Money 

China changes the way bank loan rates are set, with HSBC left out of rate-setting club

China has changed its system for deciding bank lending rates so that the central bank can effectively influence and control interest rates, a significant move in the world’s second-biggest economy.The change – part of China’s long-standing pursuit of a market-based central banking structure – comes as the country’s economic growth is losing steam amid a protracted trade war with the United States and as Beijing seeks to cut financing costs for struggling small firms.Under the new system, a club… Source link

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HSBC reshuffles decks as the bank braces for a more challenging operating environment

John Flint, then-HSBC chief executive, declared in June of last year that it was time for the bank “to get back into growth mode”.Under his predecessor Stuart Gulliver, the lender, once known in its advertising as the “world’s local bank”, had cut thousands of jobs, shrunk its global footprint from 87 countries to 67 and spent tens of millions of dollars to revamp its compliance following a scandal over its money-laundering controls that saw it pay US$1.9 billion in a settlement with US… Source link

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Ousting of HSBC CEO John Flint shows ‘increased ruthlessness’ of bank’s board, S&P says

The abrupt departure of HSBC chief executive John Flint shows the “increased ruthlessness” of HSBC’s directors and their unwillingness to tolerate middling performance by the bank, S&P Global Ratings said on Tuesday.On Monday, HSBC said that Flint, a career HSBC executive, had stepped down by mutual agreement with the company’s directors after 18 months in the top job and the board of directors believed a change was needed to navigate “an increasingly complex and challenging global environment”… Source link

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HSBC to cut 2 per cent of its workforce as lender looks to reduce costs

HSBC said it plans to slash as much as 2 per cent of its workforce as the lender looks to reduce its costs in a more challenging market environment.As of June 30, the bank, which is based in London, but generates more than half of its revenue in Asia, employed about 238,000 people worldwide.As part of its second quarter results, the bank said that it had set aside severance costs of US$248 million in the first half of the year related to its efforts to cut costs. The company said…

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HSBC CEO John Flint steps down less than two years after taking top role

HSBC said on Monday that John Flint had abruptly stepped down as chief executive less than two years after he took the top job at the bank.He will be replaced on an interim basis by Noel Quinn, who has headed global commercial banking since December 2015. Quinn previously served as regional head of commercial banking for Asia-Pacific out of Hong Kong.“I have agreed with the board that today’s good interim results indicate that this is the right time for change, both for me and the bank,” Flint… Source link

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Hong Kong protests will put off 350,000 mainland Chinese tourists this year, HSBC estimates

The massive protests that have rattled Hong Kong in recent weeks will put hundreds of thousands of mainland Chinese tourists off visiting the city this year, according to HSBC.The bank believes that the number of visitors from the mainland will continue to grow in 2019, but at a slightly slower rate than it had forecast before people took to the streets in their millions to demonstrate against the now-suspended extradition bill.It has revised down its estimated growth of mainland tourist… Source link

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Global 

Investors are too pessimistic about the global economy, US-China trade war, says HSBC Global Asset Management

Investors are being too pessimistic about the global economy and the effects of the trade war between the United States and China, according to HSBC Global Asset Management.Bill Maldonado, the chief investment officer for Asia-Pacific, said that this year has been a much stronger one for markets than 2018, with strong returns in a “low inflation, low-interest-rate world”.“We should keep calm and carry on. It’s important not to get too distracted by the pessimism, on the trade dispute, on the… Source link

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Vietnam 

Việt Nam’s inflation to moderate to 2.7% in 2019: HSBC – Economy – Vietnam News | Politics, Business, Economy, Society, Life, Sports

    Việt Nam’s headline inflation last month further moderated to 2.2 per cent year-on-year, from 2.9 per cent in May. VNA/VNS Photo HÀ NỘI After recording its slowest pace in more than three year last month, Việt Nam’s inflation is forecast to hit only 2.7 per cent in 2019 after standing at 3.5 per cent last year. HSBC analysts made the forecast in the ‘Việt Nam at a glance’ report released this week. Việt Nam’s headline inflation last month moderated to 2.2 per cent year-on-year, from 2.9 per cent in…

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China 

HSBC forum hears the Greater Bay Area is poised to deliver new business

[Sponsored article]There are excellent opportunities for Hong Kong companies in the Guangdong-Hong Kong-Macao Greater Bay Area, HSBC Greater China Chief Executive Helen Wong Pik-kuen said during a seminar on May 30.Wong said HSBC emphasised the importance of the region because it was the most economically vibrant area in southern China. “The Greater Bay Area is a very rich region, and the GDP per capita of Pearl River Delta is 2.2 times the average in mainland China,” Wong said at the forum to… Source link

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Brighter outlook for China’s stock market amid faster market reforms, policy easing, say HFT and HSBC Jintrust

Things are looking up for Chinese stocks in the third quarter, as policies get more accommodative and regulators make it easier for fast-growing technology companies to float their shares, according to two Shanghai-based fund management firms.HFT Investment Management said a drop in capital costs and a truce in the China-US trade conflict are set to boost risk appetite among investors. HSBC Jintrust Fund Management said in its third-quarter strategy report that it would raise its holdings of… Source link

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