Asia Summary and Highlights 5 August
Iran reportedly says that Strait of Hormuz agreement with Oman will be delayed so long as US threats continue
Japan June labor cash earnings 3.4% y/y
Asia Session
Market participants reactivated their wait and see mode with conflicting headlines. Trump with his usual optimistic approach faced reality check from Iran, saying that Strait of Hormuz agreement with Oman will be delayed so long as U.S. threats continue. AUD/USD is trading 0.08% higher at 0.7052, supported by major equities and precious metals gain. NZD/USD is trading 0.42% lower while USD/CAD rises 0.09%.
Japan June labor cash earnings continue to be strong at 3.4% y/y. BoJ will be happy to see real wage being more positive and the momentum of business price setting/wage behavior gains further traction. USD/JPY is trading 0.02% lower at 157.66 with JGB yields calmer across the curve. Else, EUR/USD is up 0.03% and GBP/USD is up 0.01%.