The latest Market Talks covering FX and Fixed Income. Published exclusively on Dow Jones Newswires throughout the day.

0544 GMT - U.S. Treasury yields rise marginally ahead of Federal Reserve Chairman Kevin Warsh's keynote speech at the Jackson Hole meet Friday. Bond investors are keen to hear Warsh's view on the fight against inflation and whether the recent softer data is enough for the Fed to stay on hold in September, SEB's Johan Javeus says in a note. Further, investors would like to hear his thoughts on the Fed's ability and willingness to help Treasury Secretary Scott Bessent in the fight to keep long-term interest rates down, as well as on possible changes in how the Fed will communicate with the market going forward, the senior economist says. The 10-year Treasury yield is up 0.8 basis point at 4.679%, according to Tradeweb. (emese.bartha@wsj.com)

0543 GMT - Floating unconventional policy ideas aren't good for market sentiment, according to Chris Iggo, chair of AXA IM Investment Institute and CIO Core at BNP Paribas Asset Management. "It makes investors question what the motivation is," he says in a note. Given the U.S. midterm elections are just over two months away, "some may conclude the key motivation is political," Iggo says. The U.S. Treasury last week announced doubling volumes at its buyback operations of long-dated securities, and there has been talk of using the Treasury's General Account to fund these buybacks. (emese.bartha@wsj.com)

0539 GMT - Based on August inflation results for Tokyo, nationwide consumer prices excluding fresh food are estimated to rise around 1.7% from a year earlier, says Okasan Securities economist Ko Nakayama. The figure for Tokyo was +1.8%, vs. July's +1.7%, Friday's data showed. Tokyo data, released three weeks ahead of nationwide prints, are considered a leading indicator to gauge broader trends. While government subsidies pushed down energy costs in Tokyo, growth in services prices picked up to 1.4% in August from 1.2%. Policymakers and economists see services inflation as a key factor in gauging corporate price-setting behavior, as it tends to reflect hiring costs.(megumi.fujikawa@wsj.com)

0528 GMT - A soft July U.S. payroll report could support the ringgit toward 4.020 a dollar, while stronger data or an unclear message from Fed chair Kevin Warsh could push the dollar toward 4.050 ringgit, according to Kenanga economists. Warsh's Jackson Hole speech Friday will be the immediate catalyst, while payrolls will shape expectations for the September Fed meeting, they say in a note. Markets will also monitor U.S.-Iran developments, particularly efforts to reopen the Strait of Hormuz, they write. Bank Negara Malaysia is expected to hold the policy rate at 2.75%, leaving the ringgit to be driven by global rates and dollar positioning. Kenanga expects the Fed to hold in September, with its first cut expected in 2Q 2027. Kenanga expects the dollar to face resistance at 4.039 ringgit, with support at 4.022 ringgit. The dollar is 0.1% lower at 4.0297 ringgit. (yingxian.wong@wsj.com)

0521 GMT - A bond buyback doesn't retire debt and so doesn't solve the structural problems that have been driving yields up, CIFC Asset Management's Natalia Lojevsky says in a note. "Treasury buys back bonds and funds it by issuing something shorter. That is a maturity swap, not deleveraging," the managing director says. With that, Treasury is treating a supply problem as a liquidity problem, she says. The long end of the Treasury curve is being pressured by simultaneous claims on the same finite pool of duration buyers: the Treasury, the AI capex cycle and the absence of the biggest and most price-insensitive buyer from the market, the Federal Reserve, and to some degree other reliable central bank buyers like Japan, China and the Gulf states, she says. (emese.bartha@wsj.com)

0518 GMT - The annual gathering of central bankers at Jackson Hole has, at times, been the stage for major shifts in Fed policy guidance, says Ipek Ozkardeskaya, strategist at Swissquote. It will be Kevin Warsh's first as Fed chairman, at a time when inflation remains stubbornly above target and long-term yields have been under pressure, she says. Investors are questioning how the Fed will respond to Treasury's intervention in the bond market, which could interfere with the Fed's policy path. Warsh must say something, and what he says--or doesn't say--will probably move the market, potentially in a considerable way, she adds.(james.glynn@wsj.com; X @JamesGlynnWSJ)

0515 GMT - Schroders remains tactically positive on government bonds, with higher real yields creating more attractive valuations, it says in a note. The backdrop to this view is its confidence that central banks will be able to tackle inflation. "We retain confidence in central banks' ability to navigate policy appropriately and see duration as a useful complement to our pro-cyclical positioning." (emese.bartha@wsj.com)

0515 GMT - Steeper government bond yield curve are likely to be a durable feature of the rates landscape, Goldman Sachs analysts say in a note. "Despite mild spot inflation news, ongoing energy volatility and the AI borrowing boom are keeping G-10 bonds under pressure, especially at the long end of the curve," they say. The analysts anticipate that the inflation and fiscal drivers of higher term premium--additional yield that investors seek to buy a longer-dated bond rather than a shorter-dated one--will prove persistent. "We think high and sticky term premium can coexist with lower rates volatility," they say. (emese.bartha@wsj.com)

0510 GMT - The current Jackson Hole symposium is "one of the more meaningful" gatherings in some time, Catalyst Funds' Larry Holzenthaler says in a note. The senior portfolio manager attributes this to an "interesting storyline." Inflation is still running above the Federal Reserve's target, deficits are becoming a renewed focus, while the market fears that new Fed Chairman Kevin Warsh is biased toward lowering rates, the portfolio manager says. In addition, there has been "quite a high" dissent rate at the Fed recently, and Warsh's last comments weren't well received by the market, he says. (emese.bartha@wsj.com)

0508 GMT - The U.S. Treasury's decision last week to double long-end bond buybacks to at least $4 billion from $2 billion is an attempt to engineer lower long-dated yields, Impax Asset Management's Ross Pamphilon says, questioning whether it is necessary. "The 30-year reached a 19-year high above 5.30% last week, but a high yield is not the same thing as a broken market, and we do not see a liquidity problem that warrants intervention," the fixed income CIO says in a note. "The buybacks are also a drop in the ocean relative to $40 trillion of total public debt," he says, adding that the buybacks don't create duration buyers and may prove to be temporary band-aids.