Japanese Prime Minister Sanae Takaichi said on X post on Tuesday that the country will start releasing national oil reserves from Thursday.

The USD/JPY pair holds positive ground near 158.55 during the early Asian session on Tuesday. The Japanese Yen (JPY) softens against the US Dollar (USD) after the cooler-than-expected inflation report.

Japan’s Finance Minister Satsuki Katayama said on Tuesday that she plans to compile a temporary budget for 11 days. Katayama further stated that the government will use 800 billion yen reserve funds to finance gasoline subsidies. 

Bloomberg reported on Tuesday that the European Union (EU) and Australia agreed to a free-trade deal and broader partnership, wrapping up almost a decade of talks as the two sides push to tighten ties and reinvigorate a rules-based order that’s under assault from the US President Donald Trump admini

Japan Jibun Bank Manufacturing PMI registered at 51.4, below expectations (52.8) in March

Japan Jibun Bank Services PMI down to 52.8 in March from previous 53.8

San Francisco Federal Reserve Bank President Mary Daly said that unless the Iran conflict resolves quickly and the central bank can simply "look through" a temporary increase in oil prices, it is not clear what the next move on interest rates will need to be, Reuters reported on Monday.

Reserve Bank of New Zealand (RBNZ) Governor Anna Breman said on Tuesday that she sees near-term inflation lift, driven by energy shocks. Breman signaled readiness to act if medium-term inflation risks build.

Japan’s National Consumer Price Index (CPI) rose by 1.3% YoY in February, compared to the previous reading of 1.5%, according to the latest data released by the Japan Statistics Bureau on Tuesday.

Japan National CPI ex Food, Energy (YoY) fell from previous 2.6% to 2.5% in February

Japan National CPI ex Fresh Food (YoY) registered at 1.6%, below expectations (1.7%) in February

Japan National Consumer Price Index (YoY) fell from previous 1.5% to 1.3% in February

The preliminary reading of Australia's S&P Global Manufacturing Purchasing Managers Index (PMI) declined to 50.1 in March versus 51.0 prior, the latest data published by S&P Global showed on Tuesday.

Australia S&P Global Composite PMI: 47 (March) vs previous 52.4

Australia S&P Global Services PMI declined to 46.6 in March from previous 52.8

Australia S&P Global Manufacturing PMI down to 50.1 in March from previous 51

South Korea Producer Price Index Growth (MoM): 0.6% (February)

South Korea Producer Price Index Growth (YoY) climbed from previous 1.9% to 2.4% in February

Standard Chartered economists argue that higher Oil and commodity prices are driving a cost‑push reflation process in China, with CPI inflation in 2026 now projected at 1.2% instead of 0.6%.

Commerzbank’s Dr. Henry Hao and Moses Lim highlight how Chinese policymakers are defending China’s large trade surplus while aiming to keep the CNY broadly stable.

ING economist Min Joo Kang argues that Shin Hyun-song’s nomination as Bank of Korea (BoK) governor points to a more hawkish policy stance, with preemptive rate hikes likely.

HSBC Asset Management describes China’s stock market as notably resilient despite rising geopolitical risks and energy vulnerability. The new Five-Year Plan shifts focus toward quality growth, energy security, tech innovation and national security, with a 2026 GDP growth target of 4.5–5.0%.

Eurozone Consumer Confidence came in at -16.3 below forecasts (-14.4) in March

Rabobank strategists Molly Schwartz and Christian Lawrence preview the March 26 Banxico meeting, expecting the overnight policy rate to be held at 7.00%. They note rising inflation risks linked to the Iran war and internal Board divisions between inflation hawks and growth doves.

BNY’s Bob Savage highlights that Central and Eastern European (CEE) currencies such as Hungarian Forint (HUF) and Polish Złoty (PLN) have held up relatively well into the fourth week of the conflict, supported by high real rates and liquidity.

United States (US) President Donald Trump said that he had some strong talks over the Iran war and that they’ll see where the talks lead. Adding that if the talks can carry through, the conflict will end, speaking to reporters before boarding his presidential plane on Monday.

United States Construction Spending (MoM) below expectations (0.1%) in January: Actual (-0.3%)

Societe Generale economists Fabien Bossy, Michel Martinez, Anatoli Annenkov and Sam Cartwright argue that the ECB is edging toward discussing early insurance rate hikes after the recent energy shock.

TD Securities strategists Robert Both and Emma Lawrence expect the Bank of Canada (BoC) to keep the overnight rate at 2.25% throughout 2026, despite markets pricing significant tightening.

BNP Paribas strategists expect the US economy to grow above potential in 2026, with GDP at 2.9% and inflation at 3.0%, keeping the Federal Reserve on hold after three cuts in 2025. They project the Fed Funds target range at 3.5%-3.75% through 2026.