Nikkei futures were indicated 2% lower at 63,260 versus Friday cash close of 64,011.34, Reuters reported from Sydney as Tokyo session approached. Friday Nikkei finished at 64,011.34, down 1.93%, and the Kospi closed at 6,909.91, down 1.76%. Those Friday boards are the last cash prints. This note does not treat futures as Monday close.
The same Reuters stamp put Brent at $107.84, up 3.1%, and West Texas Intermediate at $102.85, up 2.8%. Nasdaq futures were 1.0% lower and S&P 500 futures 0.5% lower. Monday is the first Asia cash session to price weekend warnings that Saudi Yanbu export stocks could run 5 to 7 days if the East-West pipeline stays shut, plus Sunday reports of a Hormuz vessel strike.
Reuters put the chance of a 25 basis-point Fed hike this week near 86% after Friday CPI, and implied about a 76% chance the Bank of Japan raises to 1.25% later in the week. Those odds are wire stamps, not a decided outcome. U.S. cash markets are closed Sunday.
Sources: Reuters Sydney Sept 14 dateline (Wayne Cole; Nikkei futures 63,260, down 2%; Brent $107.84; WTI $102.85; Fed hike odds near 86%; Bank of Japan hike odds near 76% to 1.25%); Yonhap Infomax (Friday Nikkei 64,011.34, down 1.93%); Seoul Economic Daily (Friday Kospi 6,909.91, down 1.76%); Reuters Sept 13 Yanbu pipeline wrap (5 to 7 day export-stock clock; context only); Reuters Sept 13 Hormuz shipping wrap (Sunday vessel-strike reports; context only).
