Asian Equities Edged Higher Before the Fed – Asia Market Wrap

Asian equities edged higher in range-bound trading as investors awaited the Federal Reserve’s final policy announcement of the year.

A regional stock index gained 0.3% following a three-day loss, with advances in Hong Kong and mainland China offsetting drops in Japan and Australia. US futures edged higher after the S&P 500 and Nasdaq 100 fell 0.4% on Tuesday.

Nissan stock surged as high as 24%, the largest since at least 1974, on speculation that the struggling automaker is considering a merger with Honda. The latter’s stock had slipped.

While the Fed is widely expected to lower interest rates by another 25 basis points on Wednesday, the attention is on its prognosis for next year, given Donald Trump’s proposed plans, which might reignite inflation. The central bank’s meeting comes as US economic data offer a mixed picture, with retail sales rising at a rapid rate but industrial production unexpectedly falling.