The dominant overnight macro driver was the convergence of BoJ policy repricing and US Fed dovish signalling, with the USD/JPY shedding nearly 2% to 155.76 — the pair's biggest two-day move since the early-August intervention episode — as markets priced a 75–99% probability of a BoJ rate hike at the September 17–18 meeting following hawkish remarks from Governor Ueda and board member Takata. On the US side, Fed Governor Waller's patient tone on further hikes pulled implied September hike odds back to ~50% from ~63%, contributing to a broad risk-on session: the S&P 500 added 1.06% to 7,747.71, the Nasdaq gained 1.40% to 26,584.06, and the VIX fell 5.79% to 14.32. US 10-year yields held at 4.79% with the 30-year at 5.27%, levels that continue to price a structurally higher-for-longer rate environment even as near-term hike bets softened. Brent crude held at $95.80/bbl and WTI at $91.76/bbl, elevated by US-Iran geopolitical escalation, with partial relief only after President Trump downplayed the prospect of prolonged conflict. Gold surged 3.49% to $4,518.60/oz as safe-haven demand combined with a softer dollar, while palladium led the precious metals complex with a 6.60% gain to $1,435.50/oz.

For Asia-Pacific investors, the yen move is the single sharpest cross-asset transmission mechanism this morning: a stronger JPY at 155.76 compresses margins for Japan's export-heavy sectors — the TOPIX Autos & Transport sector fell 3.60% and Electrical Equipment dropped 3.80% in Thursday's session, with the Nikkei 225 itself declining 2.85% to 64,325.64, while the TOPIX managed a modest 0.59% gain, reflecting the divergence between export-exposed large-caps and domestic-oriented names. In Korea, the KOSPI shed 3.99% to 6,562.72, partly reflecting chip sector volatility and the regional rate repricing, while the TWSE fell 1.67% to 46,164.72 under pressure from the same semiconductor rotation. The CNY firmed modestly with USD/CNY at 6.7097 (-0.14%), consistent with PBOC management near multi-year yuan highs. The ASX 200 declined 0.97% to 8,978.4, with the Materials sector the second-worst performer (−3.08%) as iron ore at $97.72/t fell 1.62%, even as energy and precious metals provided partial offsets. The cross-asset pressure is most concentrated in rate-sensitive, export-leveraged and commodity-processing names across Tokyo, Seoul, and Sydney.