Asian stocks were mixed on Tuesday as investors awaited US inflation data and ECB meeting.
The dollar took a breather after recent gains, but remained near its highest levels in two decades.
The yen rose to its highest level in two months after Bank of Japan Governor Kazuo Ueda said the central bank might have enough economic information by year’s end to determine that short-term rates will need to rise.
The yuan also rose to its highest level in six months after Chinese authorities vowed to correct one-way moves.
MSCI’s broadest index of Asia-Pacific shares outside Japan was flat. Japan’s Nikkei rose 0.3%.
Investors are awaiting the release of U.S. inflation data on Wednesday. Economists expect the annualized core inflation rate to fall to 4.3% in August, but a higher reading could fuel expectations for more aggressive interest rate hikes by the Federal Reserve.
The European Central Bank is also meeting on Thursday and is not expected to raise interest rates, but traders will be looking for any clues about the future direction of monetary policy.
Oil prices were steady and gold prices held on.
Here are some of the key takeaways from the article:
- Asian stocks were mostly flat as traders awaited U.S. inflation data and the European Central Bank meeting.
- The dollar took a breather after recent gains, but remained near its highest levels in two decades.
- The yen rose to its highest level in two months after Bank of Japan Governor Kazuo Ueda said the central bank might have enough economic information by year’s end to determine that short-term rates will need to rise.
- The yuan also rose to its highest level in six months after Chinese authorities vowed to correct one-way moves.
- Oil prices were steady and gold prices held on.
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