Oil prices fell to near seven-week lows on Tuesday, with Brent crude futures dropping to $79.36 due to concerns over Chinese demand.According to Investment Guru, Stock markets also showed caution ahead of central bank meetings in the U.S. and Japan, and significant corporate earnings reports.
The S&P 500 stabilized after a two-week decline, with futures dipping 0.4% early in the Asian session. Japan’s Nikkei fell 0.7% in morning trade, and the MSCI Asia-Pacific Index also declined by 0.7%.
Markets do not expect a U.S. rate cut this week but anticipate a dovish tone from the Federal Reserve. In Japan, there is a 60% chance of a 10 basis-point rate hike from the Bank of Japan, along with discussions on reducing the bond-buying program.
Currency markets saw the dollar and yen in compact ranges, while the euro traded at $1.0851 and the Australian dollar at $0.6536. The yen hovered at 153.95 per dollar.
