Asian equities ended mixed on Thursday as investors reacted to the end of quantitative easing in the U.S. and the region's latest earnings.
The U.S. central bank ended its historic monthly bond purchase program on Wednesday, as widely expected. However, it maintained that interest rates will remain near zero for a considerable period of time. In its accompanying policy statement, the Fed upgraded its outlook for the labor market, which some analysts take as a sign that the bank is focusing on an interest rate rise.
"Today's statement from does not lend credence to the idea that the first rate increase is off the table for June 2015. Yields, which have dropped recently simply do not reflect the Fed's current forecasts. In the absence of a major deterioration in macro or financial conditions, today's statement primes the market for further hawkish guidance at the next FOMC meeting," said Erik Weisman, fixed income portfolio manager at MFS Investment Management.
Wall Street shares posted modest losses, rebounding from session lows, following the decision.