Asian Currencies Steady as Fed Delivers Hawkish Rate Cut; Aussie and Rupee Under Pressure 
Gold Prices Hold Firm as Markets Await Fed Rate Cut; Silver Surges to Record High 
Wall Street Futures Dip as Broadcom Slides, Tech Weighed Down Despite Dovish Fed Signals 
U.S. Dollar Slides for Third Straight Week as Rate Cut Expectations Boost Euro and Pound 
Asian Stocks Rally as Tech Rebounds, China Lags on Nvidia Competition Concerns 
Fed Rate Cut Signals Balance Between Inflation and Jobs, Says Mary Daly 
Gold Prices Slip Slightly in Asia as Silver Nears Record Highs on Dovish Fed Outlook 
Indonesia–U.S. Tariff Talks Near Completion as Both Sides Push for Year-End Deal 
Ireland Limits Planned Trade Ban on Israeli Settlements to Goods Only 
Asian Stocks Slip Ahead of Fed Decision as China Deflation Concerns Deepen 
Australia’s Labour Market Weakens as November Employment Drops Sharply 
Modi and Trump Hold Phone Call as India Seeks Relief From U.S. Tariffs Over Russian Oil Trade 
Hong Kong Cuts Base Rate as HKMA Follows U.S. Federal Reserve Move 
Wall Street Futures Slip as Oracle Earnings Miss Reignites AI Spending Concerns 
China’s economic growth likely slowed in the second quarter of 2025 as trade tensions and the prolonged property downturn weighed on demand, intensifying pressure on policymakers to step up stimulus efforts. According to a Reuters poll, China’s GDP is expected to have grown 5.1% year-on-year between April and June, down from 5.4% in Q1. While still in line with the official annual growth target of around 5%, the projected slowdown signals rising headwinds for the world’s second-largest economy.
Despite avoiding a sharp downturn so far, thanks to a fragile U.S.-China tariff truce and prior stimulus measures, concerns are mounting about a weaker second half. Morgan Stanley analysts warn that growth could drop to 4.5% or lower in Q3 due to declining exports, deflationary pressures, and the impact of U.S. tariffs. A supplementary fiscal package worth 0.5–1 trillion yuan ($70–140 billion) is anticipated by late Q3 to support growth.
June trade data showed a brief recovery in exports and imports as manufacturers raced to benefit from the current truce before new tariffs take effect in August. However, industrial output and retail sales are expected to show signs of cooling. On a quarterly basis, Q2 GDP is projected to have grown 0.9%, slowing from 1.2% in Q1.
Looking ahead, China’s GDP growth is forecast to ease to 4.6% in 2025 and further to 4.2% in 2026. Markets are now eyeing the upcoming July Politburo meeting for possible stimulus announcements. Analysts expect minor rate cuts later this year, including to the seven-day reverse repo and the loan prime rate. However, experts caution that monetary easing alone may not curb deflation, prompting calls for deeper supply-side reforms to stabilize growth and jobs.
