US Stocks Face Jobs, Inflation Test as Fed Rate Hike Bets Rise 
China Agrees to Buy 20 Million Tons of U.S. Coal 
US Comfortable With Canada Trade Standoff as Import Bans Loom 
U.S. Treasury Yields Surge as 30-Year Hits 22-Year High 
Japanese Bank Stocks Surge as Bond Yields Fuel Rate Hike Bets 
Canadian Dollar Faces Pressure as Fed-BoC Policy Gap Widens 
Fed Unveils Stablecoin Rules Under GENIUS Act 
Fed’s Hammack Says Bond Yield Surge Is Not Driven by Inflation Fears 
South Korea Tax Windfall Could Top 50 Trillion Won on Chip Boom 
Trump, Xi Focus on Trade and AI at White House Summit 
Trump to Ease U.S. Fuel-Economy Standards 
Asian Stocks Fall as Surging Bond Yields Rattle Markets 
Europe’s AI Data Centre Boom Strengthens Case for Nuclear Power 
European Stocks Fall as Bond Yields and Geopolitical Risks Weigh 
Wall Street Ends Flat as Oil, Treasury Yields and Fed Jitters Rattle Markets 
Dollar Falls as Oil Eases, Yen Jumps on Intervention Signals 
Germany’s 2026 Growth Outlook Strengthens on Fiscal Spending 
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Japan’s Nikkei 225 fell 1.8% to 37,096.51 by midday Tuesday, its lowest level since September 18, as investors grew cautious ahead of new U.S. tariffs on Canada, Mexico, and China. The Topix index dropped 1.2% to 2,696.99, with market sentiment further dampened by a stronger yen and underperformance in exporters and tech stocks.
The yen strengthened to its highest level since early December after U.S. President Donald Trump warned Japan and China against currency devaluation, calling it unfair to the U.S. The stronger yen weighed on major exporters like Toyota Motor (NYSE: TM), down 2.2%, while Fast Retailing fell 2.6% and SoftBank Group (TYO: 9984) slid 5.2%. Seven & i Holdings tumbled 10.2%, adding to the market downturn.
Technology stocks struggled as well, with Advantest plunging 6.2% amid concerns over U.S. growth and tariff impacts. Analysts noted similarities to last summer’s market turmoil, when the Nikkei plunged due to a rising yen and U.S. recession fears.
Wall Street’s major indexes closed sharply lower Monday after Trump announced 25% tariffs on Canadian and Mexican imports, alongside an additional 10% tariff on Chinese goods. The impact rippled through global markets, fueling volatility in Japan.
The Nikkei Volatility Index surged to 31.6, its highest since early November, following the U.S. presidential election. Analysts suggest Japan’s policymakers may remain hawkish on yen movements, limiting hopes for intervention.
As trade tensions escalate and economic uncertainty looms, investors remain wary of further downside risks in Japan’s stock market.
