Five Things You Need to Know to Start Your Day
Investors are increasingly worried about Hong Kong’s future. South Korea’s feud with Japan is getting deeper. And Asia’s richest 20 families are worth more than $450 billion. Here are some of the things people in markets are talking about today.
Hong Kong's financial markets are in one of their most volatile periods in years, and signs of a turnaround are few and far between. "It's still too early to call the bottom," said Raymond Chen, a portfolio manager with Keywise Capital Management. "The local incident looks far from being resolved,” he added, speaking about the months of anti-government protests that have rocked the city. Meanwhile, most Hong Kong retailers saw sales plummet in August, according to the city's Retail Management Association. If you’re planning on traveling to Hong Kong soon, here’s what you need to know to get around and avoid the flareups.
South Korea said it would withdraw from an intelligence-sharing pact with Japan, deepening their feud over trade measures and historical grievances. A South Korean security official cited Japan’s recent decision to remove South Korea from a list of trusted export countries, saying it “brought about a significant change to the environment of defense cooperation.” The pullout comes despite the urging of U.S. officials, including President Donald Trump, for the two allies to work together amid shared security challenges from China and North Korea. Here’s why Japan and Korea are locked in a trade war of their own.
Asian Stocks Mixed
Stocks in Asia looked set for a muted start after a lackluster U.S. session that saw traders adopt a cautious stance before Federal Reserve Chair Jerome Powell’s address at the Jackson Hole summit. The S&P 500 Index closed flat amid weak volumes, while Treasuries were volatile, with the benchmark 10-year yield climbing as three Federal Reserve policy makers voiced their resistance to the notion that the U.S. economy needs lower interest rates, and a fourth saying he wanted to avoid taking further action “unless we have to.” The dollar was steady, while crude oil slipped.
China is taking "aggressive steps" to coerce Southeast Asian nations into halting work with international oil and gas firms in energy-rich waters off Vietnam, a State Department spokeswoman said. The deployment of a government-owned survey vessel with armed escorts "is an escalation by Beijing in its efforts to intimidate other claimants out of developing resources in the South China Sea," she said.
Crazy Richest Asians
Asia's 20 wealthiest families are now worth more than $450 billion combined, a testament to how the world’s economic growth engine is minting fortunes at an unprecedented level. Topping the list with a $50 billion fortune is India's Ambani family, while the dynasties behind Samsung and Suntory also make the grade. Hong Kong clans make up 30% of the list. And where did all this cash come from? Most families on the list derive the bulk of their fortunes from property development or have holdings worth billions. See how Asia’s richest stack up against the wealthiest 25 families on the entire planet.
What we’ve been reading
This is what’s caught our eye over the last 24 hours.
- A weaker Australian dollar is making life easier for the RBA. Trump isn't.
- Hong Kong democracy flourishes in an online world that China can’t block.
- A 203-year-old trading empire faces China's wrath over Hong Kong.
- Apple is getting ready to show off iPhone and iPad upgrades, and its largest laptop in years.
- The bond world is on high alert over “frickin’ expensive” Treasuries.
- Modi ally calls for boycott of Chinese companies on Kashmir, trade.
©2019 Bloomberg L.P.