The Nikkei 225 narrowed its gains around the morning closing level, and afternoon trading is expected to focus on assessing the FOMC's rate hike decision and the BOJ meeting announcement.
In the afternoon session, the Nikkei 225 is expected to narrow its gains from the high reached at the morning open and trade range-bound. With the market conscious of limited upside, buying is expected to remain cautious.
In the U.S. market, the FOMC decided to raise interest rates for the first time in 3 years, and Fed Chair Warsh indicated a hawkish stance at his press conference. Participants' forecasts for additional rate hikes later this year also became clear.
In Japan, the BOJ's announcement of the outcome of its monetary policy meeting and Governor Ueda's press conference are scheduled for tomorrow, and views are spreading that investors want to assess these developments first.
As caution persists over monetary policy, including oil price trends, some market participants expect continued aggressive buying to remain limited.