Markets Today: Nikkei Tops 43000, US Dollar Slips to Two-Week Lows, FTSE 100 Retreats from ATH

Ben Graham · August 13, 2025

Asia Market Wrap - RBA Cuts Rates, Nikkei Hits Fresh All-Time Highs

Most Read: US CPI comes in as expected – Market reactions

Japan's Nikkei index hit a new milestone on Wednesday, crossing the 43,000 mark for the first time ever. The broader Topix index also reached a record high, following strong gains in Wall Street overnight and marking six straight days of growth.

The Nikkei rose by as much as 1.7% to a high of 43,451.46 before closing at a record 43,274.67. This brings its total gain to 7.4% since August 4. Monday was a public holiday in Japan.

The MSCI All Country World Index rose by 0.2% to a record high, following Wall Street's climb to new peaks. Markets are almost fully expecting a 0.25% interest rate cut by the Fed next month. Asian shares also performed well, rising 1.1%, with Shanghai stocks hitting their highest level since December 2021.

For more on the Hang Seng Index, read Hang Seng Index Technical: End of minor corrective decline, start of new bullish impulsive up move

European Open - Shares to Record Highs

Global stock markets reached a record high on Wednesday following the European Open.

The MSCI All Country World Index rose for the second day, hitting a record high of 950.13. European stocks went up by 0.5%, with German stocks increasing by 0.6%. Tech and defense stocks were the main drivers of the gains.

The S&P 500 and Nasdaq 100 were both up 0.14% and 0.20% respectively.

On the FX front, the dollar index, which measures the dollar against other major currencies, dropped to 97.76, its lowest since July 28, after falling 0.5% on Tuesday.

This weakness boosted the euro, which rose 0.3% to $1.1709, briefly hitting its highest since July 28. The British pound also gained 0.4% to $1.3562, its highest since July 24.

The Australian dollar increased by 0.35% to $0.6552, while the New Zealand dollar rose 0.5% to $0.5986.

In cryptocurrencies, Bitcoin paused its rally and fell slightly by 0.34% to $119,809. Meanwhile, Ether reached a nearly four-year high of $4,679.

Currency Power Balance

Markets Today: Nikkei Tops 43000, US Dollar Slips to Two-Week Lows, FTSE 100 Retreats from ATH - ExpertFX School — Source: OANDA Labs

Looking at commodities, Gold prices went up on Wednesday as mild inflation data increased expectations of a U.S. Federal Reserve rate cut in September. A weaker dollar also boosted demand for gold.

Spot gold rose 0.3% to $3,354.77 per ounce, while U.S. gold futures for December delivery edged up 0.1% to $3,403.20.

For more on Gold, please read Gold's (XAU/USD) Recovers to $3350/oz After Mixed CPI Reaction. What Next?

Oil prices dropped on Wednesday after the IEA reported that supply is expected to exceed demand this year. Investors are also watching for Friday's meeting between U.S. President Donald Trump and Russian President Vladimir Putin.

Brent crude fell by 45 cents (0.7%) to $65.67 per barrel, while U.S. West Texas Intermediate (WTI) crude dropped 53 cents (0.8%) to $62.64 per barrel.

Economic Data Releases and Final Thoughts

Looking at the economic calendar, a quiet day lies ahead.

The biggest events for the day will be EIA oil inventories data as well as a host of Federal Reserve policymakers who are scheduled to speak.

Lastly, we will get the Bank of Canada meeting minutes release which will be interesting to see in light of the RBA decision to cut rates and expectations that other Central Banks will follow suit.

Chart of the Day - FTSE Index

From a technical standpoint, the FTSE 100 advanced but has failed to break above the recent all-time highs just shy of the 9200 level.

We have seen multiple rejections of this level in recent days and it appears some form of catalyst may be needed to get the Index across the line.

In what could be seen as a sign of the bearish pressure, the RSI did not even make it to overbought territory before the rejection.

The question now becomes, is this a small pullback before an attempt to break beyond the 9200 handle?

On the support side we have the 9150 and 9132 support areas which if they hold could help the FTSE 100 print fresh highs.

FTSE Daily Chart, August 13. 2025

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