Taiwan's currency and stocks are drifting sideways as traders wait for U.S. inflation numbers, a cautious pause rather than a clear turn for investors.

• The Taiwan dollar slipped slightly and sat near 31.5 per U.S. dollar, while Taiwan stocks gave back part of a recent run and fell more than 300 points early on.
• Traders are holding back until the U.S. reports producer and consumer price numbers this week, keeping the dollar itself quiet.
• Middle East fighting pushed oil past $100 a barrel, raising the question of whether higher energy costs will feed back into inflation.
• Safe-haven money is going into the yen instead, which is near a seven-month high; the Chinese yuan and Korean won are also near multi-year highs.
• Foreign money coming into Taiwan has slowed, which is keeping the local currency stuck in a narrow range.

Outlook: The Taiwan dollar likely stays near 31.5 until the U.S. inflation figures land, with next week's Fed, Bank of Japan, and Taiwan central bank decisions setting the next move.