Why did U.S. money-market bets on a September Fed rate hike cool down, according to the news?

U.S. money-market bets on a September Federal Reserve rate hike cooled down because Wednesday's U.S. CPI data was 'largely in line with expectations, perhaps even a little anticlimactic' and was coupled with 'softer-than-expected July nonfarm payrolls'.

What evidence from Japan supports expectations of a September Bank of Japan rate hike?

Thursday's Japanese wholesale inflation data showed a '7.2% year-on-year rise in July', indicating that 'price pressures remain alive and resilient', driven partly by 'strong demand induced by the AI boom and higher raw-material costs from the Middle East war' — reinforcing expectations for a September BOJ rate hike.

Fed Cools Rate Hike Bets as BOJ Wagers on Rising Inflation

Aug 12, 2026

US CPI data dampened Federal Reserve rate hike expectations while Japanese inflation reinforced Bank of Japan hiking bets, driven partly by rising raw material costs and oil price fluctuations amid Middle East tensions.

reuters

2026-04-27

BOJ Maintains Hawkish Stance as Oil Prices Remain Elevated

2026-05-11

Some BOJ Policymakers Signal Need to Raise Rates Soon, April Meeting Summary Shows

2026-05-27

Nomura Analyst Says Near-Term BOJ Hike Still Up in Air Over Iran

2026-06-03

BOJ's Ueda pivots to inflation-fighting mode, clearing path for steadier hikes

2026-06-15

Bank of Japan Raises Interest Rates to 31-Year High