BEIJIJNG: A replica of the Palace of Versailles, medieval turrets, and spires rise across Huawei’s new campus in southern China, a monument to the telecom giant’s growing fortune – and the benefits of state aid. The fairytale-like facilities rest on land that was sold by the local government at cut-rate prices to woo and bolster a strategic, high-tech company like Huawei. It is the kind of government largesse that has fanned US frustrations at China’s industrial policies – subsidies are a sticking point in protracted trade talks between the world’s top two economies. Huawei has become a major flashpoint in the trade war, with President Donald Trump taking steps to block the company’s dealings with US companies, threatening its global ambitions. With the dispute shining a spotlight on China’s technological shortcomings, the subsidies are a window into the kind of measures Beijing may step up as trade negotiations founder. Huawei’s … [Read more...] about Huawei a key beneficiary of China subsidies that US wants ended
Bank rates refinance
Money’s pulling power on show
The event, which got under way yesterday at Impact Muang Thong Thani in Bangkok, continues until May 19. The queues began appearing several hours before the venue’s doors were opened to the public. The exhibition has grown into one of the biggest banking events of the year, with financial institutions from around the country gathering to promote their financial products to customers. However, for the bulk of those consumers waiting patiently in line since dawn, there was only one bank on their minds. Their mission was to be accepted into the Special 106 Days Savings Promotion programme offered by the Government Savings Bank (GSB). “I have been waiting here since 5 in the morning,” said Bandit Yingsitthisakkong, age 41, a GSB customer who volunteered to organise a customer-run queuing system in front of the expo venue. “The reason why so many people want to make deposits with the GSB is because of its special promotion being … [Read more...] about Money’s pulling power on show
Indonesia posts biggest trade deficit ever in April
JAKARTA: Indonesia posted its widest monthly trade deficit in history in April as exports slumped, while the pace of fall in imports was slower than expected, data from the statistics bureau showed on Wednesday (May 15).The resource-rich country booked its first trade deficit in three months at US$2.5 billion in April, and it was the widest ever, according to Refinitiv Eikon data.This compared with a median forecast of US$500 million deficit in a Reuters poll and a US$671 million surplus a month before.The data makes the central bank even less likely to ease monetary policy in the near term, said Wisnu Wardana, Bank Danamon's economist in Jakarta."We think there's a slim chance of shift in monetary stance for the time being," he said.Bank Indonesia (BI) has been pressured to cut interest rates after the US Federal Reserve turned dovish and Indonesian data, including benign inflation and weakening gross domestic product (GDP) growth, augur well for such a move.But officials have … [Read more...] about Indonesia posts biggest trade deficit ever in April
Mexico’s rising oil nationalism faces debt-rating crisis
MEXICO CITY: Mexican President Andres Manuel Lopez Obrador took office in December vowing to revive state-owned energy company Pemex and put the brakes on foreign investment to give the public a bigger cut of the country's oil wealth.The leftist oil nationalist's ambitions include building a new US$8 billion refinery, refurbishing existing refineries and reversing a steady decline in crude production.The problem is that such expensive plans - for the world's most indebted oil company - have alarmed credit rating agencies, which are threatening to downgrade Pemex bonds to "junk" status.A downgrade could cripple the president's bold energy agenda, along with his plans to use new oil revenue to help finance social welfare programs. It could also imperil Mexico's sovereign creditworthiness.With US$106 billion in financial debt, Pemex would likely see borrowing costs soar as many investors dump its bonds. After Brazilian state oil firm Petrobras had US$41 billion of its bonds classified as … [Read more...] about Mexico’s rising oil nationalism faces debt-rating crisis
Futures eke out gains as investors look past Fed decision
Business U.S. stock index futures were modestly higher on Thursday, as investors looked past the Federal Reserve's patient stance on monetary policy and awaited more earnings reports. 02 May 2019 07:45PM Bookmark REUTERS: U.S. stock index futures were modestly higher on Thursday, as investors looked past the Federal Reserve's patient stance on monetary policy and awaited more earnings reports.The benchmark S&P 500 index snapped a three-day streak of record high closes on Wednesday as comments from Fed Chairman Jerome Powell appeared to dampen expectations of an interest rate cut this year.The Fed signaled little appetite to adjust rates any time soon, taking heart in continued job gains and economic growth and the likelihood that weak inflation will edge higher.Traders of U.S. short-term interest rate futures trimmed bets the central bank would cut rates before the end of the year.Investors were occupied by corporate earnings, in what is one of the season's busiest … [Read more...] about Futures eke out gains as investors look past Fed decision