The U.S. dollar held near a two-week low on Monday as investors trimmed bets for a Federal Reserve rate hike this year, while the yen stayed locked near a 40-year low, putting investors on edge over what Tokyo would do next.

The euro bought $1.1435, close to its best level in two weeks, and the pound bought $1.3351 in latest trading. The dollar index, which measures the U.S. currency against six others, was at 100.9 early in the trading day.

The yen stood at 161.57 to the dollar, not far from a 1986 low of 162.84 set last week, with traders still concerned of probable intervention after a surprising burst of purchasing momentarily raised the currency on Thursday.

The South Korean won edged higher on the first day of its historic 24-hour onshore spot dollar-won trading. It sold for 1,534 to the dollar.

DOLLAR ON THE DEFENSIVE

The U.S. dollar suffered its largest weekly loss last week since April after the U.S. payrolls report indicated that job growth slowed abruptly in June, lowering market expectations of a rate hike from the Fed.

Still, the fall in the unemployment rate indicates a healthy labour market and should assist preserve Fed tightening expectations, OCBC strategists said.“The broader USD outlook remains constructive,” they wrote, confirming their call for a modest ​2-3% rise in the dollar in the second half of 2026.

Falling oil prices have helped soothe some inflationary concerns, and investors this week will focus on the minutes of the Fed’s June meeting to help evaluate policymakers’ thinking regarding the rates forecast.

Strategists at Commonwealth Bank of Australia said the minutes might be shorter or less insightful than normal because Fed Chairman Kevin Warsh believes the central bank has offered too much direction in the past.

YEN VIGIL ON

The yen remained in the spotlight, hovering near a 40-year low as the threat of official intervention kept traders on edge, but analysts doubted any move by Tokyo would provide durable assistance.

OCBC strategists said the danger of intervention is more likely to create bouts of volatility and transitory ​corrections rather than a durable reversal in USD/JPY.”Without a meaningful change ​in underlying macro ​fundamentals, verbal warnings and outright intervention alone are unlikely to change the broader direction of the pair,” they concluded. The Japanese policymakers have also broken their tradition of telegraphing risks, suggesting a more targeted drive to squeeze speculators and boost the cost of betting against the yen, which investors are also worried about.Marc Chandler, chief market strategist at Bannockburn Global Forex, said, “The market understands about the risk of intervention. “We’re still seeing indications in the options market that some sizable pools of capital have bought short-dated dollar puts to hedge long dollar positions in the event of intervention,” he said.

Federal Finance Minister Muhammad Aurangzeb Monday inaugurated the InvestPak portal, saying the government is dedicated to offering greatest assistance to the investors and Pakistan has tremendous investment potential.

Speaking at the opening ceremony, the finance minister commended Jameel Ahmad for the effort, saying the InvestPak portal was the beginning of a new era of investment in the country.

The portal has been developed to attract foreign investment and provide investors with faster access to investment possibilities through a sophisticated digital platform, he added.

Pakistan has huge investment potential in all sectors and InvestPak site would facilitate and expedite the investment process while delivering services according to international standards, Additional Secretary, Ministry of Industries and Production, Muhammad Aurangzeb said on Wednesday.

Now anyone can contribute as low as Rs5,000 through JazzCash app, the finance minister said adding that these investments would be helpful for ordinary investors. He further added that the participation in the Pakistan Stock Exchange has increased and the government is encouraging the youth especially the Gen-Z to look into chances for investment.

He said that digital platforms like InvestPak are a major milestone for the country’s economic development and the private sector plays a critical role in fostering sustainable economic progress.

GOVERNOR, STATE BANK.

Earlier, State Bank Governor Jameel Ahmad said effective efforts are being implemented to promote the investment and added that InvestPak portal will play a crucial role in expanding digital investment in Pakistan.

The platform would enable investors to access investment-related services online more efficiently and transparently, he said.

Jameel Ahmad said that the country’s economy was heading towards stability and the one-window facility provided through the portal would speed up the investment procedures while boosting transparency and convenience through a contemporary digital system.

The Pakistan stock market began the new trading week on a positive note as the KSE-100 Index, the benchmark index, crossed the 186,000 points mark after gaining over 1,100 points in early trade.

The benchmark index opened Monday’s session up more than 1,100 points at 186,868, indicating ongoing bullish momentum in the market.

The rally extended the bullish trend seen in recent sessions, with investors continuing to show strong purchasing activity at the opening of trade.

The KSE-100 Index had completed the previous trading week at 185,910 points, so Monday’s early gains were a continuation of the market’s upward trajectory.

Asian share markets stuttered on Monday as caution took hold before of a major earnings season for the AI industry, while the likelihood for additional supply knocked on oil prices and promised relief from inflationary pressures, Reuters reported.

There were no significant advancements in the acrimonious U.S.-Iran peace talks, but ships are flowing through the Strait of Hormuz with 160 vessels recorded going through from Monday to Saturday last week.

South Korea’s red-hot market cooled a tad last week but is still up 90% year-to-date as AI demand and tight supplies raise chip prices. The index was down 0.8% Monday. Japan’s Nikkei lost 0.4%.

MSCI’s broadest index of Asia-Pacific shares outside Japan lost 0.2%, while Chinese blue chips were flat.

In Europe, EUROSTOXX 50 futures declined 0.1%, and DAX and FTSE futures were unchanged. S&P 500 futures climbed 0.2% and Nasdaq futures gained 0.7% after a 2.1% advance last week.The Pakistan stock market entered the new trading week on a positive note on Monday as the benchmark KSE-100 Index crossed the 186,000-point level after gaining over 1,100 points during early trading.

The benchmark index opened Monday’s session up more than 1,100 points at 186,868, indicating ongoing bullish momentum in the market.

The rally extended the bullish trend seen in recent sessions, with investors continuing to show strong purchasing activity at the opening of trade.

The KSE-100 Index had completed the previous trading week at 185,910 points, so Monday’s early gains were a continuation of the market’s upward trajectory.

Asian share markets stuttered on Monday as caution took hold before of a major earnings season for the AI industry, while the likelihood for additional supply knocked on oil prices and promised relief from inflationary pressures, Reuters reported.

There were no significant advancements in the acrimonious U.S.-Iran peace talks, but ships are flowing through the Strait of Hormuz with 160 vessels recorded going through from Monday to Saturday last week.

South Korea’s red-hot market cooled a tad last week but is still up 90% year-to-date as AI demand and tight supplies raise chip prices. The index was down 0.8% Monday. Japan’s Nikkei lost 0.4%.

MSCI’s broadest index of Asia-Pacific shares outside Japan lost 0.2%, while Chinese blue chips were flat.

In Europe, EUROSTOXX 50 futures declined 0.1%, and DAX and FTSE futures were unchanged. S&P 500 futures climbed 0.2% while Nasdaq futures rose 0.7% after a 2.1% increase last week.