BNY’s Bob Savage notes that the Bank of Japan delivered a hawkish 25bp rate hike to 1.0% and will continue scaling back its JGB purchase program. The BoJ signaled confidence in underlying inflation despite slowing headline CPI.
OCBC’s Sim Moh Siong argues that recent risk-on moves following the US‑Iran understanding have only produced a modest pullback in US yields and the Dollar. He highlights AI-driven US growth, Fed event risk and Oil dynamics as supporting USD resilience.
BNY’s Bob Savage highlights that the Reserve Bank of Australia kept its cash rate unchanged at 4.35% but maintained a clear tightening bias. The Australian central bank emphasized that further rate hikes remain possible if inflation pressures persist.
President Donald Trump on Tuesday outlined the next steps in the Iran agreement, saying the deal's text will be released in the coming days and that the Strait of Hormuz should be fully reopened by Friday.
Private-sector hiring in the US has cooled in late May. According to the NER Pulse, the weekly companion to the ADP National Employment Report, companies added an average of 25.5K jobs per week in the four weeks ending May 30.
OCBC’s Christopher Wong describes USD/PHP as bearish but oversold after a sharp gap lower on softer yields and Oil. With inflation still above target and growth slowing, Bangko Sentral ng Pilipinas (BSP) faces a difficult decision, where a firmer policy response could support PHP.
Societe Generale’s Stephen Spratt notes that the Reserve Bank of Australia kept rates unchanged at 4.35%, in line with expectations, and characterizes the statement as largely a mark-to-market update.
United States (US) President Donald Trump said during the European trading session on Tuesday that psychologically, we want to get Iran’s enriched uranium.
German ZEW Survey - Economic Sentiment turns positive to 10.5 in June after remaining negative in May. The data was expected to come in better at -6.0 from the previous reading of -10.2.
Societe Generale’s Jin Kenzaki and team say the Bank of Japan’s hike to 1.0% marks only the bottom of the neutral range, but new language on upside inflation risks supports further normalisation.
OCBC’s Christopher Wong says recent surprise hikes and FX measures from Bank Indonesia have restored some confidence in the Rupiah.