STAR 50 index opened down 1.5%; constituent Baiwei Storage fell nearly 5%.

On July 6 CHINA foreign ministry spokesperson said China’s ambassador to Germany recently met German foreign ministry officials at their request to discuss bilateral ties and shared concerns. Berlin had said the meeting, held last Thursday, concerned reports that China trained Russian soldiers; CHINA said those reports have no factual basis and are pure slander. CHINA reiterated it maintains an objective, fair stance on the Ukraine crisis, advocates a political solution and urged Germany to view China’s position objectively.

Capital Economics senior Asia-Pacific economist Abhijit Suriya says slower May wage growth is unlikely to deter further Bank of Japan tightening. Preliminary data showed Japan's cash earnings growth slowed to 3.2% YoY in May from 3.6% in April. Suriya said core/base wage indicators remain well above their 2025 average and at historically high levels, and that the print is unlikely to alter the BOJ's view that the labour market remains tight. Capital Economics maintains its forecast that the BOJ will raise rates to 2% by end-2027.