Dollar Holds Losses Ahead of Fed Meeting

TOKYO (dpa-AFX) - The Japanese stock market is trading slightly lower on Monday, extending the losses in the previous session, despite the broadly positive cues from Wall Street on Friday, with the Nikkei 225 falling below the 50,450 level, with weakness is index heavyweights, financial and technology stocks partially offset by gains in automakers and exporter stocks.

The benchmark Nikkei 225 Index is down 54.83 points or 0.11 percent at 50,437.04, after hitting a low of 50,224.65 earlier. Japanese shares ended significantly lower on Friday.

Market heavyweight SoftBank Group is losing more than 2 percent and Uniqlo operator Fast Retailing is edging down 0.2 percent. Among automakers, Honda is edging up 0.1 percent and Toyota is gaining almost 1 percent.

In the tech space, Advantest is declining more than 1 percent, Screen Holdings is edging down 0.4 percent and Tokyo Electron is down almost 1 percent.

In the banking sector, Sumitomo Mitsui Financial is losing almost 1 percent, Mitsubishi UFJ Financial is declining more than 1 percent and Mizuho Financial is edging down 0.5 percent.

The major exporters are mostly higher. Mitsubishi Electric is gaining more than 2 percent, while Panasonic and Canon are adding almost 1 percent each. Sony losing almost 1 percent.

Among the other major losers, Aeon is declining almost 5 percent, Lasertec is losing more than 3 percent and Resonac Holdings is down almost 3 percent.

Conversely, Secom, Fuji Electric and Toppan Holdings are advancing more than 4 percent each, while Japan Steel Works and Mitsubishi Estate are gaining almost 4 percent each. BayCurrent is adding almost 3 percent.

In economic news, Japan's gross domestic product contracted a seasonally adjusted 0.6 percent on quarter in the third quarter of 2025, the Cabinet Office said in Monday's preliminary reading. That missed forecasts for a decline of 0.4 percent following the 0.5 percent increase in the three months prior. On an annualized basis, GDP declined 2.3 percent - again missing expectations for a fall of 2.0 percent following the 2.2 percent gain in the second quarter.

Capital expenditure was down 0.2 percent on quarter, missing forecasts for an increase of 1.0 percent following the 0.6 percent gain in the previous three months. External demand was down 0.2 percent on quarter and private consumption was up 0.2 percent on quarter, while the GDP price index jumped 3.4 percent on year.

Meanwhile, Overall bank lending in Japan was up 4.2 percent on year in November, the Bank of Japan said on Monday - coming in at 652.547 trillion yen. That exceeded expectations for an increase of 4.0 percent and was up from 4.1 percent in October. Excluding trusts, lending was up 4.5 percent at 573.647 trillion yen - accelerating from 4.4 percent in the previous month.

In the currency market, the U.S. dollar is trading in the lower 155 yen-range on Monday.

On Wall Street, stocks saw modest strength during trading on Friday after ending Thursday's choppy trading session little changed. With the upward move, the Nasdaq and the S&P 500 reached their best closing levels in a month.

The major averages gave back ground after an early advance but remained in positive territory. The Dow rose 104.05 points or 0.2 percent to 47,954.99, the Nasdaq climbed 72.99 point or 0.3 percent to 23,578.13 and the S&P 500 increased 13.28 points or 0.2 percent to 6,870.40.

Meanwhile, the major European markets also turned mixed on the day. While the German DAX Index climbed by 0.6 percent, the French CAC 40 Index edged down by 0.1 percent and the U.K.'s FTSE 100 Index fell by 0.5 percent.

Crude oil prices edged higher on Friday on persistent geopolitical tension due to the Russia-Ukraine war and the U.S.-Venezuela standoff. West Texas Intermediate crude for January delivery was up $0.35 or 0.59 percent at $60.02 per barrel.

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The benchmark KOSPI rose by 0.22% to around 4,108 on Monday, extending gains for another session as investors await this week’s US Federal Reserve policy decision.

Optimism grew ahead of the Fed’s expected 0.25% rate cut at Tuesday’s two-day meeting.

Large-cap stocks were mixed, with Samsung Electronics (0.37%), LG Energy Solution (2.82%), and Hanwha Aerospace (2.35%) leading the gains.

In contrast, SK Hynix (-1.47%), Doosan Enerbility (-4.17%), KB Financial (-1.91%), and Shinhan Financial (-2.49%) recorded losses.

LG Energy Solution shares advanced after announcing a seven-year, KRW 2.06 trillion supply deal with Mercedes-Benz AG. Samsung Electronics shares also firmed after market data indicated the company is set to regain global DRAM sales leadership in Q4.

In contrast, financial shares declined amid expectations of lower interest income this year, projected to fall 4% to a combined KRW 101.47 trillion, marking the first annual drop for major lenders in five years.

The benchmark KOSPI rose by 0.22% to around 4,108 on Monday, extending gains for another session as investors await this week’s US Federal Reserve policy decision.

Optimism grew ahead of the Fed’s expected 0.25% rate cut at Tuesday’s two-day meeting.

Large-cap stocks were mixed, with Samsung Electronics (0.37%), LG Energy Solution (2.82%), and Hanwha Aerospace (2.35%) leading the gains.

In contrast, SK Hynix (-1.47%), Doosan Enerbility (-4.17%), KB Financial (-1.91%), and Shinhan Financial (-2.49%) recorded losses.

LG Energy Solution shares advanced after announcing a seven-year, KRW 2.06 trillion supply deal with Mercedes-Benz AG. Samsung Electronics shares also firmed after market data indicated the company is set to regain global DRAM sales leadership in Q4.

In contrast, financial shares declined amid expectations of lower interest income this year, projected to fall 4% to a combined KRW 101.47 trillion, marking the first annual drop for major lenders in five years.

BEIJING (dpa-AFX) - The China stock market on Friday ended the three-day losing streak in which it had dropped more than 55 points or 1.5 percent. The Shanghai Composite Index now sits just above the 3,900-point plateau and it may see additional support on Monday.

The global forecast for the Asian markets is upbeat on optimism over the outlook for interest rates. The European markets were mixed and the U.S. bourses were up and the Asian markets figure to split the difference.

The SCI finished modestly higher on Friday following gains from the resource stocks, losses from the oil companies and mixed performances from the financial shares and property stocks.

For the day, the index added 27.01 points or 0.70 percent to finish at 3,902.81 after trading between 3,863.31 and 3,907.78. The Shenzhen Composite Index

Among the actives, Industrial and Commercial Bank of China sank 0.75 percent, while Bank of China slumped 1.19 percent, Agricultural Bank of China skidded 1.01 percent, China Merchants Bank collected 0.53 percent, Bank of Communications fell 0.27 percent, China Life Insurance soared 4.61 percent, Jiangxi Copper surged 5.38 percent, Aluminum Corp of China (Chalco) rallied 4.68 percent, Yankuang Energy shed 0.36 percent, PetroChina declined 1.10 percent, China Petroleum and Chemical (Sinopec) dipped 0.17 percent, Huaneng Power was down 0.50 percent, China Shenhua Energy slipped 0.53 percent, Gemdale advanced 0.92 percent, Poly Developments improved 0.77 percent and China Vanke lost 0.40 percent.

The lead from Wall Street is positive as the major averages opened higher on Friday and bounced up and down all day but always remained in the green.

The Dow added 104.05 points or 0.22 percent to finish at 47,954.99, while the NASDAQ gained 72.99 points or 0.31 percent to close at 23,578.13 and the S&P 500 rose 13.28 points or 0.19 percent to end at 6,870.40.

For the week, the NASDAQ added 0.9 percent, the Dow climbed 0.5 percent and the S&P rose 0.3 percent.

The modest strength on Wall Street followed the release of closely watched consumer price inflation data that was in line with estimates, reinforcing recent optimism about the outlook for interest rates ahead of this week's Federal Reserve meeting.

CME Group's FedWatch Tool is indicating an 87.2 percent chance the Fed will lower interest rates by another quarter point this week.

Crude oil prices edged higher on Friday on persistent geopolitical tension due to the Russia-Ukraine war and the U.S.-Venezuela standoff. West Texas Intermediate crude for January delivery was up $0.35 or 0.59 percent at $60.02 per barrel.

Closer to home, China will release November numbers for imports, exports and trade balance later today. In October, imports were up 1.0 percent and exports slipped an annual 1.1 percent for a trade surplus of $90.07 billion.

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BEIJING (dpa-AFX) - The China stock market on Friday ended the three-day losing streak in which it had dropped more than 55 points or 1.5 percent. The Shanghai Composite Index now sits just above the 3,900-point plateau and it may see additional support on Monday.

The global forecast for the Asian markets is upbeat on optimism over the outlook for interest rates. The European markets were mixed and the U.S. bourses were up and the Asian markets figure to split the difference.

The SCI finished modestly higher on Friday following gains from the resource stocks, losses from the oil companies and mixed performances from the financial shares and property stocks.

For the day, the index added 27.01 points or 0.70 percent to finish at 3,902.81 after trading between 3,863.31 and 3,907.78. The Shenzhen Composite Index

Among the actives, Industrial and Commercial Bank of China sank 0.75 percent, while Bank of China slumped 1.19 percent, Agricultural Bank of China skidded 1.01 percent, China Merchants Bank collected 0.53 percent, Bank of Communications fell 0.27 percent, China Life Insurance soared 4.61 percent, Jiangxi Copper surged 5.38 percent, Aluminum Corp of China (Chalco) rallied 4.68 percent, Yankuang Energy shed 0.36 percent, PetroChina declined 1.10 percent, China Petroleum and Chemical (Sinopec) dipped 0.17 percent, Huaneng Power was down 0.50 percent, China Shenhua Energy slipped 0.53 percent, Gemdale advanced 0.92 percent, Poly Developments improved 0.77 percent and China Vanke lost 0.40 percent.

The lead from Wall Street is positive as the major averages opened higher on Friday and bounced up and down all day but always remained in the green.

The Dow added 104.05 points or 0.22 percent to finish at 47,954.99, while the NASDAQ gained 72.99 points or 0.31 percent to close at 23,578.13 and the S&P 500 rose 13.28 points or 0.19 percent to end at 6,870.40.

For the week, the NASDAQ added 0.9 percent, the Dow climbed 0.5 percent and the S&P rose 0.3 percent.

The modest strength on Wall Street followed the release of closely watched consumer price inflation data that was in line with estimates, reinforcing recent optimism about the outlook for interest rates ahead of this week's Federal Reserve meeting.

CME Group's FedWatch Tool is indicating an 87.2 percent chance the Fed will lower interest rates by another quarter point this week.

Crude oil prices edged higher on Friday on persistent geopolitical tension due to the Russia-Ukraine war and the U.S.-Venezuela standoff. West Texas Intermediate crude for January delivery was up $0.35 or 0.59 percent at $60.02 per barrel.

Closer to home, China will release November numbers for imports, exports and trade balance later today. In October, imports were up 1.0 percent and exports slipped an annual 1.1 percent for a trade surplus of $90.07 billion.

Copyright(c) 2025 RTTNews.com. All Rights Reserved

Copyright RTT News/dpa-AFX

The Nikkei 225 Index slipped 0.1% to around 50,400 while the Topix Index rose 0.25% to 3,370 on Monday, with Japanese shares showing mixed performances as caution dominated sentiment.

Investors assessed data showing real wages fell for the tenth straight month and Q3 economic growth contracted more sharply than initially reported, complicating expectations that the Bank of Japan could raise interest rates next week.

Supportive bets that the US Federal Reserve will cut rates this week helped limit downside pressure.

Geopolitical tensions also weighed on sentiment after Japan said a Chinese fighter aircraft trained fire-control radar on Japanese military jets for the first time.

Notable decliners included SoftBank Group (-1.7%), Lasertec (-3.9%) and Advantest (-2%), while Kioxia Holdings (2.7%), Fujikura (5.2%) and Mitsubishi Heavy (1.9%) posted strong gains.