(fxcue news) - The China stock market on Wednesday snapped the three-day winning streak in which it had advanced almost 85 points or 2.6. The Shanghai Composite now sits just beneath the 3,365-point plateau although it may bounce higher again on Thursday. The global forecast for the Asian markets is upbeat on an improved outlook for interest rates, although geopolitics may limit the upside. The European and U.S. markets were up and the Asian bourses are expected to open in similar fashion. The SCI finished modestly lower on Wednesday following losses from the properties, gains from the financials and a mixed performance from the resource and energy companies. For the day, the index shed 14.16 points or 0.42 percent to finish at 3,364.65 after trading between 3,352.94 and 3,388.02. The Shenzhen Composite Index slumped 25.06 points or 1.22 percent to end at 2,024.41. Among the actives, Industrial and Commercial Bank of China advanced 0.81 percent, while Bank of China gained 0.39 percent, China Construction Bank improved 1.49 percent, China Merchants Bank sank 0.84 percent, Agricultural Bank of China collected 0.41 percent, China Life Insurance declined 1.39 percent, Jiangxi Copper was down 0.05 percent, Aluminum Corp of China (Chalco) added 0.66 percent, Yankuang Energy strengthened 1.35 percent, PetroChina soared 4.20 percent, China Petroleum and Chemical (Sinopec) jumped 2.05 percent, Huaneng Power eased 0.14 percent, China Shenhua Energy surged 4.65 percent, Gemdale plunged 3.28 percent, Poly Developments retreated 1.94 percent and China Vanke stumbled 2.17 percent. The lead from Wall Street is positive as the major averages opened higher on Wednesday and remained in the green throughout the session before all ending at record closing highs. The Dow rallied 308.51 points or 0.69 percent to finish at 45,014.04, while the NASDAQ spiked 254.21 points or 1.30 percent to close at 19,735.12 and the S&P gained 36.61 points or 0.61 percent to end at 6,086.49. The strength on Wall Street was generated by optimism about the outlook for interest rates following the release of some weaker than expected U.S. economic data. Payroll processor ADP said private sector employment in the U.S. increased by slightly less than expected in November. Also, the Institute for Supply Management showed U.S. service sector growth slowed more than anticipated last month. Following the data, CME Group's FedWatch Tool is indicating a 75.5 percent chance the Federal Reserve will lower interest rates by 25 basis points later this month. However, during remarks later in the afternoon, Fed Chair Jerome Powell reiterated the central bank will take a cautious approach to cutting rates due to the continued strength of the economy. Crude oil prices tumbled on Wednesday on geopolitical concerns in the Middle East and in the Russia/Ukraine conflict, as well as political chaos in South Korea and France. West Texas Intermediate Crude oil futures for January closed down $1.40 or 2 percent at $68.54 a barrel.