Weekly Finance Flash: Gold Nears USD 4,700, LPR Holds, Solid-State Battery Standard Lands

Market Headlines Last week, spot gold in London touched USD 4,648.30/oz, a three-month high, gaining about 4.2% for the week. The US dollar index fell below 98.5, declining for a third straight week. Attention is turning to the Jackson Hole Economic Symposium opening on August 28, where Fed Chair Kevin Warsh will deliver his first keynote speech since taking office. US July core PCE inflation is due on August 27, and Nvidia reports earnings after the close the same day. These events are likely to set the near-term market direction. Industrial Policy China's solid-state battery sector has reached a milestone. The international standard proposal "Secondary Lithium-Ion Batteries for Electric Vehicle Propulsion: Application Guide, Test Items and Conditions for Solid-State Batteries," led by China, was approved at the IEC, becoming the world's first international standard for solid-state batteries. The national standard GB/T 43568-2026 took effect on July 1. The Ministry of Finance and two other agencies announced that solid-state batteries will be exempt from consumption tax from September 1, 2026 through the end of 2028. On the morning of August 24, the solid-state battery concept rallied, with Tianli Lithium, Shanghai Xiba, Jinlongyu, and Dexin Technology hitting the daily limit. Macro Policy On August 20, the PBOC announced August LPR quotations: 3.0% for the one-year tenor and 3.5% for the over-five-year tenor, unchanged for the 15th consecutive month. Experts cited a stable policy-rate anchor, compressed bank net interest margins, and a policy observation period as the main reasons. A new round of incremental stimulus, including structural tool expansion and possible RRR and rate cuts, is expected around the end of Q3. As of August 10, DR-based loans exceeded RMB 440 million across 18 provinces and 42 transactions. Global Bonds The 10-year US Treasury yield remains near 4.7%, while the 30-year yield has risen above 5%. At the same time, the dollar index has weakened. Analysts say this reflects market concerns about US fiscal sustainability and central-bank independence, and that the fiscal-dominance narrative is reshaping the global asset-pricing framework. World Gold Council data show global central banks net-purchased 289 tonnes of gold in Q2, up 62% year-on-year and the highest quarterly buying in nearly four years. Commodities and Corporate News International oil prices posted their first weekly gain in three weeks. WTI crude settled at USD 69.85/bbl and Brent at USD 73.40/bbl. US commercial crude inventories fell for a fourth straight week, and OPEC+ maintained a moderate production-increase pace. In US equities, the Dow rose 1.21% on Friday, the S&P 500 gained 0.51%, and the Nasdaq fell 0.18%. Banks and energy outperformed, while Nvidia declined 2.7% for the week. Chinese concept stocks were broadly choppy as the market focuses on a series of tech earnings and policy events this week.