It was a subdued session for news, data and FX movement. We did get some strength for the US dollar, but ranges were not large. USD/JPY tracked above 161.00 but has dribbled back under as I post. USD/CHF continued its steady rise, but has also dipped back a touch.

From Australia we had the June National Australia Bank Business Survey, indicating a lift in business confidence, while business conditions continued their trend down. Weakness was evident in orders, capex & employment. More in the bulleted item above.

The Bank of Japan is holding in-person meetings with JGB market participants; banks, securities firms and those buying bonds for financial institutions, over the next couple of days. The meetings are aimed at gauging a realistic pace for a reduction of its Japanese Government Bond purchases. The Bank will be announcing the reduction plan after its next meeting, on July 30 and 31.

We await the testimony from Federal Reserve Chair Powell at 10am US Eastern time Tuesday. We often get the text of his prepared remarks published on the Fed’s website prior to his testimony. I’ve been hitting F5 on it all day and, so far, nothing yet.

usdyen wrap 09 July 2024 2