JPMorgan Lifts Gold Price Forecast to $6,300 by End-2026 on Strong Central Bank and Investor Demand 
IMF Forecasts Global Inflation Decline as Growth Remains Resilient 
Gold and Asian Stocks Rebound as Market Volatility Eases and Global Sentiment Improves 
Oil Prices Slide Nearly 3% as U.S.-Iran Talks Ease Geopolitical Tensions 
Indian Rupee Strengthens Sharply After U.S.-India Trade Deal Announcement 
South Korea Inflation Hits Five-Month Low as CPI Reaches Central Bank Target 
RBA Raises Interest Rates by 25 Basis Points as Inflation Pressures Persist 
Trump Announces U.S.–India Trade Deal Cutting Tariffs, Boosting Markets and Energy Ties 
Japan Finance Minister Defends PM Takaichi’s Remarks on Weak Yen Benefits 
India Budget 2025 Highlights Manufacturing Push but Falls Short of Market Expectations 
South Korea Factory Activity Hits 18-Month High as Export Demand Surges 
Taiwan Urges Stronger Trade Ties With Fellow Democracies, Rejects Economic Dependence on China 
U.S. Stock Futures Rise as Investors Eye Big Tech Earnings and AI Momentum 
UK Employers Plan Moderate Pay Rises as Inflation Pressures Ease but Persist 
The U.S. dollar sank to a three-year low on Thursday as Asian currencies gained ground, fueled by political pressure on the Federal Reserve and improving regional risk sentiment. The dollar index slipped 0.2% to 0.3% during Asian trading, marking its weakest level since March 2022.
U.S. President Donald Trump intensified his criticism of Fed Chair Jerome Powell, calling for aggressive interest rate cuts. A Wall Street Journal report that Trump may name Powell’s successor earlier than expected added further pressure on the greenback, prompting speculation of a possible rate cut as soon as July. Trump stated this week that interest rates should be two to three points lower, warning that high rates could harm the U.S. economy.
The dollar's appeal as a safe haven also waned after a U.S.-brokered ceasefire between Israel and Iran appeared to be holding. Trump hinted at renewed nuclear talks with Iran next week, further supporting risk-on sentiment.
Asian currencies strengthened across the board. The Chinese yuan rose to a seven-month high after local officials suggested upcoming stimulus measures, including consumer subsidies set to launch in July. The Taiwan dollar led gains, with the USDTWD pair plunging 1%. The Japanese yen also firmed ahead of Tokyo’s inflation report, which could influence the Bank of Japan’s potential rate hike, especially following hawkish BOJ comments this week.
Meanwhile, the South Korean won, Australian dollar, Singapore dollar, and Indian rupee all appreciated, each strengthening between 0.2% and 0.4% against the weakening dollar.
With growing expectations of U.S. monetary easing and positive sentiment in Asia, traders are shifting away from the dollar and into regional currencies, signaling a potential turning point in global forex trends.
