China Manufacturing PMI Slips Into Contraction in January as Weak Demand Pressures Economy 
Canada’s Trade Deficit Jumps in November as Exports Slide and Firms Diversify Away From U.S. 
U.S. Stock Futures Slip as Markets Brace for Big Tech Earnings and Key Data 
India Budget 2025 Highlights Manufacturing Push but Falls Short of Market Expectations 
Wall Street Slides as Warsh Fed Nomination, Hot Inflation, and Precious Metals Rout Shake Markets 
Philippines Manufacturing PMI Hits Nine-Month High Despite Weak Confidence Outlook 
Oil Prices Slide Nearly 3% as U.S.-Iran Talks Ease Geopolitical Tensions 
BOJ Policymakers Warn Weak Yen Could Fuel Inflation Risks and Delay Rate Action 
China Factory Activity Slips in January as Weak Demand Weighs on Growth Outlook 
Japan Election Poll Signals Landslide Win for Sanae Takaichi, Raising Fiscal Policy Concerns 
JPMorgan Lifts Gold Price Forecast to $6,300 by End-2026 on Strong Central Bank and Investor Demand 
South Korea Exports Surge in January on AI Chip Demand, Marking Fastest Growth in 4.5 Years 
Russia Stocks End Flat as MOEX Closes Unchanged Amid Mixed Global Signals 
IMF Forecasts Global Inflation Decline as Growth Remains Resilient 
China Home Prices Rise in January as Government Signals Stronger Support for Property Market 
Gold Prices Stabilize in Asian Trade After Sharp Weekly Losses Amid Fed Uncertainty 
Asian currencies traded in a narrow-to-lower range on Wednesday, weighed down by a stronger U.S. dollar and fading expectations of a Federal Reserve rate cut in December. The Japanese yen was a notable exception, edging higher after the Bank of Japan’s (BOJ) September meeting minutes revealed discussions about a potential rate hike.
The USD/JPY pair dipped 0.2% as BOJ policymakers signaled that conditions were aligning for an interest rate increase, with two members even voting for an immediate hike. Although the BOJ left rates unchanged in September and October, Governor Kazuo Ueda hinted that tightening could come as early as December amid persistent inflation. However, yen gains were limited by a robust dollar and concerns over Japan’s looser fiscal stance under new Prime Minister Sanae Takaichi.
The Chinese yuan remained steady after mixed October services PMI data showed modest growth. The RatingDog index highlighted slower expansion compared to the previous month, reinforcing concerns over China’s sluggish economic recovery. Nonetheless, sentiment improved slightly after U.S. President Donald Trump cut fentanyl-related tariffs on Chinese goods from 20% to 10%, and Beijing reduced some tariffs on American agricultural imports.
Meanwhile, the dollar index hovered near a three-month high as traders dialed back bets on a December rate cut. According to CME FedWatch, markets priced a 69.8% chance of a 25-basis-point cut and a 30.2% chance of no change. Despite an October rate cut, the Fed’s cautious tone has supported the greenback’s rally.
Across Asia, the Australian dollar weakened after soft PMI data, while the South Korean won fell 0.2% amid equity outflows. The Singapore dollar stayed flat, and the Indian rupee hovered near record lows, reflecting persistent market caution and firm U.S. rate expectations.
