OCBC Bank's Hong Kong economist, Jiang Jing, said that the yen fell to its lowest level in nearly 38 years, and the US dollar index continued its strength, breaking through the 106 mark. The market is concerned about the first debate of the US presidential election tonight. This week, the market will focus on the core personal consumption expenditure price index (PCE) announced by the United States on Friday (the 28th). As the previously announced consumer price index (CPI) and producer price index (PPI) data have weakened, the market expects that the core PCE will also weaken, which may strengthen the market's expectations of a rate cut by the Federal Reserve or limit the upside potential of the US dollar. Pay attention to whether the US dollar index can further break through 106.2 or 106.5. The support levels are 105.2, 104.9, and 104.5.

In Europe, the Governor of Latvia's Central Bank, Kazaks, stated that there is no need to hurry to relax monetary policy and will gradually take interest rate reduction measures; the Governor of the Bank of Finland, Rehn, stated that the market's bet of two more rate cuts in 2024 is reasonable; and the ECB's chief economist, Lane, stated that the ECB will focus on completing the final stage of work to bring inflation back to the target of 2% next year. After that, monetary policy can be restored from being contractionary to normal. ECB officials have mixed opinions, and the market will next focus on the results of the first round of parliamentary elections in France.

In Australia, the CPI in May rose by 4% year-on-year, higher than the market's expected 3.8%, which also strengthened the argument of the Reserve Bank of Australia's resumption of interest rate hikes. Earlier, the governor of the Reserve Bank of Australia stated that the Monetary Policy Committee does not rule out the possibility of raising interest rates, and policymakers continue to be vigilant about the upward risks of inflation. The price of interest rate futures shows that the market no longer expects the Reserve Bank of Australia to cut interest rates in the first quarter of next year, and even prices in the possibility of a rate hike this year. The hawkish stance of the Reserve Bank of Australia sharply contrasts with that of other major central banks.