Australia Consumer Sentiment Rises in July as Fuel Price Relief Lifts Confidence 
Asian Currencies Hold Steady as Middle East Tensions Offset Weaker US Dollar 
Australian Business Conditions Hold Steady as Easing Cost Pressures Face New Oil Price Risks 
Asian Stocks Slide as Chip Selloff Deepens Ahead of TSMC Earnings 
Oil Prices Rise as U.S. Strikes on Iran Raise Strait of Hormuz Supply Fears 
Asian Currencies Stay Rangebound as Middle East Tensions, Weak China GDP Weigh on Sentiment 
South Korea’s KOSPI Enters Bear Market Despite Remaining 2026’s Best-Performing Major Stock Index 
Gold Price Holds Near $4,000 as Middle East Tensions and Fed Rate Hike Bets Grow 
Asian Stocks Rally as Cooling U.S. Inflation Boosts Fed Rate Cut Hopes 
Japanese Yen Holds Steady as Intervention Hopes Grow Ahead of U.S. CPI Data 
After a report showed that inflation in China strengthened in January with the consumer price index reaching 2.5 percent y/y and producer price index reaching 6.9 percent y/y, which is the highest in five years, further reports confirmed that the return of inflation is likely to be a global phenomenon.
- German inflation report confirmed 1.9 percent price growth y/y in January, which is well within the target of the European Central Bank (ECB).
- Retail price index (RPI) in the UK jumped to 2.6 percent y/y in January. Producer price index for output rose by 3.5 percent y/y. Weak pound pushed the input cost to rise 20.5 percent y/y. House price index is up 7.2 percent y/y. Compared to the above the rise in consumer price index was small, it rose by 1.8 percent y/y.
- In Switzerland, the economy returned to positive yearly inflation for the first time since 2014. The consumer price rose by 0.3 percent y/y, producer and import prices rose by 0.8 percent y/y.
This rise in inflation is likely to continue for some time now. We expect the increasing price of commodities to support the increasing inflation, especially metals and agriculture.
