Here is what you need to know on Monday, July 20:

Deutsche Bank strategists highlight that rising Oil and gas prices, escalating US–Iran tensions and renewed doubts over the AI (Artificial intelligence) trade weighed on global equities.

Commerzbank’s Thu Lan Nguyen notes that the Pound initially strengthened as markets welcomed Andy Burnham’s rapid move into 10 Downing Street and hopes for reduced political turmoil.

USD/IDR halts its four-day losing streak, trading around 18,020 during the Asian hours on Monday. The pair appreciates as the Indonesian Rupiah (IDR) faces headwinds from rising crude oil prices.

The AUD/JPY cross gains ground to near 113.55 during the early European session on Monday. The Australian Dollar (AUD) edges higher against the Japanese Yen (JPY) due to the interest rate differential between the Reserve Bank of Australia (RBA) and the Bank of Japan (BoJ).

US President Donald Trump said that the latest US strikes on Iran were being carried out in honour of US service members killed in recent days, the Guardian reported on Monday. 

The People’s Bank of China (PBOC), China's central bank, announced to leave its Loan Prime Rates (LPRs) unchanged on Monday. The one-year and five-year LPRs were at 3.00% and 3.50%, respectively. 

China PBoC Interest Rate Decision meets expectations (3%)

United Kingdom Rightmove House Price Index (YoY) rose from previous -0.5% to -0.4% in July

United Kingdom Rightmove House Price Index (MoM) declined to -1% in July from previous -0.6%

New Zealand Trade Balance NZD (MoM) declined to $23M in June from previous $800M

New Zealand Trade Balance NZD (YoY): $-3.74B (June) vs previous $-3.36B

New Zealand Imports fell from previous $8.08B to $8.07B in June

New Zealand Exports: $8.09B (June) vs previous $8.88B

The United States (US) said airstrikes on Sunday aimed to "punish" Iran over the first US military deaths since renewed hostilities with the Islamic republic, Bloomberg reported.

United Overseas Bank (UOB) strategists Quek Ser Leang and Lee Sue Ann note that USD/CNH is currently consolidating in a narrow range around 6.77. In their 1–3 week view, they maintain a downside bias toward 6.7600 as long as strong resistance at 6.7820 remains intact.

DBS Group Research economist Ma Tieying analyzes the latest Bank of Korea (BoK) decision, noting a hawkish shift as the base rate is raised to 2.75%. The report now anticipates a faster tightening cycle, with the policy rate reaching 3.25% by year-end 2026.

Commerzbank’s Dr. Henry Hao argues China’s housing market remains in structural stagnation five years after the Evergrande crisis. National prices follow an L-shaped path, with a K-shaped divergence between Tier-1 and lower-tier cities.

Australia CFTC AUD NC Net Positions down to $-30.7K from previous $-24.7K

Japan CFTC JPY NC Net Positions increased to ¥-122.7K from previous ¥-123.8K

United States CFTC Oil NC Net Positions fell from previous 75.7K to 62.7K

United Kingdom CFTC GBP NC Net Positions up to £-71.3K from previous £-87.9K

United States CFTC Gold NC Net Positions fell from previous $194.2K to $186.7K

Eurozone CFTC EUR NC Net Positions climbed from previous €-16.2K to €-12.6K

United States CFTC S&P 500 NC Net Positions: $-38.9K vs $-42.9K

United Overseas Bank (UOB) strategists Quek Ser Leang and Lee Sue Ann note USD/SGD has stabilised after an earlier sell-off, with spot around 1.2905 and intraday price action expected to stay confined between nearby support and resistance.

Royal Bank of Canada (RBC) economists Nathan Janzen and Abbey Xu expect Canada’s June Consumer Price Index to show headline inflation easing to 2.8% year-over-year from 3.2% in May, mainly on lower energy prices.

Wells Fargo Economics has raised its global Gross Domestic Product (GDP) forecast to 2.7% for 2026 and trimmed global Consumer Price Index (CPI) to 4.3%, reflecting a slightly lower Oil price path.

Federal Reserve (Fed) Bank of Cleveland President Beth Hammack said in a LinkedIn post on Friday that inflation pressure remains broad-based, with businesses calling for policy action and consumers expressing a growing sense of despair as they struggle to cover their expenses.

TD Securities’ Robert Both expects Canadian headline CPI to ease to 2.9% year-on-year in June, with a 0.2% monthly decline driven by sharply lower Energy prices.