The U.S. dollar weakened to near a two-month low during early Asian trading on Tuesday, as investors adopted a cautious stance ahead of several high-impact economic releases, most notably the delayed U.S. employment reports. The dollar index, which tracks the greenback against a basket of six major currencies, slipped 0.2% to 98.261, hovering close to its weakest level since October 17. Currency markets remained subdued as traders awaited fresh signals on the health of the U.S. economy and the future path of Federal Reserve interest rates.
Attention is firmly on the Bureau of Labor Statistics, which is set to publish combined U.S. jobs data for October and November after prolonged delays caused by the longest government shutdown in U.S. history. These figures are expected to provide clarity on labor market conditions during the shutdown period. Analysts believe the data could influence near-term dollar sentiment, especially after the Federal Reserve recently signaled a more cautious policy outlook. According to CME Group’s FedWatch tool, markets are pricing in a 75.6% probability that the Fed will keep rates unchanged at its January 28 meeting.
Beyond U.S. data, global monetary policy developments are also shaping foreign exchange markets. Several central banks are scheduled to announce rate decisions this week. The Bank of Japan is widely expected to raise interest rates by 25 basis points to 0.75%, while the Bank of England could cut rates by the same margin to 3.75%. Meanwhile, the European Central Bank, Sweden’s Riksbank, and Norway’s Norges Bank are all anticipated to hold rates steady.
In currency trading, the dollar edged 0.1% lower against the Japanese yen to 155.07. The euro held firm near $1.17535 amid optimism surrounding progress in Ukraine peace talks, while the British pound remained flat at $1.3376. The dollar also stayed near recent lows against the offshore Chinese yuan at 7.0371. Commodity-linked currencies such as the Australian and New Zealand dollars posted modest gains, supported by expectations that both central banks are done cutting rates.
Cryptocurrency markets saw limited upside, with Bitcoin rising slightly to around $86,420 and Ethereum edging higher near $2,964, reflecting a cautious but stable risk sentiment among investors.


Trump Signs Executive Order Threatening 25% Tariffs on Countries Trading With Iran
Vietnam’s Trade Surplus With US Jumps as Exports Surge and China Imports Hit Record
Asian Stocks Slip as Tech Rout Deepens, Japan Steadies Ahead of Election
South Korea’s Weak Won Struggles as Retail Investors Pour Money Into U.S. Stocks
Trump Endorses Japan’s Sanae Takaichi Ahead of Crucial Election Amid Market and China Tensions
Silver Prices Plunge in Asian Trade as Dollar Strength Triggers Fresh Precious Metals Sell-Off
Trump’s Inflation Claims Clash With Voters’ Cost-of-Living Reality
Japan Economy Poised for Q4 2025 Growth as Investment and Consumption Hold Firm
U.S.-India Trade Framework Signals Major Shift in Tariffs, Energy, and Supply Chains
Dow Hits 50,000 as U.S. Stocks Stage Strong Rebound Amid AI Volatility
Global Markets Slide as AI, Crypto, and Precious Metals Face Heightened Volatility
South Korea Assures U.S. on Trade Deal Commitments Amid Tariff Concerns
Gold Prices Slide Below $5,000 as Strong Dollar and Central Bank Outlook Weigh on Metals
South Africa Eyes ECB Repo Lines as Inflation Eases and Rate Cuts Loom
Gold and Silver Prices Slide as Dollar Strength and Easing Tensions Weigh on Metals
Thailand Inflation Remains Negative for 10th Straight Month in January
Bank of Japan Signals Readiness for Near-Term Rate Hike as Inflation Nears Target 



