Global market update: Asian markets dip at open, RBA minutes, EU inflation on tap

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Investing.com - Asian markets opened lower on Tuesday after U.S. stocks saw minimal changes, with investors turning their attention to the future of interest rates.

As of 10:10am AEST (12:10am GMT), the S&P/ASX 200 was 0.2% lower while ASX 200 Futures were trading flat. Meanwhile, the Nikkei 225 fell 0.8% and the KOSPI 200 ticked 0.1% higher.

During Monday's US session the Dow Jones Industrial Average, S&P 500, and NASDAQ Composite remained little changed, with major Australian miners BHP (ASX:BHP) Group Ltd ADR (NYSE:BHP) and Rio Tinto ADR (NYSE:RIO) posting slight declines. Tesla Inc (NASDAQ:TSLA) saw a 3.3% decline, while Apple Inc (NASDAQ:AAPL) saw a 1.7% increase, and Amazon.com Inc (NASDAQ:AMZN) fell by 0.3%.

The Australian dollar saw a minor increase, while the US Dollar Index saw a slight decrease. Bitcoin saw a 1.2% increase, briefly exceeding $US27,000. The yield on the United States 10-Year note dropped by 3 basis points to 4.30%.

Market traders anticipate the Federal Reserve to maintain the current interest rate at 5.25% to 5.5% during its Wednesday meeting. The likelihood of another pause in November is estimated at around 70.3% according to the Fed Rate Monitor Tool.

JPMorgan (NYSE:JPM) strategists noted a clear difference between the recent European rate hikes and the expected pause by the Federal Reserve, aligning with previous decisions by the Bank of Canada and the Reserve Bank of Australia. They emphasized the common message across central banks guiding towards a 'high for long' pause.

Apple Inc's (NASDAQ:AAPL) rally had a stabilizing effect on the tech sector. Wedbush Securities noted that pre-orders for the new iPhone 15 are tracking stronger than expected, which gives them increased confidence in the sales of the new model.

Arm Holdings ADR (NASDAQ:ARM) experienced a significant decline, falling as much as 9.4% on its third trading day. Analyst Sara Russo suggested that while Arm is expected to benefit from AI growth, it's too early to declare them a winner in this field.

Today's agenda includes the RBA board meeting minutes as well as key Eurozone CPI data.

In commodities, Citigroup (NYSE:C) analysts predict that geopolitical events, coupled with technical trading, could briefly push oil prices over $US100. However, they also foresee a progressive loosening on the horizon. Elsewhere, coffee prices have risen for the third consecutive day due to extreme heat in Brazil posing a risk to the next crop and the strength of Brazil's currency reducing sellers' desire to export.