BOJ Hikes Odds for Rate Move Amid Global Economic Uncertainty

The Federal Reserve's rate hike bets have cooled down after the release of U.S. CPI data, which was largely in line with expectations.

On the other hand, the Bank of Japan is gearing up for a September rate hike, fueled by Japanese wholesale inflation data showing a 7.2% year-on-year rise in July.

This suggests that price pressures remain alive and resilient, driven by strong demand induced by the AI boom and higher raw-material costs from the Middle East war.

Asian stocks were mostly firm in the morning session, with South Korean shares hitting their highest levels in three weeks on chip stocks.