49 minutes ago
Traditional policy measures unlikely to boost China’s economy, says GROW’s Hong Hao
Hong Hao, partner and chief economist at GROW Investment Group, told CNBC Wednesday that many of the previous policy measures will have the desired effect of stimulating the Chinese economy, which is currently in a “very complicated” situation. I said I can’t.
Hong told Sri Jegaraja and Samantha Vadas in an interview with Squawk Box Asia that “inflation will (and will) continue to decline in the coming months, but that shouldn’t surprise anyone.” .
He said that depending on the economic situation, stronger policy intervention may be needed, and monetary easing in the form of lower reserve requirements and interest rates, but considering M2’s strong growth, it is the world’s No. The second largest economy does not need additional liquidity, he added. and lower interest rates.
He added that gradual and targeted policies by the central bank of China and other government agencies to address various economic problems in the world’s second-largest economy have not produced the desired results.
— Clement Tan
1 hour ago
China imports and exports expected to fall further in May
Economists polled by Reuters expect China’s exports to plummet to a 0.4% decline in May from an 8.5% rise in April. China is due to release trade data for May later on Wednesday.
Meanwhile, imports are expected to fall another 8% in the month, following a 7.9% decline in the previous month.
In US dollar terms, China’s trade surplus is estimated to increase from $90.21 billion to $92 billion.
China’s offshore yuan has been trading at a depreciation level of more than 7 yen against the US dollar since the end of May.
China is also expected to release inflation data later this week, which could further fuel speculation about government stimulus measures.
“RRR [reserve Requirement ratio] With inflation so low, rate cuts and cuts are clearly an option, and the situation calls for stronger policy tools to stimulate the economy,” said Hao, chief economist at Grow Investments. Hong told CNBC on Wednesday.
– Lee Ji Hye
6 hours ago
How Apple’s stock will follow WWDC, historically
Following the debut of Apple’s mixed reality headset, CNBC took a look at what tends to happen to the tech giant’s stock after its release.
Since 2016, it has been found that Apple stock has risen the day after every WWDC event.
7 hours ago
Boeing down on new flaw warnings
Boeing stock fell more than 2% after the aircraft maker warned of new flaws in its 787 Dreamliner model.
“We are inspecting our inventory of 787 aircraft for non-conforming horizontal stabilizer attachments,” Boeing said in a statement. “Aircraft found to be in non-conforming condition will be refurbished prior to ticketing and delivery.”
A manufacturing defect could affect the delivery of wide-body aircraft.
See chart…
Boeing shares plunge on defect warnings
— Leslie Josephs, Samantha Subin
7 hours ago
World Bank Says Global Growth Will Slow in 2023 on High Inflation and Bank Stress
The World Bank said Tuesday that rising interest rates and overhangs from this year’s banking crisis will significantly slow economic growth in the world’s largest economy.
The agency said it expects advanced economies such as the United States, Japan and eurozone countries to grow by just 0.7% in 2023, up from 2.6% in 2022.
The US is expected to grow by 1.1%, while the Eurozone and Japan are projected to grow less than 1% in 2023 GDP. US GDP growth is expected to slow to 0.8% in 2024 as high interest rates further constrain growth.
The bank expects global growth to slow from 3.1% in 2022 to 2.1% in 2023. GDP in emerging and developing economies is expected to rise slightly to 4%, up 0.6% from the bank’s forecast for January 2023. But World Bank Chief Economist Indermit Gill said growth in the developing world, excluding China, would be less than 3%.
Learn more about the report here.
— Ha Kyung Kim
8 hours ago
TopGolf Callaway Rises After Pro Golf League Merger Agreement
See chart…
Shares of the Top Golf Callaway brand rose on Tuesday.
Terms of the merger were not disclosed, but CNBC’s David Faber reported Tuesday that the Saudi Public Investment Fund is ready to invest billions in the combined golf league. So some investors may be betting that interest in golf could accelerate in the years to come.
“The capital injection from PIF represents a strong commitment to the growth and promotion of golf on a global scale.With this capital injection, the newly formed company will be able to expand the reach of golf and develop a wider fan base. It will allow us to embark on an ambitious effort aimed at “the base,” Jefferies analyst Randal Konik said in a note to clients.
— Jesse Pound
