WORLDWIDE : HEADLINES
Trump says aides rejected his request to adjust value of dollar
DAYTON, Ohio – U.S. President Donald Trump on Monday said he was rebuffed when he asked officials to adjust the exchange rate of the dollar to counteract what he described as repeated currency manipulation by China of its yuan.
Trump told thousands of supporters at a political rally in Dayton, Ohio, that his policies were saving jobs in the political battleground state after years of inaction to confront China’s aggressive behavior in global markets.
“I go to my guys, ‘What about doing a little movement on the dollar?’” he said, but they countered that was not possible. “‘Sir, we can’t do that. It has to float naturally.’”
The Republican president, who is seeking reelection to a second term in the Nov. 3 national poll, repeated his claim – which China denies – that Beijing deliberately changes the value of its currency to gain competitive advantage in global markets.
China’s central bank has denied intervening to weaken the yuan and lower the cost of its exports to the United States. The yuan has firmed for eight weeks straight against a softening dollar.
Full coverage: REUTERS
Beijing unlikely to approve ByteDance’s TikTok deal with Oracle: Global Times
SHANGHAI – A deal China’s ByteDance has struck with Oracle Corp and Walmart Inc over the future of its video-streaming app TikTok is unlikely to receive Chinese government approval, state-backed newspaper Global Times said in an editorial.
“It is clear that these articles (terms) extensively show Washington’s bullying style and hooligan logic. They hurt China’s national security, interests and dignity,” said the English version of the editorial published late on Monday and which was also carried in the newspaper’s Chinese edition.
“If the reorganization of TikTok under U.S. manipulation becomes a model, it means once any successful Chinese company expands its business to the U.S. and becomes competitive, it will be targeted by the U.S. and turned into a U.S.-controlled company via trickery and coercion, which eventually serves only U.S. interests,” the author wrote.
Full coverage: REUTERS
WORLDWIDE : FINANCE / MARKETS
Asian stocks fall on concerns about fresh lockdowns, banking sector
NEW YORK – Asian shares opened weaker on Tuesday on concerns about new pandemic lockdowns in Europe and after reports about financial institutions allegedly moving illicit funds hurt global banking stocks.
JPMorgan Chase & Co and Bank of New York Mellon Corp on Monday fell 3.1% and 4.0%, respectively, while HSBC Holdings Plc and Standard Chartered Plc hit 25-year-lows on reports that they and others moved funds despite red flags about the origins of the money.
“The question is whether or not the residue of that impacts the performance of regional financials,” said CommSec market analyst Tom Piotrowski in Sydney. “Certainly, HSBC shares will be looked at very closely as far as the Asian session is concerned.”
On Wall Street, the Dow Jones Industrial Average fell 1.84%, the S&P 500 lost 1.16%, and the Nasdaq Composite dropped 0.13%.
U.S. stocks have tumbled over the past three weeks as investors dumped heavyweight technology-related stocks following a stunning rally that lifted the S&P 500 and the Nasdaq to new highs.
Full coverage: REUTERS
Surging dollar holds near six-week high as virus fears return
SINGAPORE – A resurgent dollar held on to overnight gains on Tuesday after virus fears and worries about U.S. stimulus drove a wave of selling in just about everything else.
The dollar rose 0.6% against the euro, 0.9% against the Aussie and even made gains against the safe-haven currencies of the Japanese yen and Swiss franc.
Against a basket of six major currencies =USD the greenback hit a six-week high and held just below that in early Asian trade at 93.547. Gold fell against the rising dollar.
“The equity selloff gathered quite dramatic momentum during the European day and the risk-averse characteristics of the U.S. dollar really came to the fore,” said National Australia Bank head of FX Ray Attrill.
The heaviest selling was in financials, after a fresh dirty money scandal embarrassed global banks, but soon spread to other sectors and asset classes amid worries about possible new lockdowns as COVID-19 cases spread.
Investors are also fretting that the chances of more fiscal stimulus in the U.S. are ebbing as campaigning dominates the political landscape.
Full coverage: REUTERS
Vietnam central bank reports 4.81% credit growth as of September 16 versus end-2019
Vietnamese banks’ total lending rose 4.81% as of Sept. 16 from the end of last year, the State Bank of Vietnam said on Tuesday.
Vietnam’s economic growth traditionally relies heavily on increased credit, though authorities have been trying to reduce this reliance. The central bank has previously said it was targeting 11%-14% credit growth for this year.
The country’s total money supply, M2, rose 7.58% as of Sept. 15 from end-2019, the central bank said.
Full coverage: REUTERS
