• The dollar slipped against the yen on Wednesday, pushing back towards last week’s 4-1/2-month low on worries over North Korea’s nuclear ambitions and on comments from a Federal Reserve official about subdued U.S. inflation.
The dollar slipped 0.3 percent against the yen, which tends to be bought at times of low market appetite for risk. At 108.54 yen JPY=, that left the greenback close to last week's 4-1/2-month low of 108.265.
• The Federal Reserve is getting more dovish in the face of weak inflation data, reducing the likelihood of a third rate hike this year, which traders already see as very unlikely.
Sanctions against North Korea should be the "first resort," with the military option on the table, former ambassador Nancy Soderberg told CNBC on Tuesday.
"Let the sanctions bite, see if you can really make the North Koreans feel the squeeze and start trying to deny the funds that enable him to build these weapons," Soderberg said, referring to North Korean leader Kim Jong Un.
"We want to step back from the brink."
• The European Central Bank (ECB) is likely to hold off on making any announcements on its stimulus program when it meets this week, instead opting to push new developments to October in the face of a strong euro.
President Mario Draghi said at the last ECB press conference that the Governing Council would discuss the future of its QE (quantitative easing) program in "the fall" - prompting many to speculate that he could detail a reduction of stimulus in September.
However, with the fall technically only starting only at the end of September, these market participants may have gotten ahead of themselves.
• "The stronger euro could lead to such a heated debate that the ECB could postpone fall until the Indian summer period in late October," said Carsten Brzeski, chief economist for Germany and Austria at ING Diba, in a research note.
"Either way, the big question for this week's meeting is whether Draghi will shed some light on the ECB's game plan for tapering," he added.
• Brexit could be reversed if economic pain prompts a change in public opinion that brings a new generation of political leaders to power in Britain, former Conservative minister Michael Heseltine said.
• Japan’s economy likely grew at a slower pace than initially estimated in the second quarter, on expected downward revisions in capital spending growth, a Reuters poll showed on Wednesday.
• Oil prices slipped on Wednesday as crude demand remained subdued due to the refinery closures that followed after Hurricane Harvey hit the U.S. Gulf coast 10 days ago.
U.S. West Texas Intermediate (WTI) crude futures were at $48.58 barrel at 0528 GMT, 8 cents, or 0.2 percent, below their last settlement.
In international oil markets, Brent crude futures dipped 19 cents, or 0.4 percent, to $53.19 a barrel.
Reference: Reuters, CNBC
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