Rates & FX Watch: Fed Governor Christopher Waller signaled openness to a September hold if inflation cools, easing US Treasury yields and lifting risk appetite; the yen also strengthened as markets raised Bank of Japan rate-hike bets while traders stayed alert to possible intervention. Japan Bond Turmoil: Japan’s 10-year yield briefly topped 3% for the first time in 30 years, spooking investors and leaving even “value” buyers cautious amid fiscal concerns. Retail Labor Crunch: FamilyMart is rolling out hybrid checkout terminals that switch between self-service and staffed modes, aiming to cut checkout workload about 20% as roughly 30% of franchisees report staff shortages. AI for Infrastructure: Japan’s airports are partnering with Sumitomo Corp. to build an AI inspection system to detect runway and guidance-light faults, targeting up to 50% less staff time on inspections. Competition & Energy Costs: Five oil distributors admitted forming a diesel price cartel in a Tokyo trial, while METI doubled subsidies for domestic aviation fuel (to 80% of the prior level) and ended support for international flights. Business Finance: Keppel DC REIT’s $625m secondary placement will fund two Greater Tokyo data centers, pushing 2026 fundraising past $4b. Japan Economy Pulse: Japan’s services PMI hit a five-month high (52.5), with activity and new orders improving, though export orders fell sharply. Tech & Startups: Nvidia-backed Enactic is pushing physical AI with a public, open-development approach, and Kioxia outlined plans to use enhanced NAND to capture more AI demand.