US Dollar:
1. The ADP Non-Farm Payrolls report is disappointing! The US labor market is cooling, with manufacturing hiring stalling.
2. Fed Chair Williams: Yields have not been affected by the inflation outlook, and current interest rates are appropriate.
Euro:
1. ECB Governing Council member Nagel: The ECB will raise interest rates next week; no comment on subsequent actions.
2. German Institute for Economic Research: Raised its 2026 economic growth forecast from 0.5% to 1.2%, and its 2027 forecast from 0.8% to 1.0%.
Pound Sterling:
1. Burnham pledged fiscal stability but refused to rule out the possibility of increasing debt.
Japanese Yen:
1. The yen suddenly surged, sparking speculation about intervention in the foreign exchange market.
2. Demand for Japanese 30-year government bonds was stronger than the 12-month average.
3. Japan's largest pension fund, GPIF, held a meeting during a rare holiday month, leading to market speculation that it may increase its allocation to Japanese government bonds.
Korean Won:
1. South Korea's foreign exchange reserves increased by a record $14.33 billion in August.
Other:
1. The People's Bank of China (PBOC) injected a net 50 billion yuan into the Chinese government bond market through open market operations in August.
2. The Bank of Canada maintained its interest rate at 2.25% for the seventh consecutive meeting. Governor Macklem stated that the PBOC is prepared to adjust monetary policy as needed.
3. The Indian rupee rose to a two-month high, with the central bank absorbing $136 billion to bolster its intervention arsenal.
4. The Philippines is reconsidering its issuance of a large five-year bond due to high inflation and a weak peso.
