Dollar Struggles as Markets Eye Key Central Bank Decisions and Global Rate Outlooks 
Russia Stocks End Flat as Energy and Retail Shares Show Mixed Performance 
Japan Business Sentiment Hits Four-Year High, Boosting Expectations of BOJ Rate Hike 
Global Markets Slide as Tech Stocks Sink, Yields Rise, and AI Concerns Deepen 
Fed Rate Cut Signals Balance Between Inflation and Jobs, Says Mary Daly 
Asian Stocks Rally as Tech Rebounds, China Lags on Nvidia Competition Concerns 
Modi and Trump Hold Phone Call as India Seeks Relief From U.S. Tariffs Over Russian Oil Trade 
S&P 500 Slides as AI Chip Stocks Tumble, Cooling Tech Rally 
Oil Prices Rebound in Asia as Venezuela Sanctions Risks Offset Ukraine Peace Hopes 
China’s Small Bank Consolidation Struggles as Profits Fall and Risks Persist 
Asian Technology and Chipmaking Stocks Slide as AI Spending Concerns Shake Markets 
Fed Near Neutral Signals Caution Ahead, Shifting Focus to Fixed Income in 2026 
Australia’s Labour Market Weakens as November Employment Drops Sharply 
Wall Street Futures Dip as Broadcom Slides, Tech Weighed Down Despite Dovish Fed Signals 
Korea Zinc Plans $6.78 Billion U.S. Smelter Investment With Government Partnership 
U.S. Dollar Slides for Third Straight Week as Rate Cut Expectations Boost Euro and Pound 
The U.S. dollar edged higher on Tuesday as geopolitical tensions in the Middle East and investor caution ahead of major central bank meetings kept most currencies range-bound. Market sentiment remained risk-averse, with attention turning to the Bank of Japan (BOJ) and the U.S. Federal Reserve.
The BOJ is expected to maintain interest rates at its policy meeting, while investors await comments from Governor Kazuo Ueda regarding inflation and potential adjustments to bond-buying. The yen slightly strengthened to 144.70 per dollar, recovering modestly after earlier losses.
Carol Kong, currency strategist at Commonwealth Bank of Australia, noted the BOJ’s role as the next key market driver, especially amid Japan’s inflation and trade concerns. Prime Minister Shigeru Ishiba’s recent tariff discussions with U.S. President Donald Trump ended without agreement, according to Fuji TV.
Meanwhile, the dollar gained on safe-haven demand as tensions escalated between Iran and Israel. Trump’s early departure from the G7 summit and his call for evacuation from Tehran underscored the crisis. Still, DBS analysts said global spillover risk remains “manageable” for now.
The risk-sensitive Australian dollar fell 0.27% to $0.6507, while the New Zealand dollar slipped 0.17% to $0.6049. The euro dipped 0.1% to $1.1545, and the British pound declined 0.09% to $1.3563. The U.S. dollar index edged up to 98.23.
Looking ahead, the Fed’s policy decision on Wednesday is the week’s major event. While rates are expected to remain steady, investors will focus on the dot plot and economic projections for clues on future policy. Ronald Temple of Lazard predicts no rate cuts this year, diverging from market expectations of two.
Trump also signed a deal to reduce certain tariffs on British imports, advancing U.S.-UK trade negotiations.
