Fed Near Neutral Signals Caution Ahead, Shifting Focus to Fixed Income in 2026 
Wall Street Futures Slip as Tech Stocks Struggle Ahead of Key US Economic Data 
Korea Zinc to Build $7.4 Billion Critical Minerals Refinery in Tennessee With U.S. Government Backing 
Russia Stocks End Flat as Energy and Retail Shares Show Mixed Performance 
Global Markets Slide as Tech Stocks Sink, Yields Rise, and AI Concerns Deepen 
ASX Shares Slide After ASIC Imposes A$150 Million Capital Requirement 
Gold and Silver Prices Dip as Markets Await Key U.S. Economic Data 
Korea Zinc Plans $6.78 Billion U.S. Smelter Investment With Government Partnership 
Bank of Japan Poised for Historic Rate Hike as Inflation Pressures Persist 
Dollar Struggles as Markets Eye Key Central Bank Decisions and Global Rate Outlooks 
New Zealand Budget Outlook Shows Prolonged Deficits Despite Economic Recovery Hopes 
Ireland Limits Planned Trade Ban on Israeli Settlements to Goods Only 
Japan Business Sentiment Hits Four-Year High, Boosting Expectations of BOJ Rate Hike 
U.S. Dollar Slips Near Two-Month Low as Markets Await Key Jobs Data and Central Bank Decisions 
Bank of Korea Downplays Liquidity’s Role in Weak Won and Housing Price Surge 
The U.S. dollar strengthened on Monday after President Donald Trump announced plans for new 25% tariffs on all steel and aluminum imports. This move pressured the euro, Australian dollar, and New Zealand dollar while fueling concerns over a global trade war. Trump also stated he would introduce reciprocal tariffs matching other countries' levies, with details expected Tuesday or Wednesday.
The euro slipped 0.1% to $1.0317, nearing last week’s two-year low of $1.0125, as investors braced for Trump’s tariffs on Europe. The Australian dollar fell 0.21% to $0.6264, while the New Zealand dollar dipped 0.12% to $0.5649. The Canadian dollar, impacted by its position as the largest U.S. aluminum supplier, weakened by over 0.2%.
Charu Chanana, chief investment strategist at Saxo, noted that China is no longer a major U.S. steel supplier due to past tariffs but warned of increased market uncertainty and a shift toward protectionism.
Investors now await U.S. inflation data on Wednesday and Federal Reserve Chair Jerome Powell’s congressional testimony on Tuesday and Wednesday, where tariffs are expected to be a key topic. Analysts suggest new tariffs could drive inflation and pressure the Fed to maintain high interest rates. Markets have adjusted expectations, now pricing in 36 basis points of rate cuts for 2025, down from 42 bps after a strong jobs report.
Macquarie strategists revised their Fed outlook, predicting no rate cuts in 2025, keeping rates in the 4.25%-4.5% range. The dollar index remained steady at 108.23. Sterling held at $1.23915, while the Japanese yen weakened 0.4% to 152 per dollar but stayed near Friday’s one-month high amid expectations of a Bank of Japan rate hike.
