Gold Prices Slide Below $5,000 as Strong Dollar and Central Bank Outlook Weigh on Metals 
Silver Prices Plunge in Asian Trade as Dollar Strength Triggers Fresh Precious Metals Sell-Off 
Fed Governor Lisa Cook Warns Inflation Risks Remain as Rates Stay Steady 
Japanese Pharmaceutical Stocks Slide as TrumpRx.gov Launch Sparks Market Concerns 
Global Markets Slide as AI, Crypto, and Precious Metals Face Heightened Volatility 
Trump’s Inflation Claims Clash With Voters’ Cost-of-Living Reality 
China Extends Gold Buying Streak as Reserves Surge Despite Volatile Prices 
South Korea Assures U.S. on Trade Deal Commitments Amid Tariff Concerns 
RBI Holds Repo Rate at 5.25% as India’s Growth Outlook Strengthens After U.S. Trade Deal 
South Korea’s Weak Won Struggles as Retail Investors Pour Money Into U.S. Stocks 
Trump Endorses Japan’s Sanae Takaichi Ahead of Crucial Election Amid Market and China Tensions 
Gold and Silver Prices Slide as Dollar Strength and Easing Tensions Weigh on Metals 
Trump Signs Executive Order Threatening 25% Tariffs on Countries Trading With Iran 
India–U.S. Interim Trade Pact Cuts Auto Tariffs but Leaves Tesla Out 
U.S. Stock Futures Slide as Tech Rout Deepens on Amazon Capex Shock 
Thailand Inflation Remains Negative for 10th Straight Month in January 
Oil Prices Slide on US-Iran Talks, Dollar Strength and Profit-Taking Pressure 
The U.S. dollar remained broadly steady on Wednesday as global markets turned their attention to shifting interest rate expectations and a renewed appetite for risk. Investors are increasingly positioning for potential U.S. rate cuts in 2026, a trend that could weigh on the greenback over the coming years.
The Australian dollar briefly reached a three-week high at $0.6576 before easing after GDP figures came in slightly below forecasts. Meanwhile, the euro gained momentum, breaking above its 50-day moving average following euro zone inflation data that was marginally stronger than expected. Early in the Asian session, the euro traded around $1.1629, supported by improved sentiment.
A major driver of market confidence was bitcoin’s sharp rebound. The world’s largest cryptocurrency surged roughly 6%, climbing past $91,000 and encouraging broader risk-taking among investors.
The Japanese yen held steady at 155.70 per dollar, buoyed by growing expectations of a domestic rate hike this month. This stands in contrast to the United States, where markets are pricing in an 85% chance of a Federal Reserve rate cut next week. Sterling traded at $1.3222, the Swiss franc remained firm at 0.8022 per dollar, and the New Zealand dollar hovered near $0.5730.
Looking ahead, analysts expect about 90 basis points of U.S. rate cuts before the end of 2026. Speculation is also building that White House economic adviser Kevin Hassett—known for favoring lower interest rates—could be nominated as the next Fed chair, a move that could further pressure the dollar.
Deutsche Bank strategist Tim Baker noted that December has historically been a weak month for the greenback, projecting a potential 2% decline. Analysts at OCBC share a similar outlook, anticipating a softer dollar as U.S. rate cuts narrow global yield differentials. Market veteran Brent Donnelly summed up sentiment, highlighting stretched dollar positioning and seasonal weakness, and revealing bullish positions on EUR/USD and NZD/USD pairs.
