Spain’s Industrial Output Records Steady Growth in October Amid Revised September Figures 
Dollar Weakens Ahead of Expected Federal Reserve Rate Cut 
Asia’s IPO Market Set for Strong Growth as China and India Drive Investor Diversification 
Asian Currencies Steady as Rupee Hits Record Low Amid Fed Rate Cut Bets 
Australia’s Economic Growth Slows in Q3 Despite Strong Investment Activity 
China’s Services Sector Posts Slowest Growth in Five Months as Demand Softens 
Germany’s Economic Recovery Slows as Trade Tensions and Rising Costs Weigh on Growth 
Asian Currencies Steady as Markets Await Fed Rate Decision; Indian Rupee Hits New Record Low 
European Stocks Rise as Markets Await Key U.S. Inflation Data 
Oil Prices Hold Steady as Ukraine Tensions and Fed Cut Expectations Support Market 
Asian Markets Stabilize as Wall Street Rebounds and Rate Concerns Ease 
IMF Deputy Dan Katz Visits China as Key Economic Review Nears 
Oil Prices Rise as Ukraine Targets Russian Energy Infrastructure 
China Urged to Prioritize Economy Over Territorial Ambitions, Says Taiwan’s President Lai 
Citi Sets Bullish 2026 Target for STOXX 600 as Fiscal Support and Monetary Easing Boost Outlook 
The U.S. dollar held onto its sharpest gain in a week on Wednesday, driven by safe-haven buying after an Iranian missile attack on Israel, heightening concerns of a wider conflict in the Middle East.
Euro, Yen, and Safe-Haven Currencies React
In early Asia trade, the euro dipped below $1.10, marking its largest drop in nearly four months. The yen and Swiss franc remained steady at 143.45 per dollar and 0.8463 per dollar, respectively, while the New Zealand dollar nursed a 1.1% overnight fall to $0.6283. Oil prices also spiked 2.5% on the news.
U.S. Dollar Index Surges Amid Tensions and Data
The U.S. dollar index jumped about 0.5% overnight to 101.2, its largest rise since September 25. The increase was partly fueled by a stronger-than-expected U.S. job openings report, adding to safe-haven demand amidst Middle East unrest.
Israeli-Iranian Tensions Drive Market Uncertainty
Israel reported more than 180 ballistic missiles fired by Iran, with Iran’s Revolutionary Guard Corps claiming the attack was in retaliation for Israeli actions against Hezbollah militants in Lebanon. No injuries were reported, but potential escalation concerns linger as Israel considers further military responses.
Oil prices are expected to fluctuate depending on Israel’s next steps, particularly if it targets Iran's military or oil assets, according to ANZ analysts.
Other Currencies and Market Reactions
The Australian dollar fell to $0.6883, though upbeat retail sales data limited losses. The British pound also saw a 0.7% drop before stabilizing at $1.3278 in early Asian trade.
New Zealand Interest Rate Outlook
A business survey in New Zealand suggested rapidly cooling price pressures, raising the likelihood of a 50-basis point rate cut next week. Westpac and BNZ have revised their forecasts to reflect this expectation, with markets pricing in a 77% probability.
U.S. Domestic Developments
Traders are also monitoring the ongoing dockworkers' strike on the U.S. East and Gulf coasts, which has halted about half of the country's ocean shipping. Additionally, a vice-presidential debate between Democrat Tim Walz and Republican JD Vance is scheduled for later in the day, along with anticipated U.S. private payroll data.
