U.S. Stock Futures Flat Ahead of July CPI Data 
Singapore Raises 2026 GDP Growth Forecast to 4.5%-5.5% as AI Boom Fuels Economy 
Oil Prices Rise as US-Iran Talks Stall, Inflation Risks Grow 
Gold Prices Hold Near Seven-Week High as Markets Await U.S. Inflation Data 
Oil, Gold Rise as Geopolitical Risks Grip Markets Ahead of U.S. CPI 
Gold Prices Fall Amid Rate Jitters; Copper Steady as China Stimulus Eyed 
Asian Stocks Rise as AI Chip Rally Lifts South Korea, Japan 
UK Retail Sales Rise as World Cup and Heatwave Boost Food, Pubs and Clothing 
Asian Currencies Steady Ahead of US CPI as Oil Prices Rise 
The USD/CNY is expected to trade with a 6.95 resistance at the moment, partly due to local stock markets that are struggling with mounting risks in share-pledged loans.
However, when the risks from share-backed loans are mitigated and eliminated properly, the dollar/yuan will likely be allowed to rally through the 7.00 mark particularly if the dollar strengthens across the board and if the US-China tensions escalate further.
The yuan will continue facing depreciation pressure amid China’s economic slowdown and the US-China tensions. In addition, we note the 3M USD Libor has resumed its upward trend since mid-September.
Macro data have casted a shadow on China’s growth outlook. The nation’s outstanding total social financing (TSF) including state government special bonds increased at a slower pace in September. The broad measure of credit and liquidity in the economy grew 10.6 percent only to CNY197.3 trillion last month.
"We also stay nimble on swings in risk sentiment and keep a close eye on the 10Y UST yield that has been driving the global risk sentiment cycle," the report added.
