-
Asia-Pacific equities are trading slightly higher today, with the exception of Japan’s JP225 (-0.25%) and Australia’s AU200.cash (-0.35%). Other indices are in positive territory, with Chinese benchmarks rising between 0.20% and 0.95%.
-
On the FX market, both the USD and AUD are gaining. The Australian dollar is supported by improved sentiment, while the U.S. dollar maintains its strength on the back of solid PMI data. Overall, FX markets remain in tight ranges ahead of Powell’s Jackson Hole speech, with investors cautious and risk appetite limited.
-
Markets expect Powell to emphasize a data-dependent approach, avoiding explicit signals about the September decision. Following hawkish Fed comments and stronger PMI readings, investors have reduced the probability of a 25 bp September cut to 73.3%. Goldman Sachs, however, expects Powell to strike a dovish tone, paving the way for three rate cuts starting in September.
-
Boston Fed President Susan Collins signaled openness to a September cut, warning that tariffs could hit consumers and weaken the labor market. Meanwhile, Chicago Fed’s Austan Goolsbee said the September FOMC meeting remains “open,” citing mixed economic signals and rising stagflation risks.
-
On the corporate side, Nvidia’s CEO thanked U.S. regulators for approving exports of H20 chips to China, stressing the product poses no national security threat. He confirmed ongoing talks with the U.S. government regarding future AI chips but emphasized that the final decision lies with regulators. Nvidia will also host its first-ever GTC conference in Washington, highlighting closer ties with the U.S. government.
-
In Japan, the core CPI came in at 3.1% y/y (forecast: 3.0%, prior: 3.3%), while headline inflation also slowed to 3.1% y/y (from 3.3%), confirming expectations of gradual disinflation.
This content has been created by XTB S.A. This service is provided by XTB S.A., with its registered office in Warsaw, at Prosta 67, 00-838 Warsaw, Poland, entered in the register of entrepreneurs of the National Court Register (Krajowy Rejestr Sądowy) conducted by District Court for the Capital City of Warsaw, XII Commercial Division of the National Court Register under KRS number 0000217580, REGON number 015803782 and Tax Identification Number (NIP) 527-24-43-955, with the fully paid up share capital in the amount of PLN 5.869.181,75. XTB S.A. conducts brokerage activities on the basis of the license granted by Polish Securities and Exchange Commission on 8th November 2005 No. DDM-M-4021-57-1/2005 and is supervised by Polish Supervision Authority.
