---
title: "Stocks Mixed Before Fed; Treasuries Keep Advance: Markets Wrap"
description: "Asian stocks struggled for a clear direction as investors awaited the conclusion of the Federal Reserve’s policy meeting. Treasuries held overnight gains and the dollar steadied."
type: "NewsArticle"
publisher: "Daily Maverick"
site: "https://www.dailymaverick.co.za"
section: "Business Maverick"
author: "Bloomberg"
author_url: "https://www.dailymaverick.co.za/author/bloomberg/"
canonical_url: "https://www.dailymaverick.co.za/article/2020-07-29-stocks-mixed-before-fed-treasuries-keep-advance-markets-wrap/"
published: "2020-07-29T05:03:58"
lang: "en-ZA"
word_count: 420
---

# Stocks Mixed Before Fed; Treasuries Keep Advance: Markets Wrap

> Asian stocks struggled for a clear direction as investors awaited the conclusion of the Federal Reserve’s policy meeting. Treasuries held overnight gains and the dollar steadied.

By Bloomberg · Published 29 July 2020, 07:03 SAST

## Content

Shares slipped in Japan, where Fitch Ratings lowered its outlook on the country’s debt and earnings at Canon Inc. disappointed. Stocks in Hong Kong and South Korea ticked up and those in China outperformed on low volumes. S&P 500 contracts nudged higher after the benchmark closed lower, with worse-than-estimated results from the likes of [McDonald’s Corp.](https://www.bloomberg.com/news/articles/2020-07-28/mcdonald-s-shares-fall-after-reporting-plunge-in-global-sales) and 3M Co. weighing on shares. Gold slipped toward $1,950 an ounce.

Some of the world’s largest companies are reporting earnings this week, and investors are looking for clues on whether a resurgence of Covid-19 around the world will derail a recovery in the economy. A drop in U.S. [consumer confidence](https://www.bloomberg.com/news/articles/2020-07-28/u-s-consumer-confidence-fell-in-july-as-expectations-slumped) added to evidence that the pace of the rebound is cooling as the virus interrupts reopenings in several states.

Meanwhile, the [Fed](https://www.bloomberg.com/news/articles/2020-07-28/fed-extends-emergency-lending-programs-three-months-to-dec-31) extended most of its emergency lending programs by three months, through the remainder of 2020. The U.S. central bank is set to announce its rate decision Wednesday, and the market anticipates a dovish statement.

“There’s enough stimulus and support in the market from a monetary policy perspective, but also from fiscal, and that keeps a nice floor under the market,” said Amanda Agati, chief investment strategist for PNC Financial Services Group. “But we also think it’s going to be very difficult to make a lot of forward progress in this environment.”

Elsewhere, oil steadied after an overnight decline as investors shifted their focus to domestic supply, with expectations for another build in already swelling U.S. stockpiles.

- The Federal Open Market Committee’s announcement is due on Wednesday.
- Earnings include Rio Tinto and Barclays on Wednesday; Thursday brings Apple, Amazon.com, Alphabet, L’Oreal, Credit Suisse and Samsung; Chevron and Caterpillar are set for Friday.
- U.S. second-quarter GDP is expected on Thursday.
- China PMI data comes Friday.

These are some of the main moves in markets:

### Stocks

- S&P 500 futures were little changed as of 11:25 a.m. in Tokyo. The index decreased 0.7%.
- Japan’s Topix index declined 0.8%.
- Hong Kong’s Hang Seng rose 0.4%.
- Shanghai Composite climbed 1%.
- South Korea’s Kospi index rose 0.5%.
- Australia’s S&P/ASX 200 Index fell 0.2%.
- Euro Stoxx 50 futures fell 0.4%.

### Currencies

- The Bloomberg Dollar Spot Index was flat.
- The euro bought $1.1723, up 0.1%.
- The yen was little changed at 105.11 per dollar.
- The offshore yuan traded at 7.0049 per dollar, little changed.

### Bonds

- The yield on 10-year Treasuries remained at 0.58%.
- Australia’s 10-year yield slipped four basis points to 0.87%.

### Commodities

- West Texas Intermediate crude added 0.1% to $41.08 a barrel.
- Gold retreated 0.3% to $1,951.82 an ounce.