Macroeconomic Overview - The US employment data slowdown continues to support interest rate cut expectations, with the Fed Watch indicating a 100% probability of a rate cut in September[5] - The US job openings fell from a revised 7.36 million in June to 7.18 million in July, marking a 10-month low and below the expected 7.38 million[5] - The US non-farm payrolls increased by only 22,000 in August, significantly lower than the market expectation of 75,000[5] Market Performance - The Shanghai Composite Index decreased by 0.81%, while the Shenzhen Component Index fell by 0.83%[5] - The market experienced a volume decline, with the average trading volume dropping to 26,032 million yuan, a decrease of 3,799 million yuan week-on-week[5] - The volatility index for the CSI 300 ETF adjusted to 19.99%, falling below 20%, indicating that short-term adjustment pressures have been digested[5] Fixed Income Insights - The bond market saw overall yields initially decline before rising again, reflecting a lack of strong buying interest following significant stock market declines[5] - The 10-year government bond yield is expected to be attractive if it rises to 1.8%-1.9%, but the market remains cautious due to liquidity concerns and weak fundamentals[5] International Market Trends - US stock markets declined, US Treasury yields fell, and the US dollar depreciated, while gold prices increased amid concerns over policy uncertainty and economic slowdown[5] - The unemployment rate in the US rose to 4.3%, the highest since 2021, indicating a deteriorating labor market[5] - The probabilities for a 25 basis point rate cut stand at 88.2%, while a 50 basis point cut is at 11.7% according to Fed Watch[5]