Once more the leading vehicle this afternoon is the ever volatile Shanghai Composite. The composite is currently down 3.3%, with rumors of a possibility that a Chinese bank needs to raise capital to meet changes to capital adequacy requirements being mulled by banking authorities. Also lower than expected profits from Chinese commodity companies. Jiangxi Copper Co. sank 5% in Shanghai after posting a 61% decline in H1 net income.
This negative impact on the Composite should keep the pressure on Yen crosses this afternoon.