Japan PM Suga: Oppose actions that boost tension in South China Sea

Dhwani Mehta FXStreet

Japan is opposed to any actions that escalate tensions in the South China Sea, the Prime Minister (PM) Yoshihide Suga said on Wednesday.

Key quotes

Agreed with Indonesia to make arrangements towards re-opening business travel.

To help build up infrastructure across into-pacific.

We'd like to re-emphasise need for peaceful solution to issues in South China Sea.

We are not thinking of creating an Asian version of NATO.

Japan's 'free and open Indo-pacific' initiative targets no particular country.

No change to Japan’s policy to actively engage in Indo-pacific, including ASEAN under my administration.

Japan is determined to defend its territory, territorial waters.

All countries involved in the South China Sea need to make efforts together for peace.

Market reaction

Amid upbeat market mood and persistent US dollar weakness, EUR/USD renews monthly highs at 1.1848, up 0.21% so far. The common currency shrugs off rising coronavirus cases in the Old Continent.

Author

Dhwani Mehta

FXStreet

Residing in Mumbai (India), Dhwani is a Senior Analyst and Manager of the Asian session at FXStreet. She has over 10 years of experience in analyzing and covering the global financial markets, with specialization in Forex and commodities markets.

EUR/USD climbs to daily highs near 1.1820

EUR/USD now picks up pace and advances to the area of daily peaks north of the 1.1800 barrier at the end of the week. The pair’s decent move higher comes against the backdrop of a generalised lack of direction in the FX galaxy and the mild offered stance in the US Dollar.

GBP/USD trims losses, retests 1.3460

After briefly challenging its key 200-day SMA near 1.3440, GBP/USD now manages to regain some balance and revisit the 1.3460 zone on Friday. Cable’s pullback comes as the selling pressure on the Greenback gathers traction, reigniting some recovery in the risk-linked space.

Gold flirts with four-week highs past $5,200

Gold extends its rebound, climbing for a third consecutive session and pushing back above the $5,200 mark per troy ounce on Friday. The move higher continues to draw support from lingering geopolitical tensions and the ongoing uncertainty surrounding US trade policy, both of which are keeping safe-haven demand firmly in play.

Bitcoin, Ethereum and Ripple consolidate with short-term cautious bullish bias

Bitcoin, Ethereum and Ripple are consolidating near key technical areas on Friday, showing mild signs of stabilization after recent volatility. BTC holds above $67,000 despite mild losses so far this week, while ETH hovers around $2,000 after a rejection near its upper consolidation boundary.

Changing the game: International implications of recent tariff developments

The Supreme Court ruling on International Emergency Economic Powers Act (IEEPA) tariffs provides limited relief for the rest of the world, with weighted average tariff rates modestly lower.

Starknet unveils strkBTC, shielded Bitcoin transactions on Ethereum Layer 2

Starknet, the Ethereum Layer 2 network developed by StarkWare, today announced strkBTC, a wrapped Bitcoin asset that introduces optional shielding while preserving full DeFi composability.