CHINA
Industrial output rises
The nation’s industrial output, which measures production at factories, workshops and mines, rose 10 percent last month year-on-year, the National Bureau of Statistics (NBS) said yesterday. That was a slowdown from the 10.3 percent expansion recorded in October. Retail sales, a key indicator of consumer spending, increased, gaining 13.7 percent last month from the year before — an acceleration from the 13.3 percent registered in October.
UNITED STATES
Fed to meet on bond buying
Improvements in the labor market since September last year, when the US Federal Reserve started its most recent round of stimulus, provided the most powerful argument for reducing bond purchases, St Louis Fed President James Bullard said on Monday. Bullard, a voting member of the Fed’s policy committee, was speaking in St Louis. Fed policymakers is to meet next week, though few analysts are predicting that they will make changes to their bond-buying program. The meeting is to be held on Tuesday and Wednesday next week.
VENEZUELA
Gasoline prices might rise
The government on Monday floated the idea of raising gasoline prices, in one of the least expensive fuel markets in the world. “We have to have big debates in Venezuela,” Vice President Jorge Arreaza said in a meeting with business leaders. “For example, we have to talk about budget issues, for example the price of gasoline, starting to charge for it since it is given away almost for free.” Arreaza said the idea would be studied in consultation with “the people, in neighborhood councils, with businesses and with all Venezuelans.”
ARGENTINA
IMF sets economic timetable
The IMF on Monday gave the nation a timetable to improve its data on inflation and economic growth, after censuring the country last year for shoddy statistics. The censure decision has the potential to open the way for the Latin American country to lose its voting rights or membership at the IMF. In October, the official annual inflation rate stood at 10.3 percent, while a group of private-sector economists put the figure at 26 percent.
AVIATION
AA world’s largest airline
American Airlines (AA) emerged as the world’s largest airline on Monday, combining with US Airways after a hard-fought battle to overcome US competition concerns. AMR Corporation, the parent of AA, and US Airways Group announced they had completed the deal after AMR emerged from bankruptcy protection. The new American Airlines Group is a goliath, providing nearly 6,700 daily flights to more than 330 destinations in more than 50 countries.
AUTOMAKERS
China car sales increase
China’s passenger-vehicle sales rose 16 percent last month as Japanese automakers extended their recovery in the world’s largest auto market. Wholesale deliveries of cars, multipurpose and sport utility vehicles climbed to 1.7 million units last month, the state-backed China Association of Automobile Manufacturers said yesterday. Industrywide, total sales of vehicles — including buses and trucks — reached 19.9 million units this year through last month, putting China on course to be the first country to ever see 20 million units in annual vehicle sales.
China’s economic planning agency yesterday outlined details of measures aimed at boosting the economy, but refrained from major spending initiatives. The piecemeal nature of the plans announced yesterday appeared to disappoint investors who were hoping for bolder moves, and the Shanghai Composite Index gave up a 10 percent initial gain as markets reopened after a weeklong holiday to end 4.59 percent higher, while Hong Kong’s Hang Seng Index dived 9.41 percent. Chinese National Development and Reform Commission Chairman Zheng Shanjie (鄭珊潔) said the government would frontload 100 billion yuan (US$14.2 billion) in spending from the government’s budget for next year in addition
Sales RecORD: Hon Hai’s consolidated sales rose by about 20 percent last quarter, while Largan, another Apple supplier, saw quarterly sales increase by 17 percent IPhone assembler Hon Hai Precision Industry Co (鴻海精密) on Saturday reported its highest-ever quarterly sales for the third quarter on the back of solid global demand for artificial intelligence (AI) servers. Hon Hai, also known as Foxconn Technology Group (富士康科技集團) globally, said it posted NT$1.85 trillion (US$57.93 billion) in consolidated sales in the July-to-September quarter, up 19.46 percent from the previous quarter and up 20.15 percent from a year earlier. The figure beat the previous third-quarter high of NT$1.74 trillion recorded in 2022, company data showed. Due to rising demand for AI, Hon Hai said its cloud and networking division enjoyed strong sales
TECH JUGGERNAUT: TSMC shares have more than doubled since ChatGPT’s launch in late 2022, as demand for cutting-edge artificial intelligence chips remains high Taiwan Semiconductor Manufacturing Co (TSMC, 台積電) yesterday posted a better-than-expected 39 percent rise in quarterly revenue, assuaging concerns that artificial intelligence (AI) hardware spending is beginning to taper off. The main chipmaker for Nvidia Corp and Apple Inc reported third-quarter sales of NT$759.69 billion (US$23.6 billion), compared with the average analyst projection of NT$748 billion. For last month alone, TSMC reported revenue jumped 39.6 percent year-on-year to NT$251.87 billion. Taiwan’s largest company is to disclose its full third-quarter earnings on Thursday next week and update its outlook. Hsinchu-based TSMC produces the cutting-edge chips needed to train AI. The company now makes more
Protectionism: US trade chief Katherine Tai said the hikes would help to counter unfair trade practices from China, while boosting domestic clean energy investments US Trade Representative Katherine Tai (戴琪) defended stiff tariff hikes against countries such as China, saying that paired with investment, they were a “legitimate and constructive” tool for reinvigorating domestic industries. Tai’s comments come a week after sharp tariff increases on Chinese electric vehicles (EVs), EV batteries and solar cells took effect — with levies down the line on other products also recently finalized. The latest moves targeting US$18 billion in Chinese goods come weeks before next month’s US presidential election, with Democrats and Republicans pushing a hard line on China as competition between Washington and Beijing intensifies. In an interview on Thursday
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