Asian Stocks Stumble on Fed Rate Hike Expectations

Asian stocks struggled on September 16 as investors prepared for an expected interest rate hike by the US Federal Reserve later in the day.

The Fed's decision, widely tipped to be a rate hike for the first time since 2023, has dealt a blow to a rally in global equities that saw several markets hit record highs in the first half of the year.

Inflation remains a concern, with prices running well above the central bank's target and the Middle East crisis keeping crude oil above $100 a barrel.

Fed boss Kevin Warsh's hawkish speech at Jackson Hole in August ramped up bets on an interest rate increase, and data showing strong jobs creation and stubbornly high inflation have cemented expectations.