Asian Shares Rise, Yen Weakens Past 159; US Markets Dip on Inflation, Bank Earnings

• Asian shares, led by Japan's Nikkei 225, saw modest gains as the yen weakened past 159 per dollar, its lowest since July 2024, fueled by snap election reports.
• US S&P 500 fell from an all-time high, with JPMorgan Chase & Co. leading a banking sector slide due to missed investment-banking fee guidance.
• US December inflation data, specifically the cooler-than-expected core CPI, reinforced bond traders' expectations for a mid-year Federal Reserve rate cut, not earlier.
• Traders await a potential US Supreme Court ruling on President Donald Trump’s global tariffs, which could impact market reactions.
• Upcoming earnings reports from major banks like Bank of America, Wells Fargo, Citigroup, Goldman Sachs, and Morgan Stanley are expected to show strong annual profits.

Why It Matters: Asian markets gain on weak yen and election news, while US markets face inflation concerns and bank earnings.