0.34%.
Overnight in the U.S., the Nasdaq Composite reached a record high, largely due to a surge in tech stocks. The tech-heavy index increased by 1.24% to 20,173.89 points, with the S&P 500 also rising by 0.38% to close at 6,074.08. The Dow Jones Industrial Average, however, lagged behind, losing 110.58 points or 0.25% to finish at 43,717.48. This marked the Dow’s eighth consecutive day of losses, its longest losing streak since 2018.
Investors are closely watching the upcoming Fed decision on December 18, with the CME Fedwatch tool currently predicting a 98.2% likelihood of a 25-basis-point rate cut. The market favorite Nvidia, a leading artificial intelligence chipmaker, faced a 1.7% decline, pushing the stock into correction territory by falling over 10% from its recent all-time high in November. This shift underscored the volatility and potential risks present in the market despite overall positive trends seen in other sectors.