Homepage / Asia / A nuclear crisis is flaring in Korea, and Chinese markets don't seem to care
Базовые правила и условия игры в kazino online на настоящие деньги Ana amaç çevrimiçi kumarhane 7slots: önemli avantajlar ve kategoriler Как начать игру в казино онлайн на настоящие деньги 1win Apk: Um Melhor Aplicativo Pra Jogos De Cassino Aqui No Brasil” 1win Apk: Um Melhor Aplicativo Pra Jogos De Cassino Aqui No Brasil” Mostbet Azerbaycan Rəsmi Casino Giriş Və Qeydiyyat Mostbet A Миссди Ххк Cassino Online Operating System Melhores Jogos At The Bônu 1win Mali Site Officiel des Paris Sportifs et Casino Inscription 1xbet Aviator How To Play The Aviartor Game On 1xbet In Nigeri прохода 1win Официальный Сайт Букмекерской Конторы же Казино 1ви Скачать Пин Ап Казино%3A Мобильное Приложение Pin Up Be Laurence Escalantes online casino empire feels heat of US lawsuits 1xbet Paid For Over $836, 000 To A Player From Africa Казино Покердом Играть Онлайн Бесплатно%2C официальный Сайт%2C Скачать Клиен Бесплатные Игры Казино Слоты И Игровые Автомат “казино Pin Up%3A находимся Вместе К вожделенной Мечте Ücretsiz Slot Oyunları Silvergames’te Çevrimiçi Oynayın Mostbet Bookie: Legjobb Szorzók És Élő Fogadási Élmény Online Mostbet Login To Your Online Casino Personal Account In Bangladesh! Top 10 Best Online Gambling Dens In 2024 Tested & Approve Powerful casino tactics in 2024: 7 vital methods for athletes Guide to Online Casinos in Canada “Online Kumarhane Oyna Çevrimiçi Kumarhane Nolimitwa Legalzoom Hisse Geri Alım Programını 75 Milyon Dolar Artırdı Yazar Investing Co Как играть в симуляторы в онлайн-казино Вавада Игровые Автоматы Демо Играть Бесплатно нет Регистраци Glory Casino: Top Online Casino Video Games In Banglades Рейтинг Надежных Онлайн Казино Лучшие Топ Клубы Росси Fortune Tiger Slot Review: Análise E Como Joga 1win Au Bénin: Une Revue Complète De La Plateforme De Paris En Lign Sledování Titulu Casino Suprême: Kde Sledovat What is a Data Room? Как Стать Стримером Казино%3F Что для Этого Нужно%3 Best Game Software How to Design Engaging and Effective Educational Events Winline Делает Разницу! Букмекерская Контора Winline Онлайн Ставки На Спорт Making Corporate Travel Arrangements Business Virtual Data Room Stock Market Tips For Beginners What to Look for in a VDR Provider Why You Need a Secure Data Room Learning in the Digital Age How to Apply For Business Loans VDR and Document Management Performance Management and HR Outsourcing Modern Business Integration How to Choose the Right Board Portal Software for Your Company How to Choose a Data Storage Room Why Startups Use a Data Room for Investors The Best Web Tools for Designers Use Cases For Using VDR Documents Subsidy Programs and Financing Innovative Technologies for Audit What Is Real Estate Management? Investment and Funds Inspiring Teaching Books What Are the Benefits of a Virtual Data Room? Startups and Business Ideas How to Improve Virtual Board Communication The Lego Company History Investing in the Biotech Industry Financial Startup Basics Jogue Por Dinheiro Actual Em Cassino Onlin Virtual Communication Methods for Remote Leaders How to Choose the Best VDR Providers How Successful Online Businesses Succeed How Business Experts Fuel Innovation and Create Competitive Edge The IT World and Business Deal Making Software and How it Can Help Your Business Virtual Data Room Software Types of Steel Materials and Their Uses Board of Directors Software Bonver Casino Cz Hrací Automaty S Bonusem Zdarm Magazyn Żużel Speedway W Polsce I Na Świeci What Is Logistics School? What Is the VDR for Acquisition? The Best Data Room Apps For Startups Best Practices for Creating an Effective Board Meeting Agenda How to Choose the Best Shareholders Online Platforms Ostdeutsche Biersorten Getting a Construction Management Degree How to Select an Online Data Room Provider Start Your Blog Without Investment What to Look for in a Board Room Provider Data Room Comparison – Which Data Room Is Right For Your Business? Zakłady Sportowe Online Autógrafo Bukmacherska 1xbe “Pin-up O Melhor Cassino Do Brasil Web Site Oficial ᐈ Jogar Caça-níquei Rotating Events in Our Time How to Choose the Best Business Software Choosing an Online Payment Processor Due Diligence Software Virtual Data Room Providers for M&A Due Diligence The Best Online Data Room Benefits of a Due Diligence Data Room Best Practices for Data Rooms Types of Corporate Governance What Is Virtual Data Storage? Benefits of Document Distribution Software The Benefits of a Data Room for Startups Effective Project Management Requires a Mix of Technical and People Skills

Asia

A nuclear crisis is flaring in Korea, and Chinese markets don't seem to care

China’s financial markets are shrugging off rising tensions between the U.S. and North Korea.

The pariah state has produced a nuclear weapon that can fit inside its missiles, NBC News confirmed Tuesday, citing a U.S. intelligence official. The country is also seriously considering a strike on Guam, reported a state media outlet. In response, President Donald Trump warned that such threats “will be met with fire and fury like the world has never seen.”

The tough rhetoric puts China in a tough position: The world’s second-largest economy has trade ties and shares a border with North Korea. And the U.S. has pressured China to squeeze North Korea more to back down on threats. But on Wednesday, China’s stock markets were little changed in morning trading as investors largely ignored it all.

“It’s just one of those things that’s impossible to price, so markets have become inured to the whole thing over many years,” said Andrew Polk, co-founder and economist at Beijing-based research firm Trivium China.

“The stock market in China is weird because it reacts to liquidity and policy, but it often has the inverse reaction … so on good economic data, you [might] see a selloff in the markets, because markets expect less support from the government,” he said. That happened a few weeks back, when second-quarter GDP growth came in better than expected at 6.9 percent, but investors still sent stocks down that day.

Broadly, however, investors are buoyed by better growth in China, and that’s been reflected in the numbers — the Shanghai Composite is up 5.3 percent this year. And to date, the Chinese renminbi has strengthened about 4 percent against the U.S. dollar.

“People are pretty bullish — the economy is pretty strong,” said Francis Cheung, a China equity strategist based in Hong Kong. It’s a sign that government efforts to stimulate the economy has worked: “People no longer worry about a ‘hard landing’ risk, renminbi risk,” Cheung said.

Experts also say that the real estate sector has largely been resilient, despite plenty of calls since late last year forecasting a slowdown.

On top of all that, “it’s a political transition year: There’s no way the government would let the economy falter,” Cheung said. China’s ruling Communist Party is due for a twice-a-decade leadership shuffle this fall, and maintaining stability is a top priority ahead of that change in power.

The makeup of investors in Chinese markets is also starting to shift. The rise of less savvy, mom-and-pop investors a few years back pushed stocks to incredible highs before a precipitous crash mid-2015 wiped out trillions in market value. These days, there are more “tuhao” investors — high net worth individuals — who are not as susceptible to rumors, and are looking more for long-term, strategic gains, according to Nomura’s head of China equity research and chief strategist Wendy Liu.

But Chinese markets have historically been very volatile. For now, experts say the assumption among investors is that China and the U.S. can still manage the situation, especially as economic sanctions have been put in place.

“Geopolitical risk on the Korean Peninsula has not yet been reflected in East Asian equity markets,” said Asia Pacific chief economist Rajiv Biswas at research firm IHS Markit.

But the minute that changes, market sentiment could also turn, though Biswas said it would be reflected first in South Korea — in Seoul stocks, the Korean won and specifically in credit default swap spreads which are traditionally an indicator of national-level crises — before spilling over into China’s financial markets.

That would be “the canary in the coal mine,” Biswas said.

Source: cnbc china
A nuclear crisis is flaring in Korea, and Chinese markets don't seem to care

Comments are closed.