Japan, U.S. Stay Aligned on Yen as Currency Surges 
China to Inject $45 Billion Into State Financial Institutions 
Oil Prices Rise as Hormuz Tensions Threaten Supply 
Gold Holds Near $4,400 as Fed Hike Bets Rise 
Japan Foreign Reserves Plunge $79.6 Billion After Record Yen Intervention 
Oil Prices Climb as Iran Threatens Gulf Energy Infrastructure 
US Stock Futures Mixed as Strong Jobs Data Boosts Fed Rate Hike Bets 
ECB Set for September Rate Hike as Energy Prices Fuel Inflation 
China Exports Surge 25% in August as Trade Surplus Hits $119 Billion 
Iran Threatens Gulf Energy Assets as U.S. Tensions Escalate 
Gold Prices Rise as Yen Rally Weakens Dollar 
Asian Currencies Mixed as Yen Rallies on BOJ Bets 
Japan GDP Growth Beats Forecast, Boosting BOJ Rate Hike Bets 
Asian Stocks Mixed as Korean Chipmakers Rally 
Yen Rebounds as BOJ Rate Hike Bets Rise 
European Stocks Flat as Iran Tensions, ECB Rate Hike Loom 
Jefferies Names 6 Top India Stock Picks Across Key Sectors 
Add as a preferred source on Google
Most Asian currencies edged higher on Tuesday, buoyed by optimism surrounding improving U.S.-China trade relations and expectations of a Federal Reserve rate cut later this week. The U.S. dollar weakened slightly as traders awaited the Fed’s two-day meeting, where policymakers are widely expected to reduce interest rates by at least 25 basis points amid signs of cooling inflation and a softer labor market.
The Japanese yen led regional gains, recovering from recent losses as investors focused on a meeting between Japanese Prime Minister Sanae Takaichi and U.S. President Donald Trump, as well as the Bank of Japan’s upcoming policy announcement. The yen’s USD/JPY pair slipped 0.3%, reflecting renewed demand for the safe-haven currency.
In South Korea, the won lagged behind its peers even as third-quarter GDP exceeded expectations, supported by stronger exports following an earlier trade deal with Washington. The USD/KRW pair rose 0.4%. Across the region, currencies traded within a narrow range, maintaining momentum from Monday’s gains after positive signals in U.S.-China trade negotiations lifted market sentiment.
The Chinese yuan also firmed, with the USD/CNY pair easing 0.1%—hovering near its strongest level since November 2024. The yuan’s resilience has been underpinned by firm midpoint fixes from the People’s Bank of China, as Beijing aims to enhance the competitiveness of its exports. Traders remained focused on the anticipated meeting between Trump and Chinese President Xi Jinping in South Korea, expected to build on the recently agreed trade framework.
Elsewhere, the Australian dollar rose 0.1%, while the Singapore and Taiwan dollars edged slightly lower. The Indian rupee weakened modestly after crossing the 88-per-dollar mark, with markets monitoring trade discussions between Washington and New Delhi amid ongoing tariff pressures.
Overall, sentiment remained cautious but optimistic as investors awaited both the Trump-Xi summit and the Fed’s policy direction.
