Global stocks mixed as investors wait for Fed, BoJ policies

TOKYO—Global shares were mixed Tuesday as investors nervously awaited possible fresh policy moves by the US Federal Reserve and the Bank of Japan.

France’s CAC 40 added 0.2 percent to 4,401.61 in early trading. Germany’s DAX rose 0.5 percent to 10,428,82. Britain’s FTSE 100 edged up 0.3 percent to 6,832.22. U.S. shares were set to drift higher with Dow futures up 0.2 percent to 18,090. S&P 500 futures were up nearly 0.3 percent to 2,138.30.

Fed Factor

The Federal Reserve will meet later Tuesday and announce its latest decision on interest rates the following day. Analysts say the Fed is unlikely to immediately raise interest rates, but they are more uncertain about possible action by the Bank of Japan, whose options include a range of stimulus proposals.

The Bank of Japan begins a two-day policy board meeting Tuesday, in between national holidays on Monday and Thursday in what this nation calls “Silver Week.” Analysts say the central bank could deepen negative interest rates that it announced earlier this year. “It is quite likely that top traders will not wager on anything major during this side of the central banks’ meetings this week as the financial world remains gripped on central banks’ policy moves, and even language,” Nicholas Teo, a trading strategist at KGI Fraser Securities said in a commentary.

Japan’s benchmark Nikkei 225 fluctuated to finish down 0.2 percent at 16,492.15 after Japanese markets were closed Monday for a national holiday. South Korea’s Kospi added 0.5 percent to 2,025.71 and Australia’s S&P/ASX 200 gained 0.2 percent at 5,303.60, while Hong Kong’s Hang Seng dipped 0.1 percent to 23,530.86. The Shanghai Composite fell 0.1 percent to 3,023.00, and India’s Sensex lost 0.5 percent to 28,503.16.

Benchmark US crude lost 32 cents to $43.54 a barrel in electronic trading on the New York Mercantile Exchange. Brent crude, used to price international oils, slipped 35 cents to $45.60 a barrel in London.

The dollar fell to 101.72 yen from 102.05 yen late Monday in Asia. The euro rose to $1.1191 from $1.1165.