DXY & Forex

The US Treasury market is sending conflicting signals about the Federal Reserve's future monetary policy path. The 2-year Treasury yield currently trades at 4.17%, approximately 50 basis points above the effective federal funds rate, suggesting potential further tightening, while breakeven

According to Franklin Templeton, on July 6, the U.S. Treasury market displayed conflicting signals about the Federal Reserve's future policy path. The 2-year Treasury yield stood at 4.17%, approximately 50 basis points above the effective federal funds rate, signaling market expectations of

According to Yonhapinfomax, WTI crude oil futures fell below $70 per barrel following the US-Iran ceasefire memorandum signed in mid-June, down from nearly $120 in late February. Brent oil similarly dropped to $70, approaching pre-war levels. Market expectations for Fed rate increases have

According to remarks by PBoC Governor Pan Gongsheng on July 7, China's central bank will support Hong Kong in launching offshore renminbi government bond futures and building a comprehensive financial trading platform. The People's Bank of China announced it will support Hong Kong in introducing

According to Jin10, China's central bank governor Pan Gongsheng stated on July 7 at the Hong Kong Fixed Income and Currency Summit that the country's foreign exchange reserves will continue to increase the proportion of asset allocation in Hong Kong to boost development of the city's capital

According to Yonhapinfomax, Seoul's USD-KRW spot exchange rate (MAR) quoted at plus 0.10 won in early trading on July 7. Multiple brokers quoted rates ranging from plus 0.05 to plus 0.10 won. The NDF (non-deliverable forwards) fixing position remained square, indicating neutral positioning ahead

Neuberger Berman Chief Investment Officer Ashok Bhatia forecasts the Federal Reserve will maintain rates frozen rather than hiking or cutting, describing this as a 40% probability baseline scenario in a report released on the 6th (local time). The forecast stems from expectations of US

According to Japan's Ministry of Internal Affairs and Communications, real household spending in May fell 0.4% year-on-year to 320,345 yen per household, marking the sixth consecutive month of decline since December 2024. The decline was smaller than market expectations of a 2.5% drop. Month-on-mon

According to Jin10 Data, Japan's Finance Minister Shigeru Shioji dismissed reports on July 7 that the government of Prime Minister Sanae Takaiichi is attempting to steer interest rates lower, calling the media reports "completely inaccurate." "Reports that the government will encourage low interest

Mirae Asset Securities announced rate cuts on June 6 to reduce customer financing costs amid market volatility. The announcement comes as South Korea's Board of Audit and Inspection conducts inspections on financial regulators' investor protection practices, with loan rate adequacy listed as a key a

According to Kai-Piu Macro economist Abhijit Surya, Japan's labor cash income growth slowed to 3.2% in May from 3.6% in April, but this is unlikely to prevent further Bank of Japan rate hikes. Despite the recent moderation, Surya noted that basic wage growth indicators remain well above 2025

According to Yonhapinfomax, the U.S. dollar-South Korean won 1-month NDF fell to 1,527.60 KRW (mid) on July 7, down 1.40 won from Seoul's closing price of 1,530.30 won. Bid and ask prices were 1,527.40 won and 1,527.80 won, respectively. The dollar weakened amid euro strength, driven by hawkish

According to People's Bank of China Governor Pan Gongsheng on July 7, Panda Bonds outstanding surpassed 2 trillion yuan. Pan noted at the Hong Kong Fixed Income and Currency Summit that multi-currency bonds including Hong Kong dollars, U.S. dollars, euros, and Japanese yen continue to develop

According to Jin10, on July 7, PBOC Governor Pan Gongsheng stated that Chinese bonds offer unique diversification advantages amid volatile global interest rates and inflation. He called for Hong Kong to capitalize on this opportunity by attracting more sovereign wealth funds and international

According to Jin10, China's central bank conducted 10 billion yuan in 7-day reverse repo operations today, July 7. With 69.5 billion yuan in 7-day reverse repos maturing on the same day, the central bank achieved a net liquidity withdrawal of 5.95 billion yuan.

China's central bank conducted 10 billion yuan in 7-day reverse repurchase agreements today (July 7). The operation received bids totaling 10 billion yuan, with all 10 billion yuan accepted at an operating rate of 1.40%, unchanged from previous

According to the interbank forex market, the USD/CNY mid-price declined 12 points to 6.8054 on July 7, marking yuan appreciation. Among other major currency pairs, EUR/CNY rose 48 points to 7.7756, GBP/CNY surged 332 points to 9.1037, AUD/CNY advanced 145 points to 4.7265, and JPY/CNY fell 123 point

According to South Korea's Financial Services Commission on July 7, the agency is advancing inclusive finance measures to address interest rate disparities in the lending market. The commission announced plans to lower rates for borrowers with mid-to-low credit scores, which currently range

According to Oxford Economics, released on July 6, the continuity of a U.S.-Iran peace agreement will determine whether key global economic risks amplify or ease in the second half of 2026. The firm identified three major headwinds: Middle East tensions, artificial intelligence supply chain

Japanese government bonds experienced severe selling pressure on July 6, with the 10-year yield surging to 2.830% intraday — the highest level since October 1996. The spike followed Prime Minister Takaichi Sanae's announcement of an annual 10 trillion yen