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The hedge funds that used that as a buying opportunity profited, with tourism and consumption stocks quickly rebounding after Beijing adopted a more targeted COVID-19 policies and reduced quarantines following widespread anti-lockdown protests. The MSCI China index rose by 36% over November and December, even as a surge in case numbers cast doubt over the economic recovery in the short term. The strategy, managed by chief investment officer Peng She, made a 20% net return in 2022. For 2023, hedge fund managers said they were even more bullish about China, expecting traditional valuation metrics to return to focus after a year driven by macro events. Reporting by Summer Zhen; Editing by Vidya Ranganathan and Jamie FreedOur Standards: The Thomson Reuters Trust Principles.
New Zealand's prime minister Jacinda Ardern announced her resignation on Thursday. Ardern governed over tumultuous times in New ZealandArdern was elected to her role in October 2017 as New Zealand's youngest prime minister, and as the third woman to serve in the position. By early 2020, the coronavirus pandemic had gripped the world, positioning Ardern as a sensible leader in the face of varied policy reactions. "It's one thing to make a big decision a week, but with Covid, it was constant," Ardern told New Zealand broadcaster 1 News in April 2022. Absolutely," Ardern told 1 News.
Strategists see China's markets easily scoring double-digit gains this year. The case for investing outside the U.S. is strong, particularly with the dollar coming off its highs and looking at further downside. "While China's reopening is undoubtedly a turning point, there remain reasons to be cautious," wrote Barclays equity strategists. But still the prospects for China's economy are much brighter than they were just several months ago. The Covid lockdown has been so damaging to the Chinese economy, they want to get back to a growth path in 2023."
"Two wild cards dominate the 2023 oil market outlook: Russia and China," the Paris-based energy watchdog said in its monthly oil report. "Russian supply slows under the full impact of sanctions (while) China will drive nearly half this global demand growth even as the shape and speed of its reopening remains uncertain." World total oil demandWeak industrial activity and mild weather helped cut oil demand by nearly a million barrels per day in the OECD developed countries in the last quarter of 2022. Demand/supply balance"The preeminent driver of 2023 GDP and oil demand growth will be the timing and pace of China’s post-lockdown recovery," the IEA said. Russia's oil exports increased by just under 5% last year, the IEA said on Wednesday, though prices were far lower.
Conventional wisdom says to steer clear of industrial stocks heading into a recession, in anticipation of sputtering economic growth and factory production. But even in the face of a looming downturn this year, Wall Street still expects a host of industrial companies to weather the turmoil, and sees strong gains in the months ahead. XLI YTD mountain The XLI is up more than 2% this year Industrial stocks outperformed last year and continue to fare well in 2023. Delta shares could see the greatest upside of the three, with the consensus target implying a 32% potential rally in the shares. Auxiliary power equipment maker Generac also made the list, with the average price target suggesting shares stand to gain as much as 20%.
Getting life insurance required answering a lot of stressful, invasive questions. Other than that, though, life insurance wasn't on my radar in my 20s. That year also led us down the path of redoing our family budget, and that aligned with me finally prioritizing life insurance. Talking about my health was stressfulAs a 53-year-old woman, I found navigating finding a life insurance policy intimidating and stressful. Insurance jargon — like permanent life insurance versus term, annuities, and long-term care — were confusing.
Disney says ousted CEO Bob Chapek is set to get a severance package worth more than $20 million. He got $24.2 million total compensation in the 2022 fiscal year, including $280,000 for air travel. Disney said that Chapek's total annual compensation was 446 times higher than that of the median employee pay at Disney — $54,256. In total, Iger got $15 million in total compensation in the 2022 fiscal year, including a pro-rated bonus of $4.4 million, per the filing. He earned $45.9 million in total compensation in 2021 and $21 million in 2020.
Some Chinese youth who spoke to Reuters reflected the sense of frustration. But China's Gen Z has its own characteristics that present a dilemma for Xi, some analysts said. A survey of 4,000 Chinese by consultancy Oliver Wyman found Gen Z to be the most negative about China's economic outlook of all the age groups. FIXING THE YOUTHIn a New Year speech, Xi acknowledged the need to improve the prospects of China's youth, without mentioning the protests against his zero-COVID approach. Making housing more affordable could mean allowing a sector responsible for a quarter of China's economic activity in recent years to collapse.
REUTERS/StaffBEIJING, Jan 18 (Reuters) - Former high school teacher Ailia was devastated when her 85-year-old father died after displaying COVID-like symptoms as the virus swept through their hometown in the southeastern province of Jiangxi. Her father died in late December, weeks after China dropped its COVID restrictions. Among those fatalities, 90% were 65 or older and the average age was 80.3 years, a Chinese official said on Saturday. Hong recalls visiting with her father to a crowded Wuhan crematorium to collect the ashes of her grandparents - a grim but common experience during China's COVID surge. Relatives were likewise sceptical about official death tolls, with several citing lost trust in the government during three years of "zero COVID" pandemic management.
Share Share Article via Facebook Share Article via Twitter Share Article via LinkedIn Share Article via EmailMTR Corporation CEO: Lost a third of our revenue in Covid lockdown yearsJacob Kam, CEO at MTR Corporation, speaks to CNBC's Joumanna Bercetche at the World Economic Forum in Davos.
DAVOS, Switzerland, Jan 18 (Reuters) - Moderna (MRNA.O) chief executive Stephane Bancel said on Wednesday the U.S. company was in active discussions to supply COVID-19 vaccines to China. Beijing has so far insisted on using only Chinese-made COVID-19 vaccines for its own population, but the country is beset by a raging COVID outbreak following a U-turn from Beijing on previously ultra-tight anti-pandemic curbs. China-made COVID vaccines are of the inactivated virus type and not based on the messenger RNA technology used in the most widely used shots developed by Moderna and Pfizer (PFE.N)-BioNTech (22UAy.DE). As regards cancer treatments, Moderna has been working with Merck (MRK.N) on an experimental vaccine against melanoma based on the mRNA technology used in successful COVID-19 vaccines. The company, whose COVID-19 vaccines are made in the United States and Switzerland, is building or planning to build plants in Canada, Australia, Britain and Kenya, he said.
UK pay growth speeds up again as BoE frets about inflation
  + stars: | 2023-01-17 | by ( ) www.reuters.com   time to read: +2 min
Economists polled by Reuters had expected total pay and the ex-bonuses measure to rise by 6.2% and 6.3% respectively. The Bank of England is worried that the acceleration in pay growth will make Britain's high inflation rate - currently running above 10% - harder to bring down. Financial markets were mostly pricing in a half percentage-point hike in Bank Rate to 4.0% on Feb. 2 but they pointed to a more than one-in-three chance of a smaller 25 basis-point increase. Sterling rose after Tuesday's data and was up by 0.1% on the day against the U.S. dollar and the euro. Private-sector total pay rose by an annual 7.1% in the three months to November compared with 3.3% in the public sector, the ONS said.
[1/3] A woman walks past a Boeing logo at the China International Aviation and Aerospace Exhibition, or Airshow China, in Zhuhai, Guangdong province, China September 28, 2021. REUTERS/Aly SongDUBLIN, Jan 17 (Reuters) - The world's two largest planemakers defended themselves on Tuesday following criticism over delivery delays, with a Boeing (BA.N) executive saying increasing production after COVID-19 lockdowns was "not as easy as an on/off switch." Aircraft leasing firms have used a major industry conference to hammer manufacturers over delays. Air Lease (AL.N) executive chairman Steven Udvar-Hazy said they had "grossly misjudged" output, while one of Airbus' largest customers, AerCap (AER.N), called the European firm's production targets "very ambitious". To help remove the bottlenecks, Airbus has placed over 100 procurement specialists into its indirect suppliers to help them achieve the rates in the supply chain that the jetmaker requires to ramp up production, Pearman-Wright added.
As a result, the Chinese economic growth rate will be below the Chinese government's target of 5% plus." This could weigh on their potential economic growth in the mid-and long-term, and we really need to be paying attention to that." MARCO SUN, CHIEF FINANCIAL MARKET ANALYST, MUFG BANK (CHINA), SHANGHAI"China's Q4 and full-year 2022 GDP growth rates came in higher than expected. Economic growth will have to depend more on productivity growth, which is driven by government policies." IRIS PANG, GREATER CHINA ECONOMIST, ING, HONG KONG"The biggest surprise is the retail sales number, which is really a big beat...
Morning bid: Dodging a downturn
  + stars: | 2023-01-17 | by ( ) www.reuters.com   time to read: +5 min
A look at the day ahead in U.S. and global markets from Mike Dolan. Global investors have fretted endlessly about a 2023 recession for the major global economies for more than six months. And Tuesday's latest economic healthcheck showed that the severe hit to Chinese economic activity from the draconian lockdown policies was actually much less than feared. The survey showed that investors' recession expectations peaked at a net 77% of respondents in November but have fallen to 68% in January. The BofA survey showed fund managers may have already repositioned, however, as their allocation to U.S. equities dived in January and a net 39% said they were underweight while preferring euro zone stocks.
Global jobs growth will halve in challenging 2023: ILO
  + stars: | 2023-01-16 | by ( ) www.reuters.com   time to read: +1 min
"The slowdown in global employment growth means that we don't expect the losses incurred during the COVID-19 crisis to be recovered before 2025," said Richard Samans, Director of the ILO's Research Department and coordinator of its newly published report. Progress in reducing the number of informal jobs in the world is also likely to be reversed in the coming years, the ILO said. The global jobs forecast is lower than the previous ILO estimate of 1.5% growth for 2023. "The current slowdown means that many workers will have to accept lower quality jobs, often at very low pay, sometimes with insufficient hours," ILO said. The situation could worsen further if the global economy slows down, ILO added.
Last week, local governments across China began to convene for annual legislative sessions laying out their respective policy goals for the year. Economists estimated the entire year’s deficit could hit a record 10 trillion yuan ($1.4 trillion) in 2022. Beijing, the nation’s capital, said Sunday that it had spent nearly 30 billion yuan ($4.5 billion) last year on preventing and controlling Covid. The city didn’t reveal its 2021 Covid spending. During the past three years, the bills amounted to 30.5 billion yuan ($4.6 billion.)
“Because of that, supply chains are not as brittle as they were three years ago,” he said. “There could be another huge black swan event in a month that throws everything upside down; but for right now, it seems like respondents are predicting steadiness in the supply chain.”If anything, the pandemic’s shock to the supply chain should be a wake-up call, said Jack Buffington, director of supply chain and sustainability at First Key Consulting and assistant professor of supply chain management at the University of Denver. “I would categorize it as ‘efficiently broken,’” said Buffington, whose own book about supply chains, “Reinventing the Supply Chain: A 21st Century Covenant with America,” had its release delayed due to supply chain issues. “All supply chains really are is supply and demand, and there’s been so much disruption in materials and consumer demand related to labor and inflation and geopolitics,” he said. The complexities related to a globalized supply chain, human systems aren’t capable of handling it.”He added: “Covid wasn’t the cause of the problems with the supply chain, it was a trigger to show how bad it was,” he said.
Djokovic even hungrier to win Australian Open now - Becker
  + stars: | 2023-01-13 | by ( ) www.reuters.com   time to read: +2 min
BERLIN, Jan 13 (Reuters) - Novak Djokovic is even hungrier to win a 10th Australian Open title this year following his deportation from Australia 12 months ago due to his unvaccinated COVID-19 status, former world number one Boris Becker said on Friday. "When you have tasted gold then you are not satisfied with silver," Becker, who also coached Djokovic between 2013-16, said. Having arrived in Australia unvaccinated 12 months ago, the nine-times Melbourne champion was deported amid a backlash from angry Australians who had endured some of the world's toughest lockdown measures. "His disappointment a year ago was huge and that will make him even better this season at the Australian Open." He managed to watch tennis while in prison.
The meetings will culminate in the national parliamentary session to be held in March, in which the premier is expected to disclose the nation’s GDP growth target. So far, a group of government economists and international analysts have said they expect Beijing to set a growth target of above 5% in 2023. On Thursday, Zhejiang province, another major economic powerhouse, announced it’s targeting an expansion of more than 5% in 2023. On Wednesday, Shanghai, the most affluent city in mainland China, announced it would aim for 5.5% growth this year. On the same day, Fujian, Sichuan and Hebei provinces all disclosed growth targets of 6% for 2023.
Excluding volatile food and energy prices, co-called core CPI rose 0.3%, also meeting expectations. The consumer price index, which measures the cost of a broad basket of goods and services, fell 0.1% for the month, in line with the Dow Jones estimate. Inflation closed out 2022 in a modest retreat, with consumer prices in December posting their biggest monthly decline since early in the pandemic, the Labor Department reported Thursday. Shelter accounts for about one-third of the total CPI index. However, the central bank takes in a broad array of information when measuring inflation, with CPI being part of the puzzle.
"It's not just me and my children, future generations from our community in Jammu and Kashmir will vote for the BJP." A BJP victory in the disputed region could consolidate India's claim over the territory on the global stage. "We have taken a pledge to cross 50-plus seats to form the next government with a thumping majority," the BJP's president for Jammu and Kashmir, Ravinder Raina, told Reuters. Jammu has about 5.3 million inhabitants, 62% of whom are Hindu while Kashmir Valley has 6.7 million, 97% of them Muslim, according to a 2011 census. Previously unreported official records show just over 5.3 million certificates had been issued as of September.
President Joe Biden cheered news that a key indicator of inflation fell for the first time in more than two years, saying "it's clearer than ever" that his economic policies are working. Inflation is now at it's lowest level since October 2021." The report released by the Labor Department on Thursday found overall CPI rose 6.5% from a year ago, the lowest level since October 2021. The data is good news for Biden who for months has asked the nation to have faith in his economic plans amid persistent inflation. Biden lauded other positive economic indicators like the Labor Department's jobs report last week which found unemployment at its lowest level in 50 years.
A photo of a British road sign that appears to indicate motorists are leaving a so-called “District 5” has been digitally altered. The doctored image, seen here and here, was captured on an unidentified road and shows a blue vehicle passing two signs: one says “police enforcement cameras” are in operation, while another underneath says road users are “now Leaving District 5”. Moreover, the original photo can be traced back to a 2016 article in The Telegraph (here) and shows that only the “police enforcement cameras” sign is real. Professional photographer Eleanor Bentall (www.eleanorbentall.com/), who has worked for The Telegraph (here and twitter.com/EleanorBentall), is credited in the caption. The “now leaving District 5” comment was digitally added to the photograph.
Factbox: Global banks cut jobs as cost pressures mount
  + stars: | 2023-01-11 | by ( ) www.reuters.com   time to read: +5 min
The British investment bank has performed well in recent quarters, especially in fixed income trading, but a blunder in the United States that saw it sell more securities than permitted has cost it hundreds of millions of dollars in penalties. CITIGROUPCiti (C.N) eliminated dozens of jobs across its investment banking division, as a dealmaking slump continues to weigh on Wall Street's biggest banks, Bloomberg News reported on Nov. 8. The cost savings reported are likely to involve more job cuts than previously announced for the first wave of reductions, including in its wealth business, Reuters reported. DEUTSCHE BANKDeutsche Bank (DBKGn.DE), Germany's largest bank, cut staff in its investment bank's origination and advisory teams in October, in a move than affected mostly junior bankers. MORGAN STANLEY (MS.N)In December, the investment bank slashed about 2% of its workforce, a source familiar with the company's plans told Reuters.
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