France ILO Unemployment above expectations (7.8%) in 1Q: Actual (8.1%)

The USD/CHF pair trades on a flat note around 0.7805 during the early European trading hours on Wednesday. Traders await the key US inflation data and continue to assess the developments surrounding US-China talks later this week. 

Ahead of US President Donald Trump’s state visit to China, US Treasury Secretary Scott Bessent and Chinese Vice Premier He Lifeng will hold economic and trade negotiations in South Korea on Wednesday, the South China Morning Post reported on Wednesday.

New Zealand's (NZ) inflation expectations rose on a 12-month time frame and on a two-year time frame for the second quarter of 2026, the Reserve Bank of New Zealand’s (RBNZ) latest monetary conditions survey showed on Wednesday.

New Zealand RBNZ Inflation Expectations (QoQ): 2.53% (2Q) vs 2.37%

South Korea Money Supply Growth fell from previous 8% to 7.2% in March

The Indian government has raised import tariffs on gold and silver to 15% from 6%, in an attempt to discourage the purchase of precious metals due to ease pressure on the nation’s foreign exchange reserves, Reuters reports.

The Organization for Economic Co-operation and Development (OECD) projected the Bank of Japan (BoJ) will raise its policy rate to 2.0% by end-2027 from 0.75% currently, supported by higher inflation expectations, solid wage growth and a closed output gap.

Australia Wage Price Index (YoY) meets forecasts (3.3%) in 1Q

Australia Wage Price Index (QoQ) meets forecasts (0.8%) in 1Q

Australia Investment Lending for Homes declined to -3% in 1Q from previous 7.9%

Australia Home Loans fell from previous 10.6% to -4.3% in 1Q

New Zealand's Prime Minister Christopher Luxon said that global uncertainties from the Middle East conflict reinforced the need for responsible economic management and fiscal discipline, Reuters reported on Wednesday.

US President Donald Trump said that he would prioritize trade discussions during his summit with Chinese President Xi Jinping and downplayed the amount of attention they would devote to the Iran war, Bloomberg reported on Tuesday.

Japan Trade Balance - BOP Basis climbed from previous ¥2709B to ¥3900B in March

Japan Bank Lending (YoY) registered at 5.4% above expectations (4.6%) in April

Japan Current Account n.s.a. registered at ¥4.682B, below expectations (¥3879B) in March

TD Securities’ Chief US Macro Strategist Oscar Munoz argues that 2026 US labor data suggest Artificial Intelligence is only modestly affecting employment so far. He highlights that AI adoption remains low across industries and concentrated in large, knowledge-intensive firms.

Commerzbank strategists note that USD/MYR has remained in a 3.90–4.05 range since the Middle East conflict began. Malaysia’s March industrial production grew 3.1% year-on-year, supported by strong manufacturing and electronics despite weaker mining.

Standard Chartered’s Christopher Graham notes that European Union (EU) exports to the United States (US) are now contracting at rates comparable to COVID and GFC (Great Financial Crisis) periods, potentially reflecting both prior export frontloading and emerging structural weakness.

Commerzbank’s Norman Liebke highlights that EU ETS reform, including new benchmark calculations, could significantly raise costs for European Aluminium recyclers and refineries.

DBS' Senior Economist Ma Tieying revises her Taiwan policy rate outlook after upgrading 2026 Gross Domestic Product (GDP) and Consumer Price Index (CPI) forecasts. She now expects a 12.5bps hike in 3Q, taking the policy discount rate from 2.00% to 2.125%.

TD Securities economists judge that April Consumer Price Index (CPI) strength was driven by shelter and energy, but see core Personal Consumption Expenditures (PCE) Price Index running softer than CPI. They argue tariff pass-through is fading and supercore PCE should ease.

MUFG’s Lloyd Chan notes that USD/MYR has broken lower and remains constructive on the Ringgit, expecting fundamentals to support Ringgit appreciation over the next 12 months.

Joachim Nagel, President of the Bundesbank and member of the European Central Bank (ECB), told Handelsblatt on Tuesday that ECB rate hikes are becoming increasingly likely with the high inflation that is ahead of them.

Kunal Kundu of Societe Generale argues that India’s Goods and Services Tax (GST) data and Index of Industrial Production (IIP) figures point to a soft consumption backbone.

Austan Goolsbee, President of the Federal Reserve (Fed) Bank of Chicago, said that without central bank independence, inflation will come roaring back at the Greater Rockford Chamber of Commerce in Rockford, Illinois on Tuesday.

United States Monthly Budget Statement below forecasts ($220B) in April: Actual ($215B)

United States 10-Year Note Auction rose from previous 4.282% to 4.468%

Kevin Warsh squeaked through the Senate 51-45 on Tuesday to claim a seat on the Federal Reserve (Fed) Board of Governors, with the separate vote to confirm him as Fed Chair scheduled for Wednesday and Jerome Powell's term as chair wrapping up on Friday.