South Korea’s KOSPI Triggers Trading Curb as AI Chip Stock Selloff Deepens 
Asian Currencies Weaken as Stronger Dollar Weighs, Yen Supported by GPIF Repatriation Hopes 
Iraq PM Visits Washington as U.S. Oil, Gas Deals Take Center Stage 
Gold Price Holds Near Record High as Cooling U.S. Inflation Offsets Fed Caution 
Australia Consumer Sentiment Rises in July as Fuel Price Relief Lifts Confidence 
Asian Stocks Slide as Oil Surge, U.S.-Iran Tensions and Fed Rate Bets Weigh on Markets 
Australian Business Conditions Hold Steady as Easing Cost Pressures Face New Oil Price Risks 
China Q2 2026 GDP Misses Forecast as Weak Domestic Demand Offsets Export Strength 
Asia Stocks Slip as Iran-Hormuz Tensions Lift Oil Prices, Dollar and Bond Yields 
Japanese Yen Holds Steady as Intervention Hopes Grow Ahead of U.S. CPI Data 
European Stocks Slip as Middle East Tensions and Hormuz Threat Rattle Markets 
South Korea’s KOSPI Enters Bear Market Despite Remaining 2026’s Best-Performing Major Stock Index 
Goldman Sees Foreign Investors Driving India Stock Market Recovery 
South Korea Central Bank Set to Raise Interest Rates as Inflation Stays Elevated 
Dollar Eases as Middle East Conflict, Fed Outlook and Japan Pension Policy Drive FX Markets 
US Inflation Expected to Ease in June, but Fed Rate Hike Risks Persist Amid Middle East Tensions 
Gold prices declined sharply during Asian trading on Tuesday as rising oil prices and hawkish signals from the Bank of Japan (BOJ) heightened concerns about global inflation and interest rate policies. Spot gold fell by 1% to $4,633.29 per ounce, while gold futures dropped to $4,646.90/oz. Other precious metals followed suit, with silver plunging 3.2% to $75.1425/oz and platinum slipping 1.3% to $1,961.71/oz.
The decline in gold prices reflects growing market anxiety over inflation driven by the ongoing Iran conflict, which has pushed oil prices close to their 2022 highs. The BOJ’s latest policy decision played a key role in influencing market sentiment. Although the central bank kept its interest rates unchanged, it adopted a more hawkish stance by significantly raising its inflation forecast for fiscal 2026. Officials pointed to surging fuel and energy costs as major contributors to persistent inflation and hinted at potential future rate hikes.
This shift in tone from the BOJ has fueled speculation that other major central banks, including the U.S. Federal Reserve, may also maintain higher interest rates for longer. The Fed is expected to conclude its policy meeting soon, with markets widely anticipating no immediate rate changes. However, recent inflation data in the United States showed a notable increase in price pressures, reinforcing expectations of a cautious and possibly hawkish outlook.
The strengthening U.S. dollar has also added pressure on gold, making the non-yielding asset less attractive to investors. Higher interest rates typically reduce demand for gold, as investors turn to assets offering better returns.
Geopolitical tensions continue to weigh on markets, particularly the ongoing deadlock between the United States and Iran. Efforts to ease tensions, including proposals to reopen the Strait of Hormuz, have stalled due to disagreements over nuclear negotiations. The uncertainty surrounding these talks, combined with elevated oil prices, remains a significant driver of global market volatility and inflation concerns.
Overall, gold’s traditional role as a safe-haven asset is being challenged by rising interest rates and persistent inflation fears, leaving investors closely monitoring central bank actions and geopolitical developments.
