Group 1 - French Agricultural Credit Bank analysts indicate that Japan's corporate capital expenditure is expected to become cautious due to U.S. tariffs and concerns over global economic slowdown, potentially leading to a quarter-on-quarter contraction in Japan's economy in Q3 2025 [2] - Barclays Bank reports a surge in European high-yield bond issuance driven by refinancing needs and increased dividend payments, with issuance surpassing €80 billion since 2025, marking the second-highest level for the period [2] - ING analysts suggest that if geopolitical risks ease, the dollar may face downward pressure due to reduced safe-haven demand, while strong U.S. inflation data has led to a reassessment of Federal Reserve rate cut expectations, supporting the dollar [3] Group 2 - Analysts believe the Bank of England may maintain a cautious interest rate stance for the remainder of 2025, with expectations to pause rate cuts in September and December, providing key support for the pound [4]

Core Viewpoint - Japanese companies are expected to be more cautious about capital expenditures due to the impact of US tariffs and concerns over a global economic slowdown, potentially leading to a contraction in the Japanese economy in the third quarter [1] Economic Outlook - Analysts predict that the Bank of Japan may raise interest rates as early as January 2026, contingent on the belief that the global economy will not decline and that economic policies will be effective enough to restore real GDP to positive growth starting in the fourth quarter [1] Consumer Behavior - The extreme heat during the summer may cause hesitation among consumers to go out, which could limit the recovery of consumer spending [1]