Global Markets in Flux Ahead of Anticipated Federal Reserve Decision

Asian markets showed mixed performance as global investors awaited the Federal Reserve's crucial meeting on interest rates. Japanese stocks fell, while Hong Kong stocks rose. Australia's market saw modest gains. The Fed is expected to cut rates, likely sending ripples through world economies. The Dow and S&P 500 showed mild progress, whereas tech stocks faced declines.

Global markets displayed mixed reactions on Tuesday as the financial world awaits the Federal Reserve's keenly anticipated meeting on interest rates.

Tokyo's Nikkei index dropped by 1% to 36,203.22, while Hong Kong's Hang Seng climbed 1.3% to 17,654.79. Mainland China and South Korea's markets were closed, whereas Australia's S&P/ASX 200 saw a 0.2% rise to reach 8,140.90.

The Federal Reserve is expected to cut its key interest rate for the first time in over four years, potentially easing economic pressures but likely igniting market volatility. On Wall Street, the Dow ascended 228 points to set a new record, closing at 41,622.08. The S&P 500 gained 0.1%, while the Nasdaq composite dipped 0.5%, influenced by declines in major tech stocks such as Apple and Nvidia.

Meanwhile, Oracle surged 5.1% after a strong profit report, and Alcoa saw a 6.1% jump following a stake sale announcement. Additionally, Carl Icahn's enterprises rose significantly after a class-action lawsuit was dismissed. Traders are shifting bets toward a more substantial rate cut, which could provide economic relief but also potentially fuel inflation, raising concerns about a delayed response to economic challenges.

(With inputs from agencies.)