Asia Summary and Highlights 11 Sep
Japan August PPI +2.7% y/y
Asia Session
The Japan August PPI remains solid +2.7% y/y while m/m is seeing a moderation of 0.2%. It indicates the input inflationary pressure persists and we are unlikely to see significant moderation in core-core CPI. USD/JPY is trading 0.01% lower at 147.43.
The risk mood is broadly positive on Thursday. There is another political assassination in the U.S., conservative activist Charlie Kirk, was shot dead in a debate in Utah. It guarantee more political and social turmoil in the United States. U.S. major equity indexes are in the green but pale by another historic high in Nikkei while regional equities performing individually. AUD/USD is trading 0.05% lower at 0.6610, NZD/USD is trading 0.09% lower at 0.5934 while USD/CAD rises 0.08%. Else, EUR/USD is up 0.02% and GBP/USD is down 0.05%.
North American session
August US PPI was weaker than expected at -0.1% overall and ex food and energy, correcting strong July gains of 0.7% in each series that were both revised down from 0.9%. The USD saw a brief dip on the data but quickly rebounded. Subsequent trade saw another more gradual USD dip that was also largely reversed, leaving the USD little changed overall, USD/JPY near 147.50 and EUR/USD near 1.17. EUR/CHF was stronger, rising to .9350 from .9330.