Dollar Near Two-Week High as Stock Rout, AI Concerns and Global Events Drive Market Volatility 
Trump Lifts 25% Tariff on Indian Goods in Strategic U.S.–India Trade and Energy Deal 
Bank of Japan Signals Readiness for Near-Term Rate Hike as Inflation Nears Target 
Gold and Silver Prices Rebound After Volatile Week Triggered by Fed Nomination 
Gold Prices Slide Below $5,000 as Strong Dollar and Central Bank Outlook Weigh on Metals 
Singapore Budget 2026 Set for Fiscal Prudence as Growth Remains Resilient 
Australia’s December Trade Surplus Expands but Falls Short of Expectations 
RBI Holds Repo Rate at 5.25% as India’s Growth Outlook Strengthens After U.S. Trade Deal 
South Korea’s Weak Won Struggles as Retail Investors Pour Money Into U.S. Stocks 
Asian Stocks Slip as Tech Rout Deepens, Japan Steadies Ahead of Election 
China Extends Gold Buying Streak as Reserves Surge Despite Volatile Prices 
South Korea Assures U.S. on Trade Deal Commitments Amid Tariff Concerns 
Silver Prices Plunge in Asian Trade as Dollar Strength Triggers Fresh Precious Metals Sell-Off 
U.S. Stock Futures Slide as Tech Rout Deepens on Amazon Capex Shock 
Oil Prices Slide on US-Iran Talks, Dollar Strength and Profit-Taking Pressure 
U.S.-India Trade Framework Signals Major Shift in Tariffs, Energy, and Supply Chains 
Trump Endorses Japan’s Sanae Takaichi Ahead of Crucial Election Amid Market and China Tensions 
Asian currencies advanced on Tuesday after U.S. President Donald Trump announced that Israel and Iran had agreed to a ceasefire, easing geopolitical tensions. However, market sentiment remained cautious as traders awaited formal confirmation from both countries. Just before the ceasefire deadline, Iran launched a missile strike on Israel, raising doubts about the truce’s durability.
The improved risk appetite supported regional currencies. The Australian dollar (AUD/USD) rose 0.5%, often seen as a key barometer of Asia-Pacific risk sentiment. The Japanese yen (USD/JPY) gained 0.5%, recovering from prior losses, while the Chinese yuan (USD/CNY) edged slightly lower. The South Korean won (USD/KRW) declined 0.3%, and the Singapore dollar (USD/SGD) dipped 0.2%. The Indian rupee (USD/INR) remained flat.
Traders also focused on potential Federal Reserve rate cuts. Growing expectations of a rate reduction by July weakened the U.S. dollar. The dollar index and its futures both fell 0.3% during Asian trading, reversing much of last week’s gains. CME FedWatch Tool data showed the probability of a July rate cut climbed to over 20%, up from 15% last week.
The shift comes ahead of Federal Reserve Chair Jerome Powell’s congressional testimony. While Powell previously downplayed the likelihood of imminent rate cuts, sticky inflation and easing global tensions are influencing market expectations.
Investors are now awaiting official confirmation of the ceasefire from Tehran and Jerusalem. Recent U.S. strikes on Iran’s nuclear facilities have kept tensions high, but Trump’s statement suggests a possible de-escalation if both sides honor the agreement for 24 hours.
With geopolitical risks easing and rate cut hopes rising, Asian currencies are gaining traction while the dollar loses its safe-haven appeal.
