SINGAPORE- Asian stocks wobbled while the dollar held firm on Tuesday as traders braced for a slate of central bank meetings this week that is likely to see the US Federal Reserve deliver a rate cut and the Bank of Japan stand pat for now.
Bitcoin the best-known and the biggest cryptocurrency, remained nestled near the record high of $107,821 it touched on Monday. It was last at $106,572.
The crypto market has been on a tear since the US election in early November as traders wager the incoming Trump administration will usher in a friendlier regulatory environment. Bitcoin is up 150 percent in 2024.
In stock markets, Australian shares rose 0.82 percent, with Japan’s Nikkei down 0.15 percent and tech-heavy Taiwan stocks 0.3 percent higher.
That left MSCI’s broadest index of Asia-Pacific shares outside Japan down 0.3 percent. Still, the index is set for a 10 percent gain for the year, its strongest yearly performance since 2020.
Futures indicated a subdued opening for European stock markets, with Eurostoxx 50 futures down 0.16 percent, German DAX futures off 0.06 percent and FTSE futures 0.24 percent weaker.
Data on Monday showed China’s consumption slowed more than expected in November, pushing stocks lower. On Tuesday, Hong Kong’s Hang Seng Index fell 0.6 percent, while mainland stocks eased 0.57 percent.
“More stimulus measures are desperately needed,” said Tony Sycamore, market analyst at IG, noting that China’s housing market remains fragile despite recent policy support.
“However, those measures are unlikely to come until after the details of US tariffs China are revealed early next year,” Sycamore said.
Chinese leaders agreed last week to raise the budget deficit to 4 percent of gross domestic product next year, its highest on record, while maintaining an economic growth target of around 5 percent, two sources with knowledge of the matter told Reuters.
