Asian Stocks Rally as Fed Rate Hike Fears Ease 
China to Inject $45 Billion Into State Financial Institutions 
Iran Vows Tougher Response as U.S. Sanctions Squeeze Economy 
Asian Currencies Mixed as Yen Rallies on BOJ Bets 
US Oil Blockade Deepens Iran’s Economic Crisis 
Chinese AI Stocks Rally After OpenAI Launches GPT-6 Astra 
JPMorgan Sees ECB Raising Rates to 2.75% in December 
China Expands Influence in Global Gold Market 
Asian Currencies Rise as Yen Surges on Fed Rate Outlook 
OPEC+ Expected to Hold October Oil Output Steady 
European Stocks Flat as Iran Tensions, ECB Rate Hike Loom 
Gold Holds Near $4,400 as Fed Hike Bets Rise 
Japan, US Target AI and Chips in $550 Billion Investment Push 
ECB Set for September Rate Hike as Energy Prices Fuel Inflation 
Turkey Targets 5% Economic Growth by 2029 
Asian Stocks Rally as AI Optimism Fuels Chipmaker Surge 
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The U.S. dollar traded mostly flat in early Asian trading on Wednesday as investors focused on upcoming U.S. inflation data for clues about the Federal Reserve’s next interest-rate decision. Renewed attacks on shipping routes in the Middle East had limited impact on currency markets, although higher oil prices remain a key risk for inflation.
The Japanese yen was little changed at 159.275 per dollar, remaining near its weakest level of the month despite recent coordinated action by U.S. and Japanese authorities aimed at supporting the currency. The euro was steady at $1.1542, while the British pound held around $1.3508.
Among commodity-linked currencies, the Australian dollar remained near $0.7064 and the New Zealand dollar traded around $0.5879. Investors were also monitoring political developments in New Zealand as Prime Minister Christopher Luxon met with National Party lawmakers amid speculation about his leadership ahead of the country’s next general election.
The biggest market catalyst is Wednesday’s U.S. inflation report. Traders are looking for signs that price pressures are easing, which could influence expectations for Federal Reserve interest rates. Recent weaker-than-expected U.S. employment data have increased uncertainty over the central bank’s policy path.
ING analysts said inflation could continue moderating through the rest of 2026 if oil prices remain under control and shipping through the Strait of Hormuz returns to normal. However, geopolitical tensions could complicate that outlook by pushing energy prices higher.
Brent crude rose about 0.6% to $89.40 a barrel after fresh attacks disrupted shipping near the Bab el-Mandeb Strait and the Strait of Hormuz.
Federal Reserve Bank of Chicago President Austan Goolsbee said inflation remains a greater concern than labor-market weakness, adding to uncertainty about future policy. Fed funds futures currently show traders almost evenly split, with a 52% probability of unchanged rates and a 48% chance of a 25-basis-point increase at the September meeting.
In crypto markets, Bitcoin slipped 0.2% to $63,554, while Ethereum fell 0.1% to $1,879.
