china

Happy Endings in China?

"Couple potential (and ongoing) unrest regarding further urbanization with a lagging economy, an unbalanced banking sector and dwindling exports and you have a recipe for further questions about the Chinese Miracle. The biggest gamble of all may be the ChiComs' recent announcement that they intend to allow yet more free-market activity to take place. At what point do market forces begin to overwhelm ChiCom command-and-control facilities, especially when it comes to high-end monetary economy where the power resides? For all these reasons, we would imagine that even if China escapes a hard landing for now, there is one in store sooner or later ..." Continue reading →

Continue ReadingHappy Endings in China?

UBS starts Singapore gold-vault service amid bullion rout

"Switzerland’s biggest bank started storing gold for wealth-management clients at a facility in Singapore. The leased vault in the Singapore FreePort is available for clients in the city-state and Hong Kong. UBS joins Deutsche Bank AG and JPMorgan Chase & Co. in offering storage services in Asia. The Singapore government has been promoting the country as a bullion-trading hub, removing a 7 percent sales tax from investment-grade precious metals last year. Millionaires in Asia outside Japan [are projected to] create $7 trillion in new wealth by 2016, boosting the share of global riches from emerging markets to about 37 percent from 24 percent in 2008." Continue reading →

Continue ReadingUBS starts Singapore gold-vault service amid bullion rout

Russia and China building their gold reserves

"The People’s Bank of China recently let overnight money-market rates soar to over 20%. The message is clear for those prepared to look for it: they are not going to fuel an extended credit bubble. The two countries have learned how damaging a bank-credit-fuelled business cycle can be, and are determined to restrict bank lending. Western commentators find this hard to understand because it does not conform to the way western monetary policy works. It seems that the leaders of both Russia and China are also painfully aware of the importance of currency stability in a way the West is not." Continue reading →

Continue ReadingRussia and China building their gold reserves

Shanghai Futures Exchange To Begin Gold/Silver Night Trading

"'The U.S. and Europe still have the pricing power, although prices are usually being affected by a number of factors, such as liquidity and overall economic conditions,' said Yang Maijun, chairman of the Board at the Shanghai Futures Exchange, which is going to start night trading hours for its gold and silver contracts on July 5. 'The purpose of night trading is to help prices [on the Shanghai exchange] better connect with global prices, and to help achieve our goal of internationalizing our contracts,' Mr. Yang told the audience at the Lujiazui Forum, an annual gathering of financial policy makers and executives in Shanghai." Continue reading →

Continue ReadingShanghai Futures Exchange To Begin Gold/Silver Night Trading

If Syria Falls, Expect a Pop in Oil Prices

"If Syria does fall, the next logical target would be Iran, which would create chaos in the global oil markets. Today, Iran provides about 20% of China's daily imported oil – only Russia provides more. If Iranian oil stops flowing to China, the Chinese will be required to go to other sources to buy over 500,000 barrels of oil, which would instantly increase the spot price of oil. Just what is going on in Syria? Syria is the first salvo in a war that puts Iran, China, and Russia against the US and its allies. The American government has thrown its weight behind the Sunnis, whereas Iran, China, and Russia have been backing Bashar al-Assad, the Shi'a leader in Syria." Continue reading →

Continue ReadingIf Syria Falls, Expect a Pop in Oil Prices

Chinese investors go crazy for Bitcoin

"A BTC craze is sweeping China, as hundreds start to invest and trade large amounts of the virtual currency Bitcoin. The craze has given birth to a huge industrial chain, covering trading, mining, chip production and mining-machine assembly. Bitcoin transactions are secured by servers called bitcoin miners but based on the huge surge in demand for the currency, Bitcoin mining machines are in short supply. According to Tencent, there are two Chinese mining teams capable of processing large amounts of Bitcoin transactions. Figures show that China now boasts the most number of BTC nodes, which help control the computing power of the Bitcoin netweek, at 85,220." Continue reading →

Continue ReadingChinese investors go crazy for Bitcoin

Chinese spacecraft completes space-docking mission

"The successful manoeuvre was China’s first ever such test, the report said, and it marks a step towards China’s goal of building a permanent manned space station by 2020. China first sent a human into space only in 2003 and its capabilities still lag behind the US and Russia. But its programme is highly ambitious and includes plans to land a man on the moon. Beijing sees its multi-billion-dollar space programme as a symbol of its rising global stature, growing technical expertise, and the Communist Party’s success in turning around the fortunes of the once poverty-stricken nation." Continue reading →

Continue ReadingChinese spacecraft completes space-docking mission

Why Did Chinese ATMs Stop Working Last Week?

"On Sunday morning, while China was taking a weekend breather from the financial fireworks caused by the government’s weeklong self-inflicted cash and credit crunch, customers of the Industrial and Commercial Bank of China, the world’s largest bank, woke to an unpleasant surprise: Their deposits were not available for withdrawal by ATM or teller (online or in-person). Sunday’s outage appears to have started at about 10:30 a.m., and by 11 a.m. there were photos on Sina Weibo of stymied bank customers left mulling in shut-down bank lobbies." Continue reading →

Continue ReadingWhy Did Chinese ATMs Stop Working Last Week?

Pro-democracy protest in Hong Kong draws tens of thousands

"Younger activists have become increasingly politicized. Surveys show they identify themselves more as Hong Kong citizens than Chinese nationals – a trend that alarms Beijing, which is eager for the city to show more 'patriotism' to the motherland. Despite China’s pledge to allow a direct poll for the city’s leader in 2017, recent signs from senior Chinese officials have raised concern Beijing may somehow try to rig the rules to screen out opposition candidates from taking part. The former British colony returned to Chinese rule on July 1, 1997, with the promise of universal suffrage as an 'ultimate aim' in its mini-constitution." Continue reading →

Continue ReadingPro-democracy protest in Hong Kong draws tens of thousands

China now home to the world’s fastest supercomputer

"A Chinese supercomputer is the fastest in the world, according to survey results announced Monday, comfortably overtaking a US machine which now ranks second. Tianhe-2, a supercomputer developed by China’s National University of Defense Technology, achieved processing speeds of 33.86 petaflops (1000 trillion calculations) per second on a benchmarking test, earning it the number one spot in the Top 500 survey of supercomputers. The tests show the machine is by far the fastest computer ever constructed. Its main rival, the US-designed Titan, had achieved a performance of 17.59 petaflops per second, the survey’s website said." Continue reading →

Continue ReadingChina now home to the world’s fastest supercomputer