Japan GDP Beats Estimates

The greenback is slightly higher in early trade after finishing the day with losses on Friday, there were some comments from Fed's Kashkari earlier, the known dove said wants 'few more' strong job reports before taper. The fall of Afghanistan to insurgents doesn't appear to be negatively impacting risk sentiment so far.

• AUD/USD is down 4 pips. There is a distinct lack of local calendar risk on Monday, which will leave the local COVID situation (with another record number of daily cases outlined in Sydney on Saturday, resulting in tighter restrictions/monitoring).
• NZD/USD is down 4 pips, data earlier showed New Zealand July performance of services index at 57.9 from 58.4. Elsewhere, the RBNZ shadow board called for tightening at the August meeting.
• USD/JPY is down 7 pips. Data showed Q2 GDP rose 0.1% compared to forecasts of a 0.3% decline. The local press suggest that the Japanese government will start to consider the expansion of its state of emergency at some point this week.
• Offshore yuan is slightly weaker, markets await the monthly economic indicator data dump later in the session. Elsewhere there were reports in state media that the PBOC could boost liquidity injections via OMOs this week.
• Looking ahead highlights on Monday will be the monthly Chinese economic activity indicators while further afield the RBNZ will hold the August meeting this week.