The latest Market Talks covering FX and Fixed Income. Published exclusively on Dow Jones Newswires throughout the day.
2049 ET - Most Asian currencies weaken slightly against the dollar amid renewed Middle East tensions. Iran's Foreign Minister Abbas Araghchi said on Sunday that Tehran has exclusive rights to manage traffic in Strait of Hormuz under preliminary peace deal signed with the U.S. The remarks came after several days of back-and-forth strikes between the U.S. and Iran. "The weekend re-escalation in U.S.-Iran tensions adds to the risk-off tone," two strategists at OCBC Group Research say in a research report. "That makes an unfriendly environment for Asian FX," they add. The U.S. dollar rises 0.2% to 1,538.20 won and is 0.1% higher at 1.2942 Singapore dollar.(ronnie.harui@wsj.com)
2032 ET - JGBs fall in price terms in the early Tokyo session amid this morning's rise in crude oil prices that could lead to higher inflation in Japan, which is a major net oil importer. This, in turn, could prompt the BOJ to raise rates at a faster pace. Meanwhile, fiscal expansion efforts in Japan such as public-private investment and supplementary budgets are poised to build simultaneously, two analysts of JPMorgan's Global Markets Strategy say in a research report. "JGB supply pressures are likely to persist," the analysts add. The ten-year JGB yield rises 3.5 bps to 2.630%; the 20-year yield is up 3.5 bps at 3.545%. (ronnie.harui@wsj.com)
2021 ET - Japanese stocks were choppy amid possible bargain hunting-interest and renewed Middle East tensions. Iran's Foreign Minister Abbas Araghchi said on Sunday that Tehran has exclusive right to manage traffic in the Strait of Hormuz under preliminary peace deal signed with the U.S. The remarks came after several days of back-and-forth strikes between the two countries. The Nikkei Stock Average was recently 0.2% lower at 69230.58 after swinging between mild gains and losses. Among worst performers on the benchmark index, Kioxia Holdings fell 3.1% and Lasertec dropped 3.3%. The dollar is at 161.74 yen versus 161.75 yen late Friday in New York. (ronnie.harui@wsj.com)
1945 ET - Talk of a housing price crash in Australia is increasing. Sales at auction have softened, while buyer confidence has weakened and government tax changes have added another layer of uncertainty. Still, Nerida Conisbee, chief economist at property firm Ray White, says a broad-based price crash looks unlikely. Australia remains short of housing, population growth is still strong and construction is constrained, she says. Some segments will continue to be supported by scarcity, stronger household incomes and lower exposure to policy changes, while others will be more exposed, Conisbee says. (james.glynn@wsj.com; X @JamesGlynnWSJ)
1940 ET - Japanese stocks may rise on potential bargain-hunting interest after the benchmark index fell markedly last Friday. However, gains may be capped amid back-and-forth attacks between the U.S. and Iran over the weekend, which have placed pressure on the fragile peace deal between the two countries. Nikkei futures are 355 points higher at 70130 on the SGX. The dollar is at 161.79 yen versus 161.75 yen late Friday in New York. The Nikkei Stock Average closed 4.15% lower at 69360.88 last Friday. (ronnie.harui@wsj.com)
1932 ET - Australian political polls are proving to be riveting reading given the rise of the right-wing party One Nation since the start of the year. A Newspoll conducted last week and published in the Australian newspaper Monday shows the ruling Labor government has its nose ahead of One Nation again after announcing changes to its unpopular tax reform package in May. Core support for Labor increased from 30% to 33%, ahead of One Nation, which fell from 31% to 29%. Meanwhile, the conservative Liberal-National coalition, recorded a new historic low of 17%, with the Greens on 13%. (james.glynn@wsj.com; X @JamesGlynnWSJ)
1907 ET - Pricing of an interest rate hike by the Reserve Bank of New Zealand in July shows financial markets aren't comprehending recent changes to the global growth outlook, Westpac says. The rapid progress in reducing Middle East tensions is key. The prospect of a faster-than-expected restoration of shipping flows has materially altered the outlook for global trade, Westpac says. This has implications not only for oil, petrochemical products and natural gas--goods that play a crucial role in global economic activity. The RBNZ appears set to scale back its OCR hike track, Westpac says. (james.glynn@wsj.com; X @JamesGlynnWSJ)
1849 ET - With the Reserve Bank of Australia recently warning that a further rise in official interest rates remains a possibility, questions about the conflict in the Middle East and oil prices remain critical. Matthew Hassan, head of Australian macro-forecasting at Westpac, expects oil-and-gas supply normalization to be a "slow and bumpy process." Concerns about a more prolonged period of high domestic inflation will force the RBA to hike further in August. With growth already sluggish, that decision will be a difficult one for the board, Hassan adds. (james.glynn@wsj.com; X @JamesGlynnWSJ)
1822 ET - The week ahead in Australian bond markets will center on Tuesday's release of the minutes of the Reserve Bank of Australia's recent policy meeting. The RBA left interest rates on hold but sent a warning to markets that further increases are likely if inflation fails to cool in coming months. It's a logical position for the RBA as core inflation remains elevated. Still, the outlook for price pressures looks more promising as fuel prices fall. Policy makers are likely to look through coming data if it appears worrisome. Overall, the bar to further hikes appears reasonably high. (james.glynn@wsj.com; X @JamesGlynnWSJ)
(END) Dow Jones Newswires
June 28, 2026 20:49 ET (00:49 GMT)
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