Source : Investing.com
China's new stock market regulator head Liu Shiyu
said on Saturday it is too early for the government to exit from stock
market investments made as part of its efforts to calm markets last
summer.
"As for the exit of China Securities Finance Corp (CSFC), frankly
speaking, I haven't thought about it. And in a considerable long time,
it's still too early to discuss the exit of CSFC," said Liu, who was
appointed chairman of China Securities Regulatory Commission in February
after his predecessor Xiao Gang was fired.
CSFC intervention last summer helped to stabilize the market, though
it became a new concern for investors as they worried that the CSFC
would soon exit and put large downward pressure on stock prices.
Liu also commented on the suspension of the circuit breaker system in
the stock market, which led to Xiao's removal. Liu admitted that the
system is not appropriate for the Chinese stock market as it is mainly
dominated by individual investors.
"It is unlikely in the next few years that there will be a
fundamental shift in the investor structure of our capital market. So we
don't have the basic conditions to introduce the circuit breaker
system," said Liu.
At the same press conference, Shang Fulin, chairman of the China
Banking Regulatory Commission, said risks within the Chinese banking
sector are controllable.
Shang noted that Chinese commercial banks' capital adequacy ratio
rose to 13.45% at the end of last year and the loan loss provision ratio
was 181%, which is ample, he said, adding that some international
rating agencies are misguided in downgrading China's sovereign and bank
ratings.
"In general, risks in the Chinese banking sector are controllable. We
need to step up risk controls and our bottom line is that regional and
systemic risks are forestalled," Shang said.
#Free Forex Signal
Sunday, March 13, 2016
Forex - Yen gains in early Asia ahead of core machinery orders
Source : Investing.com
The yen gained in early Asia on Monday with investors looking ahead to machinery orders data.
USD/JPY changed hands at 113.73, down 0.09%, while AUD/USD traded at 0.7550, down 0.19%. EUR/USD was quoted at 1.1166, up 0.16%.
In Japan, core machinery orders for January are due with a 3.0% gain seen month-on-month and a year-on-year decline of 3.6% expected.
Official data released over the weekend showed that China's factory output in the first two months of the year slowed to the weakest level since November 2008, adding to the view that the economy remains in the midst of an ongoing slowdown which will require Beijing to roll out more support in coming months.
Industrial production rose by an annualized rate of 5.4% in January, below expectations for a 5.6% increase and slowing from a gain of 5.9% in the preceding month, the General Administration of Customs said on Saturday.
The U.S. dollar index, which measures the greenback’s strength against a trade-weighted basket of six major currencies, was last quoted at 96.19, down 0.04%.
In the week ahead, investors will be turning their attention to Wednesday’s outcome of the Federal Reserve’s latest policy meeting, with officials widely expected to keep interest rates on hold after hiking in December for the first time in almost a decade.
Central bank meetings in Japan and Switzerland will also be in focus.
Last week, the dollar fell to near one-month lows against a basket of the other major currencies on Friday as risk appetite was boosted after China’s central bank lifted the fixed rate of the yuan and as the European Central Bank indicated it still had policy options available to bolster growth.
China’s central bank boosted the fixed rate of the yuan following a sharp rally in the euro on Thursday, after ECB President Mario Draghi appeared to indicate that the bank would not cut interest rates deeper into negative territory.
The move boosted commodity prices and the commodity linked currencies, sending the dollar broadly lower.
Meanwhile, ECB Governing Council member Erkki Liikanen said Friday the bank has not run out of tools to boost the economy and will continue to support it until it reaches its inflation target of almost 2%.
The remarks came a day after the ECB delivered a stronger-than-expected package of stimulus measures, cutting interest rates across the euro zone to new record lows and ramping up its quantitative easing program.
But the euro posted its largest one day gain in a month after President Draghi's comment that he expected the bank might not have to cut rates further fueled concerns that officials were running out of policy measures to spur growth.
The yen gained in early Asia on Monday with investors looking ahead to machinery orders data.
USD/JPY changed hands at 113.73, down 0.09%, while AUD/USD traded at 0.7550, down 0.19%. EUR/USD was quoted at 1.1166, up 0.16%.
In Japan, core machinery orders for January are due with a 3.0% gain seen month-on-month and a year-on-year decline of 3.6% expected.
Official data released over the weekend showed that China's factory output in the first two months of the year slowed to the weakest level since November 2008, adding to the view that the economy remains in the midst of an ongoing slowdown which will require Beijing to roll out more support in coming months.
Industrial production rose by an annualized rate of 5.4% in January, below expectations for a 5.6% increase and slowing from a gain of 5.9% in the preceding month, the General Administration of Customs said on Saturday.
The U.S. dollar index, which measures the greenback’s strength against a trade-weighted basket of six major currencies, was last quoted at 96.19, down 0.04%.
In the week ahead, investors will be turning their attention to Wednesday’s outcome of the Federal Reserve’s latest policy meeting, with officials widely expected to keep interest rates on hold after hiking in December for the first time in almost a decade.
Central bank meetings in Japan and Switzerland will also be in focus.
Last week, the dollar fell to near one-month lows against a basket of the other major currencies on Friday as risk appetite was boosted after China’s central bank lifted the fixed rate of the yuan and as the European Central Bank indicated it still had policy options available to bolster growth.
China’s central bank boosted the fixed rate of the yuan following a sharp rally in the euro on Thursday, after ECB President Mario Draghi appeared to indicate that the bank would not cut interest rates deeper into negative territory.
The move boosted commodity prices and the commodity linked currencies, sending the dollar broadly lower.
Meanwhile, ECB Governing Council member Erkki Liikanen said Friday the bank has not run out of tools to boost the economy and will continue to support it until it reaches its inflation target of almost 2%.
The remarks came a day after the ECB delivered a stronger-than-expected package of stimulus measures, cutting interest rates across the euro zone to new record lows and ramping up its quantitative easing program.
But the euro posted its largest one day gain in a month after President Draghi's comment that he expected the bank might not have to cut rates further fueled concerns that officials were running out of policy measures to spur growth.
Japan January core machinery orders rise 15.0 percent month on month
TOKYO (Reuters)
Japan's core machinery orders rose a more-than-expected 15.0 percent in January from the previous month, Cabinet Office data showed on Monday, in a sign that rising business investment could support economic growth.
The rise in core orders, a highly volatile data series regarded as an indicator of capital spending in the coming six to nine months, was much stronger than economists' median estimate for a 3.0 percent increase.
Compared with a year earlier, core orders, which exclude those of ships and electricity, rose 8.4 percent in January, versus a 3.6 percent decline seen by analysts.
Japan's core machinery orders rose a more-than-expected 15.0 percent in January from the previous month, Cabinet Office data showed on Monday, in a sign that rising business investment could support economic growth.
The rise in core orders, a highly volatile data series regarded as an indicator of capital spending in the coming six to nine months, was much stronger than economists' median estimate for a 3.0 percent increase.
Compared with a year earlier, core orders, which exclude those of ships and electricity, rose 8.4 percent in January, versus a 3.6 percent decline seen by analysts.
Forex - Yen weaker after surprise spike in January core machinery orders
Source : Investing.com
The yen eased in Asia on Monday with investors surprised by a big spike in machinery orders data in Japan.
USD/JPY changed hands at 113.95, up 0.11%, while AUD/USD traded at 0.7570, up 0/08%. EUR/USD was quoted at 1.1154, up 0.05%.
In Japan, core machinery orders for January spiked 15%, well above the 3.0% gain seen month-on-month and a year-on-year gain of 8.4%, far outpacing a decline of 3.6% expected.
Official data released over the weekend showed that China's factory output in the first two months of the year slowed to the weakest level since November 2008, adding to the view that the economy remains in the midst of an ongoing slowdown which will require Beijing to roll out more support in coming months.
Industrial production rose by an annualized rate of 5.4% in January, below expectations for a 5.6% increase and slowing from a gain of 5.9% in the preceding month, the General Administration of Customs said on Saturday.
The U.S. dollar index, which measures the greenback’s strength against a trade-weighted basket of six major currencies, was last quoted at 96.27, up 0.04%.
In the week ahead, investors will be turning their attention to Wednesday’s outcome of the Federal Reserve
The yen eased in Asia on Monday with investors surprised by a big spike in machinery orders data in Japan.
USD/JPY changed hands at 113.95, up 0.11%, while AUD/USD traded at 0.7570, up 0/08%. EUR/USD was quoted at 1.1154, up 0.05%.
In Japan, core machinery orders for January spiked 15%, well above the 3.0% gain seen month-on-month and a year-on-year gain of 8.4%, far outpacing a decline of 3.6% expected.
Official data released over the weekend showed that China's factory output in the first two months of the year slowed to the weakest level since November 2008, adding to the view that the economy remains in the midst of an ongoing slowdown which will require Beijing to roll out more support in coming months.
Industrial production rose by an annualized rate of 5.4% in January, below expectations for a 5.6% increase and slowing from a gain of 5.9% in the preceding month, the General Administration of Customs said on Saturday.
The U.S. dollar index, which measures the greenback’s strength against a trade-weighted basket of six major currencies, was last quoted at 96.27, up 0.04%.
In the week ahead, investors will be turning their attention to Wednesday’s outcome of the Federal Reserve
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