Markets in Asia dropped in its previous close after it tracked minimal declines in the United States last night. Traders anticipate the Reserve Bank of Australia (RBA) decision in terms of monetary policy.
In the Down Under, the S&P/ASX 200 was down 0.24 percent with majority of its sectors trading lower. It was down by 0.6 percent and major Australian Bank’s shares eased; Westpac dropped 0.71 percent, ANZ slid 0.5 percent, National Australia Bank plunged 0.49 percent, while the Commonwealth Bank was lower by 0.57 percent.
The Aussie dollar dropped from levels above $0.7650 after it traded at $0.7604 at 8:06 a.m. Japanese benchmark Nikkei 225 edged down by 0.7 percent. South Korean Kospi was lower by 0.24 percent.
The Reserve Bank of Australia is scheduled to report its monetary policy judgement at 2:30 p.m., where most of financial experts expect the central bank to keep the cash rate at 1.50 percent. According to a National Australia Bank economist Tapas Strickland, the RBA board conference is forecasted to be on hold, while markets will be eyeing to the post conference remarks.
Meanwhile in the currency market, the U.S. dollar was at 100.47 in previous trade against its opposing currencies. The Japanese yen traded 110.63 versus the dollar, bolstering from levels above 111.0 and could possibly put pressure on the export stocks in Japan. Nissan was lower by 2.75 percent, Honda dropped 2.42 percent and Toyota edged lower by 1.03 percent.
In Japan’s other export stocks, shares of Toshiba declined 5.03 percent on Tuesday. The Japanese automaker would likely to slip on its third deadline to report its quarterly business outcomes.
Taiwanese and Chinese markets are closing its doors for public holidays on Tuesday.