Looking Ahead in Asia

Asian central bank decisions are in the spotlight this week as policymakers debate the best course of action amid expectations of a looming U.S. interest rate hike in September.

The Bank of Japan (BOJ), Reserve Bank of India (RBI), Reserve Bank of Australia (RBA) and Bank of Thailand (BOT) are all due out with monetary reviews.

On the economic calendar, the key risk event is the final China Caixin/Markit purchasing managers’ index (PMI) for July due on Monday. Figures released over the weekend showed the official July PMI coming in at 50, below a Reuters’ forecast of 50.2. Meanwhile, a preliminary Caixin/Markit survey showed the index fell to 48.2 in July as activity at smaller factories contracted by the most in 15 months.