BOJ Faces Pressure for Clarity, but Neutral Rate Estimates Likely to Stay Vague 
IMF Deputy Dan Katz Visits China as Key Economic Review Nears 
Asian Markets Stabilize as Wall Street Rebounds and Rate Concerns Ease 
Asia’s IPO Market Set for Strong Growth as China and India Drive Investor Diversification 
Dollar Holds Steady as Markets Shift Focus to 2026 Rate Cut Expectations 
RBI Cuts Repo Rate to 5.25% as Inflation Cools and Growth Outlook Strengthens 
Europe Confronts Rising Competitive Pressure as China Accelerates Export-Led Growth 
Gold Prices Edge Higher as Markets Await Key U.S. PCE Inflation Data 
China Urged to Prioritize Economy Over Territorial Ambitions, Says Taiwan’s President Lai 
European Stocks Rise as Markets Await Key U.S. Inflation Data 
Asian Currencies Edge Higher as Markets Look to Fed Rate Cut; Rupee Steadies Near Record Lows 
Germany’s Economic Recovery Slows as Trade Tensions and Rising Costs Weigh on Growth 
Spain’s Industrial Output Records Steady Growth in October Amid Revised September Figures 
China’s Services Sector Posts Slowest Growth in Five Months as Demand Softens 
Gold Prices Steady as Markets Await Key U.S. Data and Expected Fed Rate Cut 
The U.S. dollar regained ground on Monday after an early selloff, as traders speculated that Washington might soften its stance in the escalating trade conflict with China. The dollar index, which tracks the greenback’s performance against six major currencies, edged up to 99.002, recovering from losses sparked by President Donald Trump’s announcement of 100% tariffs on Chinese imports. The move initially revived fears of a repeat of Trump’s “Liberation Day” tariff shock in April, which triggered a selloff across global markets, including stocks and cryptocurrencies.
Market sentiment improved slightly after Trump posted on Truth Social, saying, “Don’t worry about China, it will all be fine! Highly respected President Xi just had a bad moment… The U.S.A. wants to help China, not hurt it!” Investors interpreted the comment as a possible sign of a softer tone from Washington. “It looks like Trump has done a bit of a TACO again and softened his tone,” noted Tim Kelleher, head of institutional FX Sales at Commonwealth Bank in Auckland, referring to the trader adage that “Trump always chickens out.”
Holiday-thinned trading also influenced market moves, with U.S. markets closed for Columbus Day and Japan observing Health and Sports Day. Against the yen, the dollar strengthened 0.5% to 151.985, as investors assessed political uncertainty following Japan’s ruling coalition split. The euro slipped 0.1% to $1.1609 after France unveiled its new cabinet, reappointing Roland Lescure as finance minister. Meanwhile, Bitcoin edged up 0.4% to $115,486.04 after Friday’s sharp drop, and gold hit a new record of $4,059.30. The offshore yuan rose 0.1% to 7.137 per dollar, while the Australian and New Zealand dollars climbed 0.6% and 0.3%, respectively. Sterling also gained 0.1% to trade at $1.33415.
