Asian stock markets slipped slightly on Tuesday as investors remained cautious despite U.S. In a surprise move, President Donald Trump delayed implementing the planned 50% tariffs on EU goods to July 9. While this decision gave U.S. futures a short-lived boost, Asian equities struggled to maintain momentum.
The MSCI Asia-Pacific Index, excluding Japan, fell by 0.17%. Japan’s Nikkei index declined by 0.15%, China’s CSI300 dropped 0.06%, and Hong Kong’s Hang Seng lost 0.1%. Shanghai’s Composite Index stayed largely unchanged.
On Wall Street, Nasdaq futures climbed 1.26%, and S&P 500 futures increased by 1.11%, supported by positive expectations for Nvidia’s upcoming earnings report, which is predicted to show a 65.9% rise in revenue.
Trading activity remained muted due to a light U.S. holiday session and investors waiting for important Federal Reserve speeches and the U.S. core PCE data, set to be published on Friday. These events are expected to influence future interest rate decisions.
The dollar extended its downward trend, marking five months of consecutive losses—the most prolonged slump since 2017. The euro stayed close to $1.14, while the Japanese yen strengthened to 142.18 against the dollar. Experts attribute the dollar’s pressure to unpredictable U.S. trade policies, fiscal challenges, and increasing external debt.
David Meier, an economist at Julius Baer, commented, “The weakening of the dollar might be more of a long-term trend rather than a short-term cycle.”
Gold prices benefited from the weaker dollar, holding near record levels at around $3,332.91 per ounce. Meanwhile, oil prices dipped slightly, with Brent crude at $64.67 and WTI crude at $61.43 per barrel, ahead of a key OPEC+ production meeting scheduled for later this week.
Global markets remain cautious as ongoing uncertainties over U.S. trade policies, central bank signals, and inflation concerns continue to influence investor sentiment.
