18 September 2019

Macro Economy

  • US President Donald Trump and Chinese President Xi Jinping in Osaka in June. The intensifying US-China trade war stoked market fears that the global economy will tip into recession. Photo: Reuters

    US-China trade war escalates as more tariffs unveiled

    Aug 24, 2019 8:50am
    US President Donald Trump lashed back at a new round of Chinese tariffs by heaping an additional 5 percent duty on some US$550 billion in targeted Chinese goods in the latest tit-for-tat trade war escalation by...
  • The negative supply shocks from the US-China trade and technology war would be more or less permanent, as would the reduction in potential growth. Photo: Reuters

    The anatomy of the coming recession

    - Aug 23, 2019 10:38am
    There are three negative supply shocks that could trigger a global recession by 2020. All of them reflect political factors affecting international relations, two involve China, and the United States is at the center of each....
  • Minutes from the US central bank's July policy meeting have revealed that several policymakers were opposed to a rate cut. Photo: Reuters

    Fed minutes show deep divisions on rate cut

    Aug 22, 2019 9:22am
    US Federal Reserve policymakers were deeply divided over whether to cut interest rates last month but were united in wanting to signal they were not on a preset path to more cuts, Reuters reports, citing minutes...
  • US President Donald Trump said he believes a trade deal with China is still possible. Photo: Reuters

    Trump: ‘I am the chosen one’ to take on China over trade

    Aug 22, 2019 8:16am
    US President Donald Trump said he is “the chosen one” to address trade imbalances with China, even as congressional researchers warned that his tariffs would reduce US economic output by 0.3 percent in 2020, Reuters reports....
  • US President Donald Trump talks to reports at the White House in Washington on Tuesday. Photo: Reuters

    Trump looking at possible tax cuts amid recession fears

    Aug 21, 2019 9:49am
    US President Donald Trump said his administration was considering potential tax cuts on wages as well as profits from asset sales, and sought to play down market anxieties that the world’s top economy could be heading...
  • Premier Li Keqiang wants to create a more representative and market-driven benchmark and help small companies cut financing costs.  Photo: CNSA

    Premier Li acts to lower funding costs for small businesses

    - Aug 19, 2019 5:02pm
    Central banks are cutting interest rates to stimulate economic growth. India, Australia and Thailand have announced rate cuts over the last two months. In China, Premier Li Keqiang has unveiled a reform aimed at lowering funding...
  • Exports in July fell 1.6 percent from a year earlier, dragged down by China-bound shipments of car parts and semiconductor production equipment. Photo: Reuters

    Japan exports slip for eighth month as sales to China drop

    Aug 19, 2019 12:23pm
    Japan’s exports slipped for an eighth month in July while manufacturers’ confidence turned negative for the first time in over six years as China-bound sales slumped again in a fresh sign the Sino-US trade war could...
  • Under the People's Bank of China reform, banks must set rates on new loans using the new loan prime rate as the benchmark for floating lending rates rather than the PBoC benchmark bank lending rate. Photo: Reuters

    PBoC: New loan benchmark to be based off medium-term liquidity

    Aug 19, 2019 11:40am
    A new benchmark interest rate Chinese banks will need to use to set lending rates will be linked to the central bank’s medium-term liquidity facility, a People’s Bank of China policy adviser told state media on...
  • The US Commerce Department  said it will extend the Huawei licensing process for three months as a gesture of “good faith” amid broader trade negotiations with China. Photo: AFP

    Trump does not want to do business with Huawei

    Aug 19, 2019 9:45am
    US President Donald Trump on Sunday said he did not want the United States to do business with China’s Huawei even as the administration weighs whether to extend a grace period for the company. Reuters and...
  • The US economy remains in 'pretty good shape' despite the China trade conflict, says White House economic adviser Larry Kudlow. Photo: Reuters

    White House dismisses recession fears

    Aug 19, 2019 9:42am
    US President Donald Trump and top White House officials dismissed concerns that economic growth may be faltering, saying on Sunday that they see little risk of recession despite a volatile week on global bond markets, Reuters...
  • China is very keen to put an end to the trade war through a deal with Washington, according to Donald Trump. Photo: Reuters

    US, China in ‘productive’ trade talks, says Trump

    Aug 16, 2019 9:01am
    American and Chinese negotiators are engaged in “productive” trade talks, US President Donald Trump said on Thursday, adding that he expects the two sides to meet in September. “September, the meeting is still on as I understand...
  • It is too early to assess where US-China trade talks stand, US Commerce Secretary Wilbur Ross said on Wednesday. Photo: Reuters

    China made no concessions after Trump delays tariffs: US

    Aug 15, 2019 9:38am
    China made no trade concessions after the United States postponed 10 percent tariffs on over US$150 billion worth of Chinese imports, senior US officials said on Wednesday, Reuters reports. “This was not a quid pro quo,”...
  • China is the world’s biggest importer of gold, sucking in around 1,500 tons of metal worth some US$60 billion last year. Photo: Bloomberg

    China curbs gold imports as trade war heats up: report

    Aug 15, 2019 9:27am
    China has severely restricted imports of gold since May in a move that could be aimed at curbing outflows of dollars and bolstering its yuan currency as economic growth slows, Reuters reports. The world’s second-largest economy...
  • A screen shows the numbers after the closing bell at the New York Stock Exchange on Wednesday. Photo: Reuters

    Selloff on Wall Street as recession fears take hold

    Aug 15, 2019 8:58am
    US stocks fell sharply on Wednesday, with all the three major indexes crashing about 3 percent, as recession fears gripped the market after the US Treasury yield curve temporarily inverted for the first time in 12...
  • If China intervenes directly to crack down on Hong Kong protesters, the US will review the special trade status granted to Hong Kong, US lawmaker Ben Cardin warned. Photo: Reuters

    US senator warns China on HK trade status if it intervenes

    Aug 14, 2019 3:10pm
    A prominent US senator warned China on Tuesday that Hong Kong could lose its special US trade status if Beijing intervenes directly to crack down on pro-democracy protests in the city, Reuters reports. “I can assure...
  • Chinese authorities will be concerned over July economic data, which showed marked weakening in industrial output and retail sales growth, among other key indicators. Photo: Reuters

    China industrial output growth falls to 17-year low

    Aug 14, 2019 12:03pm
    China reported a slew of weak economic data on Wednesday, including a slide in industrial output growth to a more than 17-year low, as the country grapples with a US trade war. Industrial output grew 4.8...
  • US President Donald Trump’s unpredictability has heightened risks for exporters and anyone else responsible for making long-term investment decisions. Photo: Bloomberg

    Trump’s one-way economy

    - Aug 14, 2019 10:25am
    Nowadays, when people ask me how I am, I answer, jokingly, that I’m doing great, so long as I ignore Donald Trump’s presidency in the United States, Brexit, the crisis of the United Kingdom’s major political...
  • Donald Trump said he decided to delay new tariffs on Chinese goods in order to reduce their impact on US holiday shoppers. Photo: Reuters

    Trump delays tariffs on some Chinese goods

    Aug 14, 2019 9:10am
    The Trump administration announced on Tuesday that new tariffs on some Chinese goods will be delayed from the previous schedule of Sept. 1, a move aimed at blunting their impact on US holiday sales  The delay,...
  • The RMB's exchange rate is 'appropriately aligned with fundamentals of China’s economy and market supply and demand,' a PBoC official says. Photo: Bloomberg

    China’s currency at appropriate level: PBoC official

    Aug 13, 2019 4:53pm
    China’s currency, the renminbi, is at an appropriate level now, a senior central bank official said on Tuesday, adding that two-way fluctuations in the unit will not necessarily cause disorderly capital flows. “The current level of...
  • Analysts expect the People's Bank of China to cut banks’ reserve requirement ratios further in coming months, on top of six reductions since early 2018. Photo: Bloomberg

    China new loans dip more than expected in July

    Aug 13, 2019 9:38am
    China’s banks extended surprisingly fewer new yuan loans in July, while growth of money supply and total social financing also slowed, raising pressure on the central bank to ease policy further to support the slowing economy....