Asian Stocks Edge Higher as Tech Recovers, U.S. Economic Uncertainty Caps Gains 
Wall Street Futures Slip as Tech Stocks Struggle Ahead of Key US Economic Data 
Oil Prices Slip in Asia as 2026 Supply Glut Fears and Russia-Ukraine Talks Weigh on Markets 
Bank of Japan Poised for Historic Rate Hike as Inflation Pressures Persist 
Japan Exports to U.S. Rebound in November as Tariff Impact Eases, Boosting BOJ Rate Hike Expectations 
Korea Zinc to Build $7.4 Billion Critical Minerals Refinery in Tennessee With U.S. Government Backing 
China’s Small Bank Consolidation Struggles as Profits Fall and Risks Persist 
Oil Prices Rebound as U.S.-Venezuela Tensions Offset Oversupply Concerns 
Asian Currencies Slip as Dollar Strengthens; Indian Rupee Rebounds on Intervention Hopes 
U.S. Dollar Slips Near Two-Month Low as Markets Await Key Jobs Data and Central Bank Decisions 
China’s November Economic Data Signals Slowing Industrial Output and Weak Consumer Demand 
Asian Stocks Slide as AI Valuation Fears and BOJ Uncertainty Weigh on Markets 
Asian Technology and Chipmaking Stocks Slide as AI Spending Concerns Shake Markets 
Bank of Korea Downplays Liquidity’s Role in Weak Won and Housing Price Surge 
U.S. Dollar Steadies Near October Lows as Rate Cut Expectations Keep Markets on Edge 
Asian Currencies Trade Sideways as Dollar Weakens Ahead of Key U.S. Data 
Singapore Growth Outlook Brightens for 2025 as Economists Flag AI and Geopolitical Risks 
Japanese stocks remain under pressure as investors react to U.S. tariff risks, economic slowdown fears, and the Bank of Japan’s policy stance. The Nikkei 225, which had been fluctuating between 38,000 and 40,000 since late 2024, recently dropped below 38,000, raising concerns about further declines.
Citi analysts attribute this weakness to multiple factors, including disappointing U.S. economic data, uncertainty over President Donald Trump’s proposed tariffs, a strengthening yen, and corrections in high-tech stocks linked to U.S. markets. Trump’s tariff plans target key sectors like autos, semiconductors, and pharmaceuticals, while a report on reciprocal tariffs, expected in August, could bring further trade restrictions.
Despite these risks, Citi believes Japanese equities have already factored in much of the negative sentiment, with valuations trailing global peers. While short-term volatility is likely, the Nikkei 225 may find support around 35,500, with the TOPIX stabilizing near 2,550.
