Asian Stocks Stumble Amid Fed's Hawkish Stand

Asian stocks fell as the Federal Reserve indicated it would slow rate cuts next year, impacting global markets. The yen dropped post Bank of Japan's steady rate decision. With risks from potential U.S. policies under Trump, the focus is on BOJ's next moves and inflation projections.

Asian markets saw a decline as the U.S. Federal Reserve signaled a cautious approach to interest rate cuts next year. This hawkish stance influenced Wall Street, resulting in significant losses that mirrored across Asian stocks.

The yen weakened after the Bank of Japan maintained its interest rates, while investors anticipate the BOJ's strategies amid a robust U.S. dollar.

Global economic challenges loom with Trump's upcoming presidency, posing risks of inflationary pressures. Central banks are recalibrating policies, considering potential impacts from geopolitical and fiscal changes.

(With inputs from agencies.)