Asian Shares Mixed As Trump-Xi Summit Concludes

(RTTNews) - Asian stocks turned in a mixed performance on Thursday after Federal Reserve Chair Jerome Powell indicated that further interest rate cuts are not guaranteed.

The Bank of Japan left interest rate unchanged as expected but hinted at future hikes as inflation remains above target.

The meeting between U.S. President Donald Trump and Chinese President Xi Jinping concluded, with Trump saying there will be a trade deal "pretty soon".

Trump announced that he would reduce fentanyl tariffs on China by from 20 percent to 10 percent, helping calm immediate tensions.

China's state media quoted Xi as saying that a 'consensus' was reached with Trump on trade issues.

China's Shanghai Composite index fell 0.73 percent to 3,986.90 and Hong Kong's Hang Seng index dipped 0.24 percent to 26,282.69 as the high-stakes Xi-Trump meeting lacked surprises and Trump said Nvidia's Blackwell AI chips weren't discussed with Xi Jinping.

Japanese markets ended on a flat note after the Bank of Japan kept interest rates on hold. The Nikkei finished marginally higher at 51,325.61, notching a record high earlier on the back of a weaker yen. The broader Topix index settled 0.69 percent higher at 3,300.79.

Seoul stocks ended slightly higher as the United States and South Korea concluded a $350 billion trade agreement and Samsung Electronics delivered strong Q3 earnings.

The $350 billion trade agreement features significant tariff reductions and investment commitments. The Kospi average edged up by 0.14 percent to 4,086.89, notching another record high. Shares of Samsung Electronics surged 3.6 percent.

Australian markets ended lower for a third straight session as investors continued to scale back expectations of an interest rate cut by the Reserve Bank of Australia.

The benchmark S&P/ASX200 dropped 0.46 percent to 8,885.50, with real estate and consumer discretionary stocks pacing the declines. The broader All Ordinaries index ended down 0.43 percent at 9,178.90.

Across the Tasman, New Zealand's benchmark S&P/NZX-50 index rose 0.37 percent to 13,459.29, reaching its highest level in nearly three weeks.

Gold edged up after four days of losses as the dollar eased slightly after reaching a two-week high Wednesday. Oil prices fell about 1 percent ahead of OPEC+ supply decision.

Overnight, U.S. stocks fluctuated before ending mixed after the Fed lowered interest rates by another quarter point, as widely expected, and said it will halt quantitative tightening program amid signs of stress in money markets.

However, Chair Jerome Powell cautioned that a further reduction in rates in December is "not a foregone conclusion," noting officials had "strongly differing views about how to proceed" at the final meeting of the year.

Powell also highlighted the high level of uncertainty due to government shutdown delaying key data and said there's a "growing chorus" that feels the Fed should "wait a cycle" to continue cutting rates.

The tech-heavy Nasdaq Composite gained 0.6 percent to reach a new record closing high after President Trump said he would discuss the sale of Nvidia's Blackwell chips in his highly anticipated meeting with Chinese President Xi Jinping on Thursday. The S&P 500 finished marginally lower and the Dow slid 0.2 percent.