Gold Drops Below $4,000 as Strong US Dollar and Fed Rate Hike Expectations Pressure Bullion 
US Dollar Slips After PCE Inflation Data as Fed Rate Hike Expectations Stay Elevated 
South Korea’s KOSPI Plunges as Apple Price Hikes and OpenAI IPO Delay Shake AI Chip Stocks 
Morgan Stanley Sees Chinese Auto Market Recovery Gaining Momentum in Late Summer 
South Korea’s KOSPI Jumps Over 5% as Samsung, SK Hynix Rally on Micron Earnings Boost 
U.S. Dollar Reaches One-Year High as Tech Sell-Off and Fed Rate Hike Expectations Support Demand 
Wall Street Ends Mixed as Micron Surges, Apple Drops After Price Hikes 
Gold Prices Rise Above $4,000 as Inflation Data and Weaker Dollar Boost Demand 
Oil Prices Rebound as Strait of Hormuz Tensions Return After Ship Attack Near Oman 
Australia Jobs Growth Strengthens Rate Hike Outlook 
US Dollar Slips After PCE Inflation Data Eases Fed Rate Hike Expectations 
Asian Markets Rally as Micron and Qualcomm AI Outlook Lifts Global Tech Stocks 
Japan Signals Preference for Low Interest Rates as BOJ Policy Debate Intensifies 
Oil Prices Drop as Strait of Hormuz Shipping Recovers 
Gold Prices Fall Below $4,000 as Strong Dollar, Fed Rate Hike Bets Weigh on Bullion 
BOJ Hawk Signals Faster Interest Rate Hikes Amid Inflation Risks 
Trump Threatens 100% Tariffs on Countries Imposing Digital Services Taxes on U.S. Tech Firms 
Asian currencies saw modest gains on Tuesday as growing confidence in a potential U.S. Federal Reserve rate cut in December supported regional sentiment. The shift in expectations helped several Asian units recover recent losses, even as the U.S. dollar held firm ahead of a series of key economic reports.
Markets have sharply increased bets that the Fed will lower interest rates at its December 9–10 meeting, with CME FedWatch now pricing in nearly an 80% chance of a 25-basis-point cut—up from just 40% a week earlier. Comments from multiple Fed officials signaling support for easing contributed to this turnaround. According to the Wall Street Journal’s Nick Timiraos, Fed Chair Jerome Powell appears to have enough backing for a December cut, although policymakers remain divided on the outlook for further reductions.
Despite the shift in rate expectations, the dollar index stayed above the 100 level as traders awaited fresh U.S. economic data. Upcoming releases include September’s producer price index and retail sales, followed by the PCE price index—widely regarded as the Fed’s preferred inflation measure. These will form the last major data inputs before the December meeting, especially with officials warning that October’s inflation and labor numbers may not be published due to an extended U.S. government shutdown.
The Chinese yuan strengthened slightly, with USD/CNY slipping 0.1% amid optimism over U.S.-China relations, boosted by news that U.S. President Donald Trump plans to visit Beijing in April. Meanwhile, the Japanese yen remained near 10-month lows above 156 per dollar, hovering close to levels that have triggered government intervention in the past. Tokyo issued repeated warnings about excessive yen weakness, though no direct action has been taken. Analysts note that meaningful yen recovery would require stronger fiscal discipline and continued policy normalization by the Bank of Japan.
Regional currencies traded narrowly, with the Australian dollar dipping 0.1%, the Indian rupee holding above 89 per dollar, and both the South Korean won and Singapore dollar remaining largely unchanged.
