U.S. Dollar Starts 2026 Weak as Yen, Euro and Sterling Hold Firm Amid Rate Cut Expectations 
China Manufacturing PMI Rebounds in December, Offering Boost to Economic Growth Outlook 
Oil Prices Slip Slightly as Markets Weigh Geopolitical Risks and Supply Glut Concerns 
Gold Prices Rebound in Europe as Geopolitical Tensions and Fed Outlook Support Bullion 
Citi Forecasts a Volatile but Ongoing Bull Market for S&P 500 in 2026 
Oil Prices Slide in 2025 as Oversupply and Geopolitical Risks Shape Market Outlook 
South Korean Won Slides Despite Government Efforts to Stabilize Currency Markets 
China Imposes 55% Tariff on Beef Imports Above Quota to Protect Domestic Industry 
U.S. Stocks Slip as Gold Rebounds Ahead of Year-End, Markets Eye 2026 Outlook 
South Korea Factory Output Misses Forecasts in November Amid Ongoing Economic Uncertainty 
U.S. Stock Futures Slip as Year-End Trading Turns Cautious 
USDA $12 Billion Farm Aid Program Draws Mixed Reactions from Row Crop Farmers 
Asian Markets Slip as Precious Metals Cool, Geopolitical Tensions Weigh on Sentiment 
Federal Reserve Begins Treasury Bill Purchases to Stabilize Reserves and Money Markets 
Asian Currencies Trade Flat as Dollar Weakens in Thin New Year Trading 
South Korea Inflation Rises to 2.3% in December, Matching Market Expectations 
South Korea Factory Activity Returns to Growth in December on Export Rebound 
Asian stock markets mostly declined on Monday as renewed trade tariff threats from U.S. President Donald Trump reignited global risk aversion. Investor sentiment weakened after Trump announced potential tariffs of up to 25% on several major European economies, tying the duties to demands that Greenland be sold to the United States. The comments sparked concerns over escalating trade tensions and broader geopolitical instability, pressuring equities across the region.
Japanese stocks led losses, with the Nikkei 225 falling around 1% and the TOPIX declining 0.5%. Hong Kong’s Hang Seng Index slipped 0.8%, while Australia’s ASX 200 dropped 0.4%. Singapore’s Straits Times Index lost 0.5%, and futures for India’s Nifty 50 pointed to a weaker open, down about 0.4%. Asian markets largely mirrored declines in Wall Street futures, as S&P 500 futures fell as much as 1% during Asian trading hours, even as U.S. cash markets remained closed for a public holiday.
Chinese stocks were comparatively resilient after economic data showed better-than-expected fourth-quarter growth. China’s GDP expanded 4.5% year-on-year in the December quarter, meeting expectations and bringing full-year 2025 growth to 5%, in line with Beijing’s official target. Strength in exports and ongoing government stimulus helped support manufacturing activity, though fixed asset investment and retail sales data highlighted lingering weaknesses in domestic demand. As a result, the CSI 300 and Shanghai Composite traded largely flat.
South Korean stocks outperformed regional peers, with the KOSPI rising more than 1%, driven by gains in semiconductor shares. Samsung Electronics climbed nearly 2%, while SK Hynix edged higher after Micron Technology announced a $1.8 billion deal to acquire a semiconductor facility from Taiwan’s Powerchip Semiconductor Manufacturing Corp. Powerchip shares surged 10% in Taipei, boosting sentiment across parts of the chip sector.
Trump’s tariff rhetoric added to already elevated global tensions, pushing investors toward safe-haven assets. Gold prices surged to record highs as market participants reduced exposure to risk assets amid fears of prolonged trade disputes and geopolitical conflict.
