Thursday 25th September 2025: Asian Markets Slip as Powell’s Caution Tempers Rate Cut Optimism

Global Markets:

•  Asian Stock Markets : Nikkei up 0.12%, Shanghai Composite up 0.16%, Hang Seng up 0.31% ASX up 0.12%
• Commodities : Gold at $3,768.25 (0.01%), Silver at $44.255 (0.14%), Brent Oil at $69.04 (-0.39%), WTI Oil at $64.69 (-0.46%)
• Rates : US 10-year yield at 4.142, UK 10-year yield at 4.6720, Germany 10-year yield at 2.7474

News & Data:

• (USD) New Home Sales 800K  to 650K expected
• (USD) Crude Oil Inventoriesc -0.6M  to 0.8M expected

Markets Update:

Asian markets traded mostly lower in sluggish Thursday sessions, mirroring weak cues from Wall Street, as traders remained cautious amid persistent uncertainty over U.S. interest rates, sticky inflation, and a slowing job market. Sentiment was also weighed down by Fed Chair Jerome Powell’s warning that equity prices appear “fairly highly valued” and that aggressive rate cuts could reignite inflation. Still, investors are betting on two more rate cuts this year, with the CME FedWatch Tool showing a 94% chance of a 25-basis-point cut at the October meeting.

In Australia, the S&P/ASX 200 rose 0.24% to 8,785.70, supported by gains in energy stocks, miners, and select banks. Rio Tinto and BHP advanced over 3%, while Woodside Energy climbed more than 2%. Among banks, Westpac gained 1%, though Commonwealth Bank slipped nearly 1%.

Japan’s Nikkei 225 inched up 0.20% to 45,719.71, with automakers and exporters posting small gains. However, tech stocks were weak, with Advantest down 1.5% and Screen Holdings off nearly 2%. Notable movers included Sumitomo Metal Mining, surging almost 7%, while Sumitomo Pharma dropped 4%.

Elsewhere, markets in New Zealand, China, Hong Kong, Singapore, and Malaysia fell modestly, while Indonesia rose 1.1%. Wall Street closed lower overnight, with the Dow slipping 0.4% and the Nasdaq down

Upcoming Events: 

• 12:30 PM GMT – USD Final GDP q/q
• 12:30 PM GMT – USD Unemployment Claims

The post Thursday 25th September 2025: Asian Markets Slip as Powell’s Caution Tempers Rate Cut Optimism first appeared on IC Markets | Official Blog.