South Korea Factory Activity Hits 18-Month High as Export Demand Surges 
Gold and Silver Prices Plunge as Trump Taps Kevin Warsh for Fed Chair 
U.S.–Venezuela Relations Show Signs of Thaw as Top Envoy Visits Caracas 
Philippines Manufacturing PMI Hits Nine-Month High Despite Weak Confidence Outlook 
Japan Election Poll Signals Landslide Win for Sanae Takaichi, Raising Fiscal Policy Concerns 
BOJ Policymakers Warn Weak Yen Could Fuel Inflation Risks and Delay Rate Action 
India Budget 2025 Highlights Manufacturing Push but Falls Short of Market Expectations 
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 
JPMorgan Lifts Gold Price Forecast to $6,300 by End-2026 on Strong Central Bank and Investor Demand 
U.S. Government Faces Brief Shutdown as Congress Delays Funding Deal 
Dollar Holds Firm as Markets Weigh Warsh-Led Fed and Yen Weakness Ahead of Japan Election 
IMF Forecasts Global Inflation Decline as Growth Remains Resilient 
China Factory Activity Slips in January as Weak Demand Weighs on Growth Outlook 
Asian Currencies Hold Firm as Dollar Rebounds on Fed Chair Nomination Hopes 
Asian markets saw a cautious rebound on Wednesday, buoyed by dovish remarks from Federal Reserve Chair Jerome Powell and strong U.S. bank earnings, though persistent U.S.-China trade tensions curbed broader risk appetite. Powell hinted that the Fed may be nearing the end of its balance sheet reduction and left the door open for further rate cuts, reinforcing market expectations of easing later this year. Traders are now pricing in around 48 basis points of cuts by December.
ANZ economist Tom Kenny noted that the Fed could announce the end of quantitative tightening as early as the October FOMC meeting, forecasting 25-basis-point cuts in both October and December. Investor sentiment was further supported by upbeat quarterly results from major U.S. banks and an improved global growth outlook from the International Monetary Fund (IMF).
MSCI’s broadest index of Asia-Pacific shares outside Japan gained 0.45%, while Japan’s Nikkei rose 0.8% after a steep decline earlier in the week. U.S. futures also advanced modestly, with Nasdaq and S&P 500 up about 0.1% each.
However, optimism was tempered by escalating trade frictions. President Donald Trump said Washington might terminate certain trade ties with China, while both nations imposed new port fees on shipping companies. The trade conflict intensified after the U.S. introduced 100% tariffs on Chinese goods in response to Beijing’s expanded export restrictions on rare earth materials.
Meanwhile, European futures rose sharply after French Prime Minister Sebastien Lecornu announced a suspension of pension reforms until after the 2027 elections, easing investor worries. The euro edged higher to $1.1611, while the dollar weakened amid Fed rate-cut bets. Safe-haven assets like the yen and Swiss franc gained slightly.
Gold continued its record surge, rising 0.9% to $4,179.80 per ounce, while oil prices slipped marginally, with Brent at $62.33 a barrel and U.S. crude at $58.66.
