June, 2019

• 16 June

  Equity bulls retain footing in tumultuous week

  Bloomberg When it’s all done, when the bulls have been broken, historians will look back and have something definitive to say about this rally’s causes and consequences. Until then, we must settle for theories. In a baffling week, oil tankers were attacked in the Gulf, America blamed Iran, and US stocks rose. President Donald Trump threatened to slap sanctions on ...

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• 16 June

  PBOC’s ‘tremendous room’ to act in focus as economy slows

  

  Bloomberg The boast by People’s Bank of China Governor Yi Gang this month that he has “tremendous room” to adjust policy could soon be tested as the economy slows, throwing attention on the impact on the nation’s fragile currency and financial markets. Compared to European and Japanese peers, China does have more obvious policy space. Its benchmark one-year lending rate ...

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• 16 June

  BOK policy maker sees trade woe if Trump re-elected

  

  Bloomberg Trade-reliant Thailand better get used to worrying about the export outlook if President Donald Trump wins a second term, according to an official who helps to decide the country’s policy interest rate. “The US-China trade war has haunted us,” Somchai Jitsuchon, a member of the Bank of Thailand’s (BOK) monetary policy committee, said in an interview. “And that may ...

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• 16 June

  JGB bulls look to Kuroda to keep rally going as Japan inflation wanes

  

  Bloomberg Japanese inflation data looks set to push bond yields even lower and increase scrutiny of central bank Governor Haruhiko Kuroda, who says he can deliver more big monetary stimulus if necessary. Yields on Japanese government bonds have fallen since mid-April, with returns on 10-year debt touching a near three-year low of minus 0.135 percent on June 7. While these ...

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• 16 June

  Swiss govt opposes new SNB investment curbs

  

  Bloomberg Switzerland’s government opposes a measure that would forbid the central bank, pension funds and foundations from investing in munitions-makers, saying it wouldn’t be effective. The pending popular initiative would make it impossible for the Swiss National Bank from investing in a market-neutral way and would also create a precedent for other restrictions the government said in a statement. The ...

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• 16 June

  Russia returns to monetary easing, signals two more rate cuts this year

  

  Bloomberg Russia’s central bank shifted solidly to monetary easing, saying first interest rate cut in more than a year could be followed by two more in 2019, as inflation slows and growth sputters. The move makes Russia the latest emerging market to shift towards more dovish policy as escalating trade woes weigh on growth. The change in trajectory of interest ...

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• 16 June

  ‘Trade worries not a drag on business investment’

  

  Bloomberg Goldman Sachs economists are skeptical that trade policy uncertainty is a major drag on business investment at the moment. Instead, they’re pointing to other economic indicators, which they say are still okay. “The link between economic policy uncertainty and capex weakens sharply when taking into account financial conditions and company investment spending expectations, which both still signal a decent ...

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• 16 June

  Airbus mulls world’s first hybrid-electric airliner

  

  Bloomberg Airbus SE is considering bringing the world’s first hybrid-electric airliner to market as it weighs its strategy for replacing the bread-and-butter A320neo narrow-body in the next 15 years — a move that would mark a technological leap for the aerospace industry. The European planemaker has grown confident that the revolutionary propulsion system will be ready for roll-out on an ...

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• 16 June

  Europe aims to make prototype for new fighter plane by 2026

  

  Bloomberg France, Germany and Spain will move a step further to building a new combat plane on Monday at the Paris Air Show when defense ministers will sign a cooperation accord to produce a prototype. The three European countries are aiming to produce the prototype in 2026, the French president’s office said. The project was launched in 2017 by President ...

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• 16 June

  Southwest Air extends 737 Max cancellations

  

  Bloomberg Southwest Airlines Co. pulled the Boeing Co. 737 Max from its schedule for an additional month, citing uncertainty over when regulators will allow the jet to resume service. Southwest, the narrow-body aircraft’s largest operator, will cancel about 100 daily flights as the Max is removed from schedules through September 2, the Dallas-based carrier said in a statement. The airline ...

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