At 8:47 in the morning on Wednesday, the Nifty 50 Futures that are traded on the Singapore-based Exchange SGX, which is an early indicator for the Nifty50, traded 0.44% or 84.5 points down. This suggests that Dalal Street would open at a lower level.
In addition, the Dow Jones Futures had a gain of 0.13% while the Nasdaq 100 Futures remained unchanged.
On Tuesday, major US indices dropped by more than one percent due to renewed concerns over the financial system, which pulled the shares of regional banks lower.
At the same time, investors worked around figuring out the duration of how much longer the Fed would continue to hike interest rates despite concerns that it will push the economy into a recession. Investors are concerned that higher interest rates will push the economy into a recession.
On Wednesday, the US Federal Reserve is going to release its monetary policy statement. This will be followed by the central bank’s clues on whether or not there will be other rate hikes in the future.
Investors are waiting to find out whether or not this will be the last rate boost the Fed implements for the time being or whether or not there will be additional raises in the future.
The S&P 500 index sank by 1.16%, while the Nasdaq Composite and the Dow Jones each fell by 1.08%.
After plunging in early trade on Wednesday over signals of a faltering economy and in anticipation of a major Fed policy announcement today, shares in Asia were mixed for the remainder of the trading day.
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At 8:44 in the morning, the KOSPI in South Korea dropped 0.75 percent, the Nikkei 225 in Japan rose 0.12 percent, the Hang Seng index in Hong Kong dropped 1.7%, the Shanghai Composite in China rose 1.14%, and the ASX 200 in Australia dropped 1.11%.
On Wednesday, the price of a barrel of oil remained unchanged, with Brent crude trading at $75.34 per barrel and WTI Futures trading at $71.63 per barrel respectively. The price of natural gas futures increased by 0.36 percent.