Fed Cuts 0.25%, BoJ ETF Sale Shocks Market, U.S. Stocks Hit Records

Samantha Luan

Commodity

Stocks

Forex

Economic

Summary:

Markets moved sideways early in the week as traders waited for key central bank decisions. U.S. retail sales were stronger than expected, while U.K. inflation stayed high at 3.8%.

Markets moved sideways early in the week as traders waited for key central bank decisions. U.S. retail sales were stronger than expected, while U.K. inflation stayed high at 3.8%. The Bank of England met first, kept rates unchanged as expected, and said any future cuts would depend on clear signs that inflation is falling steadily.The U.S. Federal Reserve then cut interest rates by 0.25% and suggested there could be two more cuts before the end of 2025. The Fed noted slower job growth and a weaker labor market but also said inflation is still somewhat high. The U.S. dollar dipped at first but soon recovered, finishing the week strong. U.S. stock markets hit new record highs, helped by the rate cut and strong gains in technology shares.

The Bank of Japan also kept rates unchanged but surprised markets by saying it will slowly start selling some of its large holdings of exchange-traded funds (ETFs) and real estate trusts (J-REITs). The Nikkei index fell briefly but rebounded after the BoJ promised the sales would be very gradual. Two board members voted for a 0.25% rate hike, and Governor Kazuo Ueda said gradual tightening is possible if the economy and inflation stay on track, leading markets to expect a possible rate increase later this year.

Markets This Week

U.S. Stocks

U.S. equities saw profit-taking early last week ahead of the FOMC announcement, but the selling was brief as buyers stepped in near the 10-day moving average. The Dow then climbed to fresh record highs after the Fed’s 0.25% rate cut and guidance for two more cuts in 2026. With the FOMC maintaining a bullish tone, the uptrend has resumed, making buying on dips toward the 10-day moving average the preferred strategy. Key resistance is now at 46,500, 47,000, and 48,000, while support lies at 45,700, 45,000, 44,000, and 43,000.

Japanese Stocks

The Nikkei 225 surged after the FOMC announcement, extending its recent strong gains. However, the Bank of Japan’s surprise plan to begin selling its ETF and J-REIT holdings caused a sharp drop on Friday before the market recovered into the close. With the BoJ moving closer to a possible rate hike and starting asset sales, further gains may be harder to achieve, so a sideways-to-lower move is expected this week. Resistance is at 46,000円 and 47,000円, while support is at 45,500円, 45,000円, and 44,000円.

USD/JPY

USD/JPY again tested the lower end of its recent range last week after the U.S. rate cut and dovish comments from Fed Chair Powell. Surprisingly, strong support held near 146, and the pair finished the week firmly as the market had been positioned for deeper losses. The rebound is notable and could attract more buying this week, but range trading between 146 and 149 remains the preferred strategy. Key resistance is at 148, 149, and 150, with support at 146 and 145.

Gold

Gold had a volatile week, posting new record highs again after the U.S. interest rate cut. The uptrend remains very strong, with prices holding above the 10-day moving average as buyers stay aggressive. In the short term, following the uptrend can be profitable, but waiting for a break below the 10-day moving average to sell may offer the best near-term trading opportunity given how far the market has already climbed. Resistance is at $3,700 and $3,800, while support stands at $3,600, $3,500, and $3,450.

Crude Oil

WTI crude stayed under pressure last week, failing to hold above the key $65 level after an early rise. Concerns about a slowing U.S. economy and the potential for weaker demand kept sellers in control, limiting any upward momentum. For short- and medium-term traders, selling into strength or waiting for a decisive break below $60 remains the preferred strategy as the market struggles to find support. Key resistance is at $65, $70, and $75, while support is at $60 and $55.

Bitcoin

Bitcoin had a quiet week, consolidating earlier gains and briefly rising on the U.S. interest rate cut before sellers pushed prices back below the 10-day moving average, signaling an end to September’s uptrend. The market is now expected to test lower and provide range-trading opportunities between $112,000 and $120,000 in the near term. Key levels remain unchanged, with resistance at $120,000, $125,000, and $150,000, and support at $112,000, $105,000, and $100,000.

This Week’s Focus

● Monday: U.K. BoE Gov Bailey Speaks

● Tuesday: E.U. HCOB Eurozone Manufacturing PMI, U.K. S&P Global Manufacturing PMI, U.S. Current Account and S&P Global Manufacturing PMI

● Wednesday: Japan au Jibun Bank Services PMI and BoJ Core, U.S. Building Permits and New Home Sales

● Thursday: Japan Monetary Policy Meeting Minutes, U.S.Initial Jobless Claims, Durable Goods Orders, GDP and Existing Home Sales

● Friday: Japan Tokyo Core CPI, U.S. Core PCE Price Index and Michigan Consumer Sentiment

This week the market will continue to forecast the next moves in U.S. and Japanese interest rates as traders digest last week’s central bank meetings. A busy economic calendar includes manufacturing data from Europe, the U.K., and the U.S., with Thursday’s U.S. durable goods orders and GDP, and Friday’s U.S. Core PCE Price Index and Michigan Consumer Sentiment all likely to create volatility and trading opportunities. FX markets remain range-bound but look ready for a breakout, while traders will watch closely to see if equities and gold can extend their strong uptrends.

Source: ACTIONFOREX

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Economic

Forex

Dollar Stable as Traders Brace for Fed Commentary, Global Currencies Under Pressure

The U.S. dollar maintained a firm footing in early Asian trading on Monday, as investors turned their attention to a busy week of Federal Reserve speeches that may provide insights into the central bank’s policy trajectory. The calm in currency markets follows a volatile week marked by rate decisions from the Fed, the Bank of England (BoE), and the Bank of Japan (BOJ).

Following the Fed’s unexpected resumption of its easing cycle last week, the dollar initially dipped but quickly found support as traders reassessed the long-term path of interest rates. The U.S. Dollar Index rebounded modestly to 97.75, reflecting renewed confidence in the greenback's near-term stability. With approximately ten Fed speakers scheduled this week including Chair Jerome Powell traders are hoping to gain clarity on the Fed's balance between cutting rates and maintaining inflation discipline.

Market interest is especially high in the upcoming remarks from Fed Governor Stephen Miran, who dissented in favor of a more aggressive 50 basis-point cut during the September meeting. Miran's explanation, expected later Monday, could signal deeper divisions within the Fed or potential political pressures on its independence.

BOJ and BoE Divergence Adds to Currency Complexity

The Japanese yen, which rallied last week on a hawkish shift in BOJ rhetoric, gave back some of its gains on Monday, slipping 0.16% to 148.22 per dollar. Speculation about a near-term rate hike continues to simmer, but profit-taking and caution have re-entered the market.

Meanwhile, sterling fell to a two-week low of $1.3458, weighed down by worsening UK fiscal conditions and growing investor skepticism about the BoE’s ability to manage both inflation and economic stagnation. Public borrowing surged in the UK, adding pressure on policymakers already seen as unlikely to resume tightening. Rabobank now projects the next BoE rate cut to be delayed until 2026, though this is already priced in.

According to Jane Foley of Rabobank, “GBP investors remain focused on fiscal concerns, which may keep the pound under pressure into the autumn.”

Euro and Aussie Drift Lower in Cautious Trading

Elsewhere, the euro edged down 0.07% to $1.1738, continuing a slow grind lower, while the Australian dollar eased 0.02% to $0.6589, showing muted reaction to broader risk sentiment as global demand concerns remain elevated.

In Asia, the People’s Bank of China (PBOC) kept its benchmark lending rates unchanged for the fourth straight month, in line with market expectations. The offshore yuan reacted modestly, rising 0.06% to 7.1151 per dollar. While Beijing’s wait-and-see stance maintains financial stability, it also signals limited near-term stimulus despite sluggish post-COVID growth recovery.

With the Fed’s policy pivot fresh in memory, this week’s deluge of speeches will serve as a crucial guide for traders recalibrating expectations for U.S. monetary policy. While the dollar remains buoyant for now, the path forward hinges on how clearly Fed officials articulate their rate strategy, inflation outlook, and the balance between political influence and central bank independence.

Source: Reuters

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Commodity

Geopolitical Tensions Push Oil Prices Higher, but Supply Pressures Linger

Oil markets opened the week with modest gains, as escalating geopolitical tensions in both Europe and the Middle East injected fresh risk premiums into Brent and WTI prices. Brent crude climbed by 0.42% to $66.96, while WTI rose 0.32% to $62.88 during early trading on Monday. Yet, any rally remains capped by the weight of oversupply and trade-related concerns about global fuel demand.

Russia’s recent military maneuvers including missile strikes near Poland’s border and a violation of NATO airspace over Estonia have revived fears about European energy security. The NATO-member Poland responded swiftly by deploying aircraft to secure its airspace, and a UN Security Council meeting has been called in response to Estonia’s complaint.

This regional instability, coupled with Ukraine’s stepped-up drone attacks on Russian refineries and terminals, underscores the fragile nature of energy infrastructure in Eastern Europe a dynamic that continues to influence market psychology.

Middle East Risk Returns as Diplomatic Shifts Stir Tensions

Meanwhile, in the Middle East, new political rifts have emerged. The recognition of Palestinian statehood by four Western countries has triggered a sharp backlash from Israel, adding a layer of geopolitical uncertainty in the oil-rich region. These developments come as energy traders remain wary of any disruptions in key supply arteries across the Middle East.

Despite these risks, the oil market’s upside is limited by strong supply fundamentals. Iraq, a major OPEC+ member, has increased exports, reporting an August average of 3.38 million barrels per day (bpd). The state oil marketer SOMO expects this to rise further in September to 3.4–3.45 million bpd, following the easing of voluntary output cuts.

Additionally, rising output from the United States, OPEC+, and even Russia as oil-producing nations respond to falling revenues is adding to the perception of a supply-heavy market.

Muted Demand Outlook Amid Tariff Fears and Mixed Sentiment

Concerns about global demand persist, especially amid fears of new trade tariffs that could dampen global growth and reduce fuel consumption. While some analysts had hoped the U.S. Federal Reserve’s anticipated rate cuts would stimulate demand, last week’s 1%+ drop in both Brent and WTI suggests that these expectations are being overshadowed by broader bearish factors.

As Michael McCarthy of Moomoo Australia & New Zealand noted, the market is navigating conflicting forces: “Rising geopolitical risk is offering support, but there are strong assumptions around increased supply and weaker demand that are holding prices back.”

The near-term trajectory of oil prices will depend on whether geopolitical shocks escalate further or if the market continues to be dominated by supply-side pressures. For now, traders appear cautiously bullish but the rally remains fragile, easily susceptible to shifts in either direction.

Source: Reuters

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FastBull Featured

Daily News

[Quick Facts]

1. The U.S. Government faces a shutdown crisis on October 1st.

2. Israeli Airstrike on Yemeni Newspaper Office marks deadliest attack on media in 16 years.

3. Wall Street optimistically bets: Interest rate cuts will far exceed Fed forecasts.

4. The EU's 19th round of sanctions against Russia does not include new measures on oil imports.

5. Russia: Forcing the restoration of sanctions on Iran will only escalate tensions.

6. Bullock: Recent economic data slightly stronger than expected.

[News Details]

The U.S. Government faces a shutdown crisis on October 1st

U.S. federal government funding will run out at midnight on September 30th. On the 19th, the U.S. Senate successively rejected short-term funding bills proposed separately by Republicans and Democrats, both aimed at temporarily keeping the federal government running. The two parties blamed each other for creating the deadlock. With Congress about to enter a one-week recess, during which lawmakers from both the House and Senate will leave Washington, time is running out for the two parties to negotiate and reach an agreement. It has almost become a foregone conclusion that the U.S. federal government will shut down in the early hours of October 1st.

Israeli Airstrike on Yemeni Newspaper Office marks deadliest attack on media in 16 years

On September 19, the non-profit Committee to Protect Journalists (CPJ) said that an Israeli airstrike in Yemen earlier this month killed 31 journalists, marking the deadliest single attack on media workers in 16 years. The New York-based CPJ reported that on September 10th, Israel struck the editorial buildings of the September 26th Newspaper and the Yemen Daily in the capital Sanaa, killing 31 journalists and injuring at least 22 others.

Wall Street optimistically bets: Interest rate cuts will far exceed Fed forecasts

Wall Street currently believes that U.S. interest rate cuts will occur faster than the Federal Reserve anticipates. This bet is already boosting the economy and markets by lowering borrowing costs for Americans. Futures market bets indicate that investors expect the U.S. benchmark interest rate to fall from its current level of just over 4% to just under 3% by the end of next year. This expectation represents a significant revision from May, when the market projected rates would drop to around 3.5% by the end of 2026. The forecast is also lower than most Federal Reserve officials' predictions. The latest dot plot shows that officials expect the rate to be 3.4% by the end of next year, two fewer 25-basis-point cuts than what investors are anticipating.

The EU's 19th round of sanctions against Russia does not include new measures on oil imports

European Commissioner for Economy Valdis Dombrovskis stated that no new measures to restrict imports of Russian oil are planned in the 19th round of sanctions against Russia. Last Friday, the European Commission proposed a new package of anti-Russia measures, including a ban on EU countries importing Russian liquefied natural gas (LNG) by 2027. EU member states will begin deliberating the proposal on September 26. Dombrovskis noted that the 19th round of energy sanctions not only involves oil but also LNG. In essence, it amounts to banning the import of Russian LNG and setting a timeline for gradually phasing out such imports.

Russia: Forcing the restoration of sanctions on Iran will only escalate tensions

On the 20th, the Russian Foreign Ministry issued a statement saying that the actions of the European signatories to the Iran nuclear deal to push forcibly for the restoration of sanctions on Iran are provocative and illegal, "and lead exclusively to a further escalation of tensions surrounding the Iranian nuclear program". The ministry emphasized in the statement that the United States and relevant European countries must clearly answer whether they are prepared to resolve the Iranian nuclear issue through political and diplomatic means, or whether they are ready, as seen in the Israeli and U.S. airstrikes on Iranian nuclear facilities in June this year, to plunge the Middle East into a new abyss of tragedy.

Bullock: Recent economic data slightly stronger than expected

In a speech on Monday, Reserve Bank of Australia (RBA) Governor Michele Bullock said that since the last meeting, the economy has continued to expand, with growth in economic activity picking up, driven by a recovery in private demand. Labour market conditions have eased a little, with unemployment rising slightly, but some tightness remains. The RBA has made real progress in bringing inflation down. In addition, inflation has fallen "significantly," and the labor market is close to full employment. Economic data have been in line with or slightly stronger than expectations. Economists expect the central bank to keep interest rates unchanged next week.

[Today's Focus]

UTC+8 20:30 Speech by Andrew Bailey, Chief Economist of the Bank of England

UTC+8 21:45 Speech by John Williams, President of the Federal Reserve Bank of New York

UTC+8 22:00 Speech by Alberto Musalem, President of the Federal Reserve Bank of St. Louis

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Gerik

Economic

Stocks

Chinese Investors Face a Dilemma: Nowhere to Put $23 Trillion But Stocks

As China’s equity markets rebound sharply with the CSI 300 Index rising more than 25% since April retail investors are slowly returning. But this isn't simply a case of optimism. It’s a byproduct of dwindling alternatives: bonds, property, and money-market funds are no longer attractive, and overseas investments remain largely out of reach due to strict capital controls.

That leaves stocks not because they’re wildly appealing, but because there is no better alternative.

The AI Hype and Diplomatic Thaw Fuel the Rally

China’s stock market recovery has been driven by a combination of AI enthusiasm and improving U.S.-China relations, including a recent call between former President Donald Trump and President Xi Jinping ahead of the APEC meeting. While institutional and foreign investors have led the charge so far, retail investors are increasingly expected to join a critical component for a sustainable bull market.

JPMorgan estimates that around $350 billion in household savings could shift into stocks by the end of 2026. This inflow could offer much-needed liquidity and support valuations, especially as other asset classes offer diminishing returns.

Cash and Deposits No Longer Rewarding

Chinese savers have long been risk-averse, favoring cash deposits. But returns have collapsed. The top four state banks now offer only 1.3% for five-year term deposits, while demand deposit rates sit at a mere 0.05% annually. Even large money-market funds like Yu’E Bao now return just 1.1%, a sharp drop from earlier levels.

This steep decline in passive income has made equities despite their volatility relatively more attractive for yield-seeking households.

Bond Yields Are Still Historically Low

China’s bond market isn’t faring much better. Ten-year government bonds yield about 1.80%, down from a five-year average of 2.58%. Complicating matters is the resumption of taxes on interest income, further reducing net returns. The mismatch between potential yield and fiscal drag makes bonds an uncompetitive investment option for households looking to protect or grow their capital.

Once the dominant wealth vehicle for Chinese families, property has lost its luster. Real estate prices have been declining for four years, and confidence remains weak. President Xi’s consistent messaging that "houses are for living, not for speculation" has dampened investor appetite, as has the ongoing turmoil among property developers.

Today, 58% of household wealth is tied up in real estate, down from 74% in 2021, according to CICC. That share is falling as capital shifts to stocks and other financial instruments.

Wealth Management and Insurance No Longer Compelling

Once a staple for middle-class savers, Wealth Management Products (WMPs) have seen returns drop below 3%, both for fixed-income and mixed strategies. Life insurance policies, often used as savings tools in China, have also fallen from 4.3% pre-COVID to around 2.5% today. With performance consistently underwhelming, these once-trusted vehicles now contribute to investors’ growing frustration.

Investors seeking global exposure especially to U.S. tech stocks face significant restrictions. Chinese citizens are only allowed to convert $50,000 per year into foreign currencies. On top of this, any income earned abroad is taxed at 20%, and offshore investment quotas are tight and often oversubscribed.

In short, foreign markets may be more exciting, but regulatory and fiscal barriers limit participation. This reinforces the appeal of local stock markets for Chinese savers despite the associated risks.

Equities by Default, Not by Desire

China’s $23 trillion in household savings represents an enormous latent force. With traditional investment options offering minimal returns and overseas investments effectively capped domestic equities are becoming a default destination.

While stocks may not offer guaranteed returns, the relative unattractiveness of everything else has made them a compelling choice. If even a small portion of this capital migrates into the market, it could provide the fuel needed for a long-lasting bull run one driven less by exuberance and more by necessity.

Source: Bloomberg

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Samantha Luan

Forex

Political

Economic

Stocks

The U.S. personal consumption expenditures price index for August comes out Friday. The Federal Reserve will hope the report shows headline inflation is either in line or below economists' forecast of 2.8% for the year. Any higher, and investors might start worrying that the Fed's quarter-point cut last week was premature and could allow inflation to sink its claws into the economy again.

Indeed, the yields on the 10-year and 30-year Treasurys rose following the rate cut — rather counterintuitively, since they tend to follow the direction in which interest rates move. Of course, there are other factors that influence yields, such as the level of government debt and fiscal policy. Hence, movement by Treasurys could suggest that the bond market was not convinced the current economic situation in the U.S. warrants a cut.

The stock market, however, seemed to have brushed off those concerns. On Friday, the S&P 500 and Dow Jones Industrial Average closed at another record. Moreover, all three major U.S. indexes had a strong showing for the week, with the Nasdaq Composite climbing 2.2%.Hindsight clarifies decisions. It grants one the power to gloat, "I told you so," or inflict an embarrassment that will keep one awake at 2 a.m. Fingers crossed that, for the Fed, hindsight is 2.8%/2.8%.

What you need to know today

Trump and Xi talk TikTok deal Friday. The U.S. and China said progress was made even though no agreement was reached. The White House on Saturday added that the U.S. will mostly "control" the app; on Sunday, Trump said the Murdochs will likely be involved in the deal.An annual $100,000 fee for U.S. H-1B visas. Trump announced Friday a plan to impose a hefty fee on passes. The H-1B visas are largely issued to foreign workers in specialized fields — and Big Tech companies are scrambling to manage any fallout.

South Korea could face a crisis because of U.S. investment. That's according to President Lee Jae Myung, who told Reuters on Friday that without a currency swap, a $350 billion investment in the U.S. — part of the countries' trade deal — could rock South Korea's economy.U.S. stocks notched a winning week. All major U.S. indexes posted strong gains last week. On Friday, the S&P 500 and Dow Jones Industrial Average recorded new all-time highs. Europe's Stoxx 600 index lost 0.16%.Watch the Fed's preferred inflation gauge. The personal consumption expenditures price index comes out Friday. If it shows that prices are rising faster than expected, the rate-cut mood in markets might take a turn quickly.

And finally...

From shopping carts to superchips: Alibaba rediscovers edge with bold billion-dollar AI pivotAfter helping shape the early years of Chinese e-commerce, followed by years of management missteps, Alibaba is betting big on artificial intelligence as it takes on a new era.More than 100 billion yuan has already gone into AI infrastructure and research in the past year, said Wei Sun, principal analyst at Counterpoint Research.

Source: CNBC

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Samantha Luan

Forex

Political

Economic

Key points:

● Firms urge employees to return amid visa fee confusion

● Trump's visa fee order causes panic among H-1B holders

● Debate over H-1B visa program's impact on U.S. labor market

Panic, confusion and anger reigned as workers on H-1B visas fromIndiaandChinawere forced to abandon travel plans and rush back to theU.S.after PresidentDonald Trumpimposed new visa fees, in line with his wide-rangingimmigrationcrackdown.Tech companies and banks sent urgent memos to employees, advising them to return before a deadline of 12:01 a.m. EDT on Sunday (0401 GMT), and telling them not to leave the country.A White House official on Saturday clarified that the order applied only to new applicants and not holders of existing visas or those seeking renewals, addressing some of the confusion over who would be affected.

But Trump's proclamation a day before had already set off alarm bells in Silicon Valley.

RUSH BACK TO U.S.

Fearing they would not be allowed back once the new rule took effect, several Indian nationals at San Francisco airport said they cut short vacations.“It is a situation where we had to choose between family and staying here," said an engineer at a large tech company whose wife had been on an Emirates flight from San Francisco to Dubai that was scheduled to depart at 5:05 p.m. local time on Friday (0005 GMT on Saturday)The flight was delayed by more than three hours after several Indian passengers who received news of the order or memos from their employers demanded to deplane, said the person who spoke on condition of anonymity. At least five passengers were eventually allowed off, the engineer said.

A video of the incident was circulating on social media, showing a few people leaving the plane. Reuters could not independently verify the veracity of the video.The engineer's wife, also an H-1B visa holder, chose to head to India to care for her sick mother."It's quite tragic. We have built a life here,” he told Reuters.On the popular Chinese social media app Rednote, people on H-1B visas shared their experiences of having to rush back to the U.S. - in some cases just hours after landing in China or another country.

"My feelings are a mix of disappointment, sadness, and frustration," said one woman in a post with a user handle "Emily's Life in NY."The woman said she had boarded a United Airlines flight from New York to Paris, and it started taxiing, but after some back-and-forth with the airline the captain agreed to return to the gate to let her off the aircraft.Feeling what she described to Reuters as "shaken," she canceled her trip to France, abandoning plans with friends, including some who were flying in from China, after she received a letter from her company’s lawyers asking employees abroad to return to the U.S.

Companies including Microsoft, Amazon, Alphabetand Goldman Sachswere among those that sent urgent emails to their employees with travel advisories.Amazon gave guidance to staff on Saturday, after clarity emerged on who would be impacted, that no action was required for staff currently holding H-1B visas, according to a source who had viewed an internal portal. Amazon did not immediately respond to a request for comment outside business hours.

As of Sunday, some of the panic had dissipated, said IBMVice Chairman Gary Cohn, on CBS’s "Face the Nation" program."I think it caused a panic over the weekend because people weren't sure what was going on with the existing H-1B visas," said Cohn. "It's been cleaned up over the weekend, so at this point, there's not a panic in the system."

Cohn praised the move as ultimately good for the economy.

"I actually think this is a good idea, if you understand the H-1B visa program in the United States," Cohn said. "Historically, it has been a lottery system."The new policy also drew support from NetflixChairman Reed Hastings, who said in a social media post it will eliminate the need for the lottery and provide more certainty for those who get the H-1B visas.

Netflix was not immediately available for comment.

TRUMP'S U-TURN ON H-1B

Since taking office in January, Trump has kicked off a wide-ranging immigration crackdown, including moves to limit some forms of legal immigration.This step to reshape the H-1B visa program represents his administration's most visible effort yet to rework temporary employment visas and underscores what critics have said is a protectionist agenda.It is a U-turn from Trump's earlier stance when he sided with one-time ally and TeslaCEOElon Muskin a public dispute over the use of the H-1B visa, saying he fully backed the program for foreign tech workers even though it was opposed by some of his supporters.

Trump administration officials say the visa allows companies to suppress wages, and curbing it opens more jobs for U.S. tech workers. Supporters of the program argue that it brings in highly skilled workers essential to filling talent gaps and keeping firms competitive.In the hours following Trump's proclamation, social media was flooded with debate on the scope of the order and dismay at what many saw as a move that dimmed the United States' allure as a work destination.An anonymous user on Rednote said that their life was like that of an "H-1B slave." The person cut short a holiday in Tokyo to rush back to the U.S., describing it as "a real-life 'Fast & Furious' return to the U.S.," a reference to the hit Hollywood film series about street racing.

Trump's H-1B proclamation read: "Some employers, using practices now widely adopted by entire sectors, have abused the H-1B statute and its regulations to artificially suppress wages, resulting in a disadvantageous labor market for American citizens."The secretary of Homeland Security, Kristi Noem, could exempt petitioners from the fee at her discretion, the proclamation said.Commerce Secretary Howard Lutnick said on Friday that companies would have to pay $100,000 per year for H-1B worker visas.

However, White House spokesperson Karoline Leavitt said in a post on X on Saturday that this was not an annual fee, only a one-time fee that applied to each petition.A Nvidiaengineer, who has lived in the U.S. for 10 years, told Reuters at the San Francisco airport that he had been vacationing in Japan with his wife and infant when he rushed to reschedule his return flight after hearing the news.

"It feels surreal," he said. "Everything is changing in an instant."