China News

 

Chinese streets with lights and high buildings

Chinese New Year celebrations extended as Coronavirus is spreading

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  The Chinese New Year celebrations have been extended to 2nd February to accommodate those affected by the shutdown on transport routes. That shut down of the stable door may have happened after this particular horse has bolted. There…
Chinese Yuan and US Dollar banknotes

Asian markets suffer natural and economic issues

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  Pound picks up on industrial results European Central Bank announcement high priority today North America turns to employment figures   Coronavirus concerns are spooking Asian markets, with parts of China closed…
US Dollar and Chinese banknotes next to each other

US-China trade deal is only a break on a long journey

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  German growth expected at worst in 7 years Rand strength should follow forecast improvement in Retail Sales   The US-China trade deal due to be signed today should not be considered as a destination for this process;…

Boris brings Brexit back…

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Sterling slipped this morning on the news that Boris Johnson plans to take a hard position on the Brexit transition period and to utilise the Withdrawal Bill so there would be no extension to the transition.

Sterling holds on to post-election bounce

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10 sleeps to go before the big day and three sleeps since that other big day. It was interesting to see that the pre-Christmas and post-election boost in Sterling held up well over the weekend, as the returned Prime Minister went on a charm offensive across the northern areas of the UK that elected a Tory MP for the first time in decades or for the first time ever.

Much more for markets before there is time to be thankful

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You would be forgiven for thinking that it may be quiet in the US for Thanksgiving week, but there are a number of key economic announcements expected and, as always, a public holiday can lead to increased activity in the currency markets

Are Australian interest rates heading lower again?

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Overnight news from Australasia has got tongues wagging. The Reserve Bank of Australia (RBA) mooted the idea of printing money (quantitative easing as we all know it). They don’t seem keen to do so, though, and markets took that as a sign that Aussie interest rates are heading lower again. The longer term Australian bond market rates are down and appear to be factoring in at least one more 25 basis point rate cut.

Can this phone call be a breakthrough in the US-China standoff?

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People are talking about cinema chain, Vue, banning the showing of Blue Story, as though it is racist or classist or some kind of ‘ist’, but, if you are seeing violence perpetrated on your premises and your staff and clients are at risk, I think you are entirely within your rights to protect everyone. In fact, it would be negligent not to. Vue are under no obligation to show any movie. And it isn’t without precedent. A Clockwork Orange was banned in a number of areas when it was released in 1971. I was underage, I’ll admit it, but managed to sneak in with some friends at The Warner West End in Leicester Square (as it was known then). I didn’t attack anyone with a machete when I left, though...

US-China tensions bite back

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As if the US and China didn’t have enough disagreements, the US Congress is condemning China’s handing of the Hong Kong protests and that has escalated tensions once again. The impact in the financial markets is a general shift of investor funds into the safety of US Treasuries; causing the 10 year bond yields to fall and, oddly, we have also seen the US Dollar weaken a tad.  At the interbank level, Sterling is pushing above USD 1.29 again and the Euro is half a cent higher; just below USD 1.11.

Trade and political tensions driving currency markets

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The data diary for the US is light this week, in the run up to the Thanksgiving holiday, but some key announcements include Tuesday’s home construction figures and the Jobless Claims report due on Thursday. Housing starts showed a drop for September, which was hoped to be a temporary blip, so those keeping a close eye on the US markets will have been relieved to see a significant rebound this time around, with building permits up to the highest level since 2007.