Asian markets showed varied performances on Wednesday in anticipation of the Federal Reserve’s final interest rate decision for the year. U.S. futures and oil prices experienced an uptick.

In Japan, the Nikkei 225 index fell by 0.7%, closing at 39,081.71, following the release of government data indicating a 3.8% year-on-year increase in exports for November, while imports also declined by the same percentage. Meanwhile, shares of Nissan Motor Corp. saw a significant jump of 23.7% amid news of ongoing discussions with Honda Motor Co. regarding potential collaborative efforts, though no merger decision has been made yet. Conversely, Honda’s shares dipped by 3%. Both Nissan and Honda, along with Mitsubishi Motors Corp., had previously agreed to collaborate on electric vehicle components and to jointly research autonomous driving software to better navigate significant shifts within the automotive industry.

The Japanese yen appreciated as the Bank of Japan’s policy meeting approaches, with expectations that the central bank will maintain its benchmark interest rate. The U.S. dollar fell slightly to 153.39 yen from 153.50 yen.

In Hong Kong, the Hang Seng index increased by 1% to reach 19,897.40, and the Shanghai Composite index rose by 0.6% to 3,382.21. South Korea’s Kospi index climbed 1.1% to 2,484.43, while Australia’s S&P/ASX 200 saw a minor decline of 0.1%, closing at 8,309.40.

On the U.S. front, the S&P 500 experienced a slight drop of 0.4%, ending the session at 6,050.61 but remains close to its record high achieved earlier in the month. The Dow Jones Industrial Average decreased by 0.6% to 43,449.90, and the Nasdaq composite retreated 0.3% from its peak, landing at 20,109.06.

A survey conducted by Bank of America among global fund managers indicated a growing inclination towards U.S. stocks, with managers reducing cash reserves to seize investment opportunities. The survey revealed that fund managers are holding a significantly low proportion of cash in their portfolios, reminiscent of periods in 2002 and 2011 just before market downturns.

The S&P 500 is poised for one of its most successful years since the year 2000, with a nearly 27% increase attributed to the U.S. economy’s remarkable stability, optimism surrounding President-elect Donald Trump’s economic policies, and the Federal Reserve’s easing measures, including interest rate cuts from two-decade highs.

The Fed is anticipated to announce the third interest rate reduction of the year during its meeting on Wednesday, along with expectations regarding future rate trajectories. However, forecasts for additional cuts have recently diminished due to persistent inflation concerns, which have remained above the Fed’s target of 2% despite a significant decline from previous highs over 9%.

A report released on Tuesday indicated that U.S. retail sales were stronger than expected last month, suggesting that the economy may not require further assistance from lowered interest rates. While reduced rates can stimulate growth, they can also aggravate inflation.

Treasury yields remained relatively stable following the retail sales report. The yield on the 10-year Treasury bond stayed at 4.40%, while the two-year yield, sensitive to Fed rate expectations, slightly decreased to 4.24% from 4.25%.

Bitcoin reached a record high of over $108,000 on Tuesday before experiencing a pullback. It surged from around $44,000 at the year’s start, benefitting from speculation that the incoming Trump administration will implement policies favorable to digital currency. As of early Wednesday, Bitcoin traded at $104,272.

In commodity markets, U.S. benchmark crude oil increased by 23 cents to $69.88 per barrel, while Brent crude, the international standard, rose by 20 cents to $73.39 per barrel. Meanwhile, the euro strengthened against the dollar, rising from $1.0491 to $1.0513.