LOOK AHEAD: UK Timeline of Key Events (Times BST)

Regional Asian equities are mostly lower, today with Australia and New Zealand equities the exceptions. It has been a quiet day for market headlines and economic data, as markets await a busy end to the week for economic indicators, including the Fed's preferred inflation gauge. Earlier, Japan's currency chief warned of significant moves in the FX markets driven by market speculation rather than fundamentals, in relation to the weakening yen from the past week.

• Japan's equities are lower today as investors seek to lock in profits after the Nikkei hit new all-time highs on Friday, while the Topix marked a 6-day advance on Friday. Exporters are lower today as the yen edged higher following a warning from Japan's Currency Chief to the FX market. Japan has just released the Leading Index coming in at 109.5 vs 109.9 previously, while the Coincident Index rose to 112.1 from 110.2 previously, shortly Store Sales data will be released. The Topix is down 0.88%, while the Nikkei 225 is down 0.69%.
• South Korean equities are slightly lower to unchanged with tech names have leading the decline. Representatives from various international financial firms are visiting Korea to explore investment opportunities and discuss corporate governance practices amid the government's Corporate Value-up Program launch, aiming to enhance transparency and attract more overseas investments. The trip organized by the Asian Corporate Governance Association aligns with efforts to improve Korea's corporate governance standards and elevate the valuation of listed companies, potentially increasing foreign investor interest in the Korean market. The Kospi is down 0.19%.
• Taiwanese equities have edged higher today after initially starting the day lower, there has been very little in the way of market news and headlines out of the region. The Philadelphia SE Semiconductor Index was only slightly higher on Friday, while local semiconductor names including TSMC are lower. The Taiex is up 0.14%
• Australian equities are higher today, with banks leading the gains. Earlier, Fitch Ratings stated that "The ratings of the four major Australian banks have significant buffers to withstand a slowing economy and higher unemployment,". Miners are higher after ANZ called for the bottom for Iron Ore prices. The ASX200 finished up 0.53%.
• Elsewhere in SEA, New Zealand equities are higher, up 0.74%, Singapore equities down 0.20%, Indonesian equities down 0.33% after marking 5 straight days of foreign investors inflows, while Malaysian equities are down 0.35% and Indian equity markets are closed for a public holiday.

JGB futures have mostly traded with a positive bias in the first part of Monday trade. We were last at 145.60, +.19. Session highs came in at 145.70, while lows were at 145.42.

• The general tone in global yields through the latter stages of last week was to soften after some dovish shifts from EU central banks. This has spilled over to JGBs to some degree.
• US Tsy futures are off earlier highs (TYM 4 last at 110.25), which has likely kept JGB futures from extending higher. We do have more US Fed speak later on Monday.
• The BoJ mins for the Jan meeting came and went without much market reaction. They have obviously been superseded by last week's shift away from NIPR. The mins stated if there was a delay in exiting NIPR it could mean more aggressive rate hikes later, while financial conditions were expected to remain accommodative even when such a move was made.
• We also had a step up in FX rhetoric from FX chief Kanda earlier, but yen couldn't break higher.
• In the cash JGB yield space, most yield weakness is evident in the belly of the curve, with 7 and 10yr yields off around 1bps respectively. The 2 yr yield is holding above 0.20% at this stage. In the swaps space, the 10yr is down slightly, last near 0.86%.
• Looking ahead, tomorrow has the PPI and machine tool orders. On Wed we have BoJ board speak (Tamura), along with a 40yr debt sale.

The BBDXY index sits lower for the Monday session as we approach the London/EU cross over, last near 1245.15, off a little over 0.10%. We are up from earlier lows of 1243.55, which came post the stronger than expected CNY fixing.

• The CNY fixing was the main focus point today, as markets assessed whether we would see a run of further yuan weakness. In the event the fixing was set stronger than expected (back sub 7.1000), which has seen USD/CNY largely reverse Friday's gains.
• Prior to this we had a step up in official rhetoric from Japan's Chief currency diplomat Kanda. He described recent FX moves as being speculative and that the authorities wouldn't hesitate to act. Still, the pair could test Friday lows around 151.00 during this period or post the stronger CNY fixing. We track near 151.25/30 in recent trade, only marginally stronger in yen terms.
• The BoJ minutes for the Jan meeting were released, but have largely been superseded by last week's BoJ meeting, which ended NIRP.
• AUD/USD is higher, last near 0.625/30, nearly 0.20% firmer. Earlier highs were at 0.6544 as the currency benefited from a stronger yuan and a more positive HK/China equity tone.
• NZD/USD has lagged at the margins, last near 0.6000, up from fresh YTD lows of 0.5986.
• US yields have recovered from earlier lows, likely aiding the USD regaining some ground from earlier lows.
• Looking ahead, we have Fed speak (including Bostic again, along with Goolsbee and Cook) and some US data (new home sales and Dallas Fed Manufacturing). The BoE's Mann also speaks.