**Macro Developments** A decade after its last convening, China's Central Urban Work Conference signals a strategic pivot toward urban renewal as demographic and urbanization shifts reshape priorities. The meeting emphasized transitioning from large-scale expansion to improving existing urban infrastructure efficiency.

U.S. inflation accelerated unexpectedly in June, with CPI rising 2.7% YoY – the highest since February – while core CPI grew 2.9%. Analysts attribute the surge to tariff pressures, warning of further escalation if trade measures materialize. Following the data release, former President Trump urged the Fed to slash rates by 3 percentage points. Markets now assign low probability to a July rate cut.

**Market Turbulence** Cryptocurrencies plunged sharply on July 15, with Bitcoin tumbling over 5% to $116,300 after hitting record highs. The selloff coincided with three key risks: profit-taking after massive rallies, caution before U.S. CPI data, and new tariff threats from Trump targeting Russian oil imports. The rout triggered $400M+ liquidations across 130,000 accounts. Regulatory uncertainty intensified as a GOP-backed crypto bill failed House passage, with 13 Republicans joining Democrats to reject the measure. Circle Internet Financial slid 7%.

**Corporate Actions** Geely Automobile announced a definitive merger agreement to acquire all remaining shares of Zeekr, accelerating consolidation within its EV portfolio. The move advances Geely Holding's "One Geely" restructuring strategy.

In banking, China Life Insurance revealed plans to divest its entire 0.7% stake in Hangzhou Bank. This follows Chongqing Huayu Group's recent disclosure to cut holdings in Qilu Bank by up to 1.1%. Sector analysts note such disposals reflect profit-taking at cyclical peaks rather than fundamental concerns.

**Earnings Spotlight** Among 1,494 A-listed firms issuing H1 profit alerts, 417 project >100% net income growth. Muyuan Foods leads with 973% surge, citing higher hog shipments and lower breeding costs. Key drivers include revenue growth, cost efficiencies, and market opportunities.

Notable pre-announcements: - Pop Mart anticipates 200% revenue growth to over ¥13.5B, powered by LABUBU IP - Jingsheng Mechanical expects net profit up 151%-180% on new energy demand - Sitronix Technology forecasts 140%-180% earnings growth from smartphone sensor sales

**Global Markets** *Equities:* - U.S.: Nasdaq hit record high (20,677.80) as Nvidia surged 4.04%, adding $161.8B in market cap. Tech gains offset financial sector declines. - Hong Kong: Hang Seng Tech jumped 2.8% with Alibaba up 7% - Europe: Major indices fell 0.3%-0.7% - China: CSI 300 edged up 0.1% despite 75% of A-shares declining

*Commodities:* Gold miners rallied on price strength and output expansion.

**Policy & Regulation** New rules for provincial AMCs took effect, setting business scope limits and risk controls. The framework establishes red lines against disguised risk transfers.

**Capital Flows** Invesco highlighted China's tech ecosystem attracting global allocations, while Wellington Management noted potential capital rotation from U.S. fixed income to European and Asian bonds. Foreign institutions accelerated China market entries: - 30+ new funds launched by wholly foreign-owned mutual fund managers - Morgan Stanley Fund raised capital by 58% - AllianceBernstein increased registered capital by 66%

**Corporate Briefs** - *Nvidia*: CEO Jensen Huang confirmed U.S. approval for H20 chip sales to China and upcoming RTXpro GPU launch - *ByteDance*: Rocktech Investment participated in $41.64M funding round - *Trade Disputes*: Shandong Sanyuan Biotechnology faces 450.64% preliminary U.S. anti-dumping duty on erythritol

**Transactions** *Notable Deals:* - China Communications Construction subsidiary won $52.98M mine development contract in DRC - Changgao Electric secured $445M State Grid equipment orders - ST Yun Dong partnered with Delong Aviation for drone development

*Share Moves:* - China Life to sell entire Hangzhou Bank stake - New Oriental Holdings plans 2% share sale

**Trading Halts** Suspensions: Sinochem International (600500), Jiangsu Zhongzheng Gaoke (002778), *ST YAZN (603389) Resumptions: Jiangsu Yangdian Science (301012), Jiangsu Shun Tian (600287)