China's producer prices decline, while consumer inflation slows due to weak demand.

In November, China's factory-gate prices fell annually for the second consecutive month, while consumer inflation slowed, reflecting lackluster activity and soft demand in an economy hampered by strict economic controls.

Analysts anticipated that the government will maintain low interest rates and implement confidence-building measures.

According to data released by the National Bureau of Statistics (NBS) on Friday, the producer pricing index (PPI) was down 1.3% on a year-over-year basis, unchanged from October's yearly decline. This was less than the 1.4% decline predicted by a Reuters poll.

The consumer price index (CPI) grew at its slowest rate in eight months in November, up 1.6% from a year earlier, which was smaller than the 2.1% annual increase observed in October but in line with a Reuters poll.

According to Zhiwei Zhang, chief economist of Pinpoint Asset Management, "these figures show the economic momentum continues to decline."

Tuesday's high-level political conference, a convening of the ruling Communist Party's Politburo, emphasized that in 2023 the government will prioritize stabilizing growth, boosting domestic demand, and opening the country to the outside world.

Zhang stated that the government would take additional efforts to stimulate the economy, despite easing pandemic curbs over the last week.

"The Politburo meeting... highlighted low confidence as a significant economic issue," he stated. The rapid speed of reopening demonstrates the administration's sense of urgency; I anticipate the government to do more to bolster market and household confidence.

This year, growth in the world's second-largest economy has slowed, primarily due to the inflexible COVID-19 restrictions, while global demand has also weakened.

Comments

Stock futures fall after major averages show more losses to start the week.

Stock futures went down Tuesday morning after the Bank of Japan said it would change its yield target range. Futures linked to the Dow Jones Industrial Average fell by 236 points, or 0.72 percent. Both S&P 500 futures and Nasdaq 100 futures fell by 0.86 and 1.05 percent, respectively. During regular trading on Monday, the Dow lost more than 162 points, or about 0.5%. The S&P 500 lost 0.9%, and the Nasdaq Composite lost nearly 1.5%. Stocks are likely to end the month and the year in the red, and investors' hopes for a Santa Claus rally are fading fast. "There's still no sign of Santa. "Harness up," said Louis Navellier, who started the growth investing firm Navellier & Associates. "One would like to think all the bad news is out. There are no more Fed moves until at least February. We're not getting worse, but we're also not making up for last week's losses." Investors worried that the Federal Reserve could tip the economy into a ...

Indian Law Enforcement Charges WazirX Exchange With $130M Laundering.

India's Financial Crimes Enforcement Directorate (ED) is investigating cryptocurrency exchanges suspected of processing transactions that transported over 10 billion rupees, or $130 million, from organizations under investigation to worldwide wallets. An official told The Economic Times that at least ten crypto exchanges are implicated, and WazirX's bank accounts were stopped. Companies under investigation for instant loans allegedly made transactions of up to 1 billion rupees, or $1.3 million, in the names of unrelated people. These firms often have Chinese ties. The agency alleged that no increased due diligence or suspicious transaction reports were lodged with the ED despite KYC/AML procedures indicating problematic transactions. Last Friday, the ED blocked WazirX bank accounts containing 647 million rupees, or $8.1 million, alleging that the exchange supported 16 fintech companies under investigation for money laundering. WazirX posted a statement on its blog Tuesday ...

Governor-in-exile reports an attack on "Wagner HQ."

Ukrainian soldiers, according to the governor-in-exile of Luhansk in eastern Ukraine, have attacked the headquarters of the Russian Wagner mercenary outfit. Serhiy Haidai reported considerable damage to the hotel where the group had convened in Kadiivka, Luhansk. Unfortunately, the BBC was unable to confirm Wagner's presence at the hotel independently. There was also heavy fighting in southern Ukraine over the weekend, with Russian forces attacking the city of Odesa and Ukrainian forces bombing a target in the captured city of Melitopol. Western experts have concluded that Wagner are state-sponsored mercenaries working to advance the interests of the Kremlin. Yevgeny Prigozhin, a former restaurateur and close associate of Russian President Vladimir Putin, established the private military business that has been repeatedly accused of war crimes and human rights abuses. Wagner forces have been sent to Crimea, Syria, Libya, Mali, and the Central African Republic before. Mr. Haidai said...

Search This Blog