Advertisement

Home / Business and Economy / Investors Await Pivotal U.S.-China Trade Talks Amid Dollar Stability

Investors Await Pivotal U.S.-China Trade Talks Amid Dollar Stability

Summary

  • U.S. dollar steady, set for modest weekly gain
  • Investors hopeful for progress in Trump-Xi meeting
  • Japan's yen weakens as new PM plans stimulus
Investors Await Pivotal U.S.-China Trade Talks Amid Dollar Stability

As of October 24, 2025, the U.S. dollar has remained steady, poised for a modest weekly gain against major rivals. This comes as investors brace for delayed inflation data, which is unlikely to deter the Federal Reserve from lowering interest rates next week.

Concerns over the ongoing trade war have resurfaced, with U.S. President Donald Trump stating that all trade talks with Canada have been terminated. However, the overall market reaction has been fairly subdued, as investors' attention remains fixed on the highly anticipated meeting between Trump and Chinese President Xi Jinping next week.

Expectations are high for a resolution to the on-again-off-again trade war between the world's top two economies. "Investors are getting used to the process of aggressive statements followed by compromise and headline deals, so hopefully this is another example," said Ben Bennett, head of investment strategy for Asia at L&G Asset Management.

Advertisement

Meanwhile, the Japanese yen has weakened to a two-week low, as the country's new Prime Minister Sanae Takaichi prepares an economic stimulus package to help households tackle inflation. This could prove to be a hurdle for the Bank of Japan to hike interest rates next week, with traders ascribing only a 19% chance of an increase.

Disclaimer: This story has been auto-aggregated and auto-summarised by a computer program. This story has not been edited or created by the Feedzop team.

Advertisement

The article suggests that investors have high expectations for progress in the upcoming meeting between U.S. President Donald Trump and Chinese President Xi Jinping, with hopes of a resolution to the ongoing trade war between the world's top two economies.
The Japanese yen has weakened to a two-week low, as the country's new Prime Minister Sanae Takaichi prepares an economic stimulus package to help households tackle inflation. This could make it difficult for the Bank of Japan to hike interest rates next week.
The delayed U.S. Consumer Price Index data for September is unlikely to deter the Federal Reserve from lowering interest rates next week, though it could provide cues on what the central bank might do in its December meeting.

Read more news on