18 January 2019

Macro Economy

  • Hong Kong may not be in a position to follow US rate hikes next year, given the huge liquidity in the local banking system, some observers say. Photo: Reuters

    Interest rates and property market in HK: The outlook

    - Dec 12, 2018 1:05pm
    In an economic forum organized jointly by the Hong Kong Economic Journal and Metro Radio, the messages that emanated from keynote speakers, who included HSBC Asia Pacific advisor George Leung, Hong Kong Chief Executive Carrie Lam and...
  • US President Donald Trump expressed optimism that he could strike a trade deal with Chinese President Xi Jinping. Photo: Reuters

    Trump says he would intervene in case against Huawei CFO

    Dec 12, 2018 10:32am
    US President Donald Trump said he will intervene with the US Justice Department in the case against a top executive of Chinese telecommunications giant Huawei Technologies if it would help secure a trade deal with Beijing. “If...
  • Volatility in financial markets and signs of an overseas slowdown have raised doubts the Federal Reserve can carry through with three rate hikes next year. Photo: Bloomberg

    Fed seen slowing, or even stopping, rate hikes next year

    Dec 11, 2018 8:29am
    The Federal Reserve’s plans to continue raising interest rates next year were met with more skepticism on Wall Street, with futures traders betting on a pause, Reuters reports. The US central bank is still seen raising...
  • A Toyota Motor assembly line. The sharp decline in the capital expenditure component of the GDP raised worries about business spending in Japan. Photo: Reuters

    Japan quarterly GDP contracts at fastest pace since 2014

    Dec 10, 2018 11:09am
    The Japanese economy contracted the most in over four years in the third quarter as capital expenditure tumbled, raising concerns about demand at home and overseas as the export-reliant nation grapples with global trade frictions, Reuters...
  • China reported far weaker than expected November exports and imports, showing slower global and domestic demand. Photo: Bloomberg

    US wants trade deal by March 1 or new tariffs will be imposed

    Dec 10, 2018 7:31am
    US-China trade negotiations need to reach a successful end by March 1 or new tariffs will be imposed, says US Trade Representative Robert Lighthizer. “As far as I am concerned it is a hard deadline. When...
  • US Trade Representative Robert Lighthizer, a known China hardliner, has been appointed to lead the American side in the trade negotiations with Beijing. Photo: Reuters

    Lighthizer appointment signals tough trade talks ahead for China

    - Dec 7, 2018 9:37am
    US President Donald Trump has picked top American trade envoy Robert Lighthizer, a China hardliner, to lead the negotiations with China. During the administration of Ronald Reagan, Lighthizer had led talks with the Soviet Union and Japan, and...
  • Donald Trump said on Wednesday that he believes Chinese leader Xi Jinping had been sincere during their meeting last Saturday in Buenos Aires to hammer out progress over trade. Photo: Reuters

    China ‘confident’ it can reach US trade deal

    Dec 6, 2018 8:56am
    China said on Wednesday that it will press ahead with trade negotiations with the United States and that it is confident of reaching a deal within 90 days as per an agreed timetable. In a statement,...
  • Tax reduction and stimulation of domestic consumption are some key short-term measures that  China should focus on to revitalize its economy, observers say. Photo: Reuters

    Talks with US critical but China’s own reform the real key

    - Dec 5, 2018 12:36pm
    In the Trump-Xi meeting at the G20 summit in Argentina late last week, the atmosphere was far less intense than what was seen during the APEC summit in Papua New Guinea two weeks ago when Washington...
  • US President Donald Trump and Chinese President Xi Jinping agreed to step up talks to resolve the trade conflict. Photo: Reuters

    One Trump-Xi meeting, two versions of the agreements

    - Dec 4, 2018 4:40pm
    The long-awaited meeting between US President Donald Trump and Chinese President Xi Jinping at the G20 summit in Buenos Aires finally came to pass at the weekend, and the foreign ministers of both nations described it...
  • Washington says it will monitor closely Chinese progress on enforcing some trade-related commitments following a 90-day truce deal reached last weekend. Photo: Reuters

    US seeks immediate action from China on trade commitments

    Dec 4, 2018 8:56am
    The United States said it expects immediate action by China on trade issues, including lower tariffs on automobiles and measures against intellectual property theft and forced technology transfers, after a deal reached by the countries’ leaders...
  • Increased gridlock in Washington is likely to dampen investors’ appetite for risk, putting downward pressure on rates. Photo: Reuters

    With US midterm elections over, markets may feel relief

    - Dec 3, 2018 11:28am
    The US midterm elections on Nov. 6 resulted in a divided Congress – commonly referred to as “gridlock” – that has several economic implications: • President Donald Trump’s economic agenda – centered around tax reform, deregulation...
  • Argentina's President Mauricio Macri and the G20 leaders attend a plenary session at a summit in Buenos Aires, Argentina over the weekend. Photo: Handout via Reuters

    G20 leaders back reform of WTO

    Dec 3, 2018 9:27am
    The Group of 20 industrialized nations backed an overhaul of the World Trade Organization (WTO) following a summit in Buenos Aires, Argentina, marking a victory for US President Donald Trump. In a communique issued on Saturday after...
  • US President Donald Trump and his Chinese counterpart Xi Jinping attend a working dinner after the G20 leaders’ summit in Buenos Aires, Argentina on Dec. 1, Photo: Reuters

    US, China agree on trade war ceasefire

    Dec 3, 2018 8:56am
    China and the United States have agreed to halt additional tariffs as the two sides engage in new trade negotiations with the goal of reaching an agreement within 90 days. The ceasefire in the trade war came...
  • China's official Purchasing Managers’ Index for the manufacturing sector fell to 50 in November, missing market expectations and down from 50.2 in October. Photo: Bloomberg

    China factory growth stalls as orders shrink

    Nov 30, 2018 11:32am
    Growth in China’s vast manufacturing sector stalled for the first time in over two years in November as new orders shrank, Reuters reports. The official Purchasing Managers’ Index (PMI), released on Friday, fell to 50 in...
  • Continued rate-hikes by the Fed and the strong need for the US government to keep issuing more bonds could put further pressure on the US dollar bond market. Photo: Bloomberg

    Is the decade-long credit bubble ready to burst?

    - Nov 30, 2018 11:06am
    Over a 10-week period ending November 16, investors have withdrawn as much as US$24.8 billion from the credit markets, the highest such pullout since the beginning of 2016. Meanwhile, speculators are now holding nearly 1.26 million...
  • The scale of the trade war between the United States and China is 20 percent larger than commonly reported, according to the Global Trade Alert report. Photo: Reuters

    US trade curbs have hit US$369 billion of China exports: monitor

    Nov 30, 2018 8:05am
    US trade restrictions have hit a total of US$369 billion of Chinese exports this year, much higher than the US$278 billion of goods impacted by tariffs alone, Reuters says, citing a regular monitoring report of G20...
  • US President Donald Trump, with First Lady Melania Trump, speaks to reporters before departing for the G20 summit in Buenos Aires, where protesters display a "Baby Trump" balloon on Thursday. Photo: Reuters

    Trump says China trade deal close, but not sure he wants one

    Nov 30, 2018 7:49am
    US President Donald Trump has sent mixed signals about the prospects for a trade deal with China, saying an agreement was close but he was not sure he wanted one, Reuters reports. “I think we’re very...
  • Newly manufactured cars at Dalian port in Liaoning province. China exported 53,300 vehicles to the US market last year and imported 280,208 US manufactured vehicles. Photo: Reuters

    US threatens to raise tariffs on Chinese vehicles

    Nov 29, 2018 12:08pm
    US Trade Representative Robert Lighthizer said he is examining all available tools to raise US tariffs on Chinese vehicles to the 40 percent duties that China is now charging on US-produced vehicles, Reuters reports. Lighthizer said on Wednesday...
  • Bank of England Governor Mark Carney: “Our job is not to hope for the best but to prepare for the worst.”  Photo: Bloomberg

    No-deal Brexit could be worse than financial crisis for UK: BoE

    Nov 29, 2018 9:46am
    Britain risks suffering an even bigger hit to its economy than during the global financial crisis 10 years ago if it leaves the European Union in a worst-case Brexit scenario in four months’ time, the Bank...
  • Federal Reserve Chairman Jerome Powell speaks at the Economic Club of New York luncheon in Manhattan on Wednesday. Photo: Reuters

    Fed’s Powell says rates just below neutral after Trump attacks

    Nov 29, 2018 7:30am
    US Federal Reserve Chairman Jerome Powell said the central bank’s policy rate is now “just below” estimates of a level that neither brakes nor boosts a healthy US economy, comments that many investors read as signaling...

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