Gold Prices Slip as Oil Rally Fuels Inflation Fears, Strengthens Dollar 
Dollar Holds Steady Ahead of U.S. CPI as Oil Surge, Middle East Tensions Keep Markets on Edge 
Oil Prices Rise as U.S. Strikes on Iran Raise Strait of Hormuz Supply Fears 
South Korea’s KOSPI Enters Bear Market Despite Remaining 2026’s Best-Performing Major Stock Index 
UBS Boosts China Tech Bets, Adds Kuaishou and Meituan to Focus List 
China Q2 2026 GDP Misses Forecast as Weak Domestic Demand Offsets Export Strength 
South Korea Raises Interest Rates to 2.75% as Inflation and Weak Won Drive Tightening 
Australia Consumer Sentiment Rises in July as Fuel Price Relief Lifts Confidence 
Japanese Yen Holds Steady as Intervention Hopes Grow Ahead of U.S. CPI Data 
Australian Business Conditions Hold Steady as Easing Cost Pressures Face New Oil Price Risks 
Asian Stocks Rally as Cooling U.S. Inflation Boosts Fed Rate Cut Hopes 
Goldman Sees Foreign Investors Driving India Stock Market Recovery 
China Trade Surplus Hits $125.6 Billion as June Exports, Imports Smash Forecasts 
US Stock Futures Hold Steady as Soft Inflation Data Eases Fed Rate Hike Fears 
IEA Warns China Rare Earth Export Curbs Could Threaten $6.5 Trillion in Global Production 
Asian Currencies Stay Rangebound as Middle East Tensions, Weak China GDP Weigh on Sentiment 
Port of Los Angeles Posts Record June Cargo Volume as Importers Rush Ahead of U.S. Tariffs 
Asian currencies traded in a mostly flat-to-lower range on Thursday, while the U.S. dollar weakened after the Federal Reserve left interest rates unchanged and struck an optimistic tone on the U.S. economy. Currency markets across Asia remained cautious amid rising global risk aversion, ongoing geopolitical tensions, and concerns over fiscal spending in major developed economies.
The U.S. dollar index and dollar index futures slipped between 0.2% and 0.4%, staying close to a near four-year low touched earlier in the week. The pullback came after the Federal Reserve kept its benchmark interest rate steady at 3.75%, in line with market expectations. Federal Reserve Chair Jerome Powell described the U.S. economy as “solid,” noting easing risks to both inflation and employment, which weighed further on the greenback.
However, market attention also centered on questions surrounding the Fed’s independence. During the post-meeting press conference, Powell declined to comment on reports of a criminal investigation linked to a long-running renovation of the Fed’s buildings. The probe, reportedly initiated under the Trump administration, has fueled concerns about political pressure on the central bank, adding uncertainty to the dollar outlook.
In Asia, currency movements were largely muted. The Japanese yen remained a focal point as investors speculated over possible intervention to stabilize the currency. USD/JPY fell around 0.3%, hovering near a three-month low after Japanese Prime Minister Sanae Takaichi cautioned against excessive volatility. Reports suggesting potential joint intervention by U.S. and Japanese authorities further supported the yen and discouraged aggressive bearish bets.
The Australian dollar stood out among Asian currencies, with AUD/USD rising about 0.4% to a near three-year high. Strength in the Aussie followed hotter-than-expected inflation data, which boosted expectations of an imminent interest rate hike by the Reserve Bank of Australia.
Elsewhere, the Chinese yuan steadied near its weakest level since May 2023, while the Singapore dollar remained stable after the Monetary Authority of Singapore left policy unchanged. The Taiwan dollar traded flat, and the Indian rupee edged slightly lower after recently hitting a record high above 92 per dollar.
Overall, Asian currency markets remained constrained by cautious sentiment, a softer dollar, and heightened geopolitical and policy-related uncertainty.
