Currency Intervention - India's central bank sold at least $5 billion to support the rupee [1] - The intervention occurred as the rupee weakened towards a record low [1] Context - The action was taken this month [1]

Core Viewpoint - The President of the St. Louis Federal Reserve, Alberto Musalem, supports the Federal Reserve's decision to maintain interest rates last week, indicating that the central bank's inflation targets have not yet been met [1] Summary by Relevant Categories Federal Reserve Decision - The Federal Reserve decided to keep interest rates unchanged last week [1] - This decision reflects the ongoing challenges in achieving inflation targets [1] Inflation Targets - The current inflation goals set by the Federal Reserve have not been realized [1]

Group 1 - The Hong Kong Monetary Authority sold 450 million USD (buying 3.533 billion HKD) on August 1 to defend the linked exchange rate system as the Hong Kong dollar reached the weak end of the peg [1] - The banking system's aggregate balance is expected to decrease to 79.02 billion HKD by August 5 [1]

Group 1 - The Hong Kong Monetary Authority reported an investment income of 194.4 billion HKD for the first half of 2025 [1] - As of June 30, 2025, the total assets of the Hong Kong foreign exchange fund reached 4,297.1 billion HKD, an increase of 137.7 billion HKD from the previous month [3] - The cumulative surplus of the foreign exchange fund stands at 877.9 billion HKD [1] Group 2 - The HKMA's CEO noted that progress in tariff negotiations between the US and major economies has stabilized investor confidence and led to a recovery in global stock markets [3] - The bond market benefited from the Federal Reserve maintaining its monetary policy targets, resulting in high yields for dollar-denominated bonds held by the foreign exchange fund [3] - The depreciation of the US dollar against major currencies in the first half of the year contributed to significant foreign exchange valuation adjustments for the fund's assets [3] Group 3 - The HKMA acknowledged a 0.9% month-on-month increase in total deposits from recognized institutions in June, with a 0.9% decrease in HKD deposits and a 2.4% increase in foreign currency deposits [3] - The investment environment for the second half of the year remains uncertain due to unpredictable US government trade policies and potential geopolitical tensions [3] - The HKMA will continue to adhere to a "capital preservation first, long-term value enhancement" principle and make appropriate defensive arrangements [3]

香港金管局维持基本 利率在4.75%不变。 ...

Group 1 - The Hong Kong Monetary Authority has maintained the base interest rate at 4.75% [1] - The Federal Reserve has decided to keep its rates unchanged [1]

Summary of Federal Reserve System Update / Briefing July 30, 2025 Key Points on the Federal Reserve and Economic Conditions Economic Overview - The economy is in a solid position with a low unemployment rate and maximum employment achieved [1][4] - GDP growth moderated to 1.2% in the first half of the year, down from 2.5% last year, with a stronger second quarter growth of 3% [2][3] - Consumer spending has slowed, while business investment in equipment and intangibles has increased [3][4] - The housing sector remains weak, and payroll job gains averaged 150,000 per month over the past three months [3][4] Inflation Insights - Inflation is running above the 2% target, with total PCE prices rising 2.5% over the past year and core PCE prices rising 2.7% [5][4] - Services inflation has eased, but increased tariffs are contributing to higher prices in some goods categories [5][6] - The Fed is focused on keeping longer-term inflation expectations anchored while managing potential inflation risks [7][6] Monetary Policy Decisions - The Federal Open Market Committee decided to maintain the federal funds rate at 4.5% [2][6] - The current monetary policy is viewed as modestly restrictive, appropriate for the current economic conditions [11][12] - The Fed is awaiting more data on employment and inflation before making decisions on potential rate cuts [12][13] Labor Market Dynamics - The labor market remains solid, with the unemployment rate at 4.1% and wage growth moderating but still outpacing inflation [4][21] - There are downside risks to the labor market, with job creation slowing and the supply of workers also declining [20][81] - The Fed is closely monitoring the balance of risks in the labor market and the overall economy [8][81] Future Considerations - The Fed is in a wait-and-see mode regarding the impact of tariffs on inflation and the broader economy [31][36] - Discussions are ongoing about potential revisions to the monetary policy framework, with a focus on balancing maximum employment and price stability [9][84] - The Fed emphasizes the importance of data in guiding future monetary policy decisions, particularly regarding inflation and employment [63][94] Additional Insights - The Fed does not consider the fiscal needs of the government when making monetary policy decisions, focusing instead on its dual mandate [40][41] - The independence of the Fed is highlighted as crucial for making data-driven decisions without political influence [73][74] - The Fed is monitoring the evolving economic landscape, including consumer spending trends and the effects of tariffs on inflation [76][78]

加拿大央行行长麦克勒姆：核心通胀率高企促使央行暂停降息。 ...

韩国央行会议纪要：一名委员表示，货币政策决策必须谨慎，尽管维持宽松政策立场是适当的。 ...

Summary of the European Central Bank Update / Briefing July 24, 2025 Industry Overview - The briefing pertains to the European Central Bank (ECB) and its monetary policy decisions in the context of the Eurozone economy. Key Points and Arguments 1. **Interest Rates Unchanged**: The ECB decided to keep the three key interest rates unchanged, maintaining a focus on stabilizing inflation at the 2% medium-term target [2][16][75]. 2. **Current Inflation Status**: Inflation is currently at 2%, aligning with the ECB's target, with domestic pressures easing as wage growth slows [2][7][8]. 3. **Economic Resilience**: The Eurozone economy has shown resilience despite global challenges, supported by strong private consumption and investment, although firms are hesitant to invest due to geopolitical uncertainties and trade disputes [3][5][6][31]. 4. **Unemployment Rate**: The unemployment rate stood at 6.3% in May, close to its lowest since the euro's introduction, indicating a robust labor market [6]. 5. **Inflation Dynamics**: Annual inflation was reported at 2% in June, with energy prices rising but still lower than the previous year. Food price inflation eased to 3.1% [7][8]. 6. **Wage Growth Trends**: Year-on-year growth in compensation per employee slowed to 3.8% in Q1, down from 4.1% in the previous quarter, indicating moderating labor costs [8][30]. 7. **Risks to Economic Growth**: Risks remain tilted to the downside, including global trade tensions, geopolitical conflicts, and potential financial market sentiment deterioration [11][12][39]. 8. **Monetary Policy Approach**: The ECB will adopt a data-dependent approach, assessing inflation outlooks and risks on a meeting-by-meeting basis without pre-committing to a specific rate path [4][16][75]. 9. **Credit Conditions**: Easier financing conditions are supporting domestic demand, with the average interest rate on new loans to firms declining to 3.7% in May [14][15]. 10. **Future Projections**: The ECB anticipates that if trade and geopolitical tensions are resolved swiftly, it could improve sentiment and spur economic activity [11][12][55]. Additional Important Content 1. **Digital Euro Development**: The ECB is focused on developing a digital euro to respond to evolving payment preferences, emphasizing the importance of maintaining currency issuance protection [51][66]. 2. **Market Reactions**: The ECB acknowledges market expectations for potential rate cuts but emphasizes that decisions will be based on data and economic developments [72][75]. 3. **Liquidity in the System**: Despite a reduction in liquidity due to various factors, the ECB maintains that there is still ample liquidity in the system, exceeding €2 trillion [60][61]. 4. **Trade Negotiations Impact**: The ECB is closely monitoring ongoing trade negotiations, indicating that resolution of uncertainties could significantly influence economic behavior and decision-making [20][24][49][55]. This summary encapsulates the key insights from the ECB's briefing, highlighting the current economic landscape, monetary policy stance, and future outlook for the Eurozone.