Saturday, September 18

Stock Market

Stock Market

South Korea’s government sees tech firms as the new chaebol
Stock Market

South Korea’s government sees tech firms as the new chaebol

A FEW MONTHS ago Kim Beom-su looked like the face of responsible capitalism in South Korea. In March the billionaire founder of Kakao, which runs the country’s most successful messaging app and a slew of other digital services, promised to give away half his wealth for charitable causes, the second Korean tycoon to make that pledge. Now he is making headlines for some less salubrious reasons. Antitrust officials have reportedly set their sights on his private holding company for allegedly failing to report properly on its shareholders and affiliates.The apparent move against Kakao’s founder is the latest salvo in an ongoing battle. Like their counterparts in America and China, South Korea’s technology giants have come under scrutiny. Officials worry that as firms such as Naver, which began...
EXCLUSIVE China brokers drop yuan forecasts to avoid regulators ire – Reuters
Stock Market

EXCLUSIVE China brokers drop yuan forecasts to avoid regulators ire – Reuters

A China yuan note is seen in this illustration photo May 31, 2017. REUTERS/Thomas White/IllustrationOnshore brokers avoid public USD/CNY forecastsTraders say shift follows regulatory warning against speculationMay obstruct market finding a consensus projectionSINGAPORE, Sept 15 (Reuters) - Brokerages in China have dropped detailed currency forecasts from their research notes, or have restricted access to them, underlining the growing sensitivity in the financial sector to a regulatory clampdown on speculative investment.Their disappearance follows pressure to avoid stockmarket forecasts as well as a ban by authorities on publishing commodity prices, amid a series of sprawling crackdowns that are re-shaping China's economy and upending financial markets. It also comes at a delicate mome...
Is America Inc getting less dynamic, less global and more monopolistic?
Stock Market

Is America Inc getting less dynamic, less global and more monopolistic?

Sep 13th 2021CONCERNS ABOUT the health of corporate America are many and varied. Chief executives are chastised for their apparent short-termism. Their companies are berated for fetishising shareholders over everyone and everything else. Elon Musk, boss of Tesla, an electric-car maker, grumbles about a surfeit of business-school graduates who are stifling innovation. President Joe Biden frets as much about American companies losing out to China as Donald Trump did (albeit with less bile). He also worries about the concentration of power among America’s biggest firms.All this paints a picture of America Inc that looks stodgier, more parochial and increasingly monopolistic. If true, that would be bad news for the spiritual home of free-market capitalism. But is it? The Economist set out to t...
East Africa: EAC Stockmarkets Bank On Investment Clinics to Woo Firms, End IPO Drought
Stock Market

East Africa: EAC Stockmarkets Bank On Investment Clinics to Woo Firms, End IPO Drought

East African stock exchanges are racing to establish investment clinics to help attract companies to the stockmarkets and end the persistent initial public offering (IPO) drought. The Dar es Salaam Stock Exchange (DSE) joined Nairobi Securities Exchange (NSE) and Rwanda Stock Exchange (RSE) in implementing capacity building and training programmes for small and medium-sized enterprises (SMEs) looking to gain visibility and raise capital at the stockmarket. In August, the DSE launched and started implementing the DSE Enterprise Acceleration Programme (DEAP) dubbed "Endeleza Project" which aims at, among other things, creating a database of potential issuance and listing entities where they will receive training on strategic planning, bookkeeping and accounting, administration, human resou...
Germany’s DAX blue-chip stockmarket index gets an update
Stock Market

Germany’s DAX blue-chip stockmarket index gets an update

THE STOCKMARKET index of Germany’s bluest chips is getting a makeover. Any week now the DAX will gain ten new members, bringing the total to 40. The newcomers will be the most valuable German firms not already in the index (so long as they can show two years of positive earnings before interest, taxes, depreciation and amortisation). The new DAX could reach €2trn ($2.4trn) in market value, from €1.6trn today. A few faster-growing members may boost the index’s mediocre returns. But probably not by much.For more expert analysis of the biggest stories in economics, business and markets, sign up to Money Talks, our weekly newsletter.This article appeared in the Business section of the print edition under the headline "Germany’s DAX blue-chip stockmarket index gets an update"
FED has backed themselves into a corner…. In other words, they’re trapped
Stock Market

FED has backed themselves into a corner…. In other words, they’re trapped

FED has backed themselves into a corner…. In other words, they’re trapped pic.twitter.com/xbBuNgdh86 — Farris BABA (@farrisbaba) September 4, 2021 "Financial bubbles tend to expand slowly and then pop with a loud bang, like the housing bubble that popped in 2008 and caused a financial crisis." t.co/2pEqr1jaA6 — Nomi Prins (@nomiprins) September 4, 2021 #recession … #StockMarket #Bubble edition#smallcaps $IWM #RTY_F t.co/82AX8kLpYz — Invariant Perspective (@InvariantPersp1) September 4, 2021 Economists can’t forecast jobs.The Fed can’t forecast inflation.The Atlanta Fed has taken down Q3 GDP by 33%.The New York Fed has given up on forecasting GDP altogether. But we’re confident to keep buying stocks at 207% market cap vs GDP. — Sven Henrich (@NorthmanTrader) September 3, 2021 🌋...
Brazil is running out of time for economic reforms
Stock Market

Brazil is running out of time for economic reforms

A MEME THAT circulated recently on Twitter in Brazil depicted the economy minister, Paulo Guedes, as a footballer facing a wide-open goal. He shoots. The ball soars over the crossbar. The meme refers to a proposed tax reform that Mr Guedes has been trying to get through Congress but it also reflects growing pessimism about the government’s entire economic agenda. After a pensions revamp in 2019, the year Brazil’s populist president, Jair Bolsonaro, took office, most reforms stalled amid political turmoil and covid-19. Latin America’s biggest economy is weakening, squeezing the government’s budget. Markets are getting queasy. With next year’s presidential elections drawing near, time for reforms is running out.Brazilian investors were remarkably forgiving in 2020, when the government threw ...
‘Not said by me’: Ratan Tata says viral post on using Aadhaar for liquor sales is fake news
Stock Market

‘Not said by me’: Ratan Tata says viral post on using Aadhaar for liquor sales is fake news

Social media is filled with rich information, but one can easily fall prey to the perils of fake news. Now, Chairman Emeritus of Tata Sons Ratan Tata has debunked a statement attributed to him on the sale of liquor using Aadhaar cards. The business tycoon has flagged it saying it is “fake”, and clarified that it was not said by him. The statement, which is widely being shared online along with his picture, read: “Liquor sales should be sold through Aadhaar card. Government food subsidies should be stopped for alcohol buyers. Those who have the facility to buy alcohol can definitely buy food. When we give them free food they buy alcohol.” Taking to Instagram, the 83-year-old industrialist clarified, “This was not said by me. Thank you.” This isn’t a one-off case. Earlier, Mahindra Group’s ...
China’s bid to stabilise its property market is causing jitters
Stock Market

China’s bid to stabilise its property market is causing jitters

OCTOBER 6TH 1979 was a beautiful Saturday in Washington. It was not the kind of day that augured wrenching change in economic policy. But on that date Paul Volcker, then chairman of America’s central bank, announced a radical plan to quash persistent inflation. Before the battle was won, America’s interest rates reached 20% and unemployment surpassed 10%. Car dealers sent him the keys to vehicles they could not sell, in coffins.China is now facing its own “Volcker moment”, according to Ting Lu of Nomura, a bank. The government’s aim is not to curb an inflationary spiral (China’s consumer prices are rising only modestly) but to break a vicious circle of property speculation and credit expansion. Regulators are making it harder for developers to raise money and for households to buy homes. T...
Business this week – The Economist
Stock Market

Business this week – The Economist

Sep 4th 2021The Chinese government published an edict limiting children’s playing of video games to just one hour on only Fridays, Saturdays and Sundays. It is the authorities’ latest attempt to rein in what they view as the troublesome power of tech companies, though the government has long expressed concerns about gaming addiction among Chinese youth. Unlike previous decrees this one probably won’t hurt profits. Tencent, the biggest gaming company, generates only 2.6% of its total player spend from under-16s.Working for the peopleWang Xing became the latest tech boss in China to adopt the government’s line that the industry must do more to promote “common prosperity”. The chief executive of Meituan said that the shopping platform would “conduct in-depth self reviews and actively rectify ...