Qatar bank pushes gold
Doha Bank QSC expects to sell a record 200 million riyals (US$53 million) of gold this year as consumers take advantage of lower prices and investors seek a haven from falling equities and weakening currencies. The bank, the first lender authorized to import and sell gold in Qatar, took in 23,818 ounces in the first seven months of this year compared with 15,830 ounces in the same period last year, Samuel K.V, head of treasury trading and product management, said in a phone interview from Doha on Sunday. Sales were worth 110 million riyals this year, he said. Demand is expected to rise due to the “big volatility in the Chinese stock market and currency” and the possibility of a delayed interest rate increase by the Fed. Gold declined 0.5 percent to US$1,154.55 an ounce yesterday after rallying 4.1 percent last week.
Speculation spurs shares
Sharp Corp surged in Tokyo trading after the Asahi newspaper report spurred optimism the company would spin off its LCD business and sell a stake to electronics assembler Hon Hai Precision Industry Co (鴻海精密). Sharp was the best performer on the Nikkei 225 Stock Average, surging as much as 5.4 percent to ￥175 before trading at ￥171 as 12:30pm local time. That compares with a 4 percent plunge in the Nikkei 225. Sharp is also considering selling its stake in a factory co-owned by Hon Hai, the Taiwan-based assembler of iPhones, video game consoles and tablet computers, the Asahi reported, without saying where it got the information. Sharp, a supplier of LCD panels to Apple Inc, had an operating loss of ￥28.8 billion (US$23 billion) for the three months ended June 30.
Netflix, Softbank team up
Netflix Inc and Softbank Group are considering a content partnership for the video streaming service set to start in Japan on Sept. 2. Softbank is also to sell Netflix subscriptions in the country through its retail shops, the two companies said in a statement in Tokyo yesterday. The service is to range from ￥650 to ￥1,450 per month (US$5.41 to US$12.07). Netflix has already partnered with Fuji Media Holdings Inc to produce a drama for the service’s debut, the first time for the US-based company to launch in an overseas market with local content. The world’s largest online subscription video service will compete with Hulu’s Japan business, owned by Nippon Television Holdings Inc and streaming services offered by NTT Docomo Inc and Softbank’s own Uula.
Denmark GDP prediction cut
Denmark’s new government cut its forecasts for economic growth this year and next year, and predicted wider budget deficits than were seen under the previous administration. The Liberal government of Prime Minister Lars Loekke Rasmussen sees GDP expanding 1.5 percent this year, compared with 1.7 percent estimated by the Social Democrat-led coalition that was ousted in June elections. GDP is to expand 1.9 percent next year, also less than the 2 percent previously foreseen, according to a Finance Ministry document seen by Bloomberg. The economy grew 1.1 percent this year. Slower growth is to coincide with wider budget deficits than had been predicted before the June election, with the shortfall now seen at 2.7 percent of GDP this year, more than twice the 1.3 percent previously estimated. The gap is to widen to 2.8 percent next year, the Finance Ministry document showed.
Softbank Group Corp plans to keep a stake in the chip designer Arm Ltd, even if it sells a partial interest to Nvidia Corp, the Nikkei reported. The companies are negotiating terms, the newspaper reported, citing sources. Softbank might take a stake in Nvidia after it buys Arm, the report said. Nvidia and Arm might also merge through a share swap, and Softbank would become a major shareholder in the combined company, it said. The two parties aim to reach a deal in the next few weeks, the sources said, asking not to be identified because the information is private. Nvidia is the
END TO SPECULATION: The hotel’s management contract has been extended, despite reports that it wanted to end its alliance with Hyatt Hotels over a deal with Riant Capital Singapore-based Hong Leong Hotel Development Ltd (豐隆大飯店股份) yesterday said it has extended a management contract to ensure the continued presence of the Grand Hyatt brand in Taipei, ending rumors that the two sides were parting ways. “We are pleased Hyatt is able to come to terms on the extension of the management contract of Grand Hyatt Taipei,” said Kwek Leng Beng (郭令明), executive chairman of City Developments Ltd (城市發展) and Millennium & Copthorne Hotels Ltd (千禧國敦酒店). Hong Leong Hotel Development is a subsidiary of Millennium, and both fall under the Hong Leong Group (豐隆集團). The Grand Hyatt Taipei (台北君悅大飯店), owned and built by
Gold surged to a fresh record on Friday, fueled by US dollar weakness and low interest rates, while silver headed for its best month since 1979. Spot bullion is up more than 10 percent this month, as US real yields lingered near record lows. While the ferocity of rallies in gold and silver cooled in the middle of the week, most market watchers predict there might be more gains ahead. Both metals have added about 30 percent this year, with gold and silver exchange-traded funds boosting holdings to a record, as concern about the fallout from the COVID-19 pandemic fuels demand for
MOVING FROM CHINA? The article did not name the company, but Foxconn, Wistron and Pegatron were among firms chosen for a production-linked incentive plan in India An Apple Inc vendor is looking at shifting six production lines to India from China, which could result in US$5 billion of iPhone exports from the South Asian nation, the Times of India reported, citing people familiar with the matter who it did not identify. The establishment of the facility would create about 55,000 jobs over about a year, the newspaper reported, not naming the Apple vendor. It would also cater to the domestic market and expand operations to include tablets and laptops, the newspaper reported. Samsung Electronics Co and Apple’s assembly partners are among 22 companies that have pledged 110 billion