ÐÇ¿Õ´«Ã½

Skip to main content

Stock market today: Global shares mixed ahead of U.S. Federal Reserve interest rate decision

In this Jan. 3, 2020, file photo visitors to the New York Stock Exchange pause to take photos in New York. The U.S. stock market opens at 9:30 a.m. EST on Wednesday, Jan. 8. (AP Photo/Mary Altaffer, File) In this Jan. 3, 2020, file photo visitors to the New York Stock Exchange pause to take photos in New York. The U.S. stock market opens at 9:30 a.m. EST on Wednesday, Jan. 8. (AP Photo/Mary Altaffer, File)
Share
TOKYO -

Global shares were mixed in cautious trading Tuesday ahead of the U.S. Federal Reserve's upcoming decision on interest rates.

France's CAC 40 added 0.2% to 7,292.91 in early trading. Germany's DAX fell nearly 0.1% to 15,716.61. Britain's FTSE 100 was little changed, rising less than 0.1% to 7,659.91. The futures for the Dow Jones Industrial Average and the S&P 500were up less than 0.1%.

The Fed is due to wrap up a two-day meeting on Wednesday. Japan's central bank will meet Thursday-Friday amid speculation it might gradually begin to adjust its longstanding negative interest rate policy.

Stocks have been see-sawing since early August on uncertainty about whether the Fed will finally end its hikes to interest rates. Higher rates have helped cool inflation from its peak last summer, but they also hurt prices for stocks and other investments while slowing the economy.

Traders almost universally expect the Fed to keep rates steady at its meeting this week. Attention will mainly focus on forecasts Fed officials will publish about where they expect interest rates, the economy and the job market to head in upcoming years.

Traders are betting on a roughly 40% chance the Fed will raise rates again in either November or December, according to data from CME Group.

But just as much attention will be on what Fed officials say about next year, when investors expect the Fed to begin cutting interest rates. Investors crave such cuts, which typically loosen up financial conditions and give boosts to financial markets. The big question is by how much the Fed could cut.

Fears are strong that rates may have to stay higher for longer to get inflation down to the Fed's 2% target. That quest has been complicated by a recent spike in oil prices.

In Asian trading, Japan's Nikkei 225 dropped 0.9% to finish at 33,242.59. Australia's S&P/ASX 200 lost 0.5% to 7,196.60. South Korea's Kospi edged down 0.6% to 2,559.21. Hong Kong's Hang Seng rose nearly 0.4% to 17,997.17, while the Shanghai Composite inched down less than 0.1% to 3,124.96.

Worries about a possible recession persist though they have diminished as reports have shown the economy and job market remain resilient.

In energy trading, benchmark U.S. crude added US$1.37 to US$92.85 a barrel in electronic trading on the New York Mercantile Exchange. It rose 71 cents to US$91.48 Monday. That's up from less than US$70 in July. Brent crude, the international standard, rose 85 cents to US$95.28 a barrel.

In currency trading, the U.S. dollar rose to 147.70 Japanese yen from 147.58 yen. The euro cost US$1.0687, down from US$1.0691.

CTVNews.ca ÐÇ¿Õ´«Ã½

Police have arrested an 18-year-old woman who allegedly stole a Porsche and then ran over its owner in an incident that was captured on video.

Since she was a young girl growing up in Vancouver, Ginny Lam says her mom Yat Hei Law made it very clear she favoured her son William, because he was her male heir.

Advocates have identified the woman who died this week after being shot by police in Surrey, B.C., as a South American refugee who was raising a young daughter.

Three men were injured after trying to subdue a man armed with a knife during afternoon prayers at a Montreal-area mosque Friday afternoon.

A 15-year-old boy who was the subject of an emergency alert in New Brunswick has been arrested.

The search for a missing six-year-old boy in Shamattawa is continuing Friday as RCMP hope recent tips can help lead to a happy conclusion.

Provincial police investigating the death of a cat that was allegedly set on fire in Orillia earlier this week released surveillance video of a person of interest in the case.

Local Spotlight

Getting a photograph of a rainbow? Common. Getting a photo of a lightning strike? Rare. Getting a photo of both at the same time? Extremely rare, but it happened to a Manitoba photographer this week.

An anonymous business owner paid off the mortgage for a New Brunswick not-for-profit.

They say a dog is a man’s best friend. In the case of Darren Cropper, from Bonfield, Ont., his three-year-old Siberian husky and golden retriever mix named Bear literally saved his life.

A growing group of brides and wedding photographers from across the province say they have been taken for tens of thousands of dollars by a Barrie, Ont. wedding photographer.

Paleontologists from the Royal B.C. Museum have uncovered "a trove of extraordinary fossils" high in the mountains of northern B.C., the museum announced Thursday.

The search for a missing ancient 28-year-old chocolate donkey ended with a tragic discovery Wednesday.

The Royal Canadian Mounted Police is celebrating an important milestone in the organization's history: 50 years since the first women joined the force.

It's been a whirlwind of joyful events for a northern Ontario couple who just welcomed a baby into their family and won the $70 million Lotto Max jackpot last month.

A Good Samaritan in New Brunswick has replaced a man's stolen bottle cart so he can continue to collect cans and bottles in his Moncton neighbourhood.

Stay Connected