Asian stocks steady in runup to Fed, oil declines

Asian equities steadied in the days leading up to the Federal Reserve's interest rate decision, with markets anticipating the first hike since 2023. MSCI's regional equities gauge climbed 0.1%, with five out of 11 subgroups advancing. Energy prices declined, bolstering gains in regional bonds. Oil prices dropped, supporting gains in bonds.

S&P 500 futures remained unchanged at 10.43 am Tokyo time. Japan's Topix surged 0.8%, Australia's S&P/ASX 200 held steady, Hong Kong's Hang Seng fell 0.3%, and the Shanghai Composite dropped 0.3%. Brent crude oil prices fell 0.4% to just above $108 a barrel after rising almost 20% this month. Treasury futures stabilized before the Fed's announcement on Wednesday (Sep 16), while government bonds opened higher in Australia and New Zealand.

Higher interest rates could dampen the appeal of non-yielding assets like gold, which fell for the third consecutive day to trade around $4,290 an ounce. The US Senate blocked a crypto market structure bill, causing Bitcoin to slide further to around $75,600. Central bank decisions, particularly from the Fed, the UK, and Japan, will shape the monetary policy outlook for the remainder of 2026.