South Korea Factory Output Misses Forecasts in November Amid Ongoing Economic Uncertainty 
U.S. Dollar Steadies Ahead of Fed Minutes as Markets Eye Policy Divisions 
China to Cut Import Tariffs on Key Commodities and Medical Products From Next Year 
China’s Central Bank to Launch New Digital Yuan Management Framework from January 1 
Forex Markets Hold Steady as Traders Await Fed Minutes Amid Thin Year-End Volumes 
U.S. Stock Futures Slip as Year-End Trading Turns Cautious 
South Korea Inflation Rises to 2.3% in December, Matching Market Expectations 
U.S. Stocks Slip as Gold Rebounds Ahead of Year-End, Markets Eye 2026 Outlook 
China Manufacturing PMI Rebounds in December, Offering Boost to Economic Growth Outlook 
Asian Markets End Year on AI Optimism as Precious Metals and Currencies Shine 
Hong Kong Home Prices Rise for Sixth Straight Month as Rate Cuts Lift Market Sentiment 
Gold Prices Ease After Record Highs as Dollar Firms, Broader Bullish Outlook Intact 
Asian Markets Slip as Precious Metals Cool, Geopolitical Tensions Weigh on Sentiment 
Vietnam Central Bank Faces Challenges Meeting 2026 Economic Growth Target Amid Global Uncertainty 
Gold Prices Rebound in Europe as Geopolitical Tensions and Fed Outlook Support Bullion 
Global oil prices declined sharply in 2025, with Brent crude posting its longest stretch of annual losses on record as rising supply continued to outpace demand despite persistent geopolitical tensions. Brent crude futures fell more than 10% over the year and were down nearly 18% overall, marking their steepest annual percentage decline since 2018 and extending losses for a third consecutive year. The March Brent contract was trading around $61.27 per barrel, while U.S. West Texas Intermediate crude hovered near $57.90, heading toward a 15% yearly drop.
Oil markets began the year on a stronger footing after former U.S. President Joe Biden imposed tougher sanctions on Russia, disrupting energy supplies to major buyers such as China and India. Prices were further supported by escalating geopolitical events, including intensified fighting in Ukraine, drone attacks on Russian energy infrastructure, disruptions to Kazakhstan’s oil exports, and a brief but significant Iran-Israel conflict that threatened shipping through the Strait of Hormuz, one of the world’s most critical oil transit routes.
Additional uncertainty came from conflicts involving key producers. Saudi Arabia and the United Arab Emirates remained embroiled in tensions linked to Yemen, while U.S. President Donald Trump ordered a blockade on Venezuelan oil exports and warned of potential further strikes on Iran. These developments initially added a risk premium to oil prices.
However, market sentiment shifted as OPEC+ accelerated output increases, releasing nearly 2.9 million barrels per day into global markets since April. At the same time, concerns over higher U.S. tariffs and their impact on global economic growth weighed on fuel demand expectations. OPEC+ has since paused further output hikes for the first quarter of 2026, with its next meeting scheduled for January 4.
Looking ahead, most analysts expect oil supply to exceed demand in 2026. Estimates range from a surplus of nearly 4 million barrels per day by the International Energy Agency to about 2 million barrels per day projected by Goldman Sachs. Analysts suggest that if prices fall further into the low $50 range, OPEC+ may consider renewed production cuts, but if current price levels persist, producers could continue unwinding existing cuts.
