USD Ticks Higher Amid Lower US Equity Futures, Aust Monthly CPI Coming Up

The USD BBDXY index has ticked higher in early Wednesday Asia Pac dealings. The index last above 1226. The bias for the majors is lower against the USD, but aggregate moves are modest at this stage.

• In the cross asset space, US equity futures are down modestly in the first part of trade, led by Nasdaq futures. We are off around 0.35% at this stage. Markets are awaiting Nvidia earning results, due late in the US Wednesday time (so early Asia Pac time on Thursday). US yields are relatively steady in the first part of dealing.
• USD/JPY was biased lower in early trade, but found support sub 143.70. The pair was last around 144.10, slightly weaker in yen terms versus end Tuesday levels.
• NZD/USD is off slightly, close to 0.6250 in recent dealings. This follows outperformance through Tuesday trade, where the pair reached fresh highs back to January. Earlier data showed filled jobs fell further in July, with the y/y pace in negative territory.
• AUD/USD is relatively steady, last near 0.6795, unable to test above 0.6800. The AUD/NZD was bias lower yesterday. We sit just above recent lows, last near 1.0870.
• Coming up soon we have the Australian monthly July CPI print. The market expects a 3.4% y/y outcome, versus 3.8% prior (although this won't include any service price updates). The prior trimmed mean print was 4.1% y/y.
• We also have Q2 Australian construction work due, which prints at the same time.