The dollar index hovered below 97 on Wednesday, holding recent losses as investors positioned ahead of the delayed January jobs report. The economy is expected to have added 70,000 jobs last month, following a 50,000 gain in December, while the unemployment rate is seen holding steady at 4.4%. A weaker-than-expected print could further weigh on risk sentiment, especially after retail sales data released Tuesday unexpectedly stalled, pointing to mounting pressure on lower- and middle-income consumers. The dollar also faced headwinds from concerns over foreign demand for US assets following reports that Chinese regulators advised financial institutions to limit holdings of US Treasuries. The move reinforced the view that investors may be rotating away from dollar-denominated assets toward safe havens and emerging markets. Meanwhile, Commerce Secretary Howard Lutnick said Tuesday that the dollar is being artificially pushed higher by other countries seeking to boost exports to the US.

Gold firmed above $5,040 per ounce on Wednesday, staying near an almost two-week high, supported by expectations of a more accommodative Federal Reserve. The move followed soft US data, as December retail sales fell short of forecasts, signaling a slowdown in consumer spending and reinforcing concerns about slowing growth. Markets have since priced in a higher probability of three Fed rate cuts this year, up from two just a week ago. Investors are now watching upcoming US jobs and inflation reports for further clues on the economy’s trajectory and potential Fed policy moves. Adding to the support, central bank demand remains strong, with the PBoC extending its gold purchases for the 15th consecutive month in January. Geopolitical risks also continued to lift prices, as markets monitored lingering tensions between the US and Iran, despite positive initial talks last week.

The value of new owner-occupier loan commitments for dwellings in Australia jumped 10.6% quarter-on-quarter to a record high of AUD 65.3 billion in Q4 2025, accelerating from an upwardly revised 6.2% gain in the previous quarter. First-home buyer demand jumped 15.5%, marking the sharpest rise in two years. At the same time, non–first-home buyers grew by 6.5%. On an annual basis, owner-occupier lending jumped 9.8%. Meanwhile, investment lending for housing grew 7.9% to AUD 43.0 billion, slowing sharply from a downwardly revised 9.2% increase in the prior period. Year-on-year, investment loan values surged 31.8%.

WTI crude oil futures rose above $64 per barrel on Wednesday, reversing losses from the previous session, as lingering tensions between the US and Iran supported prices. Reports suggested Washington may consider intercepting tankers carrying Iranian crude and could deploy an additional carrier strike group if negotiations over Iran’s nuclear program collapse. While initial talks last week were positive, traders fear failed negotiations could trigger US strikes on Tehran, risking Iranian oil supplies or prompting retaliation. Capping further gains, however, was a US industry report showing a sharp build in stockpiles, with inventories rising by 13.4 million barrels last week, the largest increase since November 2023 if confirmed by official data. Investors will also turn to OPEC’s monthly market outlook later today, followed on Thursday by an IEA assessment that has warned supply is set to outpace demand, resulting in a sizable surplus this year.

South Korea’s seasonally adjusted unemployment rate declined to 3% in January 2026 from a downwardly revised 3.3% in December which was the highest in a year. The number of unemployed rose to 1.21 million, up 128,000 people, or 11.8%, from a year earlier, but slightly below December’s 1.22 million. The economy added 108,000 jobs in January, lifting total employment by 0.4% year-on-year to 27.99 million. This was the slowest pace of job growth in 13 months after employment contracted by 52,000 in December 2024, underscoring persistent weakness in manufacturing and construction. Youth unemployment fell for a 21st consecutive month, highlighting ongoing structural challenges in the labor market for younger workers. Meanwhile, the labor force participation rate edged up 0.2% year-on-year to 63.6% but eased from 64.1% in December, pointing to some softening in workforce engagement.

US crude oil inventories surged by 13.4 million barrels in the week ended February 6th, 2025, reversing a 11.1 million-barrel draw in the prior week, to mark the sharpest increase since January 2023.