Asia Markets Mixed as US-Iran Talks Yield Little Progress
The Asia market update showed mixed trading ahead of month and quarter-end, with Japanese stocks rebounding from yesterday's losses driven by ex-dividend activity. The S&P ASX 200 was supported by dovish RBA Governor Bullock comments and August CPI data.
The US/Iran talks yielded little progress, according to Axios, which came as no surprise. Oil futures remained tame in Asia, while bond yields were generally quiet. Crude prices saw modest declines in New York after the US Energy Department announced a new 40 million barrel release from the Strategic Petroleum Reserve and reportedly pressured the EU to release strategic diesel stockpiles.
The Trump Administration is debating a possible diesel export ban ahead of the November US mid-term elections, according to the Financial Times. Fed rate hike probabilities collapsed after comments from NY Fed's Williams, who currently sees a 47.1% chance of a rate hike, down from 70.9% prior day.