FX.co ★ Asian Markets Mixed In Thin Holiday Trading

Asian stock markets showcased mixed results during Wednesday's holiday trading, following vague cues from Wall Street the night before. Traders anxiously anticipate the release of critical US inflation data which could greatly affect interest rate projections. The inflation figures are integral to interest rate predictions as US Federal Reserve officials continuously express the need for more substantial evidence of decelerating inflation before they consider reducing rates.

The minutes from the Fed's most recent monetary policy meeting will also be released on Wednesday and could provide further insight into officials' opinion on interest rates.

Australian shares experienced modest growth on Wednesday. The benchmark S&P/ASX 200 remained above the 7,800 level, following inconsistent cues from Wall Street overnight. The index closed with gains hailing from iron ore miners due to increased metal prices and technology stocks.

The S&P/ASX 200 Index was up by 42.30 points or 0.54 percent to 7,866.50, after reaching a high of 7,869.30. The broader All Ordinaries Index rose by 46.30 points or 0.57 percent to 8,127.50. Major miners, such as Mineral Resources and Rio Tinto, experienced gains of more than 1 percent each.

Oil stocks presented mixed results. Santos dropped by 0.4 percent and Woodside Energy fell more than 1 percent, while Origin Energy rose almost 1 percent and Beach energy climbed 0.3 percent. In the technology sector, notable movements included Afterpay owner Block rising nearly 1 percent, Appen soaring almost 10 percent, and Zip increasing more than 2 percent.

Among the big four banks, Commonwealth Bank dropped by 0.2 percent, while Westpac and National Australia Bank saw slight increases. ANZ Bank remained steady. Some gold miners, such as Evolution Mining and Northern Star Resources, experienced slight declines, whereas Newmont rose close to 1 percent. The Aussie dollar traded at $0.663 on Wednesday.

The Japanese stock market fell modestly on Wednesday. The Nikkei 225 dropped below the 39,700 level due to losses in financial and heavyweight stocks. Notable technology sector movements displayed Advantest dropping almost 1 percent while Tokyo Electron rose 0.5 percent.

In the banking sector, Mizuho Financial, Sumitomo Mitsui Financial, and Mitsubishi UFJ Financial saw losses of close to 1 percent each. Among the major exporters, Sony and Panasonic experienced minor gains, while Canon and Mitsubishi Electric experienced negligible losses.

Reports indicated that Japan's producer prices rose by 0.2 percent in March, according to the Bank of Japan. However, this increase was less than the predicted 0.3 percent rise and remains consistent with February's data.

Overall bank lending in Japan rose 3.2 percent in March on a yearly basis, exceeding the anticipated 3.1 percent increase. The U.S. dollar traded in the higher 151 yen-range on Wednesday.Within the Asian market, Hong Kong saw an increase of 1.6 percent, paralleled by a rise of 0.3 percent each in New Zealand and Taiwan. Conversely, China experienced a slight decrease at 0.4 percent. South Korea's market was closed due to Election Day, along with Malaysia, Singapore, and Indonesia due to the observance of Eid-ul-Fitr.

Observing Wall Street, Tuesday's trading session was marked by considerable volatility, stemming from the modest performance on Monday. The day was characterized by much fluctuation as the Nasdaq and the S&P 500 managed to close with some gains. Specifically, the Nasdaq experienced a rise of 52.68 points or 0.3 percent, leading to a final score of 16,306.64, while the S&P 500 saw a minor increase of 7.52 points or 0.1 percent, closing at 5,209.91. However, the Dow ended the day with a slight dip, decreasing 9.13 points or under a tenth of a percent to land at 38,883.67.

Contrastingly, the major European markets did not perform well for the day. The German DAX Index saw a noteworthy decline of 1.3 percent, while the French CAC 40 Index descended by 0.9 percent. The United Kingdom's FTSE 100 Index also saw a dip, albeit a minor one at 0.1 percent.

Turning to commodities, crude oil prices experienced a drop on Tuesday, marking a slump for two consecutive sessions. This came as traders evaluated the potential of substantial progression in the ceasefire talks of Gaza. The West Texas Intermediate Crude oil futures for May dropped $1.20 or 1.4 percent, rounding off at $85.23 a barrel.