Asian Market Strength and Accelerating Global Capital Flows

글로벌 시장 | Fri Aug 07 2026 00:00:00 GMT+0000 (Coordinated Universal Time) | 6 sources

Global capital markets are shifting with Korean and Japanese equity strength, yuan internationalization, and a Canadian investment boom.

Analysis

[Asian Markets] climbed led by South Korean tech stocks ^[1]

• Investors maintained buying momentum despite geopolitical tensions
• Brent crude rose amid Middle East agreement uncertainty
• South Korea tech stock strength drove the market

[China Banks] expanded direct settlement currencies to advance yuan internationalization ^[2]

• Supporting cross-border trade settlement bypassing the dollar
• Added more foreign currencies eligible for direct settlement
• Aimed at strengthening the yuan's global standing

[Canada] experienced an investment boom with $183 billion in foreign capital inflows ^[5]

• $183 billion flowed into Canadian stocks and bonds over the past year
• Carney government expected to attract record-high foreign investment
• Growing global capital preference for the Canadian market

[Japan Corporate Bonds] saw surge in BBB-rated issuance and rising demand for covenant bonds ^[3]

• Already exceeded full-year 2025 issuance of investor-protection covenant bonds this year
• Lower-rated companies reducing dependence on bank loans
• Diversifying funding channels through the bond market

[Topix Index] faced potential removal of over 600 Japanese small-cap stocks ^[4]

• More than one-third of Topix constituents may be excluded
• Applying new eligibility criteria for inclusion
• Largest-ever reshuffle in Japanese equity market history

[South Korea] faced escalating trade tensions with U.S. Congress over 'fake news law' enforcement ^[6]

• Targets the data privacy law amendment that took effect in July
• Fines up to 1 billion won for outlets with over 100
• 000 subscribers
• Controversy over targeting American companies like YouTube
• Coincides with the Trump administration's new tariffs on South Korea

Sources

• [1] Stocks Edge Up as Korea Gains, Brent Crude Climbs: Markets Wrap - Bloomberg Markets
• [2] Chinese Banks Expand Direct Settlement to Aid Yuan’s Global Role - Bloomberg Markets
• [3] Japan Sees Rush for Covenant Shelter as BBB-Rated Bond Sales Fly - Bloomberg Markets
• [4] Japan Small Caps Face Survival Race as Topix Cull Looms - Bloomberg Markets
• [5] Follow the Money All the Way to Carney's Canada - Bloomberg Markets
• [6] Rep. Jim Jordan, House Republicans raise alarms over new South Korean 'fake news' law - CNBC World Markets