Asian Markets See Mixed Results Ahead of Key US Federal Reserve Speech

Asian stock markets experienced a mixed trading session on Thursday as investors awaited an important speech from US Federal Reserve Chairman Jerome Powell, expected to signal potential interest rate cuts.

Powell, who has resisted pressure from former President Donald Trump to reduce rates, is set to address the annual central bankers’ conference in Wyoming on Friday.

Last week’s US inflation data offered a mixed picture, leaving uncertainty over whether the Fed will implement rate cuts in September, a move many anticipate could boost growth in the world’s largest economy.

Market performance varied across the region. Shares in Seoul rose on Thursday, supported by gains in Samsung, while Shanghai and Sydney also saw modest increases. Conversely, Tokyo’s Nikkei index fell for the second consecutive day, and Hong Kong’s Hang Seng Index declined by 0.4% in the closing hour.

The recent sell-off in major tech stocks, including AI chip-maker Nvidia, has heightened caution among investors despite a broader trend of market recovery.

Global developments also influenced trading, including the prospects of a peace deal in Ukraine following diplomatic talks between Trump and Russian President Vladimir Putin. Concerns over oil markets remained, as traders speculated on potential easing of sanctions on Russia, a major crude producer.

Oil prices rose on Thursday after reports showed a sharp drop in US crude stockpiles, adding to regional market volatility. Early European trading reflected slight gains in London and Frankfurt, while Paris opened slightly lower.

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