Rabobank's Senior Energy Strategists Joe DeLaura and Florence Schmit revise their Brent outlook higher as Middle East disruptions tighten supply routes.

Germany’s ZEW Survey Economic Sentiment rose slightly to 34.7 in September from 34.2 in August, although the reading falls short of market expectations of 37.

MUFG’s Lee Hardman says the Pound is holding up better than expected despite the worsening energy price shock.

AUD/JPY gains ground for the second consecutive day, trading around 110.40 during European hours on Tuesday. The currency cross appreciates as the Japanese Yen (JPY) faces headwinds from rising global oil prices, which significantly inflate import costs for Japan's energy-dependent economy.

ING’s Frantisek Taborsky explains that a surge in energy prices, a jump in US 10-year yields to 5% and a stronger Dollar have hit CEE currencies and pushed local rates higher.

BNY’s John Velis expects the Federal Reserve to raise rates by 25bp at this week’s FOMC meeting and sees another hike as likely later this year.

EUR/JPY extends its gains for the second consecutive day, trading around 179.00 during European hours on Tuesday.

Rabobank’s Senior FX Strategist Jane Foley discusses whether the Swiss Franc (CHF) will shift from safe haven to funding currency status. Foley highlights Swiss National Bank (SNB) intervention during the Iran war, subdued Swiss inflation, and a zero policy rate.

Societe Generale’s Kunal Kundu expects the Reserve Bank of India (RBI) to respond to India’s broadening inflation pressures with a new mini rate-hike cycle. Kundu projects a 25bp hike in October, followed by two similar moves in December and February.

EUR/CAD extends its losses for the second successive day, trading around 1.6040 during European hours on Tuesday. The currency cross depreciates as the commodity-linked Canadian Dollar (CAD) gains support from rising crude oil prices.

Commerzbank’s Michael Pfister argues that rising Oil prices have sharply lifted UK rate expectations, with markets now discounting four Bank of England hikes by mid-2027 versus just over one in June.

Here is what you need to know on Tuesday, September 15:

TradingKey - Os Estados Unidos devem divulgar seus dados de vendas no varejo referentes a agosto na quarta-feira (16 de setembro), no horário da Costa Leste. Após uma desaceleração perceptível nos gas

Deutsche Bank’s Jim Reid reports that US equities weakened as AI slowdown headlines triggered a sharp selloff in semiconductor names, dragging the broader S&P 500 lower.

Japanese Finance Minister (FM) Satsuki Katayama said on Tuesday that the official will not rely on deficit-covering bonds to fund the tax cut. Katayama added that government will scrutinise budget requests for next fiscal year strictly going forward.

The United Kingdom’s (UK) ILO Unemployment Rate stayed at 4.9% in the three months to July after reporting 4.9% in the previous reading, data published by the Office for National Statistics (ONS) showed on Tuesday. The data came in below the market consensus of 5.0%.

Indonesian rupiah weakened as rising oil prices raised inflation fears and threatened the net oil importer's fiscal position.

Asian equities trade mixed on Tuesday as traders weighed Middle East tensions and calls by industry figures for a slowdown in AI development.

South Korea Money Supply Growth down to 8% in July from previous 9.4%

China’s Retail Sales rose 0.4% year-over-year (YoY) in August vs. a rise of 0.8% expected and a 0.6% growth in July, the latest data released by the National Bureau of Statistics (NBS) showed Tuesday.

China Fixed Asset Investment (YTD) (YoY) in line with expectations (-7.2%) in August

China Industrial Production (YoY) registered at 5.2% above expectations (4.8%) in August

China Retail Sales (YoY) below expectations (0.8%) in August: Actual (0.4%)

Iran's President Masoud Pezeshkian said on Monday that Tehran is not at war with Saudi Arabia. Pezeshkian added that Iran’s demands for negotiation with the United States (US) are the same as our previous demands.

New Zealand Electronic Card Retail Sales (MoM) dipped from previous 1.3% to -0.9% in August

New Zealand Electronic Card Retail Sales (YoY) fell from previous 3.4% to 0.2% in August

South Korea Import Price Growth (YoY) down to 15.6% in August from previous 18.7%

Brown Brothers Harriman’s (BBH) Elias Haddad expects the Federal Open Market Committee (FOMC) to deliver a 25 bps hike to 3.75%-4.00%, its first move since July 2023, justified by above-target inflation and a solid labor market.

Societe Generale economists Sam Cartwright and Michel Martinez analyze how renewed supply chain disruptions, including conflict in the Middle East, may affect Euro Area prices.

Scotiabank strategists Shaun Osborne and Eric Theoret highlight a weaker Japanese Yen (JPY), down 0.7% versus the US Dollar (USD) and underperforming G10 peers alongside New Zealand Dollar (NZD) and Swedish Krona (SEK).