Hong Kong, Mainland Stock Markets Tumble

Hong Kong shares tumbled more than 1 percent on Wednesday ahead of a key Federal Reserve decision, while Chinese telecoms equipment maker ZTE was pummelled as it began trading again after a two-month suspension.

The Hang Seng Index fell 1.2 percent, to close at 30,725.

ZTE shares plunged more than 40 percent resumed trading after the company agreed to pay a massive fine over its handling of a US sanctions violation.

On the mainland, the Shanghai Composite Index gave up 1 percent, to 3,049 and the Shenzhen Composite Index dropped 1.6 percent, to 1,731.

Sydney dropped 0.5 percent and Singapore was one percent lower. There were also losses in Manila and Bangkok, though Wellington and Taipei rose slightly.

The US dollar continues to enjoy support against most other currencies ahead of the Fed decision, with the pound hamstrung by British Prime Minister Theresa May's Brexit struggles after she made some big compromises to push through key legislation.

The euro is also slightly weaker ahead of the European Central Bank's own policy meeting on Thursday, where it is seen discussing winding in its crisis-era bond-buying stimulus. (AFP)