Psychology for major markets Sep 2

EUR/USD – The pair further breaks away from the 1.16 figure as risk deteriorates. Another fast break could see the 1.149 technical area being tested.

USD/JPY – Market participants are waiting impatiently for BoJ's confirmation of a September hike. We have a preview from one of the hawks. It bring USD/JPY from a weekly high to almost a figure below, though it is mostly driven by the broad risk off atmosphere.

AUD/USD – The Aussie recouped partial early losses on USD weakness. Hard to see sustained recovery without improvement in broader risk sentiment.

Equities & Others – Broader risk sentiment is poor on Middle East tension and raising prospect of Fed hike.