US Dollar:
1. China and Japan both reduced their holdings of US Treasury bonds in July, while the UK significantly increased its holdings.
2. DBS: The Fed may raise interest rates twice more in this cycle.
3. "Fed mouthpiece": Long-term interest rate forecasts face upside risks.
4. Macquarie: Expects the Fed to raise interest rates by another 50 basis points, with 25 basis points each in December of this year and the first quarter of 2027.
5. Trump: US interest rates should fall below 1%, urging the Fed to cut rates quickly, and again threatening to cut trade with countries with trade deficits.
6. The Federal Reserve's September meeting: A unanimous decision was made to raise interest rates by 25 basis points, stating that this move will support a more timely return of inflation to the target; the 2026 dot plot has been significantly revised upwards, with 16 officials predicting additional rate hikes this year, and a median of 4.1% indicating one more rate hike needed this year. The median for 2027 is also 4.1%; Warsh stated that inflation is too high and has persisted for too long, and this action removes some easing measures. He emphasized the economy's resilience, declined to provide forward guidance, listed three reasons for rising yields, and quickly concluded the press conference in less than 30 minutes.
Pound Sterling:
1. The market is no longer fully pricing in four more 25 basis point rate hikes from the Bank of England.
2. UK Prime Minister Burnham: We will make difficult decisions to maintain economic stability.
Yen Yen:
1. Japanese trading companies are calling for further yen strength.
2. Japanese Economy Minister Minoru Shirou: There will be no unrestrained fiscal expansion.
3. Japanese government spokesperson: Finance Minister Satsuki Katayama will remain in his position in the cabinet reshuffle.
4. The yield on Japanese 2-year government bonds rose 2 basis points to 1.865%, the highest level since April 1995.
5. Japanese Finance Minister Satsuki Katayama: We have demonstrated our determination to deal with excessive volatility when implementing the joint Japan-US intervention.
Other:
1. Several Gulf states in the Middle East announced interest rate hikes of 25 basis points.
2. The Hong Kong Monetary Authority raised interest rates by 25 basis points to 4.25%.
3. The Indian rupee fell below 96 against the US dollar for the first time, hitting a new low in more than a month.
4. The South Korean won fell to 1384.40 against the US dollar, the lowest level since August 27.
5. The Central Bank of Brazil lowered its benchmark interest rate by 25 basis points to 13.75%, in line with market expectations.
6. Polish central bank official Wnorowski: Interest rates may remain unchanged this year, but a rate hike is not ruled out.
7. Turkish Finance Minister: A flexible exchange rate system is not suitable at present. With inflation near single digits, a flexible exchange rate regime may be reinstated.
