Asia Summary and Highlights 2 Sep
BoJ's Himino says despite 3 rate hikes inflation still high, real rates still low
Asia Session
While BoJ's Himino says "despite 3 rate hikes inflation still high and real rates still low", also appropriate to continue raising rates with economics forecast in line, there is very little commitment and does not sound urgent to hike. He is putting a lid on the JPY with comment "Underlying inflation is recently quite close to 2% but has yet to reach that level". USD/JPY is trading 0.34% higher at 147.67 with JGB underperform U.S. Treasury yields.
The broad risk sentiment is sour on Tuesday. U.S. three major equity indexes and regional equities except Nikkei are in the red. It seems to be mostly flow driven, further exacerbated by haven demand as we see gold also gaining strongly. AUD/USD is trading 0.24% lower at 0.6538, NZD/USD is also 0.31% lower at 0.5884 while USD/CAD rises 0.05%. Else, EUR/USD is down 0.15% and GBP/USD is down 0.13%.