The Japanese yen reached its highest level in over a month on Friday, driven by a surge in safe-haven demand. This shift came as investors grew increasingly risk-averse, leading to a sharp decline in U.S. Treasury yields and weakening the dollar to its lowest point in nearly three weeks.
The yen's strength was fueled by growing doubts about the sustainability of the AI spending boom. Despite Brent crude futures holding above $110 per barrel, concerns over economic growth overshadowed inflation worries, prompting investors to seek safer assets.
Other notable market movements included a 31% plunge in Volvo Cars shares due to slumps in China and the U.S., along with fresh job cuts. Meanwhile, Elon Musk invested approximately $1 billion in Skydance, and wealthy Chinese individuals moved offshore money to U.S. banks amid Beijing's expanding tax net.
Defense giant Saab saw its orders triple following a deal to supply Gripen fighter jets to Ukraine. Additionally, SpaceX recorded a $561 million investment gain from its stake in Elon Musk's Boring Co.