U.S. Eases Venezuela Oil Sanctions to Boost American Investment After Maduro Ouster 
Canada’s Trade Deficit Jumps in November as Exports Slide and Firms Diversify Away From U.S. 
Dollar Holds Firm as Markets Weigh Warsh-Led Fed and Yen Weakness Ahead of Japan Election 
Russia Stocks End Flat as MOEX Closes Unchanged Amid Mixed Global Signals 
Philippines Manufacturing PMI Hits Nine-Month High Despite Weak Confidence Outlook 
China Factory Activity Slips in January as Weak Demand Weighs on Growth Outlook 
U.S. Stock Futures Slip as Markets Brace for Big Tech Earnings and Key Data 
JPMorgan Lifts Gold Price Forecast to $6,300 by End-2026 on Strong Central Bank and Investor Demand 
EU Recovery Fund Faces Bottlenecks Despite Driving Digital and Green Projects 
China Home Prices Rise in January as Government Signals Stronger Support for Property Market 
Gold and Silver Prices Plunge as Trump Taps Kevin Warsh for Fed Chair 
IMF Forecasts Global Inflation Decline as Growth Remains Resilient 
Japan Election Poll Signals Landslide Win for Sanae Takaichi, Raising Fiscal Policy Concerns 
Asian Currencies Hold Firm as Dollar Rebounds on Fed Chair Nomination Hopes 
Gold Prices Stabilize in Asian Trade After Sharp Weekly Losses Amid Fed Uncertainty 
UK Employers Plan Moderate Pay Rises as Inflation Pressures Ease but Persist 
China Manufacturing PMI Slips Into Contraction in January as Weak Demand Pressures Economy 
Asian currencies traded in a narrow range on Tuesday as renewed U.S.-China trade tensions kept markets on edge. The dollar remained steady ahead of Federal Reserve Chair Jerome Powell’s upcoming address, while regional currencies struggled to recover from steep losses in the previous session.
Market sentiment soured after U.S. President Donald Trump threatened to impose 100% tariffs on Chinese imports, prompting a strong response from Beijing. China’s Ministry of Commerce warned that it would “fight to the end” in any trade conflict with the United States. Despite diplomatic efforts to ease concerns, traders remained cautious amid fears of escalating trade hostilities between the two largest economies.
The Chinese yuan weakened slightly, with the USD/CNY pair rising 0.1%, reflecting investor anxiety. Trade data released Monday showed that China’s exports remained resilient despite 50% tariffs, as exporters diverted shipments to other Asian and European markets.
Elsewhere, the Japanese yen slipped slightly against the dollar (USD/JPY), weighed down by expectations of increased fiscal spending under incoming Prime Minister Sane Takaichi. However, her leadership faced uncertainty after a key coalition partner withdrew support. The South Korean won (USD/KRW) was largely unchanged, while the Australian dollar (AUD/USD) fell 0.3%. The Indian rupee (USD/INR) remained above 88, pressured by weaker consumer inflation data that fueled speculation of further rate cuts by the Reserve Bank of India.
Meanwhile, the U.S. dollar index eased 0.1% as traders awaited Powell’s remarks at the National Association for Business Economics meeting. The ongoing U.S. government shutdown has delayed key economic data, deepening uncertainty ahead of the Fed’s late-October meeting, where another 25 basis-point rate cut is expected.
The Singapore dollar (USD/SGD) held steady after stronger-than-expected third-quarter GDP growth. The Monetary Authority of Singapore maintained its policy stance, citing stable growth and limited fallout from trade tariffs, though economic momentum cooled compared to the previous quarter.
