CMB International: The market has fully reflected the expectation of a 25 basis point rate cut by the Federal Reserve this week.

Guotai Junan International released a research report stating that the market has fully priced in the expectation of a 25 basis point rate cut by the Fed this week. The US Court of Appeals rejected President Trump's request to dismiss Fed board member Powell, clearing the way for Powell to attend this week's Fed meeting, where a split within the Fed may be witnessed. US bond yields fell, the US dollar index dropped, cryptocurrencies fell across the board, gold hit a new high, and oil prices rose. The report pointed out that the mainland stock market rose, with Hong Kong stocks in optional consumer goods, energy, and essential consumer goods leading the way. Raw materials, comprehensive, and real estate construction fell, while biotechnology, lithium batteries, and smart terminals performed well. Southbound capital had a net purchase of 14.473 billion Hong Kong dollars. A-share power equipment, media, and agriculture were among the top gainers, while comprehensive, communication, and national defense and military industry declined. Non-metallic building materials, energy, and iron ore rose, with a slight increase in the yield of Chinese government bonds and a slight strengthening of the renminbi.