Asia Economics & Strategy Daily: Strategy Comments, TW 2Q GDP, KR 2026E C/A, KOSPI Flows, CN PMI, JP BoJ Review

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Asia Economics & Strategy Daily: Strategy Comments, TW 2Q GDP, KR 2026E C/A, KOSPI Flows, CN PMI, JP BoJ Review

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02 Aug 2026 23:39:29 ET │ 14 pages

Asia Economics & Strategy Daily

Strategy Comments, TW 2Q GDP, KR 2026E C/A, KOSPI Flows, CN PMI,

JP BoJ Review

EM Asia Economics & Strategy

CITI'S TAKE

Johanna Chua AC

Strategy Comments: Impact on Asian FX from JPY Intervention & Takeaways +852-2501-2357

from China July Politburo; Taiwan 2Q26 GDP - Another Beat on Exports and johanna.chua@citi.comInvestment Strength; China PMIs; Japan BoJ Review; South Korea - Capital

ACFlow Momentum for KOSPI; Raising Our 2026E Current Account Surplus to Rohit Garg

18.2% of GDP; Thailand - Keeping an Eye on Potential Hawkish Risks +65-6657-3471

Despite an Accommodative Policy Bias; Upcoming events: ID Jun Exports rohit.garg@citi.com

(Citi: 6.4%YY, Mkt: 0.25%, Prior: -5.7%), Jul CPI (Citi: 3.19%YY, Mkt: 3.2%,

Prior: 3.34%), JP, EA, GE, UK and US - Jul PMI Manufacturing, US ISM Samiran Chakraborty

Manufacturing (Citi: 53.8, Mkt: 54.0, Prior: 53.3), Construction spending

(Citi: 0.2%MoM, Mkt: 0.2%, Prior: 0.1%) Xiangrong Yu

Adrienne Lui

Strategy Comments (EM Asia FX): We see three ways through which JPY

intervention may impact Asian FX - trade and competitiveness, Carry trade unwinds Josh Williamson

and capital market sentiment. Overall, KRW, THB, TWD and SGD seem to be the

Wei Zheng Kitmost impacted due to JPY movements.

Helmi Arman

Strategy Comments (China): The July Politburo meeting delivered a more measured

and targeted easing signal rather than a shift toward large-scale stimulus, in our Jin-Wook Kim

view. The tone continued to remain supportive of domestic demand, with leadership

acknowledging greater economic challenges and emphasizing the need to Baqar M Zaidi, CFA