Thursday 19th June 2025: Asia Stocks Fall Amid Fed Pause and Mideast Tensions

Global Markets:

•  Asian Stock Markets : Nikkei up 0.76%, Shanghai Composite down 0.98%, Hang Seng down 1.97% ASX up 0.03%
• Commodities : Gold at $3391.35 (-0.19%), Silver at $36.8 (-0.49%), Brent Oil at $76.38 (0.09%), WTI Oil at $73.48 (0.03%)
• Rates : US 10-year yield at 4.396, UK 10-year yield at 4.5020, Germany 10-year yield at 2.4985

News & Data:

• (USD) Unemployment Claims  245K  to 246K expected
• (USD) Federal Funds Rate  4.5%  to 4.5% expected

Markets Update:

Asia-Pacific markets declined on Thursday, led by Hong Kong’s Hang Seng index, which dropped over 2% as investor sentiment was weighed down by the U.S. Federal Reserve’s decision to keep interest rates steady and ongoing geopolitical tensions between Israel and Iran.

Mainland China’s CSI 300 also fell by 0.78%, while Japan’s Nikkei 225 declined 0.8%, and the broader Topix shed 0.52%. South Korea’s Kospi dipped 0.15%, and Australia’s S&P/ASX 200 remained flat.

In the U.S., President Donald Trump convened his national security team in the White House Situation Room for a second consecutive day. He is reportedly considering a military strike on Iran amid the escalating conflict with Israel, according to a White House official who spoke to NBC News.

The Federal Reserve, as expected, left its benchmark interest rate unchanged at 4.25%–4.5%—a level it has maintained since December. Fed Chair Jerome Powell indicated the committee would wait to evaluate the inflationary effects of Trump’s tariffs before making further monetary policy moves. Nonetheless, the Fed still signaled the possibility of two rate cuts later this year.

On Wall Street, markets ended mixed. The Dow Jones Industrial Average slipped 44.14 points (0.10%) to close at 42,171.66. The S&P 500 edged down 0.03% to 5,980.87, while the Nasdaq Composite rose slightly by 0.13% to 19,546.27.

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The post Thursday 19th June 2025: Asia Stocks Fall Amid Fed Pause and Mideast Tensions first appeared on IC Markets | Official Blog.