The dollar index (DXY) touched 99, up 0.16% on the day.

BOJ officials will have multiple near-term opportunities to either confirm or temper aggressive market bets on a September rate hike; market pricing implies roughly an 82% probability. Since the July 2024 hike drew heavy criticism, the BOJ governor has emphasized stronger communication. Yen moves remain a key trigger for the bank to signal intent. Daiwa senior economist Kento Minami said the BOJ may avoid an explicit September commitment and instead stress upside inflation risks to imply an earlier hike — a tone markets would treat as endorsement of September. Conversely, repeated emphasis on uncertainty, the need for more data, or assessing the impact of prior tightening would likely be interpreted as a signal to keep rates unchanged in September.

Iranian parliament speaker Ghalibaf posted on X a graphic linking sanctions and energy-market shifts to damage to the U.S. economy and mocked recent U.S. measures to control domestic prices. He ridiculed steps such as importing frozen meat to cap food prices and asked rhetorically whether the U.S. plans to import "frozen yields" for bonds, introduce "frozen buyers" for housing or issue "frozen payrolls" to fix wages, warning a rigid, uncreative foreign policy will send the "boomerang" of devastating economic pressure back to the U.S.