Australian Business Conditions Hold Steady as Easing Cost Pressures Face New Oil Price Risks 
South Korea’s KOSPI Enters Bear Market Despite Remaining 2026’s Best-Performing Major Stock Index 
Asian Stocks Rally as Cooling U.S. Inflation Boosts Fed Rate Cut Hopes 
China Q2 2026 GDP Misses Forecast as Weak Domestic Demand Offsets Export Strength 
IEA Warns China Rare Earth Export Curbs Could Threaten $6.5 Trillion in Global Production 
Oil Prices Surge as U.S.-Iran Conflict Escalates and Strait of Hormuz Risks Grow 
South Korea Raises Interest Rates to 2.75% as Inflation and Weak Won Drive Tightening 
Asian Currencies Stay Rangebound as Middle East Tensions, Weak China GDP Weigh on Sentiment 
China Home Prices Fall Again in June Despite Slower Pace of Decline 
UBS Boosts China Tech Bets, Adds Kuaishou and Meituan to Focus List 
US Inflation Expected to Ease in June, but Fed Rate Hike Risks Persist Amid Middle East Tensions 
Gold Prices Slip as Oil Rally Fuels Inflation Fears, Strengthens Dollar 
Oil Prices Climb as Trump Escalates Iran Pressure, Strait of Hormuz Risks Grow 
Asian Stocks Rise as Softer U.S. Inflation Boosts Sentiment Despite Middle East Tensions 
Dollar Holds Steady Ahead of U.S. CPI as Oil Surge, Middle East Tensions Keep Markets on Edge 
U.S. Imposes 25% Tariff on Select Brazilian Imports After Section 301 Trade Investigation 
The U.S. dollar headed for a second consecutive weekly decline as escalating geopolitical tensions and renewed tariff threats weighed on investor confidence and reduced demand for U.S. assets. The dollar index (DXY), a key gauge of the greenback against a basket of major currencies, remained under pressure despite a modest rebound late in the week.
Market sentiment deteriorated after the White House confirmed that President Donald Trump signed an executive order targeting countries that supply oil to Cuba, raising fears of broader trade disruptions. These tariff threats added to existing global strains involving Iran, Venezuela, Greenland, and Europe, all of which have unsettled foreign exchange markets.
Concerns intensified following reports that Trump is considering targeted military strikes against Iran. The possibility of conflict pushed oil prices higher and further weakened the U.S. dollar, as investors moved away from risk-sensitive U.S. assets. Analysts noted that geopolitical uncertainty has become a key driver behind the recent dollar slide.
On Friday, the dollar index edged up 0.2% to 96.35, trimming its weekly loss to around 1.1%, though it remained near multi-year lows. Earlier in the week, the dollar touched a four-year low after Trump appeared unconcerned about currency weakness. Some stability returned after Treasury Secretary Scott Bessent reiterated Washington’s commitment to a strong-dollar policy.
In currency markets, the euro slipped 0.2% to $1.194, while the Japanese yen weakened to 153.39 per dollar. Sterling also eased to $1.3791. A softer dollar has offered limited relief to the yen, which has hovered in the 152–154 range amid speculation about potential intervention by U.S. and Japanese authorities.
The Federal Reserve provided mild support to the greenback after holding interest rates steady, with Chair Jerome Powell citing a resilient U.S. economy and easing inflation risks. In Japan, Tokyo inflation data showed core consumer prices rising 2% year-on-year, aligning with the central bank’s target.
Elsewhere, the Australian and New Zealand dollars both slipped against the U.S. dollar. In cryptocurrencies, bitcoin and ether posted small declines, reflecting cautious risk sentiment across global markets.
