The Chinese yuan is emerging as the next major currency to closely monitor in the aftermath of the dramatic reversal of the Japanese yen carry trade.   The yen carry trade’s unraveling is now front and center for global investors, many of whom are now speculating on the potential implications for the yuan. Central to […]

The post Yuan on the brink of a breakthrough appeared first on Asia Times.

The recent decline in global chip stocks – with industry giants like ASML, Nvidia, and Taiwan Semiconductor Manufacturing Company (TSMC) taking significant hits – signals more than just market volatility. Rather, it underscores the critical need for strategic realignment in the face of geopolitical upheaval coming mainly from the US, the world’s largest economy. The […]

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The urgency for further, robust stimulus measures from Beijing has never been more pronounced.  Contrary to the high inflation plaguing the US and Europe, China faces a disconcertingly low inflation rate, with the Consumer Price Index (CPI) showing a mere 0.3% increase year-on-year. This tepid growth signals a persistent deflationary threat that could undermine economic […]

The post Urgent need for much more stimulus from Beijing appeared first on Asia Times.

The recent US debate was not kind to Joe Biden. The president’s lackluster performance has prompted discussions about potential replacements, with California Governor Gavin Newsom’s name gaining particular traction.   This scenario has already found considerable favor in China. There are compelling reasons why Newsom’s ascension could be beneficial for both US-China relations and the […]

The post Newsom a better bet than Biden for China ties appeared first on Asia Times.

China’s recent economic data presents a mixed, yet promising, picture of its ongoing and evolving economic recovery.  While industrial expansion showed signs of slowing in May, retail spending surged past forecasts, suggesting a potential easing of the deep imbalances that have long-plagued China’s economy.  This development indicates that government efforts to boost consumption might finally […]

The post China retail surge hints at economic rebalancing appeared first on Asia Times.

Narendra Modi’s Bharatiya Janata Party (BJP), which has held a commanding presence in the Indian parliament, has lost its outright majority. This political shake-up triggered immediate turbulence in the financial markets. The shock outcome means that the Indian prime minister will have to rely on smaller allies to form a coalition – a significant shift […]

The post India investor appeal to survive Modi vote setback appeared first on Asia Times.

The recent escalation in US-China trade tensions, marked by the imposition of significant tariffs on Chinese electric vehicles (EVs) and a subsequent Chinese anti-dumping probe, signals the potential onset of a renewed trade war between the world’s two largest economies. The news builds on President Joe Biden’s calls last month to extend tariffs on Chinese […]

The post US-China trade war puts investors in harm’s way appeared first on Asia Times.

Chinese President Xi Jinping’s two-day state visit to France starting Monday, coupled with stops in Serbia and Hungary, is garnering significant attention from global investors amid escalating trade tensions between China and the European Union (EU).  With ongoing EU probes into alleged market-distorting practices by Beijing and its electric vehicle operations, and a parallel Chinese […]

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Microsoft and Alphabet, the parent company of Google, have sent a resounding message to investors with their latest quarterly results: investments in artificial intelligence (AI) and cloud computing are yielding remarkable returns.  The companies exceeded Wall Street estimates, buoyed by a surge in cloud revenue driven in part by the exponential growth of AI services. […]

The post The smart money has AI in its portfolio appeared first on Asia Times.

China’s first-quarter gross domestic product (GDP) surpassed market expectations, indicating a promising start to the year for the world’s second-largest economy.  The National Bureau of Statistics said, “Generally speaking, the national economy got off to a good start in the first quarter . . . laying a good foundation for . . . the whole year.” After jumping into the figures, I […]

The post Three takeaways from China’s upbeat Q1 growth appeared first on Asia Times.

The inclusion of Indian government bonds in two prestigious global indexes, the JPMorgan Government Bond Index-Emerging Markets (GBI-EM) and Bloomberg Index Services’ Emerging Market Local Currency Government Index, has sent ripples of optimism throughout global markets. This historic milestone not only signifies India’s growing integration with the global economy but also heralds a new era […]

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The US dollar is emerging as a dominant force in 2024 currency markets, defying expectations of a decline after a period of relative strength.  This unexpected dollar rally, which has seen the greenback surge by more than 2% since the beginning of the year, is putting new pressure on currencies across Asia. As analysts, myself […]

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Japan implemented negative interest rates in January 2016, surprising global markets with an unconventional monetary policy to combat deflation and stimulate economic growth. The policy, implemented after other monetary moves failed to have the desired effects, has sought to encourage banks to lend, consumers to spend and businesses to invest by penalizing holding excessive reserves. […]

The post When Japan ends negative interest rates appeared first on Asia Times.

Singapore Prime Minister Lee Hsien Loong has disclosed that a private agreement was secured to have Taylor Swift perform exclusively in the city-state during her The Eras Tour, preventing her from staging performances in other Southeast Asian nations. ″(Our) agencies negotiated an arrangement with her to come to Singapore and perform and to make Singapore […]

The post Taylor Swift row points to healthy ASEAN competition appeared first on Asia Times.

The announcement by former US president Donald Trump that he would impose additional tariffs on Chinese goods, potentially exceeding 60%, if he were to win the US election in November, is sparking concern among global investors.  This move, if implemented, could have profound implications across various sectors, causing volatility in financial markets, disruptions in supply […]

The post Trump’s 60% China tariffs would roil markets appeared first on Asia Times.

MSCI (Morgan Stanley Capital International), a leading global index provider, has decided to slash dozens of Chinese companies from its global benchmarks. This decision comes on the heels of the turmoil in China’s stock market, which witnessed trillions of dollars in value wiped out.  Simultaneously, MSCI has elevated India’s weightage in its Global Standard (Emerging […]

The post MSCI move on China, India stocks reshapes investment landscape appeared first on Asia Times.

As China grapples with a stock rout and economic challenges, the recent move to tighten trading restrictions signals a concerted effort by authorities to stabilize markets. The chaotic trading that led to shares sinking to a five-year low has prompted policymakers to reassess their strategies.  The cumulative effect of three years of economic downturn, erasing […]

The post China needs bold, open-door policies for economic resurgence appeared first on Asia Times.

Hong Kong will further strengthen its position as a leading global crypto hub should the recent submission of the first spot Bitcoin exchange-traded fund (ETF) application to the Securities and Futures Commission (SFC) be approved. The Hong Kong arm of Harvest Fund Management, a major Chinese asset manager, reportedly submitted the application on Friday to […]

The post Spot Bitcoin ETF set to galvanize HK’s status as crypto hub appeared first on Asia Times.

Japanese government bonds experienced a drop on Tuesday, driven by what many analysts are interpreting as hawkish comments from Bank of Japan governor Kazuo Ueda. The central bank’s signals are prompting investors around the world to reconsider their strategies and adjust their expectations, with a prevailing view emerging that the BOJ might raise interest rates […]

The post Will Bank of Japan raise rates in first half of 2024? appeared first on Asia Times.

Since the first rays of the new-year sun illuminated the Tokyo skyline, they have cast a warm glow on Japan’s stock market, which has witnessed a remarkable rally in the early days of 2024.  Investors, both domestic and international, are buoyed by a sense of optimism as they anticipate a positive turn for the Japanese […]

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