The US Dollar Index (DXY), an index of the value of the US Dollar (USD) measured against a basket of six world currencies, currently trades near 99.00 in the early European trading hours on Wednesday.

Japan's Economy Minister Minoru Kiuchi said on Wednesday that he expects consumer prices to gradually rise amid the Middle East situation.

AUD/JPY gains ground for the second consecutive day, trading around 114.20 during the Asian hours on Wednesday.

According to August 17-24 survey in a Reuters poll, 57% of economists expected the Bank of Japan (BoJ) to raise its interest rate in September, a sharp turnaround from a July poll.

West Texas Intermediate (WTI) oil price extends its losses for the third consecutive day, trading around $80.10 per barrel during the Asian hours on Wednesday.

Canada said that it will implement 50% retaliatory tariffs on $20bn worth of US goods, following through on Prime Minister Mark Carney’s vow to match US President Donald Trump’s duties “dollar for dollar,” the Guardian reported.

OCBC’s Sim Moh Siong and Christopher Wong expect USD/SGD to consolidate as earlier Singapore Dollar (SGD) gains face a modest US Dollar (USD) rebound and position unwinding ahead of United States (US) core Personal Consumption Expenditures (PCE) Price Index data and Jackson Hole.

OCBC’s Sim Moh Siong and Christopher Wong highlight that Thai Baht (THB) has rallied to a two‑month high on softer US Dollar (USD), lower Oil prices, strong electronics exports and Gold-related flows.

United Overseas Bank’s (UOB) Quek Ser Leang and Lee Sue Ann maintain a negative stance on USD/CNH, noting a softened underlying tone even as recent price action stayed relatively quiet. Intraday, they see scope for a modest drift lower while keeping 6.7150 as key support.

Commerzbank’s Charlie Lay and Dr. Henry Hao note that USD/SGD has eased from 1.2800 to around 1.2700 as the softer US Dollar (USD) and global risk sentiment dominate.

US yields edge lower across the whole curve on Tuesday, following suit.

OCBC’s Sim Moh Siong and Christopher Wong note that reports of potential US tariffs on Chinese goods and the PBoC’s resistance to rapid Renminbi (RMB) gains are likely to limit further downside in USD/CNH.

United Overseas Bank’s (UOB) Quek Ser Leang and Lee Sue Ann note that USD/SGD remains under mild downward pressure but short-term momentum is flat, keeping the pair in a tight intraday band around 1.2700.

United States 2-Year Note Auction dipped from previous 4.315% to 4.204%

ING’s Carsten Brzeski highlights how upcoming state elections in Saxony-Anhalt, Mecklenburg-Vorpommern and Berlin could reshape German politics and indirectly affect the economy.

Societe Generale’s Dev Ashish argues that Mexico could benefit from tensions between the US and Canada, but warns that uncertainty around USMCA may limit the upside.

Rabobank's Senior FX Strategist Jane Foley highlights that recent UK data, including Q2 Gross Domestic Product (GDP), real output per head and the August composite Purchasing Managers' Index (PMI), point to resilient growth and improved consumer confidence.

Commerzbank’s Dr. Ralph Solveen notes that the German Ifo Business Climate Index rose from 86.7 to 88.8 in August, with both current conditions and expectations improving. He highlights stronger foreign demand, rising government spending and better sentiment as factors supporting growth.

Carsten Brzeski of ING underscores that the AfD’s rise to Germany’s largest party in polls introduces significant uncertainty for Eurozone policy.

Scotiabank strategists Shaun Osborne and Eric Theoret highlight GBP/USD consolidating in a tight mid-1.36 range as a quiet data and Bank of England (BoE) calendar contrasts with softer yield spreads, which have eroded some fundamental support.

United States (US) President Donald Trump said the US Navy has cleared the Strait of Hormuz of mines, removing one of the supply risks that has kept the Oil market on edge.

Dev Ashish at Societe Generale highlights that the Trump administration’s threatened 50% tariff on Canadian vehicles and parts signals a broader push to redirect manufacturing investment to the US, challenging USMCA reliability.

US consumer sentiment loses some momentum in August, as the Conference Board’s Consumer Confidence Index recedes to 89.4 from July’s 90.2 (revised from 90.8).

United States New Home Sales (MoM) came in at 0.607M, below expectations (0.62M) in July

United States Richmond Fed Manufacturing Index below forecasts (7) in August: Actual (4)

Brown Brothers Harriman’s (BBH) Elias Haddad notes the Australian Dollar (AUD) largely ignored the Reserve Bank of Australia's (RBA) August Minutes, which reiterated Governor Michele Bullock’s warning that another rate hike is quite possible.

Private-sector hiring in the US has gained some pace in early August. According to the NER Pulse, the weekly companion to the ADP National Employment Report, companies added an average of 11.750K jobs per week in the four weeks ending August 8.

Societe Generale strategists expect Hungary's central bank, Magyar Nemzeti Bank (MNB), to cut rates by 25 bp to 5.50% today, with dovish July minutes and softer-than-expected inflation leaving room for further easing.

Michael Pfister at Commerzbank assesses the potential impact of higher US auto tariffs on Canada and the Canadian Dollar.

ING’s Francesco Pesole expects Australia’s July inflation data to show further moderation, consistent with no additional Reserve Bank of Australia hikes this year. He argues Governor Bullock is likely to stay hawkish, and even a small inflation surprise could lift AUD.