France Faces Long Road to Economic Rebalancing as Weak Demand and High Rates Weigh, Says Citi 
China’s AI Manufacturing Boom Masks Weak Consumer Economy, Citi Says 
Japan Signals Readiness to Intervene as USD/JPY Nears 161 Amid Yen Weakness 
Italy’s Economy Outpaces Eurozone Peers as Investment Spending Fuels Growth 
Asian Stocks Surge as Oil Prices Fall and Strong US Dollar Weighs on Markets 
Gold Prices Slide as Hawkish Fed and Strong Dollar Weigh on Bullion 
Dollar Surges After Fed Holds Rates Steady, Signals Potential Tightening Ahead 
Fed Chair Kevin Warsh Signals Policy Overhaul as Hawkish Rate Outlook Rattles Markets 
BOJ Signals More Rate Hikes as Inflation Risks Rise Amid Energy Price Pressures 
Oil Prices Steady as U.S.-Iran Truce Uncertainty and Middle East Tensions Keep Markets on Edge 
US Stock Futures Slip After Wall Street Rally Fueled by US-Iran Deal and Chipmaker Surge 
Europe EV Demand Surges as Fuel Prices Rise Amid Iran Conflict 
Asian Currencies Stabilize as Dollar Holds Near Two-Month High After Fed Hawkish Signal 
Russia Stocks End Flat as MOEX Index Hits New 52-Week Low; Gold Falls and Oil Mixed 
Japan Inflation Stays Below BOJ Target Despite Rate Hike and Rising Energy Cost Risks 
Dollar Hits One-Month High as Hawkish Fed Outlook Boosts Greenback 
Russian Stocks End Flat as MOEX Index Hits New 52-Week Low 
Asian currencies weakened on Friday yet remained on track for weekly gains as optimism over potential U.S. trade agreements supported market sentiment. Investors are closely watching Tokyo’s latest inflation data for signals on the Bank of Japan’s (BOJ) next policy move, while attention shifts to upcoming interest rate decisions from both the BOJ and U.S. Federal Reserve.
The U.S. Dollar Index, which tracks the greenback against major currencies, rose 0.3% during Asian trading hours, with Dollar Index Futures up 0.2%. Despite Friday’s uptick, the dollar has seen sharp losses this week, allowing most regional currencies to advance.
Reports indicate a key U.S.-EU trade deal is nearing completion, potentially replacing a planned 30% tariff with a 15% levy on EU exports by August 1. Indian Commerce Minister Piyush Goyal expressed optimism about securing a U.S. trade agreement to avert proposed 26% tariffs. Earlier this week, President Donald Trump confirmed a U.S.-Japan trade deal lowering tariffs on Japanese imports to 15% from the previously planned 25%, boosting expectations for similar agreements with other nations.
Among major Asian currencies, the South Korean won slipped 0.3% after five days of gains but was still set for a 1% weekly rise. The Chinese yuan traded 0.2% higher in both onshore (USD/CNY) and offshore (USD/CNH) markets, while the Singapore dollar and Indian rupee also edged lower. The Australian dollar eased 0.1% but headed for a significant weekly jump.
Tokyo’s July CPI data showed inflation easing more than expected, though core figures stayed above BOJ’s target, maintaining speculation over a potential rate hike later this year. The Japanese yen weakened 0.3% Friday amid ongoing political uncertainty and speculation about Prime Minister Shigeru Ishiba’s possible resignation.
