Asian Currencies Mixed as Dollar Holds Near Two-Month High 
Trump, Xi Focus on Trade and AI at White House Summit 
Japanese Bank Stocks Surge as Bond Yields Fuel Rate Hike Bets 
UK PM Burnham to Unveil Economic Vision at Labour Conference 
Soybean Futures Slip as Traders Await Trump-Xi Trade Signals 
US Stock Futures Fall as Treasury Yields Surge Ahead of Trump-Xi Summit 
Canadian Dollar Faces Pressure as Fed-BoC Policy Gap Widens 
Fed Unveils Stablecoin Rules Under GENIUS Act 
Germany’s 2026 Growth Outlook Strengthens on Fiscal Spending 
US 10-Year Treasury Yield at 6% Emerges as New Market Risk Threshold 
Wall Street Ends Flat as Oil, Treasury Yields and Fed Jitters Rattle Markets 
Mexico-US Trade Talks Delayed to October as Tariff Negotiations Continue 
Dollar Falls as Oil Eases, Yen Jumps on Intervention Signals 
Dollar Holds Near Two-Month High as Yen Approaches 160 
Gold Prices Fall as Treasury Yields Rise on Fed Rate Hike Bets 
China Agrees to Buy 20 Million Tons of U.S. Coal 
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The S&P 500 closed higher Tuesday as tech stocks rebounded, shifting investor focus to the Federal Reserve’s policy decision. The Dow Jones rose 136 points (0.3%), while the S&P 500 gained 0.9%, and the Nasdaq surged 2%.
AI chip leader Nvidia (NASDAQ:NVDA) led the recovery after suffering a record $593 billion loss in market value Monday. Concerns over Chinese AI startup Deepseek disrupting U.S. AI dominance were downplayed, with analysts suggesting that cheaper AI solutions could drive broader adoption. The rally comes as big tech giants, including Microsoft (NASDAQ:MSFT), Meta (NASDAQ:META), Apple (NASDAQ:AAPL), and Tesla (NASDAQ:TSLA), prepare to report earnings this week.
On the earnings front, General Motors (NYSE:GM) fell nearly 9% after posting a fourth-quarter loss due to China-related charges. JetBlue Airways (NASDAQ:JBLU) plunged 26% following weak revenue guidance, while Royal Caribbean (NYSE:RCL) soared 12% on strong Q4 earnings and a positive 2025 outlook. Boeing (NYSE:BA) gained 1.5% after CEO Kelly Ortberg outlined a turnaround strategy despite the company’s largest annual loss since 2020.
Investors now await the Federal Reserve’s decision, with expectations that borrowing costs will remain unchanged. The Fed previously lowered rates, bringing the benchmark rate to 4.25%-4.50%. Key economic data, including the PCE price index and Q4 GDP estimates, are also due this week.
Meanwhile, U.S. housing data showed single-family home prices rose 0.3% in November, slowing from October’s 0.5% gain, reflecting the impact of higher mortgage rates.
Markets remain focused on earnings and macroeconomic signals, with tech stocks driving optimism ahead of the Fed’s announcement.
