Japanese Finance Minister Katsunobu Kato stated that the Japanese government must carefully monitor economic and price trends amid recent calls from the business community for the Bank of Japan to raise interest rates. Kato emphasized that any decisions regarding monetary policy would be left to the BOJ itself.

The US Federal Reserve's overnight reverse repurchase agreement facility usage has dropped to $28.8 billion, the lowest level since April 2021, as the US Treasury Department issues more short-term debt. This shift could lead to a reduction in bank reserve balances, a critical measure for market stability.

China has warned foreign companies against stockpiling rare earths or risk worsening shortages. The move comes as China increases controls on rare earth supplies in response to US tariffs, processing about 90% of the global supply and producing 94% of permanent magnets.

The Hong Kong dollar has shown signs of recovery after sustained interventions by the Hong Kong Monetary Authority, which has withdrawn HK$3.376 billion from the market in 11 interventions since June. The currency touched a three-month high, moving away from the weak end of its 7.75-7.85 per US dollar trading band.

French 10-year bond yields have surged above 3% amid ongoing political instability and concerns over public finances, narrowing the gap with Italian yields to just 0.14 percentage points. This marks a significant shift, as France is now seen by investors as carrying similar credit risk to Italy, a country traditionally viewed as far riskier.

Chinese bond traders are facing challenging market conditions as a stagnant economy and unchanged monetary policy have halted a multi-year rally. The benchmark 10-year government bond yield has remained between 1.6% and 1.9% this year, resulting in low volatility and minimal returns. Fund managers are increasingly turning to alternative assets and "fixed income plus" strategies to enhance yield, as traditional bond trading becomes less profitable.

US Treasury Secretary Scott Bessent has indicated that the US will not be purchasing bitcoin for the Strategic Bitcoin Reserve, instead relying on bitcoin already forfeited to the government. However, Bessent later said the US Treasury is exploring budget-neutral ways to acquire more bitcoin, leaving the possibility of future purchases open.

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