Tuesday, September 01, 2026 — JGB 10s hit 3%, highest in 30 years, yen pinned near 160 on BoJ hike bets; India Q1 GDP surprises at 7.8% despite Iran war; US-Iran restart military attacks lift longer T

Japan 10-year JGB yield hits 3% for the first time in 30 years. That’s a global cost-of-capital shock, not just Tokyo. Watch Japanese stocks grind as higher rates bite. Yen near 160 while BoJ hike bets build is the tension. Weak yen fuels imported inflation, but rising JGB yields tighten financial conditions. Exporters vs banks is the trade. Longer-dated US Treasuries climbing as Iran and US restart military attacks. Oil risk premium is back and it’s the macro overhang for Asia. Good for energy, bad for oil importers like India. India’s GDP surprise 7.8% is strong, but it’s already political—Modi hits Rahul after the print. Market read: mid/smallcaps likely outperform, Nifty seen range-bound in September. Baidu’s Hong Kong listing upgrade puts Stock Connect in reach. If southbound access opens, that’s a liquidity rerating for BIDU HK. Watch index inclusion flows. LG Energy Solution locks a W2tr lithium carbonate deal with a US supplier. De-risks battery input costs and supports US IRA

Japan 10-year JGB yield hits 3% for the first time in 30 years. That’s a global cost-of-capital shock, not just Tokyo. Watch Japanese stocks grind as higher rates bite.