- There are 7 Federal Reserve officials speaking on Thursday, NY Fed's Williams among them
- Goldman Sachs ramps up its copper price forecast risk
- UBS: Gold rally to extend on Fed easing, falling real rates, weaker dollar
- Deutsche Bank: Japan’s growth, weak yen point to BOJ hike in October
- China central bank dep gov: Global bond investors remain confident in China’s bond market
- PBOC sets USD/ CNY reference rate for today at 7.1118 (vs. estimate at 7.1293)
- Another ex-BOJ board member says the Bank could hike next month
- ICYMI - Shanghai Gold Exchange raised margins as gold, silver hit record highs
- White House is instructing federal agencies to prepare plans for mass firings
- Deutsche Bank: Fed to cut rates in October and December, risks tilt to more easing in 2026
- BOJ July minutes: Expects to keep hiking if inflation, economy, move with estimates
- Bank of Japan Services PPI (August) +2.7% y/y (expected +2.9%, prior +2.9%)
- ICYMI: G7, EU consider price floors, carbon tariffs to cut reliance on China’s rare earths
- UK August car output falls 18%; JLR cyberattack to deepen September production slump
- HSBC, IBM use quantum computing to boost bond price predictions by 34%
- Crypto: NY Fed highlights JPMorgan-Barclays use of BlackRock tokenized fund as collateral
- Morgan Stanley sees weaker USD, sticky yields as tariffs and policy shifts bite
- Magnitude 6.1 earthquake slams Venezuela
- South Korea will not invest in the US until visa issues are resolved
- Retail trading HUGE news. The end of the $25,000 minimum equity pattern day trading rule.
- Bessent told South Korea Lee he'll try to talk Trump down from US350bn investment demand
- A Chinese delegation will visit the US Treasury tomorrow for discussions on trade, economy
- South Korean President Lee says his country's FX market is not the same as Japan's
- "Sky-High S&P 500 Signals ‘New Normal,’ Not Bubble, BofA Says"
- More Fed Daly, 'hard to say' if further rate cuts will come now, later in 2025, or when
- Fed's Daly says further monetary policy adjustments are likely to be needed
- Intel to ask Apple to invest as part of a comeback bid. Stock close lower for the 2nd day
The session began with remarks from San Francisco Fed President Mary Daly, who reiterated her support for further rate cuts but declined to give a timeline. Daly said it was difficult to determine whether the next move would come soon, later in 2025, or beyond, stressing that the outlook remains dependent on both inflation and labour market data.
The Bank of Japan’s July meeting minutes underscored the tension between risk management and inflation dynamics. Several members highlighted the need for timely rate hikes and a gradual reduction of monetary support if inflation holds above 2%. Others pointed to difficulties in guiding short-term rates if balance sheets are reduced too far, and stressed that the composition of asset holdings is as important as their size, with a preference for neutral assets. Members also noted firms are increasingly confident in passing on costs, though wage-driven price pressures in services remain subdued. Inflation expectations continue to edge closer to the 2% target, while the direct impact of US tariffs on Japan’s economy was judged to be limited.
In markets, the US dollar gave back a little of Wednesday’s advance, easing modestly against major peers. The euro, yen, sterling, Aussie, kiwi and Canadian dollar all ticked slightly higher.
Asia-Pac stocks:
- Japan (Nikkei 225) +0.19%
- Hong Kong (Hang Seng) +0.28%
- Shanghai Composite +0.1%
- Australia (S&P/ASX 200) +0.18%
