Investing.com - Asian shares were mixed on Wednesday with investors focused on the upcoming Federal Reserve review of interest rates for market direction.
Share prices in China rose after Premier Li Keqiang said the development of a multiple-level capital market would continue, aiding bank shares. The Shanghai Composite rose 0.33%, while the Hang Send index was up 0.09%.
The yuan fell against the dollar Wednesday after the People's Bank of China set the fixing weaker for a third consecutive day at 6.5172 compared with Tuesday's
6.5079.
The S&P/ASX 200 fell 0.11%, while the Nikkei 225 fell 0.63%.
Overnight, U.S. stocks closed relatively flat on Tuesday, in spite of continued declines in oil prices, as investors remained cautious ahead of the Federal Reserve's release of its latest monetary policy statement following the completion of its March meeting.
Although the Federal Open Market Committee (FOMC) is widely expected to leave its benchmark interest rate at its current level between 0.25 and 0.50% at the conclusion of its two-day March meeting on Wednesday afternoon, Fed chair Janet Yellen could provide indications on the pace of tightening the U.S. central bank will embark on for the remainder of the year.
The rate decision comes days after the European Central Bank approved a comprehensive set of easing measures last week in an effort to bolster flagging economic growth throughout the euro zone. Any rate hikes this year are viewed as bearish for equities, as market players pile into less risky investments in bonds and U.S. Treasuries in order to capitalize on higher yields.
The Dow Jones Industrial Average gained 22.40 or 0.13% to 17,251.53, while the NASDAQ Composite index fell 21.61 or 0.45% to 4,728.67, despite a strong performance from Apple Inc (NASDAQ:NASDAQ:AAPL) and a host of other major tech stocks.