Chinese stocks and oil prices fell sharply early on Monday, after protests in many cities against tough Covid restrictions, while the country posted another record high tally of Covid casesChinese stocks and oil prices fell sharply early on Monday, after the country posted another record high tally of Covid infections. Investors were worried about developments in major cities after an extraordinary weekend of protests across the country over restrictive coronavirus curbs – civil unrest rarely seen over the last decade. Health authorities reported a fifth straight daily record of new local cases of 40,052 on Monday, up from 39,506 a day earlier. The protests raised worries about the management of China’s zero-Covid policy and its impact on the world’s second-largest economy, while Chinese censors scrambled to remove related images and posts. The deadly fire fuelled speculation that Covid curbs in the city, parts of which had been under lockdown for 100 days, had hindered rescue and escape, which city officials denied.
Samsung Electronics says it expects its supply of memory chips will grow faster than its peers – as it plans to proceed with planned investments totalling tens of billions of dollars. It plans to invest 54 trillion won this year, including 47.7 trillion won ($34 billion) earmarked for its semiconductor and components business. For NAND flash chips, Samsung forecast the market may not recover in 2023. Even so, it said it would boost shipments of memory chips at a faster rate than its peers across the industry. Samsung’s operating profit fell to 10.85 trillion won ($7.7 billion) for the July-September quarter, from 15.8 trillion won a year earlier, the first year-on-year decline in nearly three years as its chip business profit fell to 5.12 trillion won from 10.07 trillion won a year earlier.3 months ago Asia Financial
Beijing has yet to say if Xi will attend. Like many up-and-comers, he is a former subordinate from Xi’s days as party chief of the eastern province of Zhejiang. Other pro-reform policymakers excluded from the party’s new central committee were outgoing economic czar Liu He, 70, and central bank party chief Guo Shuqing, 66. Also among the newcomers is Ding Xuexiang, who was Xi’s chief of staff and named to the new Standing Committee. He is widely expected by party watchers to be confirmed as ranking vice premier in March.3 months ago Asia Financial
Officials have been sealing up buildings, shutting off residential districts – moves that have thrown millions into distress amid a scramble to halt widening outbreaks. As of Monday October 24, some 28 cities were implementing varying degrees of lockdown measures, with around 207.7 million people affected in regions responsible for around 25.6 trillion yuan ($3.55 trillion) of China‘s gross domestic product, according to Nomura. Mainland China shares edged lower on Thursday as the outbreaks and gloomy data on a Covid-battered industrial sector hurt sentiment. “Many of my friends and coworkers have been under lockdown at home,” said Guangzhou resident Lily Li, 28, said. Other large cities across China including Zhengzhou, Datong and Xian have implemented new curbs this week to rein in local outbreaks.3 months ago Asia Financial
The timing caught investors off guard, pushing the yen up roughly 4% against the dollar, its largest one-day gain in 24 years. Benchmark Japanese 10-year yields rose to their highest in seven years, effectively doubling long-term borrowing costs. As other central banks, from the Bank of England, to the European Central Bank, and the Reserve Bank of Australia, have raised their own rates, dollar bulls have run out of puff. But the dollar could, until now, count on its edge against the yen, to prolong its bull run. The surge in front-end rates as well as the dollar’s overall appreciation have pushed hedging costs of holding US fixed-income assets for Japanese investors.1 month ago Asia Financial
Although the tech sector ended lower, chip-related stocks surged, with Tokyo Electron’s 4.6% jump making it the Nikkei’s best performer. MSCI’s broadest index of Asia-Pacific shares outside Japan was 0.64% lower but above the two-and-a-half year low it touched on Thursday. The Shanghai Composite Index rose 0.13%, or 3.88 points, to 3,038.93, while the Shenzhen Composite Index on China’s second exchange fell 0.24%, or 4.74 points, to 1,966.93. European stock futures indicated stocks were set to decline, with Eurostoxx 50 futures down 0.92%, German DAX futures down 1.04% and FTSE futures down 0.47%. In the currency market, the Japanese yen breached a fresh 32-year low, and last traded at 150.39 per dollar.3 months ago Asia Financial
China stocks sank again on Friday, with CSI 300 Index falling 2.5% and the Hang Seng plunging 3.7% to hit new lows since 2008; most other Asian markets edged downChina stocks suffered another slump on Friday, while the Nikkei slipped and most other Asian markets edged down. The unexpected results sent the CSI 300 Index down 5.4% for the week, the biggest weekly fall since July 2021. Stocks tumbled across the board on Friday, with Hong Kong-listed Chinese tech giants down 5.6% leading the decline. Tech stocks fell 2.2% after the Nasdaq closed lower overnight as investors contended with solid economic data and a mixed bag of corporate earnings. It has been disappointing earnings forecasts that have hit markets in recent days.3 months ago Asia Financial
Yoon held a video call with Tesla chief executive Elon Musk last week and Yoon’s office cited Musk as saying South Korea is among the top candidate locations for a new Tesla factory. Yoon said South Korea offers highly skilled workers and his government would ensure regulations align with international standards so that foreign firms do not face unexpected financial or regulatory hurdles. ALSO SEE:Truckers StrikeYoon credited his government’s tough response to labour union strikes this year for starting the process of establishing a rule of law in industrial relations for both management and labour. About 9,600 truckers have joined the strike organised by the truckers’ union, demanding a permanent guarantee of a minimum freight rate to protect against rising and unpredictable fuel costs and overwork. “The militant union culture is a serious problem in South Korean society,” Yoon said.2 months ago Asia Financial