Kazakhstan's prime minister said the tenge has no reason to depreciate sharply.

PIMCO economist Tiffany Wilding said on the US CPI report the key question is whether current inflation is driven by negative supply shocks or by strong demand. She views headline inflation as more indicative of supply-side pressure, Citing Middle East developments and rising gasoline prices. Core inflation, she said, raises additional questions and makes the overall outlook less clear.

Domestic News: 1. The Ministry of Industry and Information Technology issued a notice on the "Implementation Opinions on the Innovative Development of 'Artificial Intelligence + Information and Communication' (2026-2028)". 2. The National Bureau of Statistics: The Consumer Price Index (CPI) rose 1.2% year-on-year in May. 3. Relevant departments held talks with China Communications Construction Company Limited and China Power Construction Corporation Limited. 4. The Hong Kong Securities and Futures Commission: Hong Kong-licensed companies can continue to provide services to existing mainland customers, but cannot provide services within mainland China. 5. The China Association of Automobile Manufacturers (CAAM): In May 2026, production and sales reached 1.554 million and 1.496 million vehicles respectively, representing year-on-year increases of 22.4% and 14.4%. 6. The Ministry of Commerce and eight other departments issued a notice on "Several Measures to Promote the Integrated Development of Railways and Tourism and Expand Service Consumption". 7. Zheng Shanjie chaired a symposium with economic experts to solicit opinions and suggestions on the current economic situation and the next steps in economic work. International News: 1. Trump indicated he might not renew the USMCA trade agreement. 2. Bill Gates attended a closed-door hearing in the US Congress regarding the Epstein case. 3. The Bank of Canada kept interest rates unchanged as expected, stating that future rate cuts or increases are possible. 4. Spot gold plunged 4%, breaking below $4,050; all three major US stock indices fell by more than 1%; international crude oil rose by more than 3%. 5. US May CPI rose 0.5% month-on-month and 4.2% year-on-year, a three-year high. Trump commented: "I love inflation." 6. The US has 40 million barrels remaining in its current oil reserve release program. The US Energy Secretary stated that it will be replenished early next year. 7. A Reuters survey showed that OPEC's crude oil production fell by 1.06 million barrels per day in May, the lowest level in more than 20 years. 8. Bank of Japan Governor Kazuo Ueda will miss next week's interest rate decision due to hospitalization; the meeting and press conference will be chaired by the deputy governor. 9. Middle East situation— ① Trump: Will launch another fierce attack on Iran. Iran has spent too much time negotiating and must now pay the price. An agreement has been reached; now all that's needed is for Iran to sign the documents. Iran will be given a few more days to consider. ② US media: Trump is about to order strikes against Iranian power plants and bridges. ③ Israel is reportedly preparing to launch another strike against Iran. ④ A Qatari delegation has arrived in Iran; it is understood that the US and Iran are continuing negotiations through Qatar. ⑤ US media reports that two additional demands from Trump have delayed the agreement: uranium enrichment must begin within 60 days, and a promise not to charge transit fees. ⑥ The US military has confirmed strikes against Iran for the second consecutive day. The US Secretary of Defense stated that the US military will launch a heavy strike against Iran, bombing key facilities within Iranian territory.