**[Bitunix Analyst: Policy Tools Are Becoming Financialized, Global Markets Are Trading Not Just Interest Rates, But Institutional Credibility]** BlockBeats News, August 4 — A unified signal has emerged from global markets: governments worldwide are intervening in market operations with unprecedented intensity. Investors are no longer solely focused on economic data itself but are increasingly concerned about whether policy tools still possess sufficient credibility and execution capability. The U.S. Treasury has raised its borrowing estimate for the third quarter to $739 billion, indicating that pressure from U.S. debt supply will continue to increase. Meanwhile, Federal Reserve official Williams maintains the stance that inflation will ultimately return to 2%. However, in an environment where market reliance on the Fed's forward guidance is gradually diminishing and long-term yields remain elevated, what monetary policy truly needs to repair is market trust in the policy trajectory, not just inflation expectations themselves. Similarly noteworthy is Japan's apparent intervention in the foreign exchange market last week, reportedly deploying approximately $34 billion. The U.S. Treasury's public support for expanding discussions around the FIMA tool suggests that stabilizing the yen is no longer solely Japan's unilateral effort to maintain exchange rates but also involves preventing Japan from selling off large portions of U.S. Treasury holdings, which could disrupt the global bond market. This indicates that the U.S. is attempting to use financial tools to stabilize its allies while reducing liquidity risks in its own bond market. The focus of policy coordination is gradually shifting from pure monetary policy to the stability of the global financial system. On the other hand, the Trump administration faces dual challenges both domestically and internationally. Twenty-five states have jointly filed lawsuits against the latest tariff measures, reflecting how tariff policy has evolved from an international trade issue into a legal battle over domestic institutional and administrative authority. Additionally, Trump's public demand for oil companies to lower retail fuel prices underscores the growing importance of energy prices to political approval ratings. However, the true determinant of oil prices remains whether the Strait of Hormuz can resume normal passage. Although Trump has signaled willingness to negotiate, Iran has refused to fully reopen the strait, and there remains a significant gap between the two sides' positions. This suggests that the risk premium associated with energy supply disruptions is unlikely to be fully eliminated in the short term. It is also worth noting that the U.S. is simultaneously advancing an AI governance framework, reflecting how AI competition is gradually shifting from computing power, chips, and capital expenditures to the authority to establish institutional and regulatory standards. As major economies intensify policy interventions across monetary, energy, technology, and trade sectors, the future competition in global capital markets will revolve not just around corporate profitability but also around whether national policies exhibit consistency, predictability, and the ability to maintain market trust in institutional credibility. In such an environment, asset price fluctuations will increasingly stem from adjustments in policy expectations rather than changes in fundamental factors themselves.