IEA Warns China Rare Earth Export Curbs Could Threaten $6.5 Trillion in Global Production 
Australia Consumer Sentiment Rises in July as Fuel Price Relief Lifts Confidence 
Gold Price Holds Near $4,000 as Middle East Tensions and Fed Rate Hike Bets Grow 
Dollar Slides as Softer US Inflation Dims Fed Rate Hike Expectations 
Dollar Holds Steady Ahead of U.S. CPI as Oil Surge, Middle East Tensions Keep Markets on Edge 
Japanese Yen Holds Steady as Intervention Hopes Grow Ahead of U.S. CPI Data 
U.S. Imposes 25% Tariff on Select Brazilian Imports After Section 301 Trade Investigation 
Asian Currencies Stay Rangebound as Middle East Tensions, Weak China GDP Weigh on Sentiment 
Asian Stocks Slide as Oil Surge, U.S.-Iran Tensions and Fed Rate Bets Weigh on Markets 
Asian Currencies Hold Steady as Middle East Tensions Offset Weaker US Dollar 
Asian Stocks Rise as Softer U.S. Inflation Boosts Sentiment Despite Middle East Tensions 
Goldman Sees Foreign Investors Driving India Stock Market Recovery 
UBS Boosts China Tech Bets, Adds Kuaishou and Meituan to Focus List 
Australian Business Conditions Hold Steady as Easing Cost Pressures Face New Oil Price Risks 
US Stock Futures Hold Steady as Soft Inflation Data Eases Fed Rate Hike Fears 
South Korea Raises Interest Rates to 2.75% as Inflation and Weak Won Drive Tightening 
China’s stock market is bracing for renewed volatility as trade tensions between Washington and Beijing resurface. Following U.S. President Donald Trump’s announcement of 100% tariffs on Chinese exports and upcoming restrictions on critical software exports by November 1, investor sentiment has soured, likely triggering profit-taking in markets that recently hit decade highs.
The move comes as retaliation for China’s curbs on rare earth exports, sending U.S. and European markets tumbling. Nasdaq-listed Chinese stocks dropped 6%, while the KraneShares CSI China Internet ETF plunged 7%. Analysts, however, believe the sell-off will be milder than the panic seen in April, with some viewing it as a temporary correction.
Wang Yapei, a Shanghai-based hedge fund manager, noted that “the revived trade war will weigh on China’s stock market,” but expects the downturn to be short-lived. Investors are counting on Beijing’s policy support and possible negotiations between the two powers, given that “the cost of large-scale conflict is too high for both sides.”
China’s government condemned Trump’s new tariffs as hypocritical but refrained from imposing new countermeasures. Analysts, including Charles Wang of Shenzhen Dragon Pacific Capital, predict that growing geopolitical uncertainty will push Beijing to ease monetary policy further—potentially boosting growth-oriented sectors.
Brokerages expect certain industries like AI, robotics, defense, and semiconductor manufacturing to benefit from China’s self-reliance push, while export-heavy sectors such as machinery and electrical equipment may suffer. Still, many believe Trump’s aggressive tariff stance is a negotiation tactic. As Changjiang Securities put it, this could once again turn into “TACO—Trump Always Chickens Out.”
Nomura’s chief China economist, Lu Ting, said both nations remain economically interdependent, describing the current escalation as “posturing ahead of trade negotiations.” A potential Xi-Trump meeting at the upcoming APEC summit in South Korea could provide a diplomatic opening.
