Wolf Money(world market review 10-16 Jun 2024)

-

 

(Image credit: Freepik.com; Wishing all celebrating this joyous occasion, Selamat Hari Raya Haji)


Market Summary 10-16 Jun 2024

*USA* 

+ Fed leaves policy rate unchanged, scale back to one rate cut in 2024 

+ US annual inflation at 3.3% in May, compared to 3.4% in Apr 

-US producer price index (PPI) fell 0.2% in May compared to Apr

+ US import prices dropped 0.4% in May, first decline in 5 mths, up 1.1% YoY 

-US Uni Michigan consumer sentiment fell 5.1% for 3rd straight mth to 65.6 in Jun, lowest since Nov 

-US initial jobless claims up by 13,000 to 242,000 

+ Nasdaq expects more China IPOs despite geopolitical frictions: exchange official 

-US equity funds saw largest weekly outflow in 18 mths ahead of Fed decision 

-US home sales in May fell to among the lowest levels in the past decade, both demand and supply remained sluggish in high mortgage rate environment: Redfin 

+ US mortgage applications up 15.6% in week ending Jun 7

+ US executive pay rises at fastest rate in 14 yrs 

+ Pentagon picks Blue Origin, SpaceX, ULA in US$5.6b rocket program 

-Boeing told suppliers it is delaying a key production milestone for its 737-jet family by 3 mths 

-Apple, Meta will likely face charges for failing to comply with landmark tech rules 

+ Tesla shareholders approved CEO Elon Musk’s US$56bn pay package

+ Vanguard voted in favour of Elon Musk’s US$56bn pay package, contributed to the passage of record-setting pay package  

+ OpenAI CEO told some shareholders that company could become for-profit corporation

+ Coca-Cola, Starbucks file to extend trademarks in Russia

*SOUTH AMREICA*

+ Chile officially submitted application to join RCEP, looks forward to becoming first Latin American country to join  

*CHINA*

+ China’s CPI rose by 0.3% YoY in May, PPI falls 1.4% 

+ China’s foreign trade first 5 mths recorded yearly increase of 6.3% to ¥17.5 trillion 

+ China issued 50-year ultra-long special treasury bonds worth ¥35bn with interest of 2.53% in major boost for economy 

+ Chinese banks issued ¥950 bn new loans in May vs ¥730 bn in Apr: Reuters 

-China hints at WTO lawsuit against EU tariffs on Chinese EVs, reiterates vow to take all ‘necessary measures’

-Chinese firms asked govt to launch anti-dumping investigation into pork import from EU, anti-subsidy into EU dairy: state media 

+ Shanghai Tech Exchange (STEX) set to expand to HK 

+ China >1500 listed companies in A-share market announced buybacks so far this year 

+ Xpeng’s flying car takes first flight in Beijing, closer to commercialising its aircraft  

+ Shanghai allowing 10 Tesla to carry out tests of most advanced autonomous driving software to pave way for its rollout in China 

+ China selected nearly 7000 tech companies eligible for nearly established tech relending program, to boost innovation 

+ China-Europe freight trains reached 1724 runs in May, carried 186,000 standard containers goods, hitting new monthly record 

+ Chinese Premier to visit New Zealand, Australia, Malaysia to boost in boost for cooperation 

+ China to place New Zealand in list of visa-free countries 

*EUROPE*

-EU will hike tariffs on Chinese EVs to 38%, up from current level 10% on Jul 4, unless talks with China can resolve subsidies issue 

-EU industries that may be probed by China includes pork, dairy, cars, brandy 

+ Eurozone’s trade surplus in goods estimated at €15bn in Apr 

+ EU wants to keep Russia-Ukraine gas transit: Bloomberg 

-BMW’s all-electric Mini made in China set to be hit by the highest EV tariff of 38.1% under EU’s provisional plans 

+ HSBC completed acquisition of Citi’s retail wealth management business in Chinese mainland 

-France CAC 40 dropped by 3% as inflation rate up 0.1% to reach 2.3% in May 

-Moscow Exchange to halt trading in dollars, euros from Jun 13 

+ Russia’s GDP grew 5.4% YoY in Q1, annual inflation jumped to 8.3% in May vs 7.8% in Apr to 15-mth high

+ Russian Central Bank: Yuan to replace dollar as Russia’s main foreign currency

+ Russia overtook US as gas supplier to Europe in May 

-Turkey imposed 40% duty on vehicles imported from China  

*ASIA*

+ Japan rate hike in July is “naturally possible” depending on economic data: BoJ’s Ueda 

+ BoJ announced detailed plan next mth on reducing its nearly US$5 trillion balance sheet, keeps rates steady 

-Japan at least 50% exports of semiconductor manufacturing equipment went to China for a 3rd straight qtr in Q1

+ South Kores’s exports to US surpassed those to China in first 5 mths 

+ Indonesia President-elect Prabowo aims to raise debt-to-GDP ratio toward 50%

+ Myanmar revived stalled infrastructure projects with China and Russia 

+ Malaysia’s GDP to grow 4%-5% in 2024, aided by export recovery: FM

+ Malaysia PM Anwar meets Singapore counterpart Lawrence Wong to discuss ways to further strengthen bilateral relations 

+ Malaysia to build container port near KL, estimated RM2bn port will utilize AI to improve operational efficiency  

+ Malaysia govt is focusing on efforts to boost public transport networks, infrastructure, quality of service: PM

+ Sg open to new ideas including HSR during Leaders’s Retreat this year: Lawrence Wong 

-Global congestion raised container prices in Singapore by 26% since Oct 

+ URA opens bids for Dairy Farm, Tengah, Bayshore sites, offer total potential supply of 1915 residential units 


Contribution by Derek@valueinvestments chat group. Thank you

Please consider following us on telegram for the latest update on Lone Wolf investor by clicking on the link below. No form filling, no payment required, no collection of data, no data mining, no hard selling, no obligation. 

https://t.me/joinchat/oCgkD3sQFRMzMWM1



Disclaimers 

All investments is highly speculative in nature and involves substantial risk of loss. We encourage our reader to invest very carefully. We also encourage reader to get personal advice from your professional investment advisor and to make independent investigations before acting on information that we publish. Much of our information is derived directly from information published by companies or submitted to governmental agencies on which we believe are reliable but are without our independent verification. Therefore, we cannot assure you that the information is accurate or complete. We do not in any way whatsoever warrant or guarantee the success of any action you take in reliance on our statements. All information provided are for education only. Buyer beware,do you own due diligence.

Comments

Post a Comment

Popular posts from this blog

Wolf Money(Portfolio update for end April 2024)part 1

-
Image
  (Image credit The Star Media) (Swamp of people going into Shenzhen) Bye Singapore! Hi Malaysia, 2026 This write-up was inspired by a video posted on YouTube. The video talks about Hong Kong hollowing out by Shenzhen. The recent phenomenon of Hong Kongers going to Shenzhen to play, eat and stay is gathering pace with close to 2 millions making the crossing to Shenzhen during the recent Easter Holiday. That is close to 30% of the current HK population leaving for Shenzhen. With deflation taking root in China, things are much cheaper in Shenzhen. The poor economy in HK is another push factor with Hong Kongers trading down their consumption. One traveller from HK mentions his spending in the mainland only cost him 1/3 of the usual price he paid in Hong Kong. Hong Kongers are shopping at Sam’s Club in Shenzhen buying everything from groceries to electronics. The commentator interviewed restaurants and shop owners in HK, most experienced a 30% drop in sales during the holiday.  *T...
Read more

Wolf Money(The death of the Singapore Stock Market-My view on the final offer for Great Eastern Holdings)

-
Image
(The Death of the Singapore Stock Market) Great Eastern Holdings(extract from end of month portfolio update) Today we are here to attend the funeral of the Singapore stock market. Besides the low valuation suffered by our market participants, investors of our market have to navigate the complexity of low ball offers from majority shareholders. One would expect a local banking giant to lead as a beacon for good corporate governance. Unfortunately, they have decided to turn a blind eye and join the dark side of the forces, blatantly ignoring the IFA report to pay a fair price for GEH. I could have walked away quietly by accepting the offer for a gain in excess of 40% in 3 months, but I can’t walk away without my conscience pushing me to express my thoughts on this whole takeover saga. I started the journey by supporting Chin Woo. His leadership is top-notch. I think most minority shareholders will agreed, without Chin Woo’s effort, the minority would have been in a much inferior position...
Read more

Wolf Money(My views on Great Eastern offer)

-
Image
   (Image credit: NLB archive: Singapore Press Holdings; An old article on OCBC previous takeover of GEH in 2006. Is the end game near for the longest takeover exercise in Singapore corporate history that stretches across two decades?) Great Eastern Holdings(extract from end May portfolio update) First of all before I go further, the views shared are mine, alone. It doesn’t reflect anybody views and it is also not to undermine the good work of the independent financial advisors which are been tasked to assess the fairness of this voluntary unconditional general offer by OCBC. Kindly do take my commentary with a pinch of salt given my vested interest in GEH. My view shouldn’t be taken as cardinal truth on what you should do with your GEH shares. Kindly do your own due diligence and seek professional advice. I praise and thank OCBC for starting the ball rolling with this privatisation offer. I believe the bank is capable of doing more for Great Eastern’s minorities. The offer of...
Read more