Central banks in the US, Europe, and Japan remain hawkish as tech stocks are sold off; new signs of inflation spreading again appear in the US; Shenzhen APEC promotes Asia-Pacific free trade and digital cooperation — 1102 Macro Highlights

In October, the Federal Reserve kept interest rates unchanged and assessed that economic growth remains strong, with controlling inflation still being the primary focus. The European Central Bank and Bank of Japan also held rates steady but signaled the possibility of further rate hikes. Technology stocks were sold off due to key companies posting below-expected earnings, putting pressure on the AI narrative.

The rise in prices in China is still mainly driven by localized cost increases, with limited pass-through to end-users. In the United States, there are some signs of inflationary pressures spreading again, but these have yet to be consistently validated across various dimensions. The core factor for future assessment is whether current pressures can receive sustained confirmation from more aspects.

The 33rd APEC Economic Leaders’ Informal Meeting will be held in Shenzhen from November 18 to 19, 2026. The Asia-Pacific Free Trade Area process is expected to make new progress, and practical achievements may be made in trade digitalization, trade in services, and customs clearance facilitation.