European FX Open - Back below 145.00

USD/YEN is back below the psychological 145.00 mark as Tokyo CPI in August (and the cores) beat expectations at 2.6% y/y vs 2.2% the month previous, supporting the case for the BOJ to continue raising rates at a gradual pace as the central bank balances the need to support the economy.

AUD/USD opens just north of 0.6800 even as Australia retail sales missed expectations at 0.0% m/m in July vs 0.5% last, as elevated interest rates force households to rein in on discretionary spending.

It's a packed session ahead.

At the top of the hour, German retail sales and the UK Nationwide HPI lead followed through the morning by the likes of French CPI and final Q2 GDP; the Swiss KOF leading indicator; German unemployment, the Norges Bank's daily FX purchases for September and UK mortgage approvals.

July's EMU CPI estimate is forecast to slow, at 2.2% y/y in August vs 2.6% last. Investors, traders could well be eyeing downside risk after Germany's misses yesterday.

In the second half, US PI/personal spending and the PCE price index look highlights. The latter is seen rising 0.2% m/m in July and the overall situation could suggest a goldilocks economy is panning out. After yesterday's GDP beat, latest mini USD gains could well be stirred by hopes that a hard landing/recession can be avoided.

The Chicago PMI and Michigan sentiment are also due as well as June and Q2 GDP out of Canada.

ECB's Schnabel, Rehn, Kazaks, Simkus and Muller are due this morning on a panel. Meanwhile, Fed’s Bostic said inflation remains 'far' from the 2% target.

It's also MONTH-END, with speculation ahead largely centring on minor broad USD sales/neutral flows.

And, a Bloomberg News/Morning Consult poll found Kamala Harris is leading or tied with Donald Trump in each of the seven states most likely to decide the US presidential race.

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