Australia Eases Capital Gains Tax Reforms to Support Small Businesses and Startups 
US Stock Futures Slip After Wall Street Rally Fueled by US-Iran Deal and Chipmaker Surge 
BOJ Signals More Rate Hikes as Inflation Risks Rise Amid Energy Price Pressures 
Asian Currencies Steady as Dollar Holds Firm Ahead of Fed Decision and US-Iran Deal Details 
Oil Prices Slide as U.S.-Iran Deal and Hormuz Reopening Ease Supply Concerns 
Trump Says No Hormuz Strait Tolls During 60-Day Iran Ceasefire 
Dollar Hits One-Month High as Hawkish Fed Outlook Boosts Greenback 
Gold Prices Rebound on U.S.-Iran Peace Deal Optimism Despite Fed Rate Hike Signals 
Fed Chair Kevin Warsh Signals Policy Overhaul as Hawkish Rate Outlook Rattles Markets 
Gold Prices Slide as Hawkish Fed and Strong Dollar Weigh on Bullion 
Trump Questions USMCA Renewal as Trade Talks Continue 
Trump and Iran Sign Framework Peace Deal in France Amid Ongoing Middle East Tensions 
Italy’s Economy Outpaces Eurozone Peers as Investment Spending Fuels Growth 
Russia Stocks End Flat as MOEX Index Hits New 52-Week Low; Gold Falls and Oil Mixed 
German Industry Employment Falls to Lowest Level in a Decade 
China’s AI Manufacturing Boom Masks Weak Consumer Economy, Citi Says 
Asian Stocks Surge as Oil Prices Fall and Strong US Dollar Weighs on Markets 
Asian stocks declined broadly on Tuesday, extending sharp losses from the previous session as investors remained cautious amid rising geopolitical tensions and political uncertainty. Regional markets were unsettled by renewed demands from U.S. President Donald Trump for Greenland, combined with limited cues from Wall Street due to a U.S. market holiday. Risk appetite across Asia stayed subdued, despite some support from Chinese economic data.
Japanese equities led losses in the region, with the Nikkei 225 and TOPIX indexes each falling around 1%. The decline came even as Japanese Prime Minister Sanae Takaichi announced plans to dissolve parliament on Friday and call a snap election for early February. While the move initially raised hopes of expanded fiscal stimulus, markets quickly grew concerned about how Japan would finance higher government spending, tax cuts, and increased defense outlays. These concerns triggered a sharp selloff in Japanese government bonds, sending the 10-year yield above 4% for the first time in nearly three decades, adding pressure on equities.
Broader Asian markets also retreated as investors reacted to Trump’s remarks suggesting tariffs on European nations unless Greenland is handed over to the United States. Trump further unsettled markets by not ruling out military force, reviving fears of geopolitical escalation after a recent U.S. incursion in Venezuela. European leaders rejected the demands, with some warning of potential retaliatory measures, heightening global market anxiety.
Chinese stocks saw modest losses, with the CSI 300 and Shanghai Composite each down about 0.5%, while Hong Kong’s Hang Seng Index slipped 0.3%. Markets took limited comfort from China’s GDP data showing the economy met its 5% growth target for 2025, although fourth-quarter growth slowed. Australia’s ASX 200 fell 0.6%, dragged lower by a sharp decline in BHP shares after the miner warned of weaker iron ore prices. South Korea’s KOSPI outperformed, trading flat near record highs, while other regional benchmarks were mostly subdued.
