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[AI Stock Sell-off Sweeps Asia, Dollar Receives Safe-Haven Support but Gains Limited] 1. The dollar remained strong against major currencies on Friday, with the dollar index currently up 0.33% to around 101.91. A sharp drop in global AI-related stocks triggered safe-haven demand, supporting the dollar; however, lower US Treasury yields ahead of the US non-farm payrolls report limited the dollar's upside. 2. Market concerns about stricter regulations for the AI industry, particularly data center construction, led to the largest single-day drop in US stocks since April 2025, causing a sharp decline in Asian markets with a high proportion of tech stocks. Pepperstone research strategist Dilin Wu stated that the dollar is receiving some support from safe-haven demand and may remain relatively strong against some Asian currencies, but falling US Treasury yields will limit gains. 3. Safe-haven sentiment initially pushed the two-year US Treasury yield down by about 10 basis points, reaching its lowest level since September 10; the 10-year yield fell by nearly 6 basis points before rebounding in the Asian afternoon. 4. OCBC Bank FX strategist Moh Siong Sim stated that currency market movements are influenced by the stock and fixed-income markets, with weakening Asian stocks indirectly supporting the US dollar against Asian currencies. He also noted that the sell-off in AI-related stocks created a tug-of-war for the dollar: falling US Treasury yields reduced the dollar's safe-haven appeal, making the yen a more prominent hedging option, but expecting a sustained yen strengthening solely based on AI concerns may be premature. 5. The market will now focus on Friday's US non-farm payroll report to determine the Fed's interest rate path. Thursday's data showed that seasonally adjusted initial jobless claims fell by 6,000 to 189,000, a 57-year low. Traders said that federal funds rate futures indicate the probability of a 25 basis point rate hike in December has fallen from over 80% on Wednesday to about 70%.

Türkiye's main banking index fell 2.2%.

Indonesian Minister: Indonesia will include mining companies owned by South Korea, Japan, and the European Union in the more lenient rules on foreign exchange earnings retention.

Polish central bank official Tirovic: Interest rates are too low.

[Treasury Bond Futures Closing] The 30-year main contract rose 0.41%, the 10-year main contract rose 0.10%, the 5-year main contract rose 0.06%, and the 2-year main contract was basically unchanged.

Japanese Chief Cabinet Secretary Minoru Kihara: We are closely monitoring market trends with a high sense of urgency.