Xi Positions China’s Ruling Party as Global Force for Progress | The China Show 7/1/2026

Summary

The show covers Asian market moves on 1 July 2026, focusing on the broadening AI trade, yen weakness past 162 per dollar, and diverging China markets. Guests express bullish views on Japan and Taiwan tech, Malaysia as an AI beneficiary, India's relative value, and China's AI supply chain, while gold faces near-term headwinds. Strategic themes include intervention-wary yen shorts, rotation within Asia, and a consumer/tech split in Chinese equities.

• Japanese equities seen as a catch-up play benefiting from the AI story and a weak yen, with the BOJ slow to normalize policy.
• Yen approaches 163 to the dollar as authorities appear to tolerate further depreciation, emboldening dollar-yen carry trades.
• Taiwan non-memory component makers rally on supply shortages as the only large-scale manufacturers.
• Malaysia's tech sector emerges as a broader AI beneficiary, supported by strong exports and data center investment.
• China's AI and semiconductor stocks remain in a bull market while consumer names lag, mirroring the uneven economy.
• India equities gain appeal as cheaper valuations coincide with falling oil prices, offering diversification.
• Gold faces short-term pressure from hawkish Fed repricing and rising real rates.