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On May 25th, the highest 7-day annualized yield of Tencent Wealth Managements "Current Account +" was 1.5120%, and the lowest was 0.7120%. The highest 7-day annualized yield of WeChat Pays "Lingqian Tong" was 1.0270%, and the lowest was 0.0030%. The highest 7-day annualized yield of Alipays "Yuebao" was 1.0500%, and the lowest was 1.0000%.On May 25th, at the International Symposium on Circuits and Systems (ISCAS 2026), He Tingbo, Director of Huawei and President of its Semiconductor Business Unit, stated that the Kirin mobile phone chip, slated for release this fall, is the first to adopt logic folding technology, resulting in a significant performance improvement. He Tingbo said, "The Kirin 2026 mobile phone chip represents the first successful implementation of logic folding technology. In the next ten years, we will continue to move towards full folding, and even more layers of folding, continuously optimizing the entire stack performance from devices and circuits to chips and systems."On May 25th, Yu Yuan Tan Tian published an article stating that the nine-year technological competition between China and the US has yielded two conclusions: First, it is impossible for the US to disrupt Chinas technological development through extreme pressure. Over the past nine years, the so-called "decoupling" has even spurred breakthroughs in Chinese technology: the production capacity of mature chip manufacturing processes has continued to ramp up, achieving a historic breakthrough in integrated circuit product exports exceeding one trillion yuan; "bottleneck" technologies are being continuously tackled; and domestic large-scale substitution has been achieved in areas such as chip etching and packaging. Second, cooperation can create space for common development for both China and the US. Today, China and the US are almost simultaneously at the forefront in fields such as artificial intelligence, advanced manufacturing, new energy, and quantum technology. Many issues require joint solutions from both sides.On May 25th, the Chicago Mercantile Exchange Group announced plans to launch a futures market for AI computing power this year. With the demand for computing power experiencing exponential growth, computing power will accelerate its assetization and financialization, potentially evolving from a single product into an ecosystem. In response to questions regarding whether Hong Kong has initiated research and feasibility studies on computing power futures products, the Hong Kong Stock Exchange stated that it currently has no comment on computing power futures and will release relevant information to the market in a timely manner if any becomes available.The Peoples Bank of China announced today that it conducted 258 billion yuan of 7-day reverse repurchase operations, with both the bid and winning bids amounting to 258 billion yuan. The operating rate was 1.40%, unchanged from the previous rate.

USD/CHF Steady at 1.0020 as DXY Pauses, Powell and US Retail Sales Take Center Stage

Daniel Rogers

May 16, 2022 10:46

The USD/CHF pair is bouncing within a small range between 1.0020 and 1.0030 in early Tokyo, as the US dollar index (DXY) is not gaining much traction due to Monday's light economic calendar. Although broad-based fundamentals continue to favor the dollar bulls, the Federal Reserve (Fed) is projected to raise interest rates by another significant number in June in an effort to limit the inflation issue.

 

Last week, Fed's Powell's interview with the national radio show Marketplace revealed the ongoing conversations among Fed policymakers regarding anticipated rate hikes in monetary policies. Fed Powell indicated that the Fed could declare two additional rate hikes in the next two consecutive monetary policy sessions in order to tame the soaring inflation.

 

In the meantime, the US dollar index (DXY) is poised between 104.46 and 104.60 after reaching a new 19-year high of 105.00 on Friday. The DXY appreciates the broader gains but requires further triggers to maintain strong. In the future, two significant events on Tuesday will keep investors occupied. First will be Fed Chairman Powell's speech, which will likely influence monetary policy action in June. The second significant event is the monthly US Retail Sales report, which is anticipated to increase by 0.7% from the previous reading of 0.5%.

 

In terms of the Swiss franc, Friday's Industrial Production data will be the focal point. The catalyst reached 7.3% the previous time. A greater-than-anticipated number will strengthen the Swiss franc against the U.S. dollar. 

USD/CHF

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