U.S. Dollar Slips Near Two-Month Low as Markets Await Key Jobs Data and Central Bank Decisions 
Gold and Silver Prices Dip as Markets Await Key U.S. Economic Data 
Silver Prices Hit Record High as Safe-Haven Demand Surges Amid U.S. Economic Uncertainty 
South Korea Warns Weak Won Could Push Inflation Higher in 2025 
Singapore Growth Outlook Brightens for 2025 as Economists Flag AI and Geopolitical Risks 
China’s November Economic Data Signals Slowing Industrial Output and Weak Consumer Demand 
Dollar Struggles as Markets Eye Key Central Bank Decisions and Global Rate Outlooks 
Asian Currencies Slip as Dollar Strengthens; Indian Rupee Rebounds on Intervention Hopes 
Gold and Silver Surge as Safe Haven Demand Rises on U.S. Economic Uncertainty 
Asian Fund Managers Turn More Optimistic on Growth but Curb Equity Return Expectations: BofA Survey 
Bank of Japan Poised for Historic Rate Hike as Inflation Pressures Persist 
Japan Exports to U.S. Rebound in November as Tariff Impact Eases, Boosting BOJ Rate Hike Expectations 
Australian Consumer Sentiment Slumps in Early December as Inflation Fears Resurface 
Asian Stocks Slide as AI Valuation Fears and BOJ Uncertainty Weigh on Markets 
New Zealand Budget Outlook Shows Prolonged Deficits Despite Economic Recovery Hopes 
Oil Prices Slip in Asia as 2026 Supply Glut Fears and Russia-Ukraine Talks Weigh on Markets 
Asian Stocks Slide as Central Bank Decisions and Key Data Keep Investors Cautious 
Asian currencies strengthened on Wednesday as the U.S. dollar weakened amid uncertainty over President Donald Trump’s proposed tax reform and heightened caution during the ongoing G7 finance ministers' meeting, which often addresses foreign exchange matters.
The U.S. Dollar Index dropped 0.3%, while Dollar Index Futures declined 0.4% during Asian trading hours. The dip followed Trump’s push for congressional Republicans to support a sweeping tax cut bill, though key lawmakers remain unconvinced. If passed, the bill could significantly expand the U.S. fiscal deficit. Last week, Moody’s downgraded the U.S. credit rating due to rising national debt.
Investors are closely watching the G7 meeting in Canada, where any changes in language around FX policy could impact dollar sentiment. Analysts at ING noted that minor tweaks in the final communique could trigger market reactions.
Meanwhile, several Federal Reserve officials cautioned that persistent trade tariffs could elevate inflation, possibly delaying interest rate cuts.
In Asia, the South Korean won led gains, with the USD/KRW pair dropping 0.5%, followed by the Japanese yen, with USD/JPY down 0.4%. Japan’s trade balance unexpectedly shrank in April, reflecting weak exports due to U.S. tariffs and a strong yen.
The Chinese yuan remained steady despite escalating tensions. Beijing opposed new U.S. restrictions targeting Huawei chips, warning that such actions could jeopardize the fragile 90-day trade truce.
Elsewhere, the Australian dollar rebounded, with AUD/USD up 0.5% after Tuesday’s 25 basis point rate cut by the Reserve Bank of Australia. The Singapore dollar (USD/SGD) slipped 0.2%, while the Indian rupee (USD/INR) held steady.
The combination of a weaker dollar, trade concerns, and central bank signals helped lift sentiment for Asia’s emerging market currencies.
