Asian stocks mixed; Fed meeting in focus

Asian markets struggled for direction on Monday, with most traders opting for a moderate position ahead of the Federal Reserve's two-day policy meeting this week.

In Japan, the Nikkei 225 was down nearly one percent on the back of a stronger yen.

In Asian hours, Japan’s trade balance for February came in at 3 billion against a forecasted reduction of 100 billion yen. Last month, the balance showed a 944 billion deficit.

South Korea's Kospi index eased 0.44 percent., with Hyundai Motor posting a 4.13 percent loss in the the day and Posco adding 2.19 percent.

Meanwhile in China, the Hang Seng Index rose 0.15 percent supported by financials. The Shanghai composite added 0.1 percent and the Shenzhen composite advanced 0.43 percent.

Market participants are looking ahead to the next policy announcement on March 21, with a vast majority of bets on a 25 basis points rate hike. That move would leave the benchmark in a range between 1.50 percent and 1.75 percent.

According to Fed funds CME Group’s FedWatch program, market players are currently pricing in a nearly 90 percent chance of a rate adjustment this week. It would be the first hike of 2018.

Apart from Fed’s monetary policy meeting, investors will also be looking at the G20 meeting in Argentina. Finance minister and central bank leaders from the world’s 20 top economies will be attending the meeting on Monday.

Meanwhile, Washington’s political drama remains on the spotlight. With a few top officials leaving the administration in the last few days, concerns over the future of domestic and international policies increased among market players.

<<< Asian Stock Indexes >>>

Australia ASX S&P +9.80 +0.16% 6,064.70

Shanghai Composite +9.37 +0.29% 3,279.25

Hong Kong Hang Seng +18.72 +0.06% 31,520.69

Japan Nikkei 225 -195.61 -0.90% 21,480.90

FortFS