“The containment of price pressures gives the PBOC room to remain accommodative,” said China economist Erin Xin. Shin added that the central bank is likely to further ease the use of structural tools such as “additional re-lending quotas for focus sectors such as manufacturing and green investment”. — Jihye Li
China’s consumer price index rose 2.5% in August, no estimates
China’s consumer price index rose 2.5 percent year-on-year in August, down from a 2.7 percent reading in July, according to data from the National Bureau of Statistics, missing a Reuters poll forecast of 2.8 percent . Producer prices rose 2.3% for the month, also slower than July’s 4.2% rise and missing estimates of 3.1%. A Nomura report earlier this week said 12% of China’s total GDP was affected by Covid controls on a weighted basis — up from 5.3% last week. — Jihye Li
The worst is not over for the Japanese yen, says the analyst
The Japanese yen’s devaluation is one of the “tightest” and “easiest” moves to explain because it’s “based on real fundamentals,” Monex Group director Jesper Koll told CNBC, adding that it could fall further. the next months. It’s the most “textbook-driven currency move I’ve seen in the last 30 years,” he said. Koll pointed to the interest rate differential between the US and Japan as one of the “strong forces” that will move the yen, adding that the likelihood of the Bank of Japan raising rates is “close to zero”. Read the full story here. —Sharmine Jacob
CNBC Pro: Uranium is ‘on a tear’ right now. Here are two ETFs to play it
One niche area of the commodity market – uranium – was a bright spot last month, outperforming even the broader energy sector. Two ETFs have rallied in recent weeks as the West tries to reduce its dependence on Russian energy. Professional subscribers can read more here. — Weizhen Tan
Bilibili sinks 16% at the open after reporting Q2 losses
Hong Kong-listed shares of Chinese video and gaming company Bilibili plunged more than 16% in the open after it reported a second-quarter profit miss overnight. The company reported a net loss of more than $300 million — nearly double the amount of loss reported for the same period a year ago. However, Citi Research’s vice president of China internet and media Brian Gong was optimistic and said regulatory concerns about the country’s gaming industry are easing. Pointing to the government’s resumption of gaming licenses, Gong said that “although the number is lower than expected, it shows that the environment is improving,” he told CNBC’s “Squawk Box Asia,” adding that “the worst are behind us”. — Jihye Li
CNBC Pro: Citi just upgraded eight Chinese stocks
“China’s economic recovery appears to be slower than market expectations,” Citi stock analysts said in a Sept. 2 report. They downgraded 12 Chinese stocks — but upgraded eight. Here are three stocks from the updated list of top Chinese stocks in Hong Kong and mainland Chinese stocks. Professional subscribers can read more here. — Evelyn Cheng
US stock futures open low
U.S. stock futures opened little changed after a volatile session in the major averages, as Wall Street weighed the pace of future rate hikes. Dow Jones Industrial Average futures rose 23 points, or 0.07%. S&P 500 and Nasdaq 100 futures rose 0.08% and 0.13%, respectively. — Sarah Minn
