Chinese Equities Sing “Volare”, Alibaba’s Ant Financial To Go Public In Hong Kong
Asian equities had a mixed day following the selloff in US equities yesterday though China and Hong Kong were standouts. Hong Kong would have had an off day if volume leader Tencent had not risen +5.23% and thereby hold up the Hang Seng Index.
The Tidal Wave of Cash Headed To Hong Kong
Late Night Comedy
East Asian equity indices showed a V-shaped rebound in the morning after President Trump used Twitter to confirm the US-China trade deal is intact, after White House advisor Peter Navarro said the deal was over in a Fox News TV interview last night.
Tencent’s IQ Buyout Rumor, Markets Climb The Wall of Worry
Asian equities ripped higher last night on news of President Trump’s infrastructure stimulus, confirmation of Secretary of State Pompeo’s Hawaii meeting tomorrow with his Chinese counterpart, continued Fed corporate bond buying, and the confirmation of a Reuters story that the Commerce Department will allow Huawei to participate in setting 5G global standards.
The “More Bark Than Bite” Rally
Asian equities ripped higher after President Trump’s Friday press conference was more bark than bite with no specific actions outlined.
Meituan Dianping +10% After Beating Lowered Expectations
Asian equities had a strong day following a mixed day with some modest gains yesterday. Hong Kong had a strong day following better than expected results from today’s volume leader restaurant delivery company Meituan Dianping (3690 HK), which rose +10.41% followed by Tencent +2.11%, and Alibaba HK +1.41%. Macau tycoon Stanley Ho passed away at the age of 98 today.
Baidu Is Not Delisting. China Investors Should Welcome Scrutiny, But It Must Be Done Right.
Overnight, Baidu CEO Robin Li said listing in Hong Kong is an option because the US-listing still doesn’t properly value the company. However, headlines on delisting in the US are patently false.
Alibaba’s Hong Kong Listing To Be Added To Hang Seng Index
Asian equities were mixed overnight as India fell hard after last week’s massive stimulus bill failed to excite investors. Most markets saw modest gains or losses. Tech was off across Asia as US sanctions on Huawei rippled through manufacturers and suppliers.
Tariffs, Karaoke Performers, Donuts, & Capital Controls
Asian equities ended the session lower on increased US-China political rhetoric and concerns of a coronavirus double dip. Wuhan will test its entire population after a man tested positive.
Bargain Hunters Lift Hong Kong
Bargain hunters were active across Asian equities following yesterday’s carnage though volumes were weak as Mainland China, Japan, and South Korea remain on holiday. Hong Kong rebounded today despite rather grim Q1 GDP (-8.9% YoY) and March retail sales (-40% YoY) releases.
Earnings Take Center Stage, TAL Revenues In-Line
Mainland China had a roller-coaster day as the Shenzhen Stock Exchange announced new, relaxed IPO rules that sent indices plunging in the morning.
An Acquired Taste: Largest Liquor Company Beats Earnings Estimates (Not Diageo)
Asian equities had a resilient day considering the carnage in US equities. India had a strong day on stimulus chatter while Mainland China closed higher. However, Japan continues to tighten its quarantine, which weighed on sentiment.
China Trade Data Lifts Markets
Asian equities were very resilient considering the drop on Wall Street yesterday. A key driver was the 10 am local time release of China’s strong trade data.
Alive & Kicking
Asian equities followed Wall Street higher last night as investors cheered declining rates of coronavirus growth in Europe and New York City, details on further stimulus from other countries, and strong earnings releases coming out of South Korean from MSCI Emerging Markets behemoth Samsung.
Asian Index Performance Weekly Overview, Services PMI Shows Improvement
Asian equities were largely off in light trading as Taiwan was closed for a market holiday. Korea managed a small gain along with Thailand and Indonesia, but otherwise, the region largely registered small losses. Singapore has stepped up quarantine efforts for the first time while pushing through a considerable stimulus plan.
PMIs Rebound: Bringing Both Optimism and Caution
This is a massive uptick versus analyst expectations. PMIs are calculated on a month to month basis which helps explain the jump. The National Bureau of Statistics compiles the “official” PMI by surveying several thousand large and mid sized companies, many of which are State Owned Enterprises.
Markets Surge on Fed’s Decisive Action
Asian equities cheered the Fed’s decisive action to shore up the financial system’s plumbing and particularly the fixed income market by buying bonds. The general feeling among brokers yesterday mid-afternoon was that Congress is fiddling while the US economy burns.
Asian Markets Stabilize
Asian equities were largely lower following yesterday’s epic loss in the US. However, it is worth noting that US futures started to rally during the trading day. Japan, Hong Kong, and Australia managed gains. Meanwhile, most of the region was off to varying degrees.
Trump Address Doesn’t Calm Markets, China New Cases Drop To New Low
Asian equity markets plunged following President Trump’s speech fell flat with investors. What was missing? The lack of fiscal stimulus, recognizing issues in test kits and limiting domestic travel stand out to me relative to responses in China, South Korea and Japan. However, a stronger response is likely being drawn up as we speak.
US Policy Response Lifts Sentiment
Asian equities rebounded as President Trump’s announcement of a payroll tax cut and other stimulus propelled bargain hunters. The gains in Asia look subdued compared to the strong rebound in Europe. India was closed today for the Holi holiday.
What We Can Learn From China’s Experience With COVID-19 (Coronavirus)
Asian equity markets followed the US’ lead higher though Singapore, Malaysia and Indonesia were off. Hong Kong and Mainland China were standouts from a performance perspective as investors cheered the Fed rate cut and Joe Biden’s Super Tuesday wins
Headlines Look Backward While Markets Are Forward-Looking
Asian markets diverged with Japan, Hong Kong, Mainland China, and Korea rising while Taiwan , Australia, India, Singapore, Malaysia, Thailand and Indonesia were off. The big story was Mainland China, which ripped higher as Mainland investors believe this weekend’s poor PMIs will lead to further stimulus measures.
China Last Week – Megan Gummer Discusses Working From Home In China & Trade Updates
This week, the outlook on the coronavirus appears to be improving. According to the Chinese National Health Counsel, with the exception of Hubei Province, the number of confirmed cases within China has continuously declined over the past 16 days. On Feb 19th, only 45 new cases were found across 30 provinces, which is a 95% decline from 2 weeks ago. An increasing number of provinces have no new daily confirmed cases.
PBOC Cuts Loan Prime Rate, China Buyers Bid for US Agricultural Products
As has been abundantly clear, China’s stock markets continue to rally in the face of the virus. Individuals are clearly saving and investing more during the trying period.
Asian Markets Mixed as Sentiment Improves
Asian markets were half up and half down last night following Thursday’s market selloff due to the announcement of more than 15,000 new cases of the virus thanks to a new methodology.
BABA Blues? Not Buying The News
Asian equities were higher across the board except for Japan, which was celebrating National Foundation Day, and Thailand, which was down. Hong Kong was the best regional performer as index heavyweights powered the index higher.
Healthcare Leads Hong Kong and Mainland Markets Higher
Asian equity markets were sea of green with every market up. The market is anticipating a short-lived economic fallout from coronavirus.
It’s The End of The World (According to The Media) But Markets Feel Fine
Asian equity markets were a sea of green as human civilization’s demise may have been greatly exaggerated. 1/3 of S&P 500 stocks report earnings this week, which I believe will shift the narrative away from coronavirus.