Dollar Weakens Ahead of Expected Federal Reserve Rate Cut 
European Oil & Gas Stocks Face 2026 With Cautious Outlook Amid Valuation Pressure 
Oil Prices Rise as Ukraine Targets Russian Energy Infrastructure 
Asian Markets Stabilize as Wall Street Rebounds and Rate Concerns Ease 
Europe Confronts Rising Competitive Pressure as China Accelerates Export-Led Growth 
BOJ Faces Pressure for Clarity, but Neutral Rate Estimates Likely to Stay Vague 
Gold Prices Steady as Markets Await Key U.S. Data and Expected Fed Rate Cut 
China Urged to Prioritize Economy Over Territorial Ambitions, Says Taiwan’s President Lai 
Asian Currencies Steady as Rupee Hits Record Low Amid Fed Rate Cut Bets 
Germany’s Economic Recovery Slows as Trade Tensions and Rising Costs Weigh on Growth 
Asian Markets Mixed as RBI Cuts Rates and BOJ Signals Possible Hike 
Spain’s Industrial Output Records Steady Growth in October Amid Revised September Figures 
Citi Sets Bullish 2026 Target for STOXX 600 as Fiscal Support and Monetary Easing Boost Outlook 
European Stocks Rise as Markets Await Key U.S. Inflation Data 
Asia’s IPO Market Set for Strong Growth as China and India Drive Investor Diversification 
The U.S. dollar strengthened on Thursday, driven by safe-haven demand as fears of an escalating Middle East conflict intensified. Reports that Washington is preparing for a potential strike on Iran pushed investors toward the dollar, overshadowing the Federal Reserve’s latest policy decision.
The greenback rose broadly, pressuring risk-sensitive currencies. The Australian dollar dropped 0.3% to $0.6489, while the New Zealand dollar fell 0.5% to $0.5998. The South Korean won weakened by 1%, and emerging market currencies followed suit.
With Iran and Israel exchanging further airstrikes, the conflict—now in its seventh day—has sparked global concern, especially over possible U.S. military involvement. President Donald Trump’s ambiguous stance on intervention has added to market jitters.
The dollar index climbed 0.11% to 99, aiming for a 0.9% weekly gain—its best since January. The euro slipped 0.25% to $1.1455, marking its largest weekly drop since February. The yen traded at 145.13 per dollar, while sterling edged 0.14% lower to $1.3403 ahead of the Bank of England’s rate decision.
Investor sentiment turned risk-averse despite the Federal Reserve holding interest rates steady. While policymakers still project two rate cuts in 2025, Chair Jerome Powell warned that upcoming tariffs under Trump’s trade policy could lift inflation, affecting consumer prices. He emphasized uncertainty over the timing and scale of any rate reductions.
Markets are pricing in rate cuts in September and December, though analysts remain divided. Some, like ING and Aberdeen Investments, caution that the Fed may only cut once—or not at all—depending on trade and economic data.
U.S. market closures for the Juneteenth holiday thinned liquidity, amplifying the dollar’s reaction to geopolitical risks. Meanwhile, traders await policy updates from the Swiss National Bank and Norges Bank.
