(Bloomberg) -- The Bank of Korea cut its key interest rate to a record low Thursday, as it forecast the economy will contract this year for the first time since the Asian financial crisis in the late 1990s.The decision to cut the seven-day repurchase rate by a quarter percentage point to 0.5% was predicted by 18 of 23 analysts surveyed by Bloomberg. One economist forecast a 50 basis point cut, while the rest saw no change.The cut comes as the central bank said the economy will contract 0.2% this year, a dramatic downgrade from the 2.1% growth it had forecast at the onset of the coronavirus outbreak in February. Inflation will slow to 0.3%, the BOK said.The central bank said in its policy statement the board will maintain its accommodative policy stance, as growth is expected to be sluggish and demand-side inflationary pressure weak due to the Covid-19 pandemic.South Korea’s bond futures rallied as much as 124 ticks to 135.49 after the central bank’s decision and the release of the forecasts, while the won weakened 0.3% to 1,237.65 per dollar as of 10:59 a.m. Seoul time.Despite South Korea’s overall progress in containing the outbreak, sporadic cases continue to emerge. Exports are slumping as key overseas markets struggle to reopen from lockdowns, while job losses are surging and inflation is slowing.“BOK will probably halt at 0.5%, but it is possible for markets to expect another cut this year,” said Cho Yong-gu, a fixed-income strategist at Shinyoung Securities. “The key focus during Lee’s briefing today will be on whether the central bank will signal further government bond purchases. If bond buying is regularized it’d actually mean conditional quantitative easing.”One notable difference compared with previous policy statements was the omission of a phrase that the BOK would “judge whether to adjust the degree of monetary policy accommodation.”Park Hee-chan, an economist at Mirae Asset Daewoo, said this could be a signal the BOK is leaning more toward unconventional stimulus measures beyond rate cuts.Thursday’s cut is the second since the outbreak after the BOK lowered rates by 50 basis points at an emergency meeting in March. The central bank has since taken a series of unprecedented steps to ease liquidity strains among firms and in the market.The government has also set aside its usual fiscal prudence and is now planning a third extra budget that is likely to be bigger than the previous two. Still, private sector economists expect the economy to shrink this year by 0.5%.Next StepBOK watchers will be keen to see what other measures Governor Lee Ju-yeol can deploy should the economy worsen, with conventional policy room running low. Some analysts expect the bank to announce plans to increase bond purchases as the government’s stimulus will inevitably require more debt issuance.Thursday’s decision was the first under the BOK’s new board. With the policy preferences of its three new members still unknown to the public, any sign of dissent within the board will be watched closely for cues. One of the new members, Cho Yoon-je, didn’t take part in the vote Thurday, the BOK said.Governor Lee typically announces whether the decision was unanimous or not in his post-decision press conference.What Bloomberg’s Economist Says“With the government expected to land another sizable fiscal stimulus package in the coming weeks, we think the BOK may increase its bond purchases -- though likely stop short of introducing a full-fledged quantitative easing program, for now. In the meantime, we expect it to roll out additional targeted measures to reduce funding costs and support liquidity.”\-- Justin Jimenez, economistClick here to read more.(Updates with central bank policy statement, economist quote)For more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2020 Bloomberg L.P.
Fox News Channel anchor Dana Perino's full interview with Zuckerberg airs Thursday on "The Daily Briefing."
KKR Appoints Nicholas Hyde as Managing Director to lead Client Partner Group in Australia & New Zealand.
In a bullish day for the coronavirus market rally, several leading stocks rebounded from key levels, often offering new buying opportunities. Boeing 737 Max production resumed.
Lit Chi Liu became the CEO of Liu Chong Hing Investment Limited (HKG:194) in 2014. This analysis aims first to...
Amid the COVID-19 crisis and the looming economic recession, the Lighting Fixtures and Luminaires market worldwide will grow by a projected US$25.6 Billion, during the analysis period, driven by a revised compounded annual growth rate (CAGR) of 3.8%. Non-Portable, one of the segments analyzed and sized in this study, is forecast to grow at over 4.1% and reach a market size of US$84 Billion by the end of the analysis period. An unusual period in history, the coronavirus pandemic has unleashed a series of unprecedented events affecting every industry. The Non-Portable market will be reset to a new normal which going forwards in a post COVID-19 era will be continuously redefined and redesigned. Staying on top of trends and accurate analysis is paramount now more than ever to manage uncertainty, change and continuously adapt to new and evolving market conditions.
AnyMind Group, a company in the marketing tech, entertainment tech and HR tech spaces, has become a Google Certified Publishing Partner. This enables AnyMind Group to add on to existing offerings by tapping onto Google's range of services and products to help publishers across Asia, and certifies the expertise held by AnyMind Group's local Publisher Engagement teams across 11 markets in Asia.
Procter & Gamble (NYSE:PG), a leading fast-moving consumer goods company, announces collaboration with Shopee, a leading e-commerce platform in Southeast Asia and Taiwan, with the launch of Show Me My Home*, an online campaign that simulates the household environment to provide consumers with a seamless and easy online shopping experience.
Heilind Asia Pacific, part of Heilind Electronics Inc., was invited to attend Huaqiang Electronic Honor Award Ceremony 2019 held in Shenzhen on 20th May 2020 to meet with the world's leading companies in the electronic components industry. Due to coronavirus, the ceremony was held with live broadcasting. Heilind Asia was presented with the "Top 10 Electronic Components Industry Brands Award 2019".
New York, May 27, 2020 -- Reportlinker.com announces the release of the report "Global Microwave Packaging Industry" - https://www.reportlinker.com/p05112931/?utm_source=GNW.
(Bloomberg) -- Oil extended its drop to trade near $32 a barrel after a U.S. industry report signaled crude inventories swelled for the first time in three weeks, raising fresh concerns about excess supply.Futures fell about 2% in New York, putting the market on track for its first back-to-back daily decline in three weeks. The American Petroleum Institute reported that stockpiles expanded by 8.73 million barrels last week, according to people familiar with the data. If confirmed by government figures on Thursday, it would be the biggest increase this year.Oil’s rally started to falter Wednesday after Moscow signaled that it wanted to scale back supply cuts pledged under the OPEC+ agreement from July, but Russian President Vladimir Putin and Saudi Arabia’s Mohammed bin Salman later reiterated their cooperation to the deal ahead of a June 9-10 meeting.Oil is still up about 70% this month as supply curbs trim a global glut and pockets of demand emerged after the easing of lockdown restrictions. The physical market is showing signs of recovery, with refiners across Asia buying distressed cargoes, while the top U.S. infectious disease expert said there is a chance that a coronavirus vaccine will be available by the end of the year.However, the damage inflicted by the pandemic continues to reverberate across the industry, with Chevron Corp. planning a 10% to 15% reduction in its global workforce this year, the biggest cut to headcount yet among majors. Relations between Washington and Beijing deteriorated further after the U.S. said it could no longer certify Hong Kong’s autonomy from China.“Uncertainty is still lingering around OPEC+ cuts going forward, adding bearishness to oil prices,” said Howie Lee, an economist at Oversea Chinese Banking Corp. in Singapore. “Another factor is the U.S.-China tension build-up, and we might see prices remaining volatile in the short-term as a result.”U.S. gasoline stockpiles rose by 1.12 million barrels last week, while supplies at the storage hub of Cushing, Oklahoma, fell by 3.37 million, the API reported. The Energy Information Administration is expected to report nationwide crude inventories decreased by 1.9 million barrels, according to a Bloomberg survey.See also: A Comeback in U.S. Shale Is At Least a Year Away, Oil CEO SaysRussia and Saudi Arabia have agreed to closely coordinate on the OPEC+ deal -- a pledge to reduce output by almost 10 million barrels a day. As part of that pact, cuts would slowly taper from July.For more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2020 Bloomberg L.P.
The Dow closes above a key technical level that is viewed by market technicians as a signal that a new bullish trend may be at hand.
ConocoPhillips (NYSE: COP) today announced the completion of the sale of its subsidiaries that hold its Australia-West assets and operations to Santos. The total consideration for the sale is unchanged; however, in connection with the closing, ConocoPhillips and Santos agreed to restructure the payments such that $125 million of the originally announced $1.39 billion upfront cash payment would be allocated toward a payment due upon final investment decision of the proposed Barossa development project. This brings the total due to ConocoPhillips upon a final investment decision to $200 million.
It is hard to get excited after looking at Stella International Holdings' (HKG:1836) recent performance, when its...
Tencent Holdings Ltd <0700.HK> has raised $6 billion in debt, the Chinese technology company said on Thursday, in the largest debt deal by an Asian corporate in 2020. The deal was finalised early on Thursday in which Tencent raised $1 billion in five-year debt, $2.25 billion in 10-year, $2 billion in 30-year and $750 million in 40-year debt, a term sheet showed. It was the first time Tencent raised 40-year money in its history.
Google kept tabs on the whereabouts of its users even if they had turned off location tracking, an Arizona official alleged in a lawsuit filed Wednesday.
Vancouver, British Columbia--(Newsfile Corp. - May 27, 2020) - Xander Resources Inc. (TSXV: XND) (the "Company") announces that, subject to the approval of the TSX Venture Exchange a creditor has agreed to accept an aggregate of 236,842 common shares (the "Shares") of the Company, at a deemed value of $0.19 per Share for a portion of outstanding management fees owed totaling $45,000 (the "Debt Settlement").Dwayne Yaretz, Corporate Secretary and a director of the ...
(Bloomberg) -- Asian buyers are snapping up distressed cargoes of oil from Africa to the Middle East in another sign that demand is coming back in the world’s biggest crude-importing region.Indian, Chinese and South Korean refiners have been purchasing the so-called distressed shipments, or crude that’s set to load in around a month or less, according to traders and refinery executives. Some of the oil was already being stored at sea near Singapore, while other cargoes were purchased just days before they were scheduled to load in June, they said.Indian Oil Corp., the country’s biggest refiner, has been perhaps the most aggressive buyer of prompt cargoes, releasing a slew of tenders for African, Middle Eastern and U.S. crude. While IOC is ramping up fuel output to meet rising domestic consumption, other Asian processors are seeking to make up for steep allocation cuts by OPEC+ producers such as Saudi Arabia and Iraq, the traders and refiners said.The return of prompt demand is occurring as lockdown restrictions around the region are eased and as consumption of some oil products recovers. It’s helping to chip away at the overhang of unsold crude that was built up during the unprecedented supply-demand shock earlier in the year and may provide more support to the rally in oil prices that’s been underway since late April.Meanwhile, oil’s market structure has made the case for hoarding crude less appealing than it was a few weeks ago. Brent’s six-month timespread was at a contango of almost $13 a barrel in late March, meaning prompt cargoes were that much cheaper than later-dated ones, encouraging traders to lock in the spread for a profitable storage play. However, that gap has since shrunk to about $3.50 a barrel at 9:51 a.m. Singapore time time.IOC bought the TEN Blend, Agbami, Brass Island and Bonga grades from majors late last week, and WTI Midland, Murban and Upper Zakum in an earlier tender, said traders who participated in the purchases. Northeast Asian buyers have also snapped up prompt cargoes with South Korean refiners taking crude from Abu Dhabi and Chinese processors buying their preferred grades.(Updates Brent timespread in 5th paragraph.)For more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2020 Bloomberg L.P.
The final word on the COVID-19 pandemic hasn’t been written yet, but that didn’t prevent testiness between anchors Joe Kernen and Andrew Ross Sorkin during the business channel’s morning show “Squawk Box.”
There are stocks to own for the short run. There are stocks to own for the long run. (MS)’s research team late Tuesday published a note called “Secularly Challenged Stocks” that lists 22 well-known companies that their analysts suggest people shouldn’t own.
Apple Inc has secured a deal for Hollywood veteran Martin Scorsese's next film, "Killers of the Flower Moon," U.S. media reported on Wednesday, citing sources. "Killers of the Flower Moon" will star Leonardo DiCaprio and Robert De Niro. It is the second major film that Apple has acquired after "Greyhound," starring Tom Hanks, last year.
Matt Bomer’s career took a major upswing in 2015 when he won a Golden Globe for his performance as Felix in Ryan Murphy’s HBO adaptation of Larry Kramer’s “The Normal Heart.” “Larry Kramer, thank you for your anger and your passion and writing this story that changed so many lives,” the actor said in his […]