Posts belonging to Category Prices



Chinese shares hit by Trump tariff threat

Chinese stock markets tumbled

US President Donald Trump threatened new tariffs on China, putting a trade deal in doubt.  He said on Twitter the US would more than double tariffs on $200bn (£152bn) of Chinese goods on Friday and would introduce fresh tariffs.

Recent comments had suggested both sides were nearing a trade deal. A Chinese delegation was due to travel to Washington this week for talks aimed at ending the trade war. US media has reported that China is now considering cancelling those talks, that were scheduled to resume on Wednesday.

http://www.bbc.com

Huawei set to win smartphone sales race

Samsung leadership at stake

Huawei is on track to outstrip Samsung to become the world’s biggest-selling smartphone brand by the end of this year. The Chinese tech behemoth said last week that it would tap into its bourgeoning consumer business to sustain growth.

Huawei’s snappy smartphones and laptops, which offer distinct value for money, have poached discerning buyers from Apple and Samsung, helping the Chinese company remain confident despite the US-led blanket ban on its business-to-business telecommunications gear, which has seen revenues from wireless and base station equipment go flat.

http://www.asiatimes.com

Tesla will roll out 1 million robot-taxis next year

Tesla to compete with Uber

On Monday, CEO Elon Musk revealed the company’s plans to compete with incumbents like Uber with the company’s strategy for an autonomous ride-hailing fleet. Robo-taxis are essentially any Tesla vehicle with autonomous-driving functionality. To turn a Tesla into a robo-taxi, a car’s owner simply adds it to the Tesla Network platform by way of the company’s app.
Musk said that by “next year for sure, we will have over 1 million robo-taxis on the road.” Riders will be able to summon a robo-taxi via the same Tesla app – similarly to how they call for an Uber or Lyft today. The key difference, of course, is that there won’t be a driver in the car.
http://www.msn.com/

No-Deal Brexit: the UK will scrap 87% of tariffs

UK will not set up Irish border checks under a no-deal Brexit

The UK would refuse to introduce any Irish border checks and scrap 87% of tariffs on imported goods to the UK if it leaves the EU without a deal, officials have confirmed.

Theresa May’s government published explosive details of the tariff cuts and its Irish border plans after Theresa May’s Brexit deal was defeated heavily in parliament on Tuesday, significantly increasing the likelihood of no deal.

Downing Street would take unilateral measures to maintain an open Irish border by not introducing any new checks or controls on goods moving from Ireland to Northern Ireland, including no customs declarations for normal goods.

http://www.businessinsider.com

Haven, or how to tackle rising health-care costs

The joint health-care venture between Amazon, J.P. Morgan and Berkshire Hathaway finally has a name

Amazon CEO Jeff Bezos, J.P. Morgan CEO Jamie Dimon and Berkshire Hathaway CEO Warren Buffett last January announced they were teaming up to tackle rising health-care costs. They formed a nonprofit company and named renowned surgeon, author and speaker Dr. Atul Gawande as CEO in June.
“We want to change the way people experience health care so that it is simpler, better, and lower cost,” Gawande said in a statement on Wednesday. “We’ll start small, learn from the experience of patients, and continue to expand to meet their needs.”

http://www.cnbc.com/

Oil falls after record U.S. shale output forecast

Shale production alone will hit a record 8.4 million barrels per day next month

Oil fell on Wednesday after the U.S. government said shale output would rise to a record next month, denting a rally that sent prices to their highest this year. Brent futures eased by 53 cents to trade at $65.92 a barrel by 1312 GMT, still within sight of Monday’s high for the year of $66.83. U.S. futures were at $55.77 a barrel, down 31 cents, having touched a 2019 peak of $56.39 earlier.

The U.S. Energy Information Administration said in a monthly report on Tuesday shale production alone will hit a record 8.4 million barrels per day next month, suggesting little chance of a near-term slowdown in overall U.S. crude output.

http://www.reuters.com

Europe sets up scheme to get round US sanctions on Iran

Vehicle will allow European firms to trade more freely with Iran

France, Germany and Britain have set up a financial mechanism designed to avoid US sanctions against Iran and keep the 2015 nuclear deal afloat. Through the Instex trade vehicle, they hope to assert European economic sovereignty in the face of Washington’s determination to impose its foreign policy on Europe. The strategy would initially focus on trying to ease the flow of humanitarian supplies to Iran, the German foreign minister, Heiko Maas, said. Such supplies, including medicines and foodstuffs, are not supposed to be subject to US sanctions.

Eventually, the plan is for the vehicle to expand to allow European firms to trade more freely with Iran in a range of goods, including those subject to US sanctions, the EU foreign affairs chief, Federica Mogherini, said. Instex, which stands for “instrument for support of trade exchanges”, was registered this week, and will act as a proposed payment channel from Europe to Iran, and vice versa. It will not be fully operational until later this year. Iran will be expected to establish a parallel organisation. If the scheme works, it is likely to be most useful to small- and medium-sized firms with no links in the US.

http://theguardian.com

All Venezuelan Oil Will Be Sold In Petro Cryptocurrency

Experts see El Petro as nothing but a scam 

Venezuela’s President Nicolas Maduro said on state television that Venezuela would put in place in 2019 a program to sell all its oil production in the Petro cryptocurrency, which the leader is touting as the first state-backed oil-backed digital currency.

Gradually, Venezuela will sell all its oil production in Petro, Maduro said during a visit to Russia. For 2019, Venezuela will have a timetable to sell all its oil production in the cryptocurrency, its president said. In this way, Venezuela will free itself from the currency used by Washington “to create economic pain” to other countries, and to “persecute countries, as it does with Venezuela, Cuba, Iran, and Russia”, Maduro said.

El Petro, however, is seen by analysts and experts as nothing but a scam and another effort by Venezuela to skirt sanctions and mask the inability to overhaul the ailing domestic economy.

http://www.oilprice.com

 

Paul Krugman: ‘Real Amnesia’ Around Financial Crisis

Next ‘Will Be Worse’

No one knows exactly what will cause the next financial crisis, not even a Nobel Prize-winning economist like Paul Krugman. ‘We are poorly prepared to deal with the next shock. Interest rates are still close to zero in the US and in most of the rest of the advanced world. The fiscal policy we did was badly handled in the aftermath of the 2008 crisis, and there’s no particular reason to think it will be better. In fact, there’s good reason to think it will be worse.”
Surveying the global economy, there is nothing obvious to point to — like the housing bubble in 2007 —as the next big thing primed to crash the markets. Five charts prove that the stock market is on the cusp of crashing by 70%, maybe more.  
The biggest red flag, Krugman says, is selective memory as to why the last crisis happened in the first place, particularly when it comes to shadow banking — institutions that look and function like banks but are not regulated like banks. Economists pointed at the loosely regulated market for repurchase agreements — short-term loans offered to institutional investors — as one of the main culprits behind the last financial crisis.
http://www.moneyandmarkets.com

G20 sets trade war turning point

Last change for a ceasefire

The United States and China have in the coming week what may be their last chance to broker a ceasefire in an increasingly dangerous trade war when their presidents meet in Buenos Aires. With global growth increasingly suffering from frictions between the two biggest economies, tensions will come to a head when Donald Trump and Xi Jingping meet on the sidelines of a G20 summit in Argentina.
They said that time was simply running out before the end of the year to come up with a different tariff schedule. Washington accuses Beijing of not playing fairly on trade while China says the United States is being protectionist.
“If no deal is reached, investors should come to realize that tariffs are no longer a bargaining chip to bring China to the negotiation table,” Daiwa Capital Markets analyst Kevin Lai wrote in a research note.
http://www.reuters.com

Chinese shoppers spend a record $25bn in Singles Day splurge

Four times bigger than Black Friday and Cyber Monday, the biggest shopping day in the US calendar

Shoppers have spent more than $25bn (168.2bn yuan) during China’s annual Singles Day, smashing previous records for the world’s largest retail event.
Single’s Day, promoted annually by Chinese e-commerce giant Alibaba and held on 11 November, was supposedly started by bachelor university students in the 1990s who bought themselves presents as a kind of anti-Valentine’s day. The date 11/11 was chosen for its collection of lonely ones.
Companies offer deep discounts for a range of products sold during the 24-hour period. But some deals have limits, such as the first 33 customers who had the chance to purchase a lifetime supply of the Chinese spirit baijiu for just 1,111 yuan (£1,275).

The New Bear Market In Oil

U.S. shale production is skyrocketing

WTI dipped below $60 per barrel in early trading on Friday, the lowest price level in nearly a year. With prices down more than 20 percent from the October peak, WTI is now officially in a bear market.
Many of the factors that conspired to push oil prices up in recent months have all seemed to reverse course at exactly the same time.
First, U.S. shale production is skyrocketing. The EIA reported an unbelievable increase of 400,000 bpd in U.S. oil production in the first week of November, pushing output up to 11.6 million barrels per day (mb/d). The agency rounds off weekly estimates to the nearest hundred thousand barrels, somewhat obscuring the trajectory of growth, but the huge increase is notable by any standard.

Two-thirds of the S&P 500 is in a correction

Sell-off worsens

Two-thirds of the stocks in the S&P 500 ended the trading session in correction territory or worse on Wednesday, as a sell-off led by technology names deepened a steep drop for the index in October.
When the dust settled on Wednesday, 332 of the S&P’s 505 components — or 66 percent of the index — had fallen by 10 percent or more from their 52-week highs. The S&P 500 fell 3.3 percent at 2,785 amid fears of rising interest rates and the flight from tech stocks.
There were 190 components in correction territory, meaning they have fallen by 10 to 20 percent from their 52-week highs. The stocks in correction included retail names like Michael Kors, financials such as Citigroup, and tech giants Amazon and Google’s parent Alphabet.
http://www.cnbc.com

US and Canada reach deal on NAFTA

The 3 country North American Free Trade Agreement is preserved

Canada has agreed to sign on to a trade deal between the United States and Mexico, preserving the three-country North American Free Trade Agreement after more than a year of tortuous negotiations.
The US and Canadian governments agreed to a deal that would allow US farmers greater access to Canada’s dairy market and address concerns about potential auto tariffs just hours before a self-imposed midnight deadline, a US official and a Canadian official told CNN late Sunday.
The new deal has a new name: the United States-Mexico-Canada Agreement.
http://www.cnn.com

China says U.S. trying to force it to submit on trade

The United States and China imposed fresh tariffs on each other’s goods on Monday as the world’s biggest economies showed no signs of backing down from an increasingly bitter trade dispute that is expected to hit global economic growth. Soon after the new duties went into effect, China accused the United States of engaging in “trade bullyism” and said it was intimidating other countries to submit to its will, the official Xinhua news agency said, reiterating China’s willingness to fight if necessary.
But Beijing also said it was willing to restart trade negotiations with the United States if the talks are “based on mutual respect and equality,” Xinhua said, citing a white paper on the dispute published by China’s State Council. U.S. tariffs on $200 billion worth of Chinese goods and retaliatory tariffs by Beijing on $60 billion worth of U.S. products took effect at midday Asian time, though the initial level of the duties was not as high as earlier feared.
http://www.reuters.com