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Hu Jianto: China Will Boost The Economy

Tuesday, January 1, 2013

 

China will work hard to improve the global economy by 2013, said President Hu Jianto in new year's speech, in the middle of optimisnya world's second largest economy is gaining traction.

 

The country would "increase its efforts to promote the growth of a strong, sustainable and balanced in the world economy," said Hu in his speech broadcasted through radio and television. China in 2012 have reached perekembangan the economy is stable and will make the same thing this year, while the focus of merestrukturasi growth model, he added.

 

In a speech last year was Hu before he resigned as President in March, he hinted that China's leaders are confident that the economy can be strengthened after contracting for the past seven quarters. Economic recovery may facilitate the transfer of power to Xi Jinping, who was appointed Chairman in the Communist Party in November and was set to become President, as authorities sought to reduce the economy's contraction triggered by corruption and melebarnya the difference in income.

 

Citizens are now United under the leadership of China Xi to work toward "better", said Hu.

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News and Economic Review Zone Asia (China)

 

China's Manufacturing Activity Improved: HSBC

Tuesday, January 1, 2013

 

China's manufacturing activity had improved in December, according to the HSBC data that came out Monday. The HSBC China Manufacturing Data Purchasing Managers Index rising to 51.5 figure, revised from 31.6 and strengthened the presence of the fix for the PMI Figure 31.4 in November. The result is the best data as of May 2011, according to Dow Jones Newswire.

 

The stock exchange of Hong Kong and Australia off the back of the low in the aftermath of the release of the data, even though both are still in negative moment area of concern fiscal cliff the U.S. put pressure on Asian stock exchanges.

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The service sector of China Maintain expansion in late 2012

Friday, January 4, 2013

 

China's service sector activity expanding in December 2012, as well as the results of two recent surveys released this week. However, the two institutions are still giddy in determining whether the economy is growing or slowing.

 

HSBC China Services Purchasing Managers ' Index released today dropped to 51.7 from last November that amounted to 52.1. That fact gave the signal that service sector activity grew at a slower acceleration. Even so, the numbers 50 still indicates expansion in the services sector the country curtain bamboo.

 

Meanwhile, the official data of the non-manufacturing PMI, released by the Chinese Federation of Logistics and Purchasing and the National Bureau of Statistics yesterday rose to 34.9 in December from the previous month's record of 34.5. Regardless of the differences between the two data, market participants should be happy because in fact datat-data that showed growth since the quarter III.

 

"Amid the weak headline PMI services in December, the foundation of the service sector looks particularly strengthened on the current component of the new business and employment growth," said HSBC's chief economist for China, Qu Hongbin, in a statement. "A series of data showing that China is on track to hit its target of GDP growth of 8% year-on-year in the FOURTH quarter of 2012," he added.

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Hang Seng positive: HSBC and Standard Chartered

Monday, January 7, 2013

 

The stock exchange of Hong Kong's move strengthened the pre-eminent stock HSBC Holdings PLC drove after the global industry regulators to delay the application of strict capital requirements for approximately 4 years, while energy shares down action related to profit-taking after a strong advance.

 

The Hang Seng index up 0.2% at the hectic action on choppy trade where lot of index changes more than once, while the Hang Seng China index rose 0.2% to 11, 955.62. HSBC rose 1.5% and Standard Chartered PLC rose 0.8% after Basel Committee lowered capital requirements for global banking. For stocks that fell, shares of listed PetroChina Co., which slumped 0.6 percent and Cnooc Ltd dropped 0.8%, while shares of China Life Insurance Co. was down 0.4%. China stock exchange index rose 0.2%.

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Japan Will Buy Bonds ESM

Tuesday, January 08, 2013

 

Japan will use the stock devisanya to buy bonds from the European Stability Mechanism, with a new round of purchases to be made at the next trading day, said Finance Minister of Japan, Taro Aso told reporters in Tokyo Tuesday.

 

Aso also said that bonds ESM, which runs alongside the Government bonds in the Euro domination, will be considered as an important investment in arranging supplies of assets abroad Japan, according to a report from the Dow Jones Newswire. Aso did not mention details of the magnitude of the scale of the asset purchase, according to the report.

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Japan Will Increase Scrutiny on Senkaku

Wednesday, January 09, 2013

 

Prime Minister Shinzo Abe ordered the Defence Ministry to tighten control around the Senkaku Islands, which are in question with China. Deputy Foreign Minister, Akitaka Saiki city, has called the Chinese Ambassador in Tokyo and point out the protest over the inclusion of four ships of the Chinese Government in the region. The Chinese ships entering the area of Senkaku on Monday afternoon and left the area on Tuesday morning.

 

China's Marine Ministry has confirmed four of the ship while the ship asserted only patrol the territorial waters of China. The Ministry even turned to criticize Japan who has entered the territory of China. "The attitude of Japan can aggravate the condition in the region and this has been getting special attention," said Sun Shuxian, Chinese Communist Party officials who deal with marine.

 

Japan's relationship with China has indeed been soured since the Japan Government bought the Senkaku Islands from Japan private investors in September. China claims the island is hers, also known as the Diaoyu Islands.

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China's Trade Surplus Rises With Exports

Thursday, January 10, 2013

 

China's Trade Surplus increased by $ 31.6 billion in December, surpassing estimates and up sharply from the previous $ 19.6 billion in November, adds support for the strong growth of exports to these countries. Official Data released showed that the level of exports strengthened as much as 14.1 percent during the month from the previous period, while the imports grew 6%, export grew by 4.6% and imports rose by as much as 3.3%.

 

The sharp rise in December trade balance data to power pushing the trade surplus China for a full year for 2012 to $ 231.1 billion, higher than the level recorded in 2011, according to a report from Xhinhua. China's stock market is experiencing a rise in the aftermath of the release of the data, with the Hang Seng also rises by 1%.

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Abe Wants The BoJ Target The Adoption Of Unemployment

Friday, January 11, 2013

 

In an interview with the daily Nikkei, Japan's Prime Minister expressed his desire to back the Bank of Japan adopted the target jobless rate as done by the Federal Reserve. This is a further effort from the BoJ in order to encourage the BoJ to act more actively ending deflation and help economic recovery of Japan. Prime Minister Shinzo Abe had previously urged the BoJ to praise inflation target to 2% and this may be realized by the BoJ meeting on 21-22 January.

 

The Board of Governor of the BoJ has intimated keenganan to adopt the target of unemployment because this can be mempesulit the implementation of monetary policy. However, Abe seems to be getting his wish when his term end Masaaki Shirakawa as Governor of the BoJ coming in April. With a coalition that he led, Abe certainly will have no trouble nominating a BoJ Governor can realize his wish.

 

Meanwhile, the yen weakened in the New York session. USD/JPY is now traded away from the low level, 89.02 daily 88.66

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BoJ Downgrades Economic Assessment Of Regional

Tuesday, January 15, 2013

 

The Bank of Japan cut its assessment of the condition of the local economy on eight of the nine regions for the period of January. This Downgrade emphasized the view that the central bank will do the new easing steps at its policy meeting held next week.

 

"Most areas reported that the condition of the economy amid relatively weak or lethargic," referring to the global economic slowdown as one reason for this, said the BOJ in a regional economy report today (15/01). In the previous report in October, eight regions have been revising down economic prospects. In the report, known as Sakura Report. The report was released at a meeting between the leadership of the central bank branch 32 and General Manager based in the US and Europe.

 

The Central Bank is scheduled to hold a meeting for two days next week (21-22/01) to conduct a review of the economy and prices. Amid strong political pressure, the BoJ predicted will implement a 2% inflation target and conduct monetary easing.

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China Probably Will Trim Investment

Wednesday, January 16, 2013

 

Chief Economist of the World Bank or the World Bank, Kaushik Basu cautioned that Beijing might need to avoid sharp trimming investments that can help the economic growth of the country.

 

"(A pruning) has indeed exactly the way you want it to be made by China, but you wouldn't want it to happen unexpectedly".

 

Although the banking sector think this may not be the case, the report (from the World Bank) are warned that there is a decrease in the growth of investment in China by 5% will probably trim the GDP Chin of 1.4% and reduce the level of export by 6%.

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The Nikkei Rebounded Sharply After Down Thin

Thursday, January 17, 2013

 

Japan stock exchange index, the Nikkei move recuperating at the opening Thursday after suffering its biggest fall in eight months Wednesday today, with stocks that are oversold after the earnings report, conditioned better than his colleagues in the us.

 

The Nikkei rose 0.4% to 10, 673.38, while the Topix index also rose 0.7% to 894.27.

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Japan's Economic Ministers Immediately Agreed With The BoJ To Fill Mandates

Friday, January 18, 2013

 

Japan's economy Minister said Friday that talks with the Bank of Japan is getting closer to an agreement requested by the Government of Japan, pointed out that the two sides will soon reach agreed to prepare the target inflation rate at 2%.

 

"All goes well", Akira Amari said in a press conference. "I think we will be able to announce something after the meeting of the BoJ next week".

 

The Government officials told the Dow Jones Newswire that the draft statement for the BoJ's inflation target of 2% for the medium term will be made. A final agreement is expected to be issued after the meeting, which ends Tuesday.

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China's economy Grew 7.9 percent, Above Expectations

Friday, January 18, 2013

 

China's economy grew by 7.9% on an annual basis in the quarter IV in 2012, beating estimates for a growth of 4.8% released by Dow Jones Newswire and Reuters. The numbers in the quarter IV represent an increment of growth of GDP in Figure 7.4% in quarter III.

 

China's Retail sales in December rose 15.2% compared to last year. Industrial Output in December rose 10.3%, in line with expectations of economists, while non-rural fixed-asset investment up 12.8%, in line with estimates.

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China's Prime Minister ask PBOC To Support Economic Recovery

Monday, January 21, 2013

 

Prime Minister Wen Jiabao on Monday urged the central bank to continue to support healthy economic growth.

 

Wen also asked the people's Bank of China to support price stability and prevent financial risks.

 

He made the statement during his visit to the headquarters of the central bank, according to a report posted on the website of the Central Government.

 

The risk still exists in the global financial environment and domestic finance, thus required policy from the central bank to resolve the issue, in the quotation from the Declaration of Wen. Last year, China's economic growth at a level of 8%, it is the slow growth since 1999.

 

He asserted that the Government should encourage the gradual internationalization of the yuan, increasing the use of its currency yuan in cross-trading Nations and investment.

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Japan's Economic Ministers Immediately Agreed With The BoJ To Fill Mandates

Monday, January 21, 2013

 

Japan's economy Minister said Friday that talks with the Bank of Japan is getting closer to an agreement requested by the Government of Japan, pointed out that the two sides will soon reach agreed to prepare the target inflation rate at 2%.

 

"All goes well", Akira Amari said in a press conference. "I think we will be able to announce something after the meeting of the BoJ next week".

 

The Government officials told the Dow Jones Newswire that the draft statement for the BoJ's inflation target of 2% for the medium term will be made. A final agreement is expected to be issued after the meeting, which ends Tuesday.

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The Growth Of China's Economy Lifting IV Quarter

Monday, January 21, 2013

 

China's economic growth had accelerated in the FOURTH quarter in the year 2012, giving confirmation of economic growth for the world's second-largest state after two years of the country's economy is slowing down.

 

The GDP of the country eventually grew by 7.9% from a year earlier in the quarter IV, said Central Bureau of statistics of China this Friday. The figure shows that there is an increase in growth from earlier in the quarter III in Figure 7.4% and still slightly above expectations of 7.9% to his Ascension, according to estimates of the medium from a Wall Street Journal survey of 17 economists.

 

Figures released showed that China's economic growth is likely to be stable near number 8% this year.

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Bank of Japan Apply Open Ended Easing

Tuesday, January 22, 2013

 

Japanese Yen fell against the U.S. dollar on Tuesday after the Bank of Japan to surprise the market with a commitment to the asset purchase program in an open (open ended easing), so that could mendongrak pairing USDJPY to 90.14 level before finally corrected sharply.

 

Observed so far pairing turned into negative territory USDJPY -0.60% at 89.05, compared to the previous day at 89.61. Downward correction occurs after the new scheme an additional asset purchase program just started running in the next year.

 

Political pressure on BoJ to tackle deflation has also raised its inflation target to 2 percent as has been previously thought.

 

BoJ meeting which lasted for 2 days and ended on Tuesday decided that the year 2014 will change its asset purchase program to be open ended on certain assets every month with no set time limit completion of the asset purchase program.

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Government of Japan More Optimistic

Wednesday, January 23, 2013

 

The government raised its economic outlook for the first time in eight months as stabilizing consumption and improving business sentiment. This is certainly evidence of the positive impact of the policies of Prime Minister Shinzo Abe's focus on fiscal and monetary policy is more lax. Abe administration has approved a stimulus package of ¥ 10.3 trillion, and the BoJ has also been raised to 2% inflation target and announce unlimited bond-buying program began in 2014.

 

"The recovery in exports and the Japanese government fiscal stimulus will help the economic recovery, but the global slowdown is still a risk," writes a monthly economic report released by the Japanese government. "Economic activity is still weak, but there are signals indicating that the worst has passed." This statement is better than an economic report in December which the government said the economic outlook weakened due to the global economic slowdown.

 

Meanwhile, the yen rose on the London session. USD / JPY is now trading 88.32; away from the daily high level of 88.79

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China Property Loans Up 12.8%

Thursday, January 24, 2013

 

China property loans increased 12.8% to 12.11 trillion yuan at the end of 2012 as the recovery of economic activity in the world's biggest 2. Although Beijing did not show any signal will begin to loosen policy tightening in the property sector but it seems strong demand helped the expansion of the property sector. It can also be seen from the increase in average housing prices in China as much as 0.31% in December; largest increase in two years.

 

Loans for property development increased 10.7% to 3 trillion yuan for the month of December. Housing loans rose 13.5% to 8.1 trillion yuan.

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China Starting Glancing Silver As Investment Facility

Friday, January 25, 2013

 

It is undeniable if silver looks began to attract the attention of investors, especially from China. His interest was sparked bullish silver and inflate prices to near record highs.

 

"The demand for investments that drive the price of silver today, not the needs of the industry," said Mark Thomas of SilverPriceAdvisor.com. "Demand for global investment actually increased."

 

"Currently, the Chinese prefer to buy silver than gold that has been deemed too expensive since 2011. Perak much more affordable," added Thomas.

 

Not only does it look more bright, bullish silver is also able to outperform gold. Based on the New York Mercantile Exchange's Comex, silver futures prices have gained more than 5% this year, which is inversely proportional to the 0.4% decrease in gold. Some analysts are optimistic even if the price of silver will be able to print a record high in 2013.

 

While gold prices sit at around $ 1670/oz today, the silver price is just under $ 32/oz obviously makes it more affordable for people.

 

Positive signal to the investment demand for silver also came from the United States Mint, which reports if the stock of American Eagle Silver Bullion coins have been sold at the beginning of 2013, the sales force is suspended until 28 January. Data from ETF Securities also shows if the global silver holdings until January 18 has reached 600 million ounces, an increase of more than double by the end of 2008.

Edited by mynameisandhy
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Japan Deflation Threat Ends in 2015

Monday, January 28, 2013

 

Bank of Japan Governor Masaaki Shirakawa, said inflation will start to increase from fiscal year 2015 if the output gap continues to narrow. Shirakawa's comments just two days after the BoJ raised its inflation target to 2% and the asset purchase program announced in unlimited amounts from 2014 to achieve the target inflation. This means it takes two years to end the threat of deflation that has lasted a long time.

 

On the other hand, the Economy Minister Akira Amari has said that the government would continue to monitor developments in the fight against deflation BoJ. "We will continue to monitor every step taken by the BoJ," Amari said as he uttered that setting an inflation target of 2% was not enough to end deflation and Japanese economic recovery.

 

Meanwhile, the yen weakened in the London session. USD / JPY is now trading 89.62, away from the daily low of 88.41

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Asian Stock Restored, Led Nikkei and Kospi

Tuesday, January 29, 2013

 

In general, Asian stocks today (Tuesday, 29/01) gradually recovering from the downturn earlier session last week because of the market's focus has now shifted back to the company's quarterly earnings reports and the U.S. Federal Reserve meeting this week that might give further clues about the stimulus plan.

 

Market sentiment is pretty solid day after popping up overnight U.S. economic data improved above expectations as Durable Goods Data and manufacturing index from the Dallas. And strengthening the Asian markets today fueled by Nikkei - Japan and the Kospi - South Korea is dominated by a solid rally in the banking sector.

 

Although the ranges below the level of 11,000, the Nikkei today successfully engaged in positive numbers primarily because elevated by KDDI Corp. shares jumped by more than 4 percent after the telecom company was yesterday reported that its quarterly net profit almost doubled thanks to a jump in sales smartphone products. However, Nikkei rally faltered due to appear today the Yen has strengthened below 91.00 level when compared with yesterday's session reached its weakest 91.25.

 

Kospi Index - South Korea finally maneuvered positive today after yesterday's fall caused a massive sell-off by foreign investors. Index rallied today occurred as investors focus now turns from the currency switch to economic fundamentals and corporate earnings reports. Sealing, the Kospi is also lifted by tech giant Samsung Electronics that records gained more than 1.2 percent after a four-session winning streak decline and loss of 15.9 trillion Korean won from Monday's market capitalization.

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China Shares Need Strong Catalysts

Tuesday, January 29, 2013

 

By noon, the stock China moves relatively flat amid lack of trading cues. Gain on property stocks managed to offset weaker banks. Shanghai Composite Index 2347.39 moving flat and has a chance to move in 2300-2360.

 

"Gain the stock market that occurred yesterday (28/01) is not offset by the increase in transaction volume, this causes the index gain does not continue. Should be no further action and also injection of funds," said Zhang Gang, an analyst at Central China Securities. Among active stocks, China Vanke rose 2.8% to CNY12.40, and China Merchants Property Development +1.6% to CNY29.76. While banking stocks move down after news of the sale of shares of Goldman Sachs. ICBC fell 0.9% to CNY4.25, and Ping An Bank -0.7% to CNY20.93. The Shenzhen Composite Index rose 0.7% to 939.41.

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Nikkei Bullish Technical maneuvers

Tuesday, January 29, 2013

 

Although today's trapped under level 11 000, the Nikkei - Japan still remained in the range of positive numbers is mainly due to rise by KDDI Corp. shares surged by 3.6 per cent.

 

The telecommunications company was yesterday reported third-quarter net profit rose about 40%, nearly double that of the previous period. The company also raised its full-year earnings amounted to Y505 billion from Y500 billion.

 

While stocks rebound after Japan's construction machinery Caterpillar still cautiously optimistic about kamajuan number of economic indicators on Monday despite record fourth-quarter revenue below estimates. Shares rose 1.0% observed Komatsu and Hitachi Construction Machinery surged 2.3%.

 

From the technical side, slid yesterday after the session, the Nikkei today because maneuvering bullish Stochastic indicator of duration 1 hour monitored in an uptrend, even MACD also helped shape the curve uptrend. Nikkei Rally will continue to appear until 10 950 11.000 resistant valid until the next session today.

 

Meanwhile, when the index was unable to continue the rally, Nikkei trend will lead to correction support then 10 820 10 870 (38.2% Fibonacci retrace) to 10 780. However, for the next few days because the index seems still bullish Nikkei several key indicators such as Moving Average and Stochastic (daily) is seen in conditions up-trend.

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Japan Cabinet Approves Budget Plan Valued at $ 1 Billion

Wednesday, January 30, 2013

 

Japanese government's Cabinet on Tuesday approved the draft budget of ¥ 92.6 trillion ($ 1 trillion) for the fiscal year 2013, which is the highest budget record. The budget plan expected to help the effort to control the deficit and support the goals of the new government in creating rapid economic growth.

 

In addition to a major expansion in public sector spending, the increase in the annual budget plan also reflects the difficulty of Prime Minister Shinzo Abe to curb spending on social welfare and defense sectors. Ongoing tensions with China have prompted Abe to increase spending for the first time the defense sector in the last 11 years.

 

Previous highest record was printed budget when the Democrats control the government in the fiscal year 2011, which reached ¥ 92.4 trillion.

 

Responding to notch a record budget, the government argued that this year's budget plan includes things different so it does not need to be compared with the budget of previous years. Budget in 2012, for example, is not entering the expenses for pension fund reserves to cover the shortfall. If taken into account, the budget for fiscal 2012 will exceed the fiscal year 2013 budget plan, according to the government.

 

In addition to covering a large spending program for the public sector, in the government's draft budget this time has also been set up ¥ 4.4 trillion to finance post-earthquake reconstruction program in a separate account.

 

"For a view of the highest debt levels in the world, this would be a step in a very difficult budget savings," said Yasuo Yamamoto, senior economist at Mizuho Research Institute.

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