Global Economy Braces for Volatile Week Ahead

The global economy is bracing for another volatile week ahead, with several key events and market movers in focus. The U.S.-Japanese intervention in the Japanese yen markets has left traders wondering what's next, with some speculating that Japan's central bank may prepare a September rate hike to reinforce the yen's rebound.

Meanwhile, the U.S. Treasury intervened in the yen markets last week, sparking debate over the use of euros rather than dollars in the intervention. Some analysts believe this suggests the U.S. Treasury does not want bond market strains worsened by foreign central banks selling Treasuries to fund currency-support operations.

The Reserve Bank of Australia is also expected to leave rates unchanged on Tuesday as policymakers assess whether their three hikes delivered this year have done enough to tame inflation.