[GUEST ACCESS MODE: Data is scrambled or limited to provide examples. Make requests using your API key to unlock full data. Check https://lunarcrush.ai/auth for authentication information.]  Neil Sethi [@neilksethi](/creator/twitter/neilksethi) on x 12.3K followers Created: 2025-07-21 13:03:26 UTC In Asia, the MSCI Asia Pacific Index was up +0.3% Monday as it pushes to fresh nearly 4-yr highs. Major regional equity indices began the week on a mostly higher note as well, while Japan's Nikkei was closed for a holiday. Japan's Nikkei: HOLIDAY, Hong Kong's Hang Seng: +0.7%, China's Shanghai Composite: +0.7%, India's Sensex: +0.5%, South Korea's Kospi: +0.7%, Australia's ASX All Ordinaries: -0.9%. [Note: easier to read if you click into the post.] Japan is facing trade and political uncertainty after a historic defeat for the prime minister’s ruling party. Shigeru Ishiba is trying to buy time for his premiership following this past weekend’s election, which left the ruling bloc three seats short of a majority in the upper house. Despite being in a weaker position to stave off opposition demands or secure a last-minute trade deal with the US, Ishiba has vowed to stay on with a minority in both houses. Many of the key opposition parties ran on a platform to cut the sales tax, and Ishiba may have to make concessions to push any of his policies through. Ishiba is the first Liberal Democratic Party leader running an administration without a coalition majority in either of the chambers since the party was established in 1955. A weekend meeting between Treasury Secretary Bessent and Japan's top trade negotiator in Osaka did not yield any noteworthy results. China has stopped an American citizen who works for the US Commerce Department from leaving the nation for several months, according to media reports — an episode that coincides with Beijing and Washington trying to arrange a leaders’ summit so they can address their differences on trade. The Chinese-American individual who works for the Patent and Trademark Office had traveled to meet relatives, the Washington Post reported, citing four people familiar with the matter, who asked not to be identified discussing the sensitive issue. South Korea’s national security adviser made a second trip to the US in under two weeks, as Seoul intensifies efforts to avert sweeping XX% tariffs proposed by President Donald Trump ahead of an Aug. X deadline. Australia's ambassador to the U.S. said that the joint submarine project with the U.S. and the U.K. is under review. The People’s Bank of China held the 1-year loan prime rate at XXX% and the 5-year LPR at 3.5%. The decision comes after the country announced that GDP growth in the second quarter grew at XXX% year over year, down from XXX% in the first quarter. This, however, was higher than the XXX% expected by a Reuters poll of economists. In comments to CNBC after the decision, Frederic Neumann, Chief Asia Economist at HSBC, said that there is currently little perceived urgency for the PBOC to cut rates, given that GDP growth was above target. “Moreover, with interest rates already relatively low, further easing may be less effective in driving up demand than fiscal measures,” Neumann added. The PBOC may also want to keep some “policy powder dry for the moment,” he said, only cutting rates when the impact of U.S. tariffs on Chinese exports truly begins to bite. Shares of Chinese infrastructure, cement and engineering services counters surged Monday, following reports that Chinese premier Li Qiang approved the commencement of construction of the hydropower project on the lower reaches of Tibet’s Yarlung Tsangpo river over the weekend. It is one of the biggest and most expensive infrastructure projects in history to provide more clean power to its grid. But the more meaningful impact, at least in the short term, may be the way it props up an ailing economy. The XXX trillion yuan ($167 billion) mega-dam on the Yarlung Tsangpo River in Tibet is an audacious bet that China’s engineers can master a devilish stretch of river that drops XXXXX meters (6,560 feet) in elevation during a 50-kilometer (31-mile) stretch. Projects of this scale are rarely attempted. China’s Three Gorges Dam, currently the world’s biggest power plant, cost $XX billion when completed in 2009. The new project state engineers say could supply XX gigawatts of electricity — more than the total power capacity of Poland. That would make it the world’s largest power project and help China reach its goal of net zero emissions by 2060. The dam could also further fuel tension between China and India, as the Yarlung Tsangpo River runs through the state of Arunachal Pradesh in India and feeds into the Brahmaputra River, which then flows into Bangladesh. South Korea’s early exports data for the first XX days of July remained positive, reflecting the trade-dependent economy’s resilience on the back of a continued boom in AI spending. The value of shipments adjusted for working-day differences increased 4.1%, down though from a XXX% increase reported for the full month of June. China boosted shipments of rare earth magnets in June — including to the US — after a global supply squeeze that threatened factory closures and inflamed trade tensions. Total cargoes of the magnets rose to XXXXX tons last month, according to Chinese data on Sunday, more than double volumes of XXXXX tons in May in the midst of China’s curbs. Flows to the US alone rose to XXX tons, up from just XX tons. Total shipments were still substantially lower than before Beijing launched export controls in early April. Singapore’s 30-stock benchmark Straits Times Index extended its winning run for the eleventh consecutive session Monday and hit a fresh all-time high of XXXXXXXX earlier in the session. In economic data: Hong Kong's July CPI XXX% m/m (last -0.3%); XXX% yr/yr (expected 1.5%; last 1.9%) New Zealand's Q2 CPI XXX% qtr/qtr (expected 0.6%; last 0.9%); XXX% yr/yr (expected 2.8%; last 2.5%)  XXXXX engagements  **Related Topics** [rates](/topic/rates) [china](/topic/china) [$2607hk](/topic/$2607hk) [shanghai](/topic/shanghai) [hang seng](/topic/hang-seng) [Post Link](https://x.com/neilksethi/status/1947281264555245655)
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Neil Sethi @neilksethi on x 12.3K followers
Created: 2025-07-21 13:03:26 UTC
In Asia, the MSCI Asia Pacific Index was up +0.3% Monday as it pushes to fresh nearly 4-yr highs. Major regional equity indices began the week on a mostly higher note as well, while Japan's Nikkei was closed for a holiday.
Japan's Nikkei: HOLIDAY, Hong Kong's Hang Seng: +0.7%, China's Shanghai Composite: +0.7%, India's Sensex: +0.5%, South Korea's Kospi: +0.7%, Australia's ASX All Ordinaries: -0.9%.
[Note: easier to read if you click into the post.]
Japan is facing trade and political uncertainty after a historic defeat for the prime minister’s ruling party. Shigeru Ishiba is trying to buy time for his premiership following this past weekend’s election, which left the ruling bloc three seats short of a majority in the upper house. Despite being in a weaker position to stave off opposition demands or secure a last-minute trade deal with the US, Ishiba has vowed to stay on with a minority in both houses. Many of the key opposition parties ran on a platform to cut the sales tax, and Ishiba may have to make concessions to push any of his policies through. Ishiba is the first Liberal Democratic Party leader running an administration without a coalition majority in either of the chambers since the party was established in 1955.
A weekend meeting between Treasury Secretary Bessent and Japan's top trade negotiator in Osaka did not yield any noteworthy results.
China has stopped an American citizen who works for the US Commerce Department from leaving the nation for several months, according to media reports — an episode that coincides with Beijing and Washington trying to arrange a leaders’ summit so they can address their differences on trade. The Chinese-American individual who works for the Patent and Trademark Office had traveled to meet relatives, the Washington Post reported, citing four people familiar with the matter, who asked not to be identified discussing the sensitive issue.
South Korea’s national security adviser made a second trip to the US in under two weeks, as Seoul intensifies efforts to avert sweeping XX% tariffs proposed by President Donald Trump ahead of an Aug. X deadline.
Australia's ambassador to the U.S. said that the joint submarine project with the U.S. and the U.K. is under review.
The People’s Bank of China held the 1-year loan prime rate at XXX% and the 5-year LPR at 3.5%. The decision comes after the country announced that GDP growth in the second quarter grew at XXX% year over year, down from XXX% in the first quarter. This, however, was higher than the XXX% expected by a Reuters poll of economists. In comments to CNBC after the decision, Frederic Neumann, Chief Asia Economist at HSBC, said that there is currently little perceived urgency for the PBOC to cut rates, given that GDP growth was above target. “Moreover, with interest rates already relatively low, further easing may be less effective in driving up demand than fiscal measures,” Neumann added. The PBOC may also want to keep some “policy powder dry for the moment,” he said, only cutting rates when the impact of U.S. tariffs on Chinese exports truly begins to bite.
Shares of Chinese infrastructure, cement and engineering services counters surged Monday, following reports that Chinese premier Li Qiang approved the commencement of construction of the hydropower project on the lower reaches of Tibet’s Yarlung Tsangpo river over the weekend. It is one of the biggest and most expensive infrastructure projects in history to provide more clean power to its grid. But the more meaningful impact, at least in the short term, may be the way it props up an ailing economy. The XXX trillion yuan ($167 billion) mega-dam on the Yarlung Tsangpo River in Tibet is an audacious bet that China’s engineers can master a devilish stretch of river that drops XXXXX meters (6,560 feet) in elevation during a 50-kilometer (31-mile) stretch. Projects of this scale are rarely attempted. China’s Three Gorges Dam, currently the world’s biggest power plant, cost $XX billion when completed in 2009. The new project state engineers say could supply XX gigawatts of electricity — more than the total power capacity of Poland. That would make it the world’s largest power project and help China reach its goal of net zero emissions by 2060. The dam could also further fuel tension between China and India, as the Yarlung Tsangpo River runs through the state of Arunachal Pradesh in India and feeds into the Brahmaputra River, which then flows into Bangladesh.
South Korea’s early exports data for the first XX days of July remained positive, reflecting the trade-dependent economy’s resilience on the back of a continued boom in AI spending. The value of shipments adjusted for working-day differences increased 4.1%, down though from a XXX% increase reported for the full month of June.
China boosted shipments of rare earth magnets in June — including to the US — after a global supply squeeze that threatened factory closures and inflamed trade tensions. Total cargoes of the magnets rose to XXXXX tons last month, according to Chinese data on Sunday, more than double volumes of XXXXX tons in May in the midst of China’s curbs. Flows to the US alone rose to XXX tons, up from just XX tons. Total shipments were still substantially lower than before Beijing launched export controls in early April.
Singapore’s 30-stock benchmark Straits Times Index extended its winning run for the eleventh consecutive session Monday and hit a fresh all-time high of XXXXXXXX earlier in the session.
In economic data:
Hong Kong's July CPI XXX% m/m (last -0.3%); XXX% yr/yr (expected 1.5%; last 1.9%)
New Zealand's Q2 CPI XXX% qtr/qtr (expected 0.6%; last 0.9%); XXX% yr/yr (expected 2.8%; last 2.5%)
XXXXX engagements
