Asian Stocks Fall as Fed Rate Hike Bets and Iran Conflict Rattle Markets 
India Manufacturing Growth Slows to Five-Year Low in August 
Asian Stocks Slip as Fed Rate Hike Bets and Oil Surge Weigh 
China Manufacturing PMI Contracts Again as Recovery Remains Fragile 
Asian Tech Stocks Slide as Fed Rate Hike Bets Rise 
Treasury Yields Set to Stay High as Debt Supply Pressures Bond Market 
Brazil, US Resume Tariff Talks as Trade Tensions Persist 
Bessent Urges Japan on Fiscal Discipline, BOJ Rate Hikes 
Dollar Holds Near Two-Week High as Fed Rate Hike Bets Rise 
South Korea Inflation Rises to 3.1% in August 
Australia GDP Beats Forecast, Boosting RBA Rate Hike Bets 
Asian Stocks Tumble as Oil Surge Fuels Rate Hike Fears 
South Korea Unveils Record $597 Billion 2027 Budget to Boost AI and Chips 
Oil Prices Jump as U.S.-Iran Tensions Threaten Hormuz 
Oil Prices Rise as US-Iran Conflict Threatens Middle East Supply 
Asian Currencies Mixed as Yen Nears 160, Oil Surges 
Oil Prices Rise as U.S.-Iran Fighting Fuels Supply Fears 
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The U.S. dollar hovered near a two-week high on Wednesday as escalating Middle East tensions pushed oil prices higher, fueling inflation concerns and lifting global bond yields.
The dollar index rose 0.11% to 99.79, its strongest level since August 17, while the euro slipped 0.14% to $1.1576. Higher U.S. Treasury yields and expectations for another Federal Reserve rate hike strengthened demand for the greenback as a safe-haven currency.
Market concerns intensified after the United States launched airstrikes against Iran on Tuesday, prompting retaliation from Tehran in the most serious escalation in weeks.
Oil prices extended their gains, with Brent crude futures rising 0.75% to $95.36 per barrel and U.S. West Texas Intermediate crude gaining 0.41% to $90.62.
The benchmark U.S. 10-year Treasury yield climbed as high as 4.812%, its strongest since November 2023, before easing to 4.804%. Japan's 10-year government bond yield reached 3.01%, extending gains after crossing 3% on Tuesday.
Meanwhile, the New Zealand dollar tumbled 1.01% to $0.5844 despite the Reserve Bank of New Zealand raising its official cash rate by 25 basis points to 2.75%. Investors viewed the decision as less hawkish than anticipated.
Expectations for tighter U.S. monetary policy also remained elevated. Markets now price a 68% probability of a Fed rate hike in September, up from roughly 40% a week earlier, according to CME FedWatch.
Investors are awaiting August employment and inflation figures ahead of the Fed's September 15-16 meeting. Economists expect Friday's jobs report to show the U.S. economy added 56,000 positions in August.
Elsewhere, the British pound fell 0.15% to $1.3495, while the Australian dollar declined 0.15% to $0.7133.
The Japanese yen traded around 160.15 per dollar despite expectations for a Bank of Japan rate hike this month. The currency remains under pressure as elevated oil prices and widening yield dynamics outweigh the impact of recent U.S.-Japan intervention.
In cryptocurrency markets, Bitcoin edged 0.07% higher to $77,485.49, while Ether slipped 0.27% to $2,413.74.
