In the wake of disappointing earnings from American tech giants Tesla and Alphabet, which dampened risk appetite, Asian stock markets dipped on Wednesday.

Meanwhile, the yen strengthened to a seven-week high ahead of a central bank meeting next week, where a rate hike is still on the table.

The US dollar remained mostly stable as traders kept an eye on Friday's inflation report and next week's Federal Reserve meeting. Next week is also the Bank of Japan meeting, where a 10 basis point increase is priced with a 44% chance of occurring. Japan's Nikkei sank 1%, although MSCI's broadest index of Asia-Pacific shares outside of Japan decreased by 0.35%. A storm has caused the financial markets in Taiwan to close. Following Tesla's announcement of its lowest profit margin in over five years, which put pressure on other EV stocks, Nasdaq futures fell 1% and S&P 500 futures fell 0.6%.

In after-hours trading, Alphabet, the parent company of Google, saw a decline in shares despite exceeding revenue and profit projections. The bar was set so high for Alphabet, according to Kyle Rodda, senior financial market analyst at Capital.com, that even a little beat in results was unable to move the stock higher. Thus, there's no news for the market volatility to subside.

The Japanese yen, which had been hovering around a 38-year low of 161.96 at the beginning of the month, surged to its highest level in seven weeks of 154.36 per dollar on Tuesday after rising about 1%. At 154.75, it was recently up 0.56%. Based on estimates from BOJ data, traders believe Tokyo interfered in the currency market early in July to pull the yen away from those lows. Authorities may have spent about 6 trillion yen ($38.62 billion) to support the weak currency.

Speculators have halted popular and lucrative carry trades, in which participants borrow the yen at cheap interest rates and invest in dollar-priced assets in the hopes of earning a bigger return, as a result of the intervention bouts. The value of the yen increased overall, hitting over one-month highs vs. the pound, euro, and Australian dollar, as well as two-month highs against the latter.

The dollar index, which compares the value of the US dollar to six competitors, barely moved, hovering at 104.41. This month, the index is down 1.3%, indicating global financial trends. Oil prices increased in the commodities market as US crude inventories decreased. September's Brent oil futures increased by 0.28% to $81.24 a barrel, while September's U.S. West Texas Intermediate oil increased by 031% to $77.2 per barrel.