US inflation remains high at 4.2% in May, driven by energy prices due to geopolitical tensions. Prediction markets show a 79% chance of no Fed rate cuts in 2026, impacting cryptocurrencies which historically perform better with accommodative monetary policy.
South Korean stocks closed higher Thursday, reversing earlier losses. The KOSPI rose 0.43% driven by retail investors and strong semiconductor export data, while the KOSDAQ surged 4.76%. US inflation data also eased market concerns.
Gold prices fell for a third straight session despite a slight reprieve after US inflation data, amid skepticism over a US-Iran deal and interest rate uncertainty.
Bitcoin (BTC) fell below $80,000 after the US Producer Price Index (PPI) reached its highest since 2022, increasing odds of further Federal Reserve financial tightening, posing a headwind for crypto and risk assets.
Asian markets traded mixed on Wednesday due to fading AI momentum, elevated oil prices, and inflation concerns, with Japan's Nikkei 225 edging up and South Korea's Kospi gaining.
