How is the bond market sell-off impacting the FX market ahead of next week’s BoJ & Fed policy upd... | 11 Sept 2026 | MUFG EMEA

1. Executive Briefing (TL;DR)

• Top Key Takeaways:

  • US CPI Heating Up: US August CPI printed at +0.3% MoM (exceeding Nomura’s 0.22% forecast), with elevated PPI and PCE components accelerating core PCE inflation and clearing the runway for Fed rate hikes [02:16].
  • ECB Reaches Top of Neutral Range: The ECB delivered a 25 bps rate hike to hit the upper bound of its estimated neutral range (1.75%–2.50%), alongside upward revisions to GDP and HICP inflation through 2028 [].