Lead Stories
Trump Hunts for Trade Deals in Asia
No trophies so far, as North Korea and other issues dominate the first stage of the president’s journey.
By Peter Coy , Enda Curran , and Justin Sink – Bloomberg
Donald Trump’s withdrawal from the 12-nation Trans-Pacific Partnership has put the U.S. in a difficult position when it comes to Asian commerce. That was apparent in early November when the president embarked on a tour of East Asia that took him to Japan, South Korea, and China, with further stops planned in Vietnam and the Philippines. Trump was greeted with pomp, circumstance, and promises to buy more American goods, but the White House didn’t report any progress on the market-opening measures the U.S. has long sought.
https://goo.gl/xVQ1B5
IPO Fever Hits Hong Kong Market as 1-in-20 People Try to Buy
By Richard Frost and Justina Lee – Bloomberg
Tencent unit China Literature draws huge investor demand; Locked-up funds drive Hong Kong interbank rates higher
Hong Kong demand for new share sales has hit fever pitch, with 417,000 people applying for lots in Tencent Holdings Ltd.’s online bookstore unit — more than 5 percent of the city’s population.
https://goo.gl/v9StA1
Clamor for Tech IPOs Reaches Fever Pitch in Asia; E-book business of Chinese tech titan Tencent soars to nearly $12 billion market value in Hong Kong debut
By Saumya Vaishampayan and Steven Russolillo – WSJ
The latest sign of investor mania for Chinese internet stocks has emerged from a company that charges people small fees to read books online.
https://goo.gl/sxUdFE
Irish financial services can grow business in Asia ‘by playing to our strengths’
IrishExaminer
There are great opportunities for the financial services sector in Ireland to grow business in Asia — but it has to be in a way that resonates with Asian firms, writes Pádraig Hoare.
https://goo.gl/1aM2Z9
Asia’s rich and mighty exposed in Paradise Papers
Inquirer.net
Over a year-and-a-half after the Panama Papers leaks, another financial data leak by the International Consortium of Investigative Journalists (ICIJ) has bared the secret offshore activities of some of the world’s most powerful people and companies
https://goo.gl/zDjHRy
Exchange News
ICEX completes first diamond futures contract of ₹173 cr
The Hindu BusinessLine
Indian Commodity Exchange (ICEX), the world’s first diamond derivatives exchange, on Wednesday said it has successfully completed its first diamond futures contracts settlement with the total traded quantity in November expiry for 5,382.08 carats valued at ₹173.32 crore.
https://goo.gl/6oMm6p
APPOINTMENT OF CLEARING CONSULTATIVE PANEL MEMBER
HKEX
The Board of Directors of Hong Kong Exchanges and Clearing Limited (HKEX) today (Wednesday) approved the appointment of Julien Kasparian as a member of the Clearing Consultative Panel to fill the vacancy arising from Stephanie Marelle’s resignation. HKEX wishes to take this opportunity to thank Ms Marelle for her dedicated service to the panel.
https://goo.gl/FdEcyX
HKEX 2017 Third Quarter Results
HKEX
The Board is pleased to present the unaudited consolidated results of the Group for the nine months ended 30 September 2017.
https://goo.gl/m1UrX3
HKFE ANNOUNCES MARGIN RATES FOR IRON ORE FUTURES
HKEX
Hong Kong Futures Exchange Limited (HKFE), a wholly-owned subsidiary of Hong Kong Exchanges and Clearing Limited (HKEX), has announced margin rates for the TSI Iron Ore Fines 62% Fe CFR China Futures (Iron Ore Futures) that will begin trading on HKEX on Monday, 13 November 2017.
https://goo.gl/ScjoCU
FinTech News
Hong Kong fintech firm WeLab raises US$220m in funding round
Zen Soo – South China Morning Post
Hong Kong-based fintech company WeLab said on Wednesday it has raised US$220 million to help advance its credit evaluation technology and to expand beyond Greater China.
https://goo.gl/vED3rA
Regulatory News
ADB, AFI Partner to Increase Financial Inclusion in Asia with New MOU
The FINANCIAL
The Asian Development Bank (ADB) on November 8 signed a memorandum of understanding (MOU) with the Alliance for Financial Inclusion (AFI) to promote greater financial inclusion in the Asia and Pacific region.
https://goo.gl/QYiGSo
China urged to deepen reform and speed up its opening; CSRC’s Fang Xinghai touts positive actions to promote mutual benefit and financial development at Singapore roundtable
ASIA TIMES STAFF
To achieve the transition from “rapid growth” to “high-quality development,” China must continue to deepen reform in all aspects of its economy and speed up the opening of its capital market, China Securities Journal reported, citing Fang Xinghai, Vice President of China Securities Regulatory Commission, in a securities and futures regulatory roundtable.
https://goo.gl/XDj7eF
Investing News
China Warns on Debt, But Bond Buyers Shrug
Bloomberg News
Investors have yet to see eye-opening defaults, analyst says; Risk is continued capital misallocation: BNP Asset Management
What happens when you say you’ve taken away a safety net, but nobody believes you?
https://goo.gl/NfU4Kq
Japan
Exclusive: Japan’s MUFG gets nod to bring U.S. state branches under federal regulation
TodayOnline.com
Japan’s Mitsubishi UFJ Financial Group Inc (MUFG) <8306.T> has received approval from the U.S. Office of the Comptroller of the Currency (OCC) to convert state-supervised branches into federally regulated ones, a U.S. spokesman for the bank confirmed late on Tuesday.
https://goo.gl/eVPw3c
Mainland China
China’s Technology Ambitions Could Upset the Global Trade Order
JANE PERLEZ, PAUL MOZUR and JONATHAN ANSFIELD – NY Times
When President Trump arrives in Beijing on Wednesday, he will most likely complain about traditional areas of dispute like steel and cars. But Washington officials and major global companies increasingly worry about a new generation of deals that could give China a firmer grip on the technology of tomorrow.
https://goo.gl/qB2rGW
China’s ‘Herd Mentality’ Undermines Beijing’s Interest-Rate Swap Market
By Shen Hong – WSJ
The abnormal performance of China’s 11-year-old interest-rate swap market during a recent bond rout offers fresh evidence of how hard it has been for Beijing to foster a culture of risk hedging in the world’s third-largest bond market.
https://goo.gl/Hi3dgh
China to see stronger push for economic reforms, say analysts
Chong Koh Ping – Straits Times
Expect more measures aimed at cutting excess capacity, reducing financial leverage
Besides unveiling China’s top leadership for the next five years, the Chinese Communist Party’s national congress last month also saw major planks of President Xi Jinping’s economic platform adopted in the party constitution.
https://goo.gl/ZsDLGu
China’s New Effort to Tame Its Financial System May Disappoint
By KEITH BRADSHER – NY Times
China on Wednesday released fresh details about a new financial regulatory body intended to calm a financial system that in recent years has endured a stock market crash, a huge exodus of money outside the country and the rapid accumulation of debt.
https://goo.gl/zDzQVk
China’s Central Bank Governor Warns About Financial Risks — Again; Before his retirement, Zhou Xiaochuan has repeatedly sounded warnings about China’s economy.
By Charlotte Gao – The Diplomat
Zhou Xiaochuan, the governor of China’s central bank — the People’s Bank of China (PBOC) — has sounded yet another alarm about China’s economy. Zhou, 69, who is expected to retire soon, has issued a series of straightforward warnings in recent weeks.
https://goo.gl/jXYSkT
Trump expected to demand China cut financial ties with North Korea
Fox News
President Trump is expected to urge China to cut its financial links to Pyongyang and expel North Korean workers from the country during his two-day stop.
https://goo.gl/BE85U8
Hong Kong
Why are the Hong Kong authorities still in awe of HSBC?; ‘Hong Kong made a fuss when HSBC moved to London, but it rather looks like something of a blessing right now,’ writes Stephen Vines
Stephen Vines – South China Morning Post
Lord Hain believes that HSBC needs to be investigated for “possible criminal conspiracy” over money laundering for South Africa’s Gupta family who, in turn, are alleged to have unlawfully profited from ties to President Jacob Zuma. These allegations against HSBC follow a litany of other controversies that have given the bank an extraordinarily bad name in its London home base.
https://goo.gl/SPFxrV
Hong Kong Homeowners Face Prospect of First Rate Hike Since ’06
By Justina Lee – Bloomberg
Rising interbank rates are paving the way for prime rate hikes; Home price growth is slowing as transaction volume falls
Crunch the math behind Hong Kong’s mortgage payments, and you’ll spot signs of a potential hike in a rate that’s key for the housing market.
https://goo.gl/oSDuXN
Sun Hung Kai $2 Billion Farm Bet May Ease Hong Kong Housing Woes
By Frederik Balfour – Bloomberg
A Hong Kong developer struck a deal with the government to convert farmland for a residential development, signaling some progress in tackling the city’s runaway housing market.
https://goo.gl/SYKaB6
Indonesia
Bank Indonesia gives stage to halal businesses in Sharia Economic Festival
The Jakarta Post
Indonesia needs to put emphasis on the empowerment of its sharia economic players rather than focusing solely on its sharia finance institutions in order to accelerate the development of the country’s sharia economy and finance, Bank Indonesia said.
https://goo.gl/1zpy9x
AXA Indonesia merges two of its business entities, names changed
Marketing-Interactive.com
AXA in Indonesia has merged two of its business entities – namely AXA Financial Indonesia (AFI) and AXA Life Indonesia (ALI). The newly combined company will operate under the name “AXA Financial Indonesia” with all ALI assets and liabilities being transferred to AFI, according to a press statement.
https://goo.gl/yXfGdJ
Vietnam
US-Vietnam still in a tentative embrace; US President Donald Trump’s trip to Vietnam to attend the Asia-Pacific Economic Cooperation summit is expected to focus largely on bilateral trade and security issues
David Hutt – Atimes.com
US President Donald Trump never fought in Vietnam due to five military deferments, a historical fact US Senator and medaled war veteran John McCain raised last week ahead of the American leader’s visit to Hanoi and Da Nang.
https://goo.gl/TVyeQg
Thailand
Deutsche Bank Builds Tool to Map Climate-Change Investment Risks
By Emily Chasan – Bloomberg
Data to be used for passive investment indexes debuting in ’18; Maps can show how heat waves, wildfires may affect operations
Deutsche Bank AG’s wealth-management unit is building a detailed map to determine where natural disasters spawned by climate change may pose the greatest risks to its investment portfolios.
https://goo.gl/Nzvf9c
South Korea
Financial markets not taking rising North Korea risks into account; Stand-off fails to curb buoyant offshore yuan and Hang Seng Index
Karen Yeung – South China Morning Post
The US continues to explore diplomatic solutions to persuade North Korea to give up on its nuclear weapons ambitions but time is running out, said Kevin Lai, the chief economist at Daiwa Capital Markets.
https://goo.gl/Lx9Vj6
Philippines
SoKor pledges $1.7-B loan to Philippines
By Mary Grace Padin – The Philippine Star
South Korea has committed to provide a $1.7-billion credit facility to the Philippines to help implement the government’s priority programs, the Department of Finance (DOF) reported yesterday.
https://goo.gl/Ufr37n
India
Charles holds talks with India’s PM amid disclosures about his financial affairs
Shropshirestar.com
The meeting was overshadowed by reports Charles invested in an offshore carbon credit trading firm and lobbied for climate change deals to be altered.
https://goo.gl/vHETNG
India’s Financial Market Is Growing
BW
There are three primary reasons why startups fail: mismatch between customer need and proposition; entrepreneurs mistaking great ideas to be big milestones; and lack of funds for projects. My advice to those starting out is to keep these factors in mind and take quick actions whenever necessary
https://goo.gl/5DD2qn
India successfully test fires Nirbhay missile
Financial Express
India successfully test-fired its first indigenously designed and developed long range sub-sonic cruise missile ‘Nirbhay’, which has 1,000 km operational range and a capacity to carry warheads of up to 300 kg.
https://goo.gl/ngAFh7
Demonetisation anniversary: Impact on personal finance
Adhil Shetty – TimesofIndia
The demonetisation drive introduced by the central government last year created ripples across the country, posing varied kinds of challenges to people. The move made tendering of Rs 5,00 and Rs 1,000 notes illegal, causing financial disruptions for many. Personal finance for common people – be it daily cash needs, or long-term ones like repaying loans or buying investments — also witnessed important changes in past one year.
https://goo.gl/Hw7XFq
Night Lights, Train Trips Help Study India’s Cash Ban Impact
By Jeanette Rodrigues – Bloomberg
Poor visibility on informal sector can hamper policy making; South Asia was once at forefront of innovative indicators
With India still struggling to measure the impact of last year’s unprecedented clampdown on cash — especially on the vast informal sector — some analysts are using innovative indicators to assess the health of the $2 trillion economy.
https://goo.gl/FJzu1S
Australia
Avelacom expands ultrafast connectivity services to access Australia’s capital markets
ASX
Avelacom, a global provider of connectivity and IT infrastructure solutions, has launched a new point of presence (PoP) in the Australian Security Exchange’s (ASX) Australian Liquidity Centre (ALC), Australia’s only data centre dedicated to the financial markets community. The initiative is designed to meet the rising needs of proprietary trading desks and brokerage firms to access Australian capital markets over a single, low-latency network that also connects trading venues in Asia Pacific, Middle East, Europe and North America.
https://goo.gl/EEswPF
The post Asia Pacific Financial News from John Lothian News – November 8, 2017 appeared first on John Lothian News (JLN).