Markets in the Asia-Pacific traded higher as the U.S. Federal Reserve said they expect to switch to smaller rate hikes “soon,” according to minutes released on Wednesday.
The Bank of Korea opted for a smaller 25 basis point hike, widely in line with expectations. The Kospi rose 0.54% and the Korean won slightly strengthened against the U.S. dollar to stand at 1,337.9 as the decision was announced.
In mainland China, the Shanghai Composite rose 0.29% while the Shenzhen Component traded marginally lower as Reuters reported large protests at Foxconn’s major iPhone factory in Zhengzhou were under control. Hong Kong’s Hang Seng index rose 0.45%.
Overnight in the U.S., stocks closed higher for a second day on hopes the central bank is seeing progress in its tight to tackle high inflation. Markets stateside are closed on Thursday for the Thanksgiving holiday and will close early on Friday.