20 July 2017

Macro Economy

  • Kaisun Energy suffered from the slump in commodity prices and losses from impairment of mining assets and supply chain management receivables. Photo: Kaisun

    HK must change mentality to seize Belt & Road opportunities

    - Jul 20, 2017 8:30am
    Hong Kong’s government, companies and people need to change their mentality if they are to seize the business opportunities offered by Beijing’s One Belt, One Road (B&R) initiative, said the chairman of a company which has...
  • Neither the US Treasury nor the Chinese embassy offered explanations for why their news conferences scheduled for late afternoon were canceled. Photo: Reuters

    US, China conclude economic talks but outcome unclear

    Jul 20, 2017 8:01am
    Senior US and Chinese officials concluded contentious economic talks on Wednesday but the outcome was clouded by the cancellation of closing news conferences and US demands for a “more fair” trading relationship with Beijing. US Treasury...
  • Washington wants "specific deliverables by specific dates" with regard to expanding the US market access in China, says US Commerce Secretary Wilbur Ross. Photo: Reuters

    US seeks targeted commitments from China on market access

    Jul 19, 2017 8:36am
    The United States will be looking for specific agreements this week from Beijing on the issue of expanding the US access to the Chinese market, top officials in the Donald Trump administration said on Tuesday. Treasury...
  • In a 3,300-word report by Xinhua news agency on the National Financial Work Conference, Xi Jinping's remarks took up two-thirds of it to stress stability over development. Photo: Xinhua

    Xi Jinping sharpens focus on financial stability

    - Jul 18, 2017 10:09am
    The once-every-five-years National Financial Work Conference might be the most important thing that happened over the weekend. The conference has been convened every five years since 1997 and is widely considered to set the tone for...
  • Washington wants NAFTA partners to ensure improved access for American goods, US Trade Representative Robert Lighthizer says. Photo: Reuters

    US unveils negotiating strategy for NAFTA revision

    Jul 18, 2017 8:13am
    The United States on Monday unveiled a tough negotiating strategy for revising the North American Free Trade Agreement (NAFTA), vowing, among other things, to deter currency manipulation by trading partners. In a document sent to lawmakers...
  • Property curbs and a tight grip on local government debt may constrain domestic demand in the second half. Photo: Reuters

    China growth outlook less rosy than trade number suggests

    - Jul 17, 2017 5:03pm
    On the surface, China’s latest trade data indicates a rather promising economic outlook. Imports rose 17.2 percent in June in US dollar terms, and exports also increased — by 11.3 percent — leading to a trade...
  • A shopping mall under construction in Chongqing. Consumption picked up while investment remained strong in the second quarter.  Photo: Reuters

    China GDP growth tops forecasts on firm investment, consumption

    Jul 17, 2017 2:20pm
    China’s economy grew faster than expected in the second quarter as industrial output and consumption picked up and investment remained strong, though analysts expect slower growth over the rest of the year as policymakers seek to...
  • American beef is now available in Chinese shops for the first time since 2003, giving US ranchers access to a rapidly growing market worth around US$2.6 billion last year. Photo: Bloomberg

    US-China trade talks yield initial deals as deadline ends

    Jul 17, 2017 8:42am
    Bilateral talks aimed at reducing the US trade deficit with China have yielded some initial deals, but US firms say much more needs to be done as a deadline for a 100-day action plan expired on...
  • US President Donald Trump has accused China of dumping steel and destroying the US steel industry. Photo: Xinhua

    Trump considering quotas, tariffs on Chinese steel dumping

    Jul 14, 2017 8:37am
    US President Donald Trump said he is considering quotas and tariffs to deal with the “big problem” of steel dumping from China and others. “They’re dumping steel and destroying our steel industry, they’ve been doing it...
  • US Trade Representative Robert Lighthizer said since the trade deal took effect, the US trade deficit in goods with South Korea has doubled from US$13.2 billion to US$27.6 billion. Photo: Bloomberg

    US to renegotiate free trade deal with South Korea

    Jul 13, 2017 10:21am
    The United States notified South Korea it plans to start negotiating amendments to a five-year-old free trade agreement with Seoul and called a meeting to kick off the talks for next month.  The announcement came months...
  • Fed chair Janet Yellen said reductions in the Fed's portfolio of more than US$4 trillion in securities are likely to begin "this year". Photo: Reuters

    Yellen says rate and bond plans on track, cautions on inflation

    Jul 13, 2017 8:27am
    The US economy is healthy enough for the Federal Reserve to raise rates and begin winding down its massive bond portfolio, though low inflation and a low neutral rate may leave the central bank with diminished...
  • National Economic Council director Gary Cohn is not likely to reverse the Federal Reserve's direction toward normalization if he is appointed to the central bank, analysts said. Photo: Bloomberg

    Trump seen replacing Yellen at Fed with NEC’s Cohn: Politico

    Jul 12, 2017 8:35am
    US President Donald Trump is increasingly unlikely to nominate Federal Reserve chair Janet Yellen next year for a second term, and National Economic Council director Gary Cohn is the leading candidate to succeed her, Politico reported...
  • Still-high leverage and a relatively stable economic growth rate suggest the Chinese central bank has neither room nor urgency to change its neutral to slightly tight monetary policy. Photo: China Daily

    Where is China’s monetary policy heading?

    - Jul 10, 2017 4:41pm
    A national financial work conference is approaching in China, and financial regulation has once again become a key topic. There had been much talk earlier that China intends to create a super financial regulator through the merger...
  • Launching the balance-sheet plan in September would give Fed Chairwoman Janet Yellen an opportunity to initiate it well ahead of any potential leadership transition.  Photo: Reuters

    Fed eyes September announcement on balance-sheet reduction

    Jul 5, 2017 8:27am
    Federal Reserve officials have indicated there is a strong chance they will announce in September a decision to start shrinking the central bank’s portfolio of bonds and other assets, while putting off until December any further...
  • Details of the White House's tax plan remain sparse as President Donald Trump's advisers attempt to win over fiscally conservative Republicans in Congress. Photo: Bloomberg

    IMF cuts US growth forecasts over Trump fiscal plan uncertainty

    Jun 28, 2017 8:27am
    The International Monetary Fund cut its growth forecasts for the US economy to 2.1 percent for both 2017 and 2018, dropping its assumption that President Donald Trump’s tax cut and fiscal spending plans would boost growth....
  • The Rockefeller example shows the importance of passing on family values along with the family wealth. Photo: Rockefeller Center

    What the family feuds in Hong Kong and Singapore tell us

    - Jun 19, 2017 10:00am
    A local real estate clan has come under spotlight recently after the matriarch filed a suit against a bank that serves as a trustee of the family business. The family trust owns 33 percent of the...
  • Federal Reserve chair Janet Yellen says the balance sheet normalization could be put into effect 'relatively soon'. Photo: Reuters

    Fed raises rates, unveils balance sheet cuts

    Jun 15, 2017 9:42am
    The Federal Reserve raised interest rates on Wednesday for the second time in three months and said it would begin cutting its holdings of bonds and other securities this year, signaling its confidence in a growing...
  • Industrial output grew at a steady 6.5 percent pace in May from a year earlier, defying expectations for a slight softening. Photo: Reuters

    China’s economy holds up in May but investment cooling

    Jun 14, 2017 3:42pm
    China’s economy generally remained on solid footing in May, but tighter monetary policy, a cooling housing market and slowing investment reinforced views that it will gradually lose momentum in coming months, Reuters reports. Still, with half...
  • Coal producer Shenhua Group is said to be in merger talks with power firm China Guodian. Photo: Sina

    Why China’s A-shares may struggle going forward

    - Jun 12, 2017 4:55pm
    Chen Yulu, deputy governor of the People’s Bank of China (PBoC), said early this month that China will pursue “neither loose nor tight” monetary policy to ensure basically stable liquidity. The central bank wants to lead...
  • Hong Kong's growing integration with China brings tremendous opportunity to the former British colony, but "it also increased competition and concentrated economic dependency", S&P Global Ratings said. Photo: AFP

    Hong Kong seen as more vulnerable to China hard landing

    Jun 12, 2017 3:29pm
    Hong Kong has become more dependent on the mainland for growth than in 1997, and would be more vulnerable to economic fallout if China were to suffer a hard landing or financial crisis, S&P Global Ratings...

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