Open Market Operations - The central bank announced a 7-day reverse repurchase operation of 331 billion yuan at a fixed rate with an interest rate of 1.40%, with a total bid amount of 331 billion yuan and a successful bid amount of 331 billion yuan. On the same day, 450 billion yuan of reverse repos matured, resulting in a net withdrawal of 119.5 billion yuan [1] Funding Conditions - The interbank market's funding conditions have tightened further, with a decrease in funding supply. The overnight repurchase weighted rate (DR001) rose nearly 28 basis points, surpassing the 1.65% mark. In the overseas market, the latest overnight financing rate in the US is 4.28% [3] Interbank Certificates of Deposit - The latest transaction for one-year interbank certificates of deposit among major banks is around 1.64% [6] Bond Market - The yields on medium to long-term bonds in the interbank market increased by approximately 3 basis points, while government bond futures saw a significant decline, with the 30-year main contract dropping by 0.92% [8][10] Government Bond Futures - Government bond futures closed lower across the board, with the 30-year main contract down 0.92%, the 10-year main contract down 0.29%, the 5-year main contract down 0.21%, and the 2-year main contract down 0.07% [10] Policy Announcements - The National Development and Reform Commission and the State Administration for Market Regulation released a draft for public consultation on the amendment to the Price Law, aiming to clarify standards for unfair pricing behaviors, including low-price dumping and price collusion [11] - The People's Bank of China and the Ministry of Agriculture and Rural Affairs issued opinions to enhance financial services for rural reforms, emphasizing increased financial resource input in key areas of rural revitalization and innovative financing models [11] - Beijing's Development and Reform Commission reported that all 320 major projects in the city commenced in the first half of the year, with investment growth of 14.1%, outpacing the national growth rate of 11.3% [12] Global Macro - The Reserve Bank of Australia's chairman expects core inflation to gradually decline to 2.5%, while the global economy faces uncertainty. Monthly data suggests that core CPI may not meet expectations, prompting a cautious and gradual easing path [14] Bond Market Events - In June, the northbound trading of Bond Connect reached 852.8 billion yuan, and in the first half of the year, securities firms underwrote technology innovation bonds totaling 381.39 billion yuan, a year-on-year increase of 56.48% [16]

Group 1 - The Reserve Bank of Australia (RBA) is adopting a "cautious and gradual" approach to monetary policy easing, as stated by RBA Governor Michele Bullock [1] - Despite a surprising rise in the unemployment rate to 4.3%, other indicators such as job vacancy rates remain stable, suggesting a balanced labor market [1][2] - Financial markets are betting on two more rate cuts this year, with the probability of a third cut dropping from 76% to 40% [2] Group 2 - The RBA has already cut rates twice in the current cycle, bringing the cash rate down to 3.85% [2] - Bullock indicated that the core inflation rate for the second quarter may not reach the RBA's forecast of 2.6% [3] - The expectation is that inflation will gradually decline to 2.5%, but the RBA is awaiting data to support this prediction [4]

Core Viewpoint - The Reserve Bank of Australia (RBA) Chairman Bullock expects core inflation to gradually decline to 2.5% despite ongoing global economic uncertainties and unpredictability [1] Economic Indicators - Monthly data suggests that core Consumer Price Index (CPI) may not meet expectations [1] - A significant drop in CPI alongside only a slight increase in unemployment rate is surprising [1] Monetary Policy - The committee is seeking a cautious and gradual path for monetary easing [1] - The RBA's rate hikes have been smaller compared to other central banks, indicating that extensive rate cuts may not be necessary [1] Labor Market - The labor market remains tight, with expectations of some easing by the end of the year [1] - Leading indicators do not suggest a significant rise in the unemployment rate [1]

Core Viewpoint - The Reserve Bank of Australia (RBA) Governor expects the core inflation rate to gradually decline to 2.5% [1] Group 1 - The RBA maintains its forecast for core inflation despite current economic conditions [1]

Core Viewpoint - The Monetary Authority of Singapore (MAS) is likely to maintain its policy unchanged this month after two rounds of easing in January and April, despite pressures on growth from global trade disruptions [1] Economic Outlook - The second quarter GDP exceeded expectations, and the core inflation rate remains low, providing sufficient pause space for Singapore [1] - The MAS may prioritize retaining policy space before the Trump administration finalizes national and industry tariffs [1] Future Projections - If external adverse factors worsen and inflation remains low, CIMB expects MAS to flatten the nominal effective exchange rate policy band for the Singapore dollar to 0% in October [1]

Group 1 - Japan's core inflation rate decreased from a 29-month high of 3.7% in June to 3.3%, aligning with expectations [1] - Overall inflation in Japan fell from 3.5% in May to 3.3% in June [1] - The "core-core" inflation rate, excluding fresh food and energy prices, increased from 3.3% to 3.4% [1] Group 2 - Rice prices in June rose by 100.2% year-on-year, showing a slight easing compared to May's increase of 101.7%, which was the largest rise in over half a century [1] - The data release coincides with Japan's efforts to address economic growth concerns stemming from tariffs imposed by the Trump administration [1] - Cost of living issues are expected to dominate the upcoming Senate elections in Japan [1]

Core Viewpoint - The Federal Reserve's Collins indicates that tariffs will drive inflation up in the second half of the year, with core inflation expected to remain around 3% by year-end [1] Group 1 - Tariffs are projected to contribute to rising inflation in the latter half of the year [1] - Core inflation rate is anticipated to stabilize at approximately 3% by the end of the year [1]

Group 1 - The U.S. government implemented tariffs on 23 countries, with rates ranging from 20% to 50%, significantly impacting global markets [2] - Canada was unexpectedly hit with a 35% tariff on automotive and lumber industries, marking it as the third country affected after China [2] - The tariffs are expected to lead to price increases for consumer products, including toys from Hasbro, which may face higher costs due to reliance on overseas production [3] Group 2 - The tariffs on Brazilian beef, which accounted for 20% of U.S. beef imports, will result in a 76% increase in import costs, affecting popular American food items [4] - The copper market reacted sharply, with traders rerouting shipments to avoid tariffs, leading to a significant price difference between New York and London markets [5] - The upcoming Consumer Price Index (CPI) report is anticipated to show a core inflation rate potentially rising to 3%, which could influence Federal Reserve actions regarding interest rates [7]

Core Viewpoint - The Bank of Korea has decided to maintain the benchmark interest rate at 2.5%, aligning with market expectations [1]. Group 1: Monetary Policy - In May, the Bank of Korea lowered the interest rate by 25 basis points to support economic growth amid weak domestic demand and uncertainties from U.S. tariffs [4]. - The next rate cut is anticipated to be postponed until October due to rising domestic housing prices and household debt [4]. - The central bank is focusing on financial stability, especially given the risks in the real estate market [4]. Group 2: Inflation and Economic Indicators - The inflation rate in June was reported at 2.2%, slightly above the expected 2.1%, with core inflation remaining stable at 2.0% for the second consecutive month [4]. - The growth in the Consumer Price Index (CPI) in June was primarily influenced by base effects, and a slowdown in CPI growth is expected in July if oil prices and foreign exchange trends remain stable [4]. Group 3: Market Reactions - Following the announcement to maintain the interest rate, the exchange rate of the U.S. dollar against the South Korean won showed little change [5]. - The KOSPI index experienced fluctuations, rising nearly 1% at one point [6].

Group 1 - The core inflation rate in Australia has only remained within the target range for one quarter [1]