Asian Shares Mostly Fall, Gold Jumps After Fed Keeps Rates Unchanged

Investors take a wait-and-see approach following the Federal Reserve's decision to hold interest rates steady.

Jan. 28, 2026 at 10:15pm

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Asian shares mostly fell on Thursday as investors adopted a cautious stance following the Federal Reserve's decision to keep its key interest rate unchanged. Gold prices jumped more than 4%, trading at $5,520 per ounce, while silver was up 3.5%. The U.S. dollar weakened against the Japanese yen, and oil prices rose. Some technology companies reporting strong earnings failed to lift shares in Tokyo, where the Nikkei 225 lost 0.2% in morning trading.

Why it matters

The Federal Reserve's decision to hold interest rates steady has led to a mixed reaction in Asian markets, with investors taking a cautious approach. The performance of Asian shares and the movements in commodities like gold and oil are closely watched as indicators of global economic sentiment and the potential impact of the Fed's monetary policy decisions.

The details

Asian shares mostly fell on Thursday, with the Nikkei 225 in Tokyo losing 0.2% despite some strong earnings reports from technology companies. The Kospi in South Korea surged 0.9% to a fresh record high, while the Hang Seng in Hong Kong added 0.3%. The Shanghai Composite index, however, lost 0.1%. The S&P/ASX 200 in Australia shed 0.6%, and the JSX in Indonesia sank 7.4% after a warning from the MSCI about market risks in the country.

  • The Federal Reserve's decision to keep interest rates unchanged was announced on Wednesday.

The players

Federal Reserve

The central banking system of the United States, responsible for monetary policy and regulating the country's financial system.

Jerome Powell

The current Chair of the Federal Reserve, appointed in 2018.

Advantest

A Japanese company that manufactures semiconductor and component test equipment.

SK Hynix

A South Korean semiconductor company and one of the world's largest manufacturers of dynamic random-access memory (DRAM) chips.

MSCI

A U.S. provider of global equity, fixed income, and real estate indices.

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What they’re saying

“Interest rates look to be 'in a good place' for now.”

— Jerome Powell, Chair of the Federal Reserve (Associated Press)

What’s next

Investors will be closely watching the earnings reports from major Japanese companies like Toyota Motor Corp., Sony Corp., and Nintendo Co., which are scheduled to be released next week.

The takeaway

The Federal Reserve's decision to hold interest rates steady has led to a mixed reaction in Asian markets, with investors taking a cautious approach. The performance of Asian shares and the movements in commodities like gold and oil will continue to be closely watched as indicators of global economic sentiment and the potential impact of the Fed's monetary policy decisions.