Asian Markets Mixed as Fed Rate Cut Bets Grow and Japan’s Nikkei Leads Gains 
BOJ Faces Pressure for Clarity, but Neutral Rate Estimates Likely to Stay Vague 
European Oil & Gas Stocks Face 2026 With Cautious Outlook Amid Valuation Pressure 
European Stocks Rise as Markets Await Key U.S. Inflation Data 
U.S. Futures Steady as Rate-Cut Bets Rise on Soft Labor Data 
Germany’s Economic Recovery Slows as Trade Tensions and Rising Costs Weigh on Growth 
RBI Cuts Repo Rate to 5.25% as Inflation Cools and Growth Outlook Strengthens 
Citi Sets Bullish 2026 Target for STOXX 600 as Fiscal Support and Monetary Easing Boost Outlook 
IMF Deputy Dan Katz Visits China as Key Economic Review Nears 
Oil Prices Hold Steady as Ukraine Tensions and Fed Cut Expectations Support Market 
Gold Prices Edge Higher as Markets Await Key U.S. PCE Inflation Data 
Oil Prices Rise as Ukraine Targets Russian Energy Infrastructure 
Dollar Weakens Ahead of Expected Federal Reserve Rate Cut 
Asian Currencies Steady as Markets Await Fed Rate Decision; Indian Rupee Hits New Record Low 
Asian Markets Stabilize as Wall Street Rebounds and Rate Concerns Ease 
The U.S. dollar hovered near a two-week low on Friday, heading for its steepest weekly drop in a month as investors weighed ongoing U.S. tariff negotiations and awaited key central bank meetings next week. Both the Federal Reserve and the Bank of Japan are expected to hold rates steady, but traders will scrutinize post-meeting comments for signals on future policy moves.
The yen traded at 147.10 per dollar, poised for a 1% weekly gain—its strongest since mid-May—after a U.S.-Japan trade deal reduced tariffs on auto imports to 15%. Economists polled by Reuters anticipate the BOJ will raise rates by 25 basis points this year. The dollar index stood at 97.448, set for a 1% weekly decline, while the euro held at $1.1754, near a four-year high of $1.183. The euro has surged 13.5% this year amid shifting U.S. trade policies.
Hopes for broader trade agreements grew after U.S. Treasury Secretary Scott Bessent confirmed upcoming talks with Chinese officials in Stockholm. The Australian dollar hovered near an eight-month high at $0.6593, supported by improved risk sentiment.
Markets largely dismissed President Donald Trump’s rare visit to the Fed, where he clashed with Chair Jerome Powell over renovation costs and pushed for rate cuts. Fed policymakers are expected to keep rates at 4.25%-4.50%, with futures pricing in 43 basis points of cuts by year-end. Analysts at ANZ forecast 25-basis-point cuts in September and December, citing slowing demand, labor market weakness, and easing service inflation.
Bitcoin slipped 0.79% to $117,840, while Ethereum fell 2% to $3,655, mirroring broader risk sentiment as traders await clarity from upcoming policy decisions.
