China 

China consumer inflation soars to 15-month high amid pork crisis, African swine fever epidemic

Chinese consumer inflation jumped to its highest level in 15 months in May, driven largely by soaring fresh fruit and pork prices as the effects of the African swine fever epidemic showed little signs of abating.The consumer price inflation (CPI) rate accelerated to 2.7 per cent in May from a year ago, its highest level since February 2018, up from 2.5 per cent in April, according to data released by the National Bureau of Statistics (NBS) on Wednesday. The rise was in line with expectations of… Source link

Read More
China 

Has Trump’s ‘Art of the Deal’ met its match in Xi Jinping’s long game? FBI’s former crisis negotiator breaks it down

US President Donald Trump lacks the negotiating talent needed to resolve the US-China trade war in America’s favour, according to James Chip Massey, a former crisis negotiator at the US Federal Bureau of Investigation (FBI), who now advises CEOs on business negotiations.Massey, who spent weeks of intensive training to join the FBI’s Crisis Negotiations Team and once worked on espionage cases, told the South China Morning Post that he holds little hope for Trump, given the president’s famed… Source link

Read More
Home 

China’s African swine fever crisis ‘very serious’ with stocks falling and pork prices set to hit all-time high

African swine fever has had a “very serious” impact on China’s pig industry, according to the Ministry of Agriculture and Rural Affairs, with stocks shrinking and pork prices expected to rise to an all-time high later this year.China has already culled 1.02 million pigs since August, with a total of 129 cases discovered, said Wang Junxun, a deputy chief of the veterinary bureau of the Ministry of Agriculture and Rural Affairs, on Tuesday.The number of sows, or mother pigs, has plunged 21 per… Source link

Read More
Home 

Vacancy tax is a short-term solution to Hong Kong’s long-term housing shortage crisis

The Hong Kong government plans to introduce a vacancy tax on empty new flats to pry open supply bottlenecks by imposing fines on developers for hoarding new homes. Under the proposed legislation, a tax equivalent to twice the estimated annual rental value will be levied on flats that remain unsold after 12 months of receiving an occupation permit. According to the Rating and Valuation Department, the preliminary findings in the Hong Kong Property Review 2019 indicate that the vacancy rate of… Source link

Read More
Home 

The next financial crisis will be worse than the 2008 crash. Here’s how the world can prepare for it

Still psychologically scarred, few were keen last month to commemorate the 10th anniversary of the Dow’s rock bottom close in March 2009.  Even so, all month long, calls to heed lessons from the last great recession echoed across the media as ominous signs pointing to another pending financial crisis loom. Last week, the US Department of Commerce revised growth forecasts downward. Growth across major European economies is either slowing or negative. And the Chinese economy, a critical global… Source link

Read More
Property 

Hong Kong’s housing crisis can’t wait for long-term solutions

The government’s recent unveiling of the costs for its Lantau Tomorrow Vision proposal has divided the city: one half is concerned at allegedly exorbitant costs, although some estimates say the project will most likely turn in an eventual surplus; the other half seems to see it as a panacea to systemic housing issues. The official pitch is that the project is a long-term solution, designed to deal with Hong Kong’s expanding population and to relieve the city of its land shortages. All’s fair… Source link

Read More
Global 

Central banks must turn to global financial crisis tool box to tackle the next recession, says Fed’s Rosengren

The United States’ central bank may have to dust off some of the tools that helped steer the economy through the global financial crisis a decade ago should another recession hit, Boston Federal Reserve Bank president Eric Rosengren said on Tuesday.With interest rates already low leaving limited room for cuts, the US Federal Reserve would likely have to turn to quantitative easing and other balance sheet tools to stimulate its economy, in the case of a downturn.“I dare say it is important for… Source link

Read More
Home 

Hong Kong can ease its housing crisis by giving more families a chance to buy public housing flats

Under Hong Kong’s Tenants Purchase Scheme, introduced in 1998, 140,298 public rental housing units have been sold to existing tenants. Initially, about 57 per cent of the units available for sale found buyers and, in the past decade, this has increased to 72 per cent. By promoting home ownership, the scheme has increased the labour force participation rate and decreased unemployment among families that have bought these units.But there have been two other important effects. The scheme has also… Source link

Read More
Home 

China’s hog crisis adds up to rising global pork prices, and hedge funds are along for the ride

There are finally enough signs of an emerging pork catastrophe in China to propel prices and get funds to turn bullish again.African swine fever, which is highly lethal and difficult to contain, was first reported in China last August. It’s taken time for the disaster to play out, but it’s arrived. Pork prices in the Asian nation have shot up, and the Chinese government said its sow breeding herd was down about 15 per cent. That decline is bigger than the entire herd of North America.Earlier… Source link

Read More