Asian Markets Mixed as Fed Rate Cut Bets Grow and Japan’s Nikkei Leads Gains 
RBI Cuts Repo Rate to 5.25% as Inflation Cools and Growth Outlook Strengthens 
U.S. Futures Steady as Rate-Cut Bets Rise on Soft Labor Data 
Gold Prices Steady as Markets Await Key U.S. Data and Expected Fed Rate Cut 
Gold Prices Fall Amid Rate Jitters; Copper Steady as China Stimulus Eyed 
Asian Currencies Steady as Rupee Hits Record Low Amid Fed Rate Cut Bets 
BOJ Governor Ueda Highlights Uncertainty Over Future Interest Rate Hikes 
IMF Deputy Dan Katz Visits China as Key Economic Review Nears 
Germany’s Economic Recovery Slows as Trade Tensions and Rising Costs Weigh on Growth 
BOJ’s Noguchi Calls for Cautious, Gradual Interest Rate Hikes to Sustain Inflation Goals 
Indonesia Aims to Strengthen Rupiah as Central Bank Targets 16,400–16,500 Level 
The People’s Bank of China (PBoC) is expected to raise the money market rates again, if needed, while keeping the benchmark interest rate unchanged.
The central bank will maintain medium- and long- term funding costs appropriate to shore up the economy through unconventional monetary policy tools such as the MLF and PSL. Further, the PBoC is likely to tighten controls on cross-border outflows, while further opening up domestic capital markets to attract capital inflows, Scotiabank reported.
China will prioritize economic, financial and social stability ahead of a twice-a-decade leadership reshuffle at the 19th CPC National Congress due to be held in November. China’s top leadership has committed to seeking progress while maintaining stability.
Offshore yuan funding costs are expected to soar again as long as the depreciation pressure on the yuan intensifies in the future, which will help alleviate market concerns and stabilize the yuan exchange rate.
Meanwhile, China’s equities and bonds will finally be included in global benchmark indices.
