Asian stocks rise ahead of Fed

Asian stocks were mostly higher on Tuesday as U.S. inflation forecasts were down and the Nikkei hit new highs for 2023. Asia-Pacific stocks were broadly higher on Tuesday ahead of the U.S. inflation report and a two-day meeting by the Federal Reserve later in the day. The central bank is expected to hold interest rates steady for the first time in 15 months, while the annual outlook for inflation in a New York Fed survey pointed to a two-year low. Japan’s Nikkei 225 was 1.61 percent higher to hit new highs for 2023, while the Topix was 1.05 percent higher. South Korea’s Kospi rebounded to rise 0.31 percent and the Kosdaq also rose 0.89 percent. Australia’s S&P/ASX 200 returned from a public holiday and was up slightly. Hong Kong’s Hang Seng index snapped a four-day winning streak to start Tuesday down 0.47 percent, while mainland Chinese markets were more mixed. The Shanghai Composite Index fell 0.2 percent, while the Shenzhen Component rose marginally.