Asian Stocks Mixed as Investors Await Fed, BOJ Decisions

Asian stocks showed mixed results, with Japan`s Nikkei 225 dropping significantly while markets in Australia and Hong Kong made gains. This comes as investors await interest rate decisions from both the US Federal Reserve and the Bank of Japan later this week. The US dollar stabilized after recent losses, fueled by expectations of a potential 0.5 percentage point interest rate cut by the Federal Reserve. Market watchers are divided on the size of the cut, with predictions ranging from 0.25 to 0.5 percentage points, based on recent signs of a weakening US economy and persistent inflation. Meanwhile, the debut of Chinese appliance giant Midea Group Co. boosted the Hong Kong stock market, offering a glimmer of hope for the struggling market. However, concerns linger about the Chinese economy`s slowdown, putting pressure on authorities to implement stronger stimulus measures to achieve growth targets. Adding to these concerns are potential US tariffs on Chinese imports, including medical products, which have benefited Malaysian glove manufacturers.