Asian investors cautiously await Fed rate decision

Sydney Investors in Asian markets shy away from major spending Monday ahead of upcoming global central bank meetings. 13 currency watchdogs, above all the US Federal Reserve, determine the further course against inflation this week.

“How high will the policy rate ultimately need to be?” said Jan Hatzius of Goldman Sachs. “Our answer is: high enough to trigger a tightening of financial conditions that will slow down economic activity enough to keep the growth path solidly below potential He expects the Fed to hike rates by 75 basis points on Wednesday, followed by two half-point hikes in November and December.

The Shanghai stock exchange was down 0.6 percent. The index of the most important companies in Shanghai and Shenzhen lost 0.3 percent. The stock exchanges in Japan remained closed for a public holiday on Monday.