Asia-Pacific markets mostly fell as investors digested Chinese economic data

Goldman Sachs: China’s ‘exit wave’ reopening will hurt economy

China’s “exit wave” has dragged down the economy significantly during its reopening process, Goldman Sachs economists said in a report.

“The ongoing ‘wave of exits’ in the wake of faster-than-expected reopenings has taken a heavy toll on economic activity in recent months, due to rising infections, temporary labor shortages and supply chain disruptions,” it said in a statement. .

“It is quite surprising in our view that the reported numbers for December are not bad,” the economists said.

– Jihye Lee

Credit Suisse says iron ore prices will be around $130 to $140 this year

Iron ore prices are forecast to hover around $130 to $140 as traders focus on the reopening of China, said Saul Gavnik, head of energy and resources research at Credit Suisse.

“We expect prices to end this year and be somewhere between $130 and $140,” he said.

He said while iron ore demand strength over the past few weeks has been fueled by speculative buying and holiday purchases, markets are now watching how China’s reopening and infrastructure stimulus unfold.

He said the measures would “sustain demand for iron ore throughout this year and into next year”.

Australia’s mining giant Rio Tinto Released fourth quarter manufacturing results It slightly beat the ratings.

“Real focus [of] “Rio is involved in iron ore, which has been supportive of the entire sector for the past few months, which finally came to a head late last year and early this year,” he said.

Rio TintoShares of were last down 1.11%.

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– Lee Ying Shan

China’s retail sales beat estimates as economy expands more than expected

China’s December retail sales It fell just 1.8% on an annual basis, beating estimates, compared to the 8.6% decline predicted in a Reuters poll.

Industrial production also grew 1.3% in December, beating expectations for a 0.2% increase.

In the fourth quarter, China’s economy expanded 2.9% on an annual basis, better than the expected 1.8% growth. Although quarterly growth was flat, it still beat expectations for a 0.8% contraction.

Despite the better-than-expected data, the Chinese yuan weakened sharply against the US dollar from 6.7403 to 6.7563 shortly after the release.

Alibaba shares inched higher after Ryan Cohen took a stake in the company

After that, Alibaba shares rose The Wall Street Journal reported Ryan Cohen built “hundreds of millions of dollars worth” of stock in the company.

Cohen, who founded online pet retailer Chevy and is also chairman of GameStop, is personally pushing Alibaba to speed up and ramp up its share repurchase program, according to the Journal report.

Hong Kong-listed Alibaba shares rose 2% in the first hour of trading. The stock traded roughly flat on its gains.

– Jihye Lee

China’s Liu He meets US Treasury Secretary Janet Yellen

US Treasury Secretary Janet Yellen will meet Chinese Vice Premier Liu He on the sidelines of the World Economic Forum, the Chinese Ministry of Commerce said. Report.

The two will hold a meeting to “strengthen macroeconomic and fiscal policy coordination,” the ministry said.

The meeting will take place in Zurich on January 18, according to reports, and the two will discuss the implementation of agreements reached between US President Joe Biden and Chinese President Xi Jinping in Bali, Indonesia late last year.

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The sit-down will mark the first face-to-face meeting between Yellen and Liu.

Separately, Politics US Secretary of State Antony Blinken will meet newly appointed Chinese Foreign Minister Qin Gang in Beijing, citing Washington-based diplomats.

– Jihye Lee

Singapore’s non-oil domestic exports fell more than 20% in December

Singapore’s non-oil domestic exports fell 20.6% year-on-year in December, a further decline from the 14.7% decline seen in November.

Exports to China, Indonesia and Hong Kong were the main reason for the decline, according to a government release. Exports to South Korea and Japan increased.

The country’s total trade fell by 7.7% in December – exports fell by 7.1% and imports by 8.2%.

Jihye Lee

CNBC Pro: This under-the-radar share of global carbon capture could rise 65%, investment banks say

Shares of the under-the-radar carbon capture company are expected to rise 65% as global demand for emissions-reduction technology grows, according to investment banks analyzing the stock.

According to analysts at the German investment bank, the company’s latest innovation, revealed last week, could reduce the energy needed to capture carbon and improve the company’s profitability in the future.

CNBC Pro subscribers can read more here.

– Ganesh Rao

2023 Key Indices Coming in First Two Weeks of Trading

Stock futures open lower

Stock futures were lower despite the market coming off a successful week.

Dow-linked futures fell 0.1%. S&P 500 and Nasdaq-100 futures fell 0.2% and 0.4%, respectively.

– Alex Haring

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