November 23, 2024

Valley Post

Read Latest News on Sports, Business, Entertainment, Blogs and Opinions from leading columnists.

Chinese economic data, Japanese GDP misses expectations

Chinese economic data, Japanese GDP misses expectations

Shares of Chinese companies fall in Hong Kong after news of US plans to delist

The fund manager says the bear market rally will not continue and reveals how he set it up

Paul Meeks, chief tech investor, reveals whether it’s time for a big tech effort

Technology stocks were among the hardest hit in the first half of the year as investors fled to safety amid a broad market sell-off. But investor interest in the sector appears to be picking up again, begging the question – is it time to return to the sector?

Senior tech investor and portfolio manager Paul Meeks shares his strategy for sector trading, what he’s seeing in the market and his best ideas in the field.

Find out more on CNBC Pro.

– Xavier Ong

Professor says high prices in Japan discourage spending

Sayori Shirai, a professor at Keio University, said Japan’s GDP in the April-June quarter missed expectations, in part due to higher prices.

Consumption growth has not been strong despite the easing of Covid restrictions because gasoline, utilities and food prices are “too expensive,” she told CNBC’s “Squawk Box Asia” programme.

She said people go to restaurants and amusement parks, but high prices discourage spending.

On the other hand, capital spending was higher than the markets had expected, but Shirai said this is not surprising.

“I think that was kind of expected because the January-March numbers were negative, and we know that big companies need to spend a lot of money on capital expenditures because of AI and digitalisation,” she said.

– Abigail Ng

China’s industrial production and retail sales data miss estimates

China’s factory and consumer data for July fell short of estimates, According to official data.

Industrial production grew 3.8%, less than the 4.6% expected in a Reuters poll and slightly less than the 3.9% figure reported in June.

Retail sales rose 2.7% in July compared to the same period in 2021, below the 5% growth forecast.

– Abigail Ng, Evelyn Cheng

China’s central bank unexpectedly cuts interest rates

The People’s Bank of China reduced its one-year medium-term lending facility on 400 billion yuan ($59.3 billion) in loans to some financial institutions by 10 basis points to 2.75%, according to an announcement on the central bank’s website.

According to Reuters, all 32 respondents in last week’s survey expected the medium-term lending facility rate to remain flat.

The People’s Bank of China (PBOC) also lowered the seven-day reverse repo rate by 10 basis points to 2%.

– Abigail Ng

Japan’s GDP is growing, but it misses estimates

Preliminary estimates showed that Japan’s annual gross domestic product grew 2.2% in the April-June quarter compared to the previous quarter.

That’s less than the expected 2.5% increase based on expectations in a Reuters poll.

– Abigail Ng