Slowing growth and rising inflation keep global investors worrying.
The latest economic data from Asia reveals slowing production activity. Specifically, Chinese factories are reported to have lower output than expected in recent months due to pandemic restrictions. On the other hand, most central banks are concerned about elevated inflation. Together, these two factors are now the major obstacle in the way of market optimism.
The Chinese regulator is gradually getting Evergrande’s chaos under control, with the company selling its bank stake of $1.5 billion to a state-owned company to repay loans. Gradual rectification of this issue contributes to investors’ confidence that Evergrande is no longer a threat to global economic stability.
Fumio Kishida, the former Japanese Foreign Minister, was elected as the new head of the ruling Liberal Democratic Party. He will most likely become the next Prime Minister and announced a plan to distribute more national wealth to households, insisted that the Bank of Japan must continue its monetary support of the economy, and highlighted the importance of Japan’s international ties including the US.
This week, OPEC+ is meeting to discuss a possible increase in the total oil output beyond what’s been agreed for November and December. The question comes partly as a result of many of its member countries’ pressure for such an increase as they observe the oil price rise in the expectation of higher demand. Brent has already lost bullish momentum on the possible output increase and may lose more value if it is confirmed.
|Lucid, a direct competitor of Tesla, has started rolling out its first models, promising initial deliveries in October. In the meantime, Tesla has launched its full self-driving update with some drivers able to test the beta version of their cars’ autonomous mode.|
||Facebook has put development of Instagram for kids on hold after strong criticism from multiple groups.|
|Google has started the appeal process on the unprecedented $5 billion antitrust fine it received from the EU, basing its argument on competition with Apple.|