FINANCE
Shinhan bonds listed locally
South Korean credit card company Shinhan Card Co Ltd’s international bonds were yesterday listed on the Taipei Exchange, making it the first foreign financial institution to issue international bonds in Taiwan. The US$300 million of bonds, with maturities of five years and a coupon rate of 1.375 percent, have a dual listing in Taipei and Singapore, and the lead underwriter of the bond is HSBC Bank Taiwan Ltd (匯豐台灣商銀), the exchange said. The funds raised are to be used exclusively for social projects focusing on financing for the development of public hospitals and medical facilities, loans to low-income populations with low credit ratings, subsidizing the borrowing of loans for infrastructure and transportation projects, and supporting interest payments, it said.
BROKERAGES
Combined profit declines
Securities firms in Taiwan last month reported combined net income of NT$4.76 billion (US$169.96 million), down 64.14 percent from April, the Taiwan Stock Exchange said in a statement on Tuesday. The exchange attributed last month’s drop to a 163.72 percent decline in dealer trading profit and a 79.64 percent fall in underwriting profit, compared with April, although securities firms saw an increase of 31 percent in brokerage fee income. Securities firms’ accumulated net income in the first five months of the year totaled NT$44.89 billion, up 480.34 percent from the same period last year, the exchange said. The significant rise in brokerage fee income, dealer trading profit and underwriting profit came as the TAIEX reversed its downward momentum, it added.
AIRLINES
Air NZ to restart local flights
Air New Zealand is to resume direct passenger flights between Taiwan Taoyuan International Airport and Auckland Airport in August after a 16-month hiatus, the airline said in a news release yesterday. Starting on Aug. 4, the airline plans to operate one round-trip flight per month between Taipei and Auckland, it said, adding that passengers can book flights for between August and October. For the service, the airline said that it would use its Boeing 787-9 Dreamliner, which has air purifiers with high efficiency particulate air filters installed. The company suspended all flights between Taiwan and New Zealand on March 30 last year after the COVID-19 pandemic spread worldwide, but it resumed cargo services on June 13, operating two flights per week to Taiwan.
PHARMACEUTICALS
Vaxxinity, Paraguay ink deal
Vaxxinity, a US affiliate of local vaccine maker United Biomedical Inc Asia (聯亞生技), has signed a contract with Paraguay to provide 1 million doses of its COVID-19 vaccine once it gets emergency use authorization from Taiwan’s Food and Drug Administration (FDA), the company said on Monday. The order was signed on June 16 in Asuncion by Paraguayan Minister of Public Health and Social Welfare Julio Borba and Vaxxinity chief strategy officer Jon Harrison. The UB-612 vaccine is expected to be delivered later this summer, pending issuance of emergency use authorization by the FDA and subsequent registration by the Paraguayan National Health Surveillance Authority, it said. The move would make Paraguay one of the first countries in the world to receive the UB-612 vaccine once it receives emergency use authorization, it added.
DIVIDED VIEWS: Although the Fed agreed on holding rates steady, some officials see no rate cuts for this year, while 10 policymakers foresee two or more cuts There are a lot of unknowns about the outlook for the economy and interest rates, but US Federal Reserve Chair Jerome Powell signaled at least one thing seems certain: Higher prices are coming. Fed policymakers voted unanimously to hold interest rates steady at a range of 4.25 percent to 4.50 percent for a fourth straight meeting on Wednesday, as they await clarity on whether tariffs would leave a one-time or more lasting mark on inflation. Powell said it is still unclear how much of the bill would fall on the shoulders of consumers, but he expects to learn more about tariffs
NOT JUSTIFIED: The bank’s governor said there would only be a rate cut if inflation falls below 1.5% and economic conditions deteriorate, which have not been detected The central bank yesterday kept its key interest rates unchanged for a fifth consecutive quarter, aligning with market expectations, while slightly lowering its inflation outlook amid signs of cooling price pressures. The move came after the US Federal Reserve held rates steady overnight, despite pressure from US President Donald Trump to cut borrowing costs. Central bank board members unanimously voted to maintain the discount rate at 2 percent, the secured loan rate at 2.375 percent and the overnight lending rate at 4.25 percent. “We consider the policy decision appropriate, although it suggests tightening leaning after factoring in slackening inflation and stable GDP growth,”
Greek tourism student Katerina quit within a month of starting work at a five-star hotel in Halkidiki, one of the country’s top destinations, because she said conditions were so dire. Beyond the bad pay, the 22-year-old said that her working and living conditions were “miserable and unacceptable.” Millions holiday in Greece every year, but its vital tourism industry is finding it harder and harder to recruit Greeks to look after them. “I was asked to work in any department of the hotel where there was a need, from service to cleaning,” said Katerina, a tourism and marketing student, who would
i Gasoline and diesel prices at fuel stations are this week to rise NT$0.1 per liter, as tensions in the Middle East pushed crude oil prices higher last week, CPC Corp, Taiwan (台灣中油) and Formosa Petrochemical Corp (台塑石化) said yesterday. International crude oil prices last week rose for the third consecutive week due to an escalating conflict between Israel and Iran, as the market is concerned that the situation in the Middle East might affect crude oil supply, CPC and Formosa said in separate statements. Front-month Brent crude oil futures — the international oil benchmark — rose 3.75 percent to settle at US$77.01
RSS