USD/CNH is only down 1% in the past week, or about 3% since Trump was elected. This is likely just hedge funds front running the trade war, the devaluation will be much bigger than this if the tariffs are anywhere near 60%.
China & hk stocks/ etfs
- Thread starter dappermen
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USD/CNH is only down 1% in the past week, or about 3% since Trump was elected. This is likely just hedge funds front running the trade war, the devaluation will be much bigger than this if the tariffs are anywhere near 60%.
If PBoC is serious about aligning with Communist Party's goal of lifting the standards of living, the CNH devaluation vs USD really needs to stop.
Tiny Shrimp
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The trump tariff could be more harm than good for US...
If China lean into it, really don't care to sell to west, sell to ex-west, which is what they are seemingly don't liao, and can successfully pivot to Africa, Middle East, Asia...
US buy all their goods from where sia...
If China lean into it, really don't care to sell to west, sell to ex-west, which is what they are seemingly don't liao, and can successfully pivot to Africa, Middle East, Asia...
US buy all their goods from where sia...
aurvandil
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The number I hear bandied about most often is 20%. The rich have had years to prepare for this. Most have accounts in HK and expectation is for massive inflow into HKD when it happens.
China already expects a trade war or more tariffs. The selldown could be more sentiments driven which is typical of China/ HK stocks.
https://www.businesstimes.com.sg/co...-2-billion-privatisation-hong-kong-listed-esr
A CONSORTIUM of investors led by Starwood Capital Group, Sixth Street Partners and SSW Partners has made an offer to take Hong Kong-listed real estate fund manager ESR Group private at HK$13 a share in cash.
This is 55.7 per cent higher than the closing price of HK$8.35 a share on Apr 24, ESR’s last trading day prior to the submission of its non-binding proposal, said the consortium in a statement on Wednesday (Dec 4) evening. It is also nearly triple ESR’s unaudited net tangible asset value, which was about HK$4.35 as at Jun 30.
Shareholders who decide against exiting their investment may choose to roll their shares into EquityCo, an unlisted investment holding company incorporated in the Cayman Islands, to take part in the next phase of the company’s development alongside the consortium. Alternatively, they may choose a mix of the two options in a proportion of their choosing.
Overall, the proposed offer is valued at HK$55.2 billion (S$9.5 billion) on an equity value basis, making it the largest privatisation from the Hong Kong Stock Exchange since 2021.
In the statement, the consortium highlighted that the privatisation offer is both beneficial to ESR and attractive to its shareholders.
For one, a strategic transformation is required to realise the company’s platform value, it said. “To effectuate this transformation, the company needs to transition to an asset-light platform, re-focus on new-economy sectors, simplify its current portfolio with non-core asset divestitures, realise cost synergies and optimise its balance sheet.”
Consortium proposes HK$55.2 billion privatisation of Hong Kong-listed ESR
If the privatisation goes through, it would be the largest one on the Hong Kong Stock Exchange since 2021A CONSORTIUM of investors led by Starwood Capital Group, Sixth Street Partners and SSW Partners has made an offer to take Hong Kong-listed real estate fund manager ESR Group private at HK$13 a share in cash.
This is 55.7 per cent higher than the closing price of HK$8.35 a share on Apr 24, ESR’s last trading day prior to the submission of its non-binding proposal, said the consortium in a statement on Wednesday (Dec 4) evening. It is also nearly triple ESR’s unaudited net tangible asset value, which was about HK$4.35 as at Jun 30.
Shareholders who decide against exiting their investment may choose to roll their shares into EquityCo, an unlisted investment holding company incorporated in the Cayman Islands, to take part in the next phase of the company’s development alongside the consortium. Alternatively, they may choose a mix of the two options in a proportion of their choosing.
Overall, the proposed offer is valued at HK$55.2 billion (S$9.5 billion) on an equity value basis, making it the largest privatisation from the Hong Kong Stock Exchange since 2021.
In the statement, the consortium highlighted that the privatisation offer is both beneficial to ESR and attractive to its shareholders.
For one, a strategic transformation is required to realise the company’s platform value, it said. “To effectuate this transformation, the company needs to transition to an asset-light platform, re-focus on new-economy sectors, simplify its current portfolio with non-core asset divestitures, realise cost synergies and optimise its balance sheet.”
peachmouse
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'If you just want to invest in one China ETF, iShares Core MSCI China ETF (HKS:2801) would be a good choice.'
Source: https://drwealth.com/best-china-etfs/
The link above noted 2 iShares MSCI China ETF.
My hypothesis about China's reaction to Trump 2.0 is that China's reaction will be opposite to what they did during Trump 1.0.
This commentary about Yi Gang (ex-PBoC head) confirms that the PBoC weakening the RMB is an anti-China/Pro-American move. I continue to forecast RMB to strengthen not weaken (although the evidence is still not there yet).
"Yi Gang, former President of the People's Bank of China, appealed that the best strategy for China from an economic perspective in the face of Trump's tariff threat is not to retaliate.
Such an idiot!
If you don't fight back, if you can't make Americans feel pain, they won't appreciate you at all. Instead, they will think you are weak and they will attack you more later. This is a very simple truth. Any three year old can understand it, but apparently this Yi idiot Gang didn't.
Yi Gang is a senior Chinese official whom I dislike very much. He is a pro American faction in the Chinese government. He has a doctoral degree in the United States and worked there for many years. He has been the highest financial leader in China for the past five years.
Since 2020, the United States has been mired in inflation due to printing money. This Yi idiot Gang did not seize the opportunity to attack the US dollar and promote the internationalization of the RMB, but instead devalued the RMB greatly to help alleviate high prices in the United States. Have Americans thanked China? Not at all. Have Americans stopped sactioning China? Not at all.
Although this Yi idiot Gang has already retired, his influence is still inside the Chinese finance industry. People like him are the reason why I am a little worried about the upcoming financial war against China from Trump."
This commentary about Yi Gang (ex-PBoC head) confirms that the PBoC weakening the RMB is an anti-China/Pro-American move. I continue to forecast RMB to strengthen not weaken (although the evidence is still not there yet).
"Yi Gang, former President of the People's Bank of China, appealed that the best strategy for China from an economic perspective in the face of Trump's tariff threat is not to retaliate.
Such an idiot!
If you don't fight back, if you can't make Americans feel pain, they won't appreciate you at all. Instead, they will think you are weak and they will attack you more later. This is a very simple truth. Any three year old can understand it, but apparently this Yi idiot Gang didn't.
Yi Gang is a senior Chinese official whom I dislike very much. He is a pro American faction in the Chinese government. He has a doctoral degree in the United States and worked there for many years. He has been the highest financial leader in China for the past five years.
Since 2020, the United States has been mired in inflation due to printing money. This Yi idiot Gang did not seize the opportunity to attack the US dollar and promote the internationalization of the RMB, but instead devalued the RMB greatly to help alleviate high prices in the United States. Have Americans thanked China? Not at all. Have Americans stopped sactioning China? Not at all.
Although this Yi idiot Gang has already retired, his influence is still inside the Chinese finance industry. People like him are the reason why I am a little worried about the upcoming financial war against China from Trump."
Tiny Shrimp
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not placate but punish US eh
elvintay07
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The hk and china revival only happens when XJP leaves this world. I think can wait next 10 years also hong gan
Mephist0pheLes
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they cant, the "China & hk stocks/ etfs" experts may think the upcoming escalation in tariffs is nothing for China, but China themselves dont think so. They have been devaluing their currency even before US election results in anticipation of a trump victory to combat his tariff.
https://www.bloomberg.com/news/feat...ar-helps-ai-fueled-growth-in-malaysia-vietnam
Vietnam and Malaysia are also big winners of the trade war, meanwhile China is being hollowed out gradually.
You left out Singapore. HK MNC HQ/finance biz moved here.
Already mentioned SG in my original post…
Latest news about China's countermeasures to Trump tariffs.
China mulls giving domestic products 20% price evaluation preference in govt procurement: Finance Ministry
https://www.globaltimes.cn/page/202412/1324475.shtml
Tiny Shrimp
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wah, how to interpret this?
inflationary or what?
mooseolly
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Need 100% price evaluation to dodge Trump’s 100% tariff. $0 x 100% is still 0
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