US-listed optical and photonic components stocks rallied, with Applied Optoelectronics up 16%, Lumentum up 7%, and Coherent up 11%.

Domestic News: 1. China News Service reports that foreign media say the US plans to ban imports of Chinese optical modules. 2. The People's Bank of China (PBOC) announced it will conduct 500 billion yuan of outright reverse repurchase operations on August 5th, with a term of 3 months. 3. The mandatory national standard "Safety Requirements for Automated Driving Systems of Intelligent Connected Vehicles" has been officially released. 4. The State Administration for Market Regulation held a meeting to promote the in-depth implementation of the fair competition review system. 5. The PBOC announced the liquidity injection situation of various tools in July 2026, with a net injection of 249.5 billion yuan through 7-day reverse repos and a net injection of 50 billion yuan through open market treasury bond trading. International News: 1. Data from the Bank of Japan shows that Japan may not have intervened in the foreign exchange market on Monday. 2. US Energy Secretary Wright: The possibility of an extension of the Jones Act exemption is high. 3. Samsung launched V10 Bonding V-NAND, increasing storage density by approximately 58% compared to the previous generation V9 NAND. 4. US Treasury Secretary Bessenter: (Regarding writing "buy yen" in the notebook) The purpose was to ensure reporters could see it. All necessary measures will be taken to support the yen. 5. The US government is seeking opinions in the Federal Register on expanding the scope of metal tariffs, proposing tariffs on products such as welding machines and cranes. 6. Overnight Market Update—Copper prices broke through the $14,000 mark, with US imports tightening global supply; the Dow Jones and S&P 500 hit new highs, and SK Hynix rose 8%; international crude oil fell by more than 5%, and US Treasury yields fell for the second consecutive day. 7. Middle East Situation— ① Reports indicate that Saudi Arabia intends to ease tensions with the Houthis through behind-the-scenes diplomacy, but Saudi officials deny this. ② A senior Iranian source: The temporary plan for the Strait of Hormuz discussed with Oman would grant Tehran complete control over inbound shipping. For outbound shipping through the Strait of Hormuz, Oman will allow departures after notifying Iran. ③ Houthi rebels: Launched a drone attack on a "sensitive target" at Saudi Najran airport. ④ Qatar stated that it has drafted a text for a possible "US-Iran agreement," and the draft is circulating among the parties. No timetable could be given for a US-Iran agreement. ⑤ US Treasury Secretary: An agreement to open the Strait of Hormuz may be reached with Iran tomorrow (Wednesday, Eastern Time). ⑥ Iran is reportedly softening its stance and considering allowing European participation in mine clearance in the Strait of Hormuz. There are also reports that Iran intends to charge European countries for strait maintenance, and Oman believes that ship owners reliant on Gulf energy resources are willing to pay. ⑦ Iran: "Positive progress" has been made in negotiations with Oman regarding the Strait of Hormuz. The final results will be announced after all negotiations are completed. ⑧ A cargo ship sank in the Red Sea west of Yemen after being attacked by a vessel carrying explosives; a Greek cargo ship was attacked in the Strait of Hormuz, and its engine room was hit and caught fire.

At the 16th China Auto Forum in Jiading, Shanghai, the China Association of Automobile Manufacturers (CAAM) announced the launch of an Autonomous Driving Vehicle Industry Development Joint Committee and held an inauguration ceremony. CAAM said the committee will prioritize safety as the baseline, innovation as the driver, and coordination to advance safe, orderly and scaled deployment of autonomous driving in China, supporting the national aim to strengthen the auto industry and cultivate new productive forces. The committee has invited OEMs, autonomous-driving solution providers, chip and sensor, software and communications firms, testing and certification bodies, and universities and research institutes to join to develop coordination mechanisms and share industry outcomes.