South Korea's foreign exchange regulator said USD/KRW remains misaligned with economic fundamentals.

June ECB minutes say the bank can no longer ignore an energy shock, noting expected energy price rises could push medium-term inflation above its 2% target. The Governing Council unanimously raised the key rate to 2.25% last month, the first major central bank to hike in response to energy-price pressures linked to the Iran war. The minutes warn that the longer energy prices stay elevated, the greater the chance indirect and second-round effects will lift broader inflation and entrench the shock in core inflation and medium- to long-term inflation expectations.

Think tank Signal49 forecasts the Bank of Canada may keep policy rates unchanged indefinitely, with its projection window running through 2030. It says policymakers will aim to support a struggling economy until conditions normalize toward the end of the decade. Signal49 expects GDP to rise just 0.5% this year amid near-zero population growth and US trade policy uncertainty; higher energy prices and weak consumer confidence will constrain consumer spending. Excluding infrastructure and defence, government spending is expected to be limited. The wider economic softness should reassure the BOC that inflation is likely temporary.