economic data batch in focus
Overseas, bond market watchers have been on edge following reports that Japan’s central bank was actively looking into changes to its policies. The Bank of Japan’s next monetary policy meeting is scheduled for next week. On Monday, the yield on the Japanese 10-year note popped more than 4 basis points, on the back of reports surrounding the possibility that the Japanese central bank was considering whether it would make its program more sustainable.
Aside from Japan’s bond markets, government bond yields and stocks in China ticked higher Tuesday following news that Beijing had pledged to look into and undertake a more vigorous fiscal policy, as the economy cools. The possibility of further loosening in monetary conditions pushed the offshore yuan down to a 13-month low; Reuters reported.
Concerns surrounding the U.S. central bank continue to weigh on sentiment after President Donald Trump told CNBC last week that he was “not thrilled” about rising interest rates, expressing concern that the Fed could upset the economic recovery. No speeches from the U.S. central bank are scheduled for Tuesday.