On Wednesday, the People’s Bank of China (PBOC) set the USD/CNY central rate for the trading session ahead at 7.1696 as compared to the previous day's fix of 7.1741 and 7.2324 Reuters estimates.
Japan’s largest companies are expected to offer substantial wage hikes for a third consecutive year, helping workers cope with inflation and retain staff amid labour shortages, per Reuters.
Bank of Japan Governor Kazuo Ueda said early Wednesday that it is natural for long-term rates to shift in line with the market view on the outlook for short-term policy rates.
Ukrainian President Volodymyr Zelensky said late Tuesday that Ukraine agreed to a 30-day ceasefire proposed by the United States if Russia accepts the plan, following critical peace talks between US and Ukrainian officials in Saudi Arabia, per CNN.
Canada’s Energy Minister Jonathan Wilkinson said late Tuesday that the country may impose non-tariff measures, including restrictions on oil exports to the United States if trade tensions with Washington escalate further.
A Houthi spokesman said late Tuesday that they will attack any Israeli ship that violates the group's ban on Israeli ships passing through the Red and Arabian seas, the Bab al-Mandab Strait, and the Gulf of Aden, effective immediately.
The USD/JPY rises as trade tensions loom due to back-and-forth tariff rhetoric between Canada and the United States (US), which initially weighed on the US Dollar.
White House staff reaffirmed on Tuesday that a global 25% tariff on all steel and aluminum imported into the US would take effect on Wednesday, beginning at midnight Eastern Standard Time.
Within hours of his declaration via social media to impose a double tariff of 50% on Canadian steel and aluminum, US President Donald Trump has capitulated to pressures from both the market and within his cabinet, floating the suggestion that he may pivot away from his own double-tariff just hours after declaring his intent to double targeted tariffs on Canada on his Truth Social account.
Ontario Prime Minister Doug Ford agreed to suspend his announced export tariffs on Ontario-produced electricity bound for the US after US Secretary of Commerce Howard Lutnick agreed to emergency trade talks with Canada.
White House Press Secretary Karoline Leavitt addressed the press from the White House on Tuesday, following up on President Donald Trump's declarations of setting additional tariffs on Canada, to begin as soon as Wednesday.
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