Japan Business Sentiment Hits Four-Year High, Boosting Expectations of BOJ Rate Hike 
S&P 500 Slides as AI Chip Stocks Tumble, Cooling Tech Rally 
China’s Small Bank Consolidation Struggles as Profits Fall and Risks Persist 
Fed Near Neutral Signals Caution Ahead, Shifting Focus to Fixed Income in 2026 
Asian Stocks Slide as Central Bank Decisions and Key Data Keep Investors Cautious 
Asian Currencies Trade Sideways as Dollar Weakens Ahead of Key U.S. Data 
Asian Stocks Slide as AI Valuation Fears and BOJ Uncertainty Weigh on Markets 
New Zealand Budget Outlook Shows Prolonged Deficits Despite Economic Recovery Hopes 
Bank of Japan Poised for Historic Rate Hike as Inflation Pressures Persist 
Bank of Korea Downplays Liquidity’s Role in Weak Won and Housing Price Surge 
Wall Street Futures Slip as Tech Stocks Struggle Ahead of Key US Economic Data 
Oil Prices Rebound as U.S.-Venezuela Tensions Offset Oversupply Concerns 
ASX Shares Slide After ASIC Imposes A$150 Million Capital Requirement 
Korea Zinc Plans $6.78 Billion U.S. Smelter Investment With Government Partnership 
Fed Rate Cut Signals Balance Between Inflation and Jobs, Says Mary Daly 
U.S. Dollar Slips Near Two-Month Low as Markets Await Key Jobs Data and Central Bank Decisions 
Gold and Silver Prices Dip as Markets Await Key U.S. Economic Data 
The U.S. dollar climbed on Wednesday, supported by a rise in Treasury yields and concerns over inflation linked to President Donald Trump’s tariffs. June’s inflation data showed notable increases in prices of imported goods such as coffee, audio equipment, and home furnishings, hinting that tariffs may be feeding into consumer costs.
As investors lowered expectations for Federal Reserve rate cuts, the dollar strengthened, particularly against the Japanese yen, which slipped to a four-month low of 149.03 before recovering slightly to 148.90. The euro and British pound also weakened, trading at $1.1608 and $1.3394, respectively.
Nathaniel Casey of Evelyn Partners noted that the uptick in core goods inflation could signal early signs of tariff-driven price pressure. While the data wasn’t alarming, he added that lingering uncertainty over future tariffs may make Fed Chair Jerome Powell cautious about cutting rates.
Market expectations for rate cuts have eased, with traders now pricing in about 43 basis points of easing by year-end, down from over 50 basis points earlier this week. The 10-year Treasury yield rose to 4.495%, its highest in a month, while the two-year yield held steady at 3.9503%.
The dollar index hovered near a one-month high at 98.60, maintaining momentum against major currencies. Meanwhile, the Australian dollar edged up 0.02% to $0.6517, and the New Zealand dollar rose 0.17% to $0.5955.
Adding to the market's uncertainty, Trump hinted at replacing Powell, criticizing cost overruns in the Fed’s renovation. He also announced a new 19% tariff on Indonesian goods and plans to impose over 10% tariffs on imports from several smaller nations, potentially fueling further inflation and market volatility.
