|
|
![](http://edm.hkecic.com/archive/707602945547264/ecic_logo.png) |
|
HKECIC Weekly Market News |
14 May 2018 |
|
|
|
|
![](http://edm.hkecic.com/archive/707602945547264/WMN/2018/20180514/20180514_eng.png) |
|
|
Market Snapshots |
Asia and Australasia |
China: Exports up 12.9% yr/yr in April According to data released by the General Administration of Customs, China’s exports rose 12.9% yr/yr in US dollar terms in April, rebounding from a rare 2.7% decline in March. Imports grew 21.5% yr/yr in April, accelerating from a 14.4% growth in March, on the back of firm domestic demand. At a result, China registered a trade surplus of US$28.78 billion in April, switching from a trade deficit of US$4.98 billion in the prior month. In particular, China’s trade surplus with the US widened from US$15.43 billion in March to US$22.19 billion in April, leaving the surplus with US for the first four months of this year to US$80.40 billion. Representatives from China will visit Washington this week to resume talks with the Trump administration with a view to seeking solutions to the trade disputes.
Indonesia: Economy expands 5.06% yr/yr in Q1 Indonesia’s economy grew by 5.06% yr/yr in Q1 of 2018, moderating from 5.19% in Q4 2017, according to Statistics Indonesia. Private consumption (representing more than half of the country’s GDP) rose 4.95% and fixed investment expanded by 7.95%. Meanwhile, exports and imports increased by 6.17% and 12.75% respectively, compared to 8.50% and 11.81% growth in the previous quarter. Finance Minister sees the economic growth to accelerate in the coming months as Indonesia hosts the Asian Games in August. Separately, the Indonesia’s Rupiah has reached its lowest level against the US dollars in more than two years. The central bank of Indonesia pointed out that it could raise rates to defend the currency if the depreciation threatened the inflation target or financial stability. The next monetary policy meeting will be held on 16 and 17 May. |
|
|
Europe |
Eurozone: Retail trade edges up in March Eurozone’s volume of retail trade increased by 0.1% mth/mth in March, according to estimates from Eurostat, the statistical office of the European Union. The increase was due to a rise of 0.2% for "food, drinks and tobacco", while non-food products fell by 0.5% and automotive fuels by 0.4%. Among Member States for which data are available, the highest increases in the total retail trade volume were registered in Latvia (+2.3%), Portugal (+1.8%) and Austria (+1.3%), while the highest decreases were observed in Ireland (-1.7%) and Germany (-0.6%). |
|
|
North America |
US: Inflation continues to build up in April The Department of Labour reported that US consumer prices continued to rise, with the Consumer Price Index (CPI) increasing 2.5% yr/yr in April, after a 2.4% rise in March. This is the biggest leap since February 2017. The so-called core CPI, which excluded food and energy items, rose 2.1% yr/yr in April, the same increase from the prior month. A separate report from the Department showed that initial jobless claims in the week ending 5 May 2018 stood at 211,000, staying near a 48-year low level. It is widely expected that a steady rise in inflation and a strong labour market condition will prompt the Federal Reserve to raise the federal funds rate at its June policy meeting. |
|
|
|
|
|
|
|
|
ZTE Corporation (SZSE: 000063 and HKEX: 0763) announced in the exchange filing that the major operating activities of the company have ceased due to the export ban imposed by the US government that prohibits American firms from selling basic materials and technologies to it. It added that the company and related parties were actively communicating with the relevant US government departments in order to facilitate the modification or reversal of the ban. Afterwards, US president Donald Trump stated in his social media that he was working with his Chinese counterpart to prevent ZTE from going out of business and he had issued instructions for officials to come up with a plan to help ZTE to get back into business. |
|
|
|
|
|
Hong Kong Export Credit Insurance Corporation 2/F., Tower I, South Seas Centre, 75 Mody Road, Tsimshatsui East, Kowloon, Hong Kong. |
Phone:(852) 2732 9988 Website : www.hkecic.com HKECIC website : info@hkecic.com |
If you do not want to receive the email messages from HKECIC in the future, please click unsubscribe |
|
|
|
|
Copyright © 2018 Hong Kong Export Credit Insurance Corporation |
|
|
|
Disclaimer The information contained in the ‘Weekly Market News’ (WMN) is compiled by the Hong Kong Export Credit Insurance Corporation ("HKECIC") for general information only. Whilst HKECIC endeavours to ensure the accuracy of this general information, no statement, representation, warranty or guarantee, express or implied, is given as to its accuracy or appropriateness for use in any particular circumstances.
HKECIC is not responsible for any loss or damage whatsoever arising out of or in connection with any information including data or programmes on the WMN. HKECIC reserves the right to omit, suspend or edit all information compiled by HKECIC on the WMN at any time in its absolute discretion without giving any reason or prior notice. Users are responsible for making their own assessment of all information contained in this WMN and are advised to verify such information and obtain independent advice before acting upon it.
|
|