JAPAN DATA: June CPI Close To Forecast, Sub 2% Y/Y, Services Benign Around 1%y/y

• MNI: JAPAN MAY SERVICES PPI +3.3% Y/Y; APRIL +3.3%
• JAPAN MAY SERVICES PPI +0.0% M/M: APRIL +0.9%

TYU6 is dealing at 109-11, -0-01 from closing levels in today’s Asia-Pac session.

• Iran has denied a claim by US Vice President JD Vance that inspectors from the UN nuclear watchdog will be given access to its nuclear sites.
• Al Arabiya quotes Israel PM Netanyahu: "battle with Iran and it's proxies is not over yet". Lebanon's Hezbollah saying Israel violating ceasefire agreement after Southern Lebanon attack. The semi-official ISNA (Iranian Student's News Agency) says Hormuz Strait "fully" open to commercial   traffic. – BBG
• Elsewhere, tech sector shares weighed on S&P 500 and Nasdaq indexes after South Korea KOSPI plunged over 10% with SK Hynix falling over -11.75%, Samsung Electronics over -11.15%.
• June's flash S&P Global PMI readings were stronger than expected across the board. Manufacturing rose to 55.7 (54.6 expected, 55.1 prior), and Services to 51.3 (51.1 expected, 50.7 prior), bringing Composite up to 52.2 (52.1 expected, 51.5 prior).
• MNI Techs (TYU6): The 10Y contract continues to trade below key short-term resistance at 109-30, the 50-day EMA, and the May 29 high at 110-00+. A clear break of this resistance zone would undermine the bear theme and highlight a possible short-term   reversal.

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In post-Tokyo trade, JGB futures closed stronger, +8 compared to settlement levels, after US tsys finished showing a modest bull-steepener, with benchmark yields flat to 3bps lower, as markets remain wary of Middle East headline risks.

• Al Arabiya quotes Israel PM Netanyahu: "battle with Iran and it's proxies is not over yet". Lebanon's Hezbollah saying Israel violating ceasefire agreement after Southern Lebanon attack. The semi-official ISNA (Iranian Student's News Agency) says Hormuz Strait "fully" open to commercial   traffic. – BBG
• Elsewhere, tech sector shares weighed on S&P 500 and Nasdaq indexes after South Korea KOSPI plunged over 10% with SK Hynix falling over -11.75%, Samsung Electronics over -11.15%.
• MNI INTERVIEW: Ex-BOJ's Momma Sees Strong Oct Hike Chance. A move in dollar-yen toward JPY165 or JPY170, driven by Federal Reserve policy decisions, would materially increase the likelihood of a Bank of Japan rate hike in October, former BOJ Executive Director and Chief Economist Kazuo Momma told MNI, arguing the Bank would risk falling behind the curve if it waited for underlying inflation to overshoot 2%.
• Today, the local calendar will see PPI Services data alongside BOJ Summary of Opinions (June MPM) and a speech by BOJ Deputy Governor Himino.