Asia-Pacific markets live: Fed, Bank Negara Malaysia

Asia-Pacific markets were set to mostly climb, tracking Wall Street gains after the U.S. Federal Reserve expectedly kept rates unchanged.

Japan’s benchmark Nikkei 225 is set to open higher, with the futures contract in Chicago at 37,010 while its counterpart in Osaka last traded at 36,960, against the index’s last close of 36,779.66.

Futures for Hong Kong’s Hang Seng index stood at 22,466, higher than HSI’s last close of 22,691.88.

Australia’s benchmark S&P/ASX 200 is set to rise with futures standing at 8,188, up from the index’s close of 8,178.3.

The Federal Open Market Committee held its benchmark overnight borrowing rate in a range between 4.25% to 4.5%, where it has been since December. The decision was largely expected.

Federal Reserve Chair Jerome Powell warned in his press conference that if the significant tariff hikes already announced remain at current levels, they could lead to a slowdown in economic growth and an uptick in long-term inflation.

Investors are also eagerly waiting for updates on the upcoming U.S.-China trade talks. U.S. Treasury Secretary Scott Bessent and his Chinese counterpart are set to meet in Switzerland this week to address trade and economic issues.

U.S. futures were relatively unchanged on the heels of the expected Federal Reserve’s decision even as it highlighted rising inflation and unemployment risks.

S&P 500 futures traded down by 0.1%, along with Nasdaq-100 futures. Futures tied to the Dow Jones Industrial Average dropped 42 points, or 0.1%.

Overnight stateside, the three major averages closed higher. The S&P 500 rose during choppy trading, adding 0.43% to close at 5,631.28 while the Nasdaq Composite gained 0.27% to end at 17,738.16. The Dow Jones Industrial Average climbed 284.97 points, or 0.70%, and settled at 41,113.97. 

— CNBC’s Pia Singh and Alex Harring contributed to this report.