The Federal Reserve held the federal funds rate target range at 3.5%-3.75% for a fifth consecutive meeting, with the last rate cut having been in December 2025. The decision was carried by a 9-3 vote, with dissenters Hammack, Kashkari and Logan favouring a quarter-point increase. The policy statement noted robust economic expansion and employment growth, while inflation remained elevated partly because of supply shocks. US equities slid sharply: the Dow lost more than 1,100 points. The dollar index dropped below 101, spot gold briefly topped $4,100, and the 30-year Treasury yield surged above 5.2% to its highest since 2007, even as the policy-sensitive two-year yield declined.
China's gross domestic product reached 69.6 trillion yuan in the first half of 2026, up 4.7% year-on-year, with an incremental gain of 3.6 trillion yuan—the largest for a first half in five years. High-tech manufacturing value-added jumped 13.3%. The surveyed urban unemployment rate averaged 5.2%, CPI rose 1.0%, and PPI rose 1.5%. New-driver industries contributed 47.9% of industrial growth. Provincial data showed top regions accounting for over 60% of national GDP, with Anhui and Hubei leading industrial growth. Policy measures included 800 billion yuan for dual-emphasis projects and 200 billion yuan for equipment renewal.
Chinese and US trade teams are in close communication on the structure, functions, and operation of a trade council, while exploring a reciprocal tariff reduction framework of $30 billion each. Both sides are simultaneously soliciting public comments. China opposes unilateral tariff measures and reserves the right to take necessary actions, but remains committed to dialogue. Bilateral goods trade reached RMB 2 trillion in the first half of 2026, with second-quarter growth of 13.7%.
The National Energy Administration announced that during the 15th Five-Year Plan period (2026-2030), investment in key energy projects and new business forms will exceed RMB 20 trillion, significantly higher than the 14th Five-Year Plan total. The investment, averaging over RMB 100 billion per day, is divided into three dimensions: safety, transition, and new opportunities. Safety project investment rises over 10%, grid investment growth exceeds 30%, and new energy's share of power source investment nears 60%. New business forms receive over RMB 2 trillion, focusing on green hydrogen, storage, and virtual power plants.
China's gross domestic product reached 69.6 trillion RMB in the first half of 2026, a 4.7% year-on-year increase, with the 3.6 trillion RMB increment being the largest for any first-half period in five years. Social retail sales of consumer goods and services grew 2.7% year-on-year. New drivers such as high-end manufacturing, digital economy, and modern services contributed over 40% to economic growth. Several multinational companies, including Nestlé, Medtronic, Schneider Electric, and Tiansi Group, announced additional investments in China.
Fujian province's foreign trade reached a record 995.89 billion RMB in the first half of 2026, up 8.2% year-on-year. Exports totaled 574.01 billion RMB, up 1.7%, while imports surged 18.5% to 421.88 billion RMB, both setting new highs for the period. Mechanical and electrical products drove growth, with exports rising 5.6% and imports up 28.9%. The province's shipbuilding sector is advancing green and intelligent upgrades, supported by new policy measures to stabilize and improve foreign trade.
China's goods trade reached RMB 25.47 trillion in the first half of 2026, up 16.9% year-on-year, the first time exceeding RMB 25 trillion for the period. Imports hit RMB 10.74 trillion, up 22.1%. Exports of the 'new three' products — electric vehicles, lithium batteries, and solar cells — totaled RMB 819.64 billion, up 46.1%. Private enterprises accounted for 57% of trade value. The data underscores China's continued dominance in global goods trade.
The Federal Reserve kept the federal funds rate steady at 3.50% to 3.75% after its July meeting, in a 9-to-3 vote. Three officials dissented, favouring a quarter-point increase. It was the first time in ten years that as many as three policymakers formally broke ranks on the rate direction, highlighting unusual internal division.
European Space Agency Sentinel-2 satellite images reveal damage to two Amazon Web Services data centers in Bahrain following a cruise missile attack claimed by Iran's Islamic Revolutionary Guard Corps on July 21. This marks Iran's fifth such strike since March 2026. AWS had earlier confirmed structural damage, power outages, and fire at its facilities. Since April, both Middle East regions—ME-South-1 and me-central-1 in the UAE—have been in a hard down state. Amazon has not responded to the latest attack. This is the first verified case of cloud infrastructure directly hit in a state-level military conflict.
Shanghai Pudong has been selected as one of the first national pilots for capital market technology-finance practice. In 2025, its GDP reached 1.88 trillion RMB, with the three leading industries—integrated circuits, biomedicine, and artificial intelligence—accounting for 938.2 billion RMB. The financial sector contributed 508.3 billion RMB. As of end-June 2026, Pudong had 249 listed companies with a total market capitalization of approximately 9.7 trillion RMB, including 53 on the STAR Market.
U. S. President Donald Trump announced on March 29 a major renovation of Washington Dulles International Airport, the capital's gateway, with costs exceeding $20 billion. The plan includes rebuilding parts of the terminal with gold-colored ceilings, a preference of Trump. Transportation Secretary Sean Duffy said the goal is to begin construction in spring 2027. The airport, opened in 1962, serves numerous international routes including All Nippon Airways flights to Tokyo Haneda, and is frequently used by dignitaries. Trump has personally reviewed proposals from multiple builders over recent months. As part of broader capital improvements, Trump is also advancing plans for a White House banquet hall and an American version of the Arc de Triomphe. Even some of Trump's usual critics have expressed support for the airport renovation project.
China's light industry recorded a 5.0% year-on-year increase in value-added output for the first half of 2026, with revenue reaching 11.2 trillion yuan, according to the China Light Industry Council. Retail sales of 11 categories of light industrial goods exceeded 4.3 trillion yuan, up 4.4%, driven by consumption-boosting policies. High-efficiency home appliance sales surged over 30%, while wearable smart device sales more than doubled. Exports rose 6.7% to 487.04 billion USD, with 14 sectors including home appliances and batteries each exceeding 10 billion USD in export value.
The Federal Reserve kept the federal funds rate at 3.5% to 3.75% in July, but divisions erupted as three regional bank presidents dissented in favor of a quarter-point increase. The 9-3 vote, with opposition from Cleveland, Minneapolis and Dallas Fed chiefs, marked a sharp shift from June’s unanimous decision and represented the fifth consecutive pause. While some global tech firms reported solid second-quarter earnings, their share prices came under pressure and the US Treasury yield curve steepened. The central bank reiterated that inflation remains elevated, partly owing to shocks.
In the first half of 2026, Suzhou signed 1,594 projects each with an investment of over 100 million yuan, with a total planned investment of 540.5 billion yuan. Industrial projects accounted for 1,589, or over 99% of the total. The project filing rate was 33%, the start rate was 50%, the statistical entry rate was 18%, and the operation rate was 25%.
Zhongyuan Asset Investment Management Group Co. , Ltd. was inaugurated on July 29, 2026, with registered capital of RMB 13 billion, wholly owned by the Henan Provincial Finance Department. The group, formed from Zhongyuan Asset Management Co. , was established on July 13, 2026. Wang Shihao, formerly of Zhongyuan Bank and the Henan Provincial Rural Credit Union, was appointed chairman on July 16. As of end-2025, the group had 75 subsidiaries covering equity investment, leasing, and related services. The establishment follows new NFRA rules limiting local asset management companies' subsidiary investments.
Beijing's gross domestic product reached 2.64 trillion RMB in the first half of 2026, up 5.4% year on year, outpacing the national average of 4.7%. The tertiary sector contributed 2.31 trillion RMB, with finance and information services accounting for over 70% of the city's economic growth. Integrated circuit output surged 92.1%, driving the expansion. The city hosted 47 Fortune Global 500 firms, the most of any city worldwide for 13 consecutive years.
A 7.1-magnitude earthquake struck Kumamoto Prefecture, Japan on July 28, 2026, forcing preventive shutdowns at multiple major semiconductor plants. Sony Semiconductor's Kumamoto Technology Center fully halted production and remains idle as damage assessments continue. TSMC's JASM plant also halted production for safety checks, while Renesas and Mitsubishi Electric are inspecting facilities. No casualties or structural damage have been reported. Industry estimates inspection periods of 3 to 7 days, with transportation disruptions in Kyushu also affecting component shipping. The power semiconductor market, already in a price hike cycle with two rounds of increases in the first half of 2026, may face further supply constraints.
Zhuhai's gross domestic product (GDP) reached RMB 238.9 billion in the first half of 2026, up 5.2% year-on-year at constant prices, according to the Zhuhai Municipal Bureau of Statistics. By sector, the primary industry added RMB 2.977 billion (up 6.7%), the secondary industry added RMB 101.709 billion (up 7.2%), and the tertiary industry added RMB 134.215 billion (up 3.7%).
Shenzhen's municipal authorities have issued a plan to develop new quality productive forces and cultivate strategic emerging industries and future industries. By 2030, the city aims for the value-added of strategic emerging industries to reach RMB 2.3 trillion, accounting for 45% of its gross domestic product, with advanced manufacturing as the backbone of a modern industrial system.
In the first half of 2026, China's bank wealth management market saw total outstanding assets reach 33.66 trillion RMB, up 1.11% from the start of the year. Fixed-income products accounted for 96.49% of the total. The average annualized yield was 2.05%, generating 305.2 billion RMB in investor income. The number of investors rose 5.59% to 151 million, with personal investors making up 98.61%.
The National Intellectual Property Administration (NIPA) announced plans for the 15th Five-Year Plan period, including exploring data intellectual property protection rules and strengthening geographical indication (GI) protection. GI products' direct annual output value reached nearly 1 trillion yuan during the 14th Five-Year Plan period. NIPA outlined five strategic priorities covering innovative, brand, specialty, digital, and open economies, and pledged to enhance AI-related IP rules and international cooperation.
At the 2026 Science and Technology Innovation Industry Integration Development Conference, Wen Zhi, General Manager of Shanghai Guotou Xian Dao Fund, stated that the three major leading industry mother funds total RMB 900 billion, with cumulative investment decisions of RMB 565 billion and disbursements of RMB 340 billion, leveraging over RMB 2.5 trillion in social capital. Direct investments exceed 70% into early-stage and small enterprises, while 55 sub-funds allocate over 80% to such projects. Wen Zhi outlined four practices addressing the challenges of early-stage investing, supported by policies from 2025 and 2026.
FIFA announced the transformation of its Forward Project into a commercial entity, FIFA Forward Enterprise, and the sale of a 21% stake for $4.2 billion at a $20 billion valuation. The funds will increase grants to member associations from $8 million to $20 million per cycle starting 2027. FIFA President Gianni Infantino is set to become CEO of the new enterprise after his term, with an annual salary exceeding $60 million. The plan has drawn criticism from UEFA and the English FA for lack of transparency and bypassing governance structures.
Since OpenAI released ChatGPT on November 30, 2022, artificial intelligence has become a global focus. In investment markets, valuations of AI-related companies have risen, with South Korea's Samsung Electronics and SK Hynix as recent examples. The trend has intensified concerns about a potential AI bubble.
China's Q2 2026 macroeconomic data showed real GDP growth of 4.3% year-on-year, down from the first quarter. Nominal GDP growth accelerated to 5.9%, the highest quarterly rate in five years, while the GDP deflator turned positive at about 1.5% for the first time since Q2 2023. Export growth strengthened on resilient external demand and recovering shipments to the US, but fixed asset investment turned negative, consumption remained weak, and the property sector continued to contract.
The Shenzhen Financial Regulatory Bureau announced at its first-half 2026 press conference that as of end-June, banks under its jurisdiction had served 33,000 individual investors through the Cross-Boundary Wealth Management Connect program, with total cross-border transfers reaching RMB 56.34 billion. The bureau reaffirmed its commitment to supporting cross-border financial innovation.
The U. S. Federal Communications Commission (FCC) updated its Restricted Equipment List on July 28, making new high-end robot equipment and power inverters from overseas in principle ineligible for FCC equipment authorization. The ban prohibits imports, advertising, and sales in the United States. No new inverter models will be approved for certification, affecting future sales, though previously certified models remain salable.
A high-level meeting marking the fifth anniversary of the Global Development Initiative was held in Beijing on July 28. Over 130 countries and international organizations support the initiative, which has mobilized more than $23 billion in funds, implemented over 1,800 cooperation projects, and trained more than 200,000 professionals. The Group of Friends of the Global Development Initiative has expanded to 88 countries.
The People's Bank of China Shanghai Head Office announced on July 29, 2026, that the Free Trade Account function upgrade pilot, launched in December 2025, has facilitated cross-border fund receipts and payments exceeding RMB 133 billion. The pilot involves 11 banks and 42 high-quality enterprises across sectors including automotive, modern agriculture, and semiconductors. Cross-border RMB transactions account for 83% of total payments. The upgraded accounts operate on a 'free flow across the border, controlled flow within' principle, allowing enterprises to transfer funds with payment instructions.
Chengdu High-Tech Zone held an AI investment promotion conference during the 2026 World AI Conference and APEC Digital Week. In 2025, its AI and robotics core industry scale reached 90.7 billion RMB, up 44% year-on-year, accounting for over 60% of Chengdu and nearly 50% of Sichuan. Computing power hit 10,750 petaflops (35% of the city), 13 large models passed national registration, and a 10 billion yuan mother fund cluster was established. The zone also hosts nearly 800,000 young people on 0.91% of the city's land.