0310 GMT - The outcome of the June Federal Reserve meeting could provide a brief reprieve for Asia, says Eastspring Investments in a note. Higher U.S. yield expectations are supporting the dollar while weighing on Asian currencies, Eastspring says. Currency weakness in the region could lead to policy-rate increases in India, Indonesia, Japan, South Korea and the Philippines, the asset manager says. However, recent statements from Federal Reserve Chairman Kevin Warsh suggest he is willing to "look through" the energy-price shock arising from the Middle East conflict and push back against market pricing of Fed interest-rate increases, Eastspring adds. U.S. front-end yields are therefore likely to ease at the expense of longer-dated inflation expectations, they add. (megan.cheah@wsj.com)
(END) Dow Jones Newswires
June 08, 2026 23:10 ET (03:10 GMT)
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