Core Insights - The foreign exchange market in China has maintained a stable operation despite increased volatility in international financial markets and a rising US dollar index [2] Group 1: Bank Settlement and Foreign Exchange Data - In October 2025, banks in China settled foreign exchange transactions amounting to 15,194 billion RMB and sold 13,940 billion RMB [1] - From January to October 2025, cumulative bank settlements reached 147,941 billion RMB, while cumulative sales totaled 142,201 billion RMB [1] - In USD terms, October 2025 bank settlements were 2,142 billion USD, with cumulative settlements from January to October at 20,675 billion USD [1] Group 2: Cross-Border Fund Flows - In October 2025, banks recorded foreign income of 44,207 billion RMB and foreign payments of 40,579 billion RMB [1] - Cumulative foreign income from January to October 2025 was 464,836 billion RMB, while cumulative payments were 452,607 billion RMB [1] - In USD, October 2025 foreign income was 6,231 billion USD, with cumulative income from January to October at 64,936 billion USD [1] Group 3: Market Stability and Trends - The foreign exchange market supply and demand remained fundamentally balanced, with a surplus of 177 billion USD in bank settlements in October [2] - Cross-border capital flows showed stability, with a monthly average surplus of 240 billion USD over the two months [2] - Seasonal factors led to a slight net outflow in September, but October saw an increase in net inflows, indicating resilience in the foreign exchange market [2]

Domestic News - The Ministry of Finance reported that from January to October 2025, the national general public budget revenue reached 186,490 billion yuan, a year-on-year increase of 0.8%, while expenditures totaled 225,825 billion yuan, up 2% year-on-year. Government fund budget revenue was 34,473 billion yuan, down 2.8%, and expenditures were 80,892 billion yuan, up 15.4% year-on-year [1][2] - The State Administration of Foreign Exchange announced that in October 2025, banks settled foreign exchange amounting to 15,194 billion yuan and sold 13,940 billion yuan. Cumulatively, from January to October 2025, banks settled 147,941 billion yuan and sold 142,201 billion yuan [1][2] - The People's Bank of China Shanghai Headquarters reported that as of the end of October 2025, foreign institutions held 37,300 billion yuan in interbank market bonds, accounting for approximately 2.2% of the total custody in the interbank bond market [2] International News - The U.S. and European Space Agencies launched a new generation ocean monitoring satellite, "Sentinel-6B," which will operate at an altitude of over 1,300 kilometers and collect data on sea level rise and its impacts for approximately 5.5 years [4][5] - Morgan Stanley strategists predict a rebound in U.S. Treasury bonds in the first half of 2026, with the Federal Reserve potentially implementing a 50 basis point rate cut, which could lower the 10-year Treasury yield to 3.75% by mid-2026 [5] - The European Central Bank's Vice President highlighted ongoing high threats to financial stability in the Eurozone, indicating potential deterioration in credit quality within the banking sector [5]