Markets Today: Asian Shares on Course for Best Week Since June, Gold Futures Hit Record High on Tariffs, FTSE Eyes Gains

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Asia Market Wrap - Asian Shares on Course for Best Week Since June

Asian stocks climbed, driven by gains in Japanese shares, as easing trade tensions with the US and strong tech earnings boosted confidence.

In the Asian session the MSCI Asia Pacific Index rose 0.4%, marking its fifth straight day of gains. Japan's Nikkei-225 jumped 2.2% after news that the US agreed to stop stacking universal tariffs and reduce car taxes. SoftBank and Sony shares also rose following positive earnings.

This has put Asian shares on course for their best week since June, helped by hopes of a Federal Reserve interest rate cut, despite ongoing tariff concerns.

Most Read: USD/JPY Technical: Potential impending minor bullish breakout for Japanese yen

American officials expressed regret that the stacking rule had been applied to Japan despite a verbal agreement, and said Washington would refund any overpaid levies, he said. No time frame was agreed for the implementation, Akazawa said after the meetings. Toyota, Honda and other carmakers jumped on the comments. Technology companies also helped the rally in Japanese stocks.

European Open - Global Stocks Advance

Global stocks saw a positive European open with The MSCI All-Country Index rose 0.12% for the day, staying just below record highs from two weeks ago, and is set to gain 2% this week—its best week since mid-June.

Europe's STOXX 600 climbed 0.25%, driven by gains in pharma and tech stocks. Zurich's SMI Index, which ignored the impact of a 39% U.S. tariff on Thursday, rose another 0.25% on Friday morning.

The markets are still digesting a Bloomberg report that Fed Governor Christopher Waller is the leading candidate to replace Jerome Powell as Fed Chair when his term ends on May 15, 2026.

On the FX front, the euro fell 0.2% to $1.1648 after gaining 2.13% over the past month. Meanwhile, the dollar index, which measures the dollar against other major currencies, rose 0.2% to 98.21. The dollar also gained 0.1% against the yen, reaching 147.24.

Currency Power Balance

Source: OANDA Labs

U.S. gold futures reached a record high after the Financial Times reported that the U.S. had placed tariffs on 1-kg gold bars, which make up most of Switzerland's gold exports to the U.S., based on a Customs and Border Protection letter.

Spot gold inched up 0.1% to $3,400 an ounce, while gold futures jumped 2.3% to a record $3,477.

For a full and comprehensive analysis on Gold, read Gold's (XAU/USD) Whipsaw Price Action a Sign that Bulls are Back at the Table. $3400/oz Up Next?

Oil prices held steady on Friday but were set for their biggest weekly drop since late June due to concerns over the economic impact of tariffs and a possible meeting between U.S. President Trump and Russian President Putin.

Brent crude rose 21 cents (0.32%) to $6.64 a barrel, while U.S. West Texas Intermediate (WTI) crude increased 18 cents (0.28%) to $64.06.

For the week, Brent was on track to fall 4.3%, and WTI was set to drop 4.9% compared to last Friday's close.

For a breakdown on Oil, read WTI Crude Forecast: Risk premium fades, supply pressures mount, bearish trend ahead

Economic Data Releases and Final Thoughts

Looking at the economic calendar, it is a quiet day for data in the EU and US.

The biggest data release will be from Canada where we have employment data.

Read Canada braces for weak jobs report, Canadian dollar steady

Beyond that further developments on the trade deal and tariff front remain front and center. Further details around the gold tariff could filter through as well as chatter about Fed policymaker Waller being touted as the next Fed chair. All of these events could stoke volatility and need to be monitored.

For all market-moving economic releases and events, see the MarketPulse Economic Calendar. (click to enlarge)

Chart of the Day - FTSE 100 Index

From a technical standpoint, the FTSE 100 experienced a pullback yesterday which was in past down to the 'hawkish' rate cut by the Bank of England.

Market participants saw implied rate through December 2025 drop to a low of 17.7 bps per LSEG data.

The Bank of England upgraded a host of inflation metrics which helped the British Pound but weighed on UK stocks.

Looking at the H2 chart below, the FTSE has found some support at the 200-day MA with a retest of the 100-day MA at 9130 looking like a real possibility.

A break above this level will bring the all-time highs back into focus.

The FTSE continues to be stuck in a range between the all-time highs and the 9048 support handle. A break in either direction could lead to an aggressive move.

FTSE 100 Index Two-Hour Chart, August 8, 2025

Source: TradingView.com (click to enlarge)

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