Hong Kong shares led losses in mixed Asian trading after John Lee’s speech

William Ma says it’s ‘too early’ to buy property in Hong Kong for policies to attract talent again

The investment firm says it's too early to buy property and real estate stocks in Hong Kong

William Ma, chief investment officer at GROW Investment Group, said it was still too early to buy real estate stocks and physical property in Hong Kong.

Speaking on CNBC’s “Street Signs Asia,” Ma said near-term investors will have to “wait and see” whether Hong Kong leader John Lee Talent attraction policies It will bring people back to the city-state.

In addition, Ma expects real estate and stock prices to fall due to weak demand, adding that what Hong Kong needs is a “real economic recovery.”

Ma also said that Hong Kong’s financial importance will remain, and that Chinese companies still favor listing in Hong Kong markets.

– Lee Ying Shan

Hong Kong movers: Tech, EV, and Macau casino stocks fall; Property stocks lose previous gains

Shares of Hong Kong-listed technology companies and electric car makers extended their decline during Hong Kong President John Lee’s political speech, sending the general index lower along with Macau casino shares.

Exping Motors decreased by 8.24% Bilibili decreased by 4.2% and Mituan It also decreased by 3.64%. Tencent And the Ali Baba It also fell more than 2.5%.

Macau casino shares also fell with MGM China by 3.84% and where is macau 4.15%.

Meanwhile, real estate stocks pared earlier gains. Country Garden was last up 0.7% after trading above 4% prior to Lee’s speech.

Chinese overseas land and investment It was up 2.25% after rising 5% earlier.

– Jie Lee

Kakao co-CEO resigns after mass outage blocks access to 53 million users

A senior executive of Kakao Corp . will get down After a fire in a data center led to a mass outage over the weekend and Disabled services Its 53 million users worldwide.

Co-CEO Namkoong Whon apologized after the outage and said he would resign.

“I feel the heavy burden of responsibility for this accident, and I will step down as CEO and lead the emergency disaster response team that is overseeing the aftermath of the accident,” Namkong said at a press conference at the company’s office on the outskirts of Seoul. Wednesday.

Kakao shares traded 2.43%, slightly lower after the press conference.

– Jie Lee

Hong Kong real estate shares soar ahead of annual policy speech

Shares of Hong Kong-listed real estate companies rose in morning trading ahead of Chief Executive John Lee’s speech.

Chinese overseas land and investment increased by 5% CK . origin 2.75% profit and Sino Land Added 2.5%. country garden It also added 4.26% before Lee’s speech.

Local media in Hong Kong have reported that foreign property owners may receive rebates on buyer stamp duties.

– Abigail Ng

Apple supplier shares drop due to report of iPhone 14 Plus production cuts

Shares of Apple suppliers in Asia fell after the technology company Order from factory in China To discontinue iPhone 14 Plus component production as Apple reassess demand for the product.

the information mentioned That two other suppliers that assemble units of this component have also significantly reduced production.

LG Innotek and SK Hynix in South Korea lost about 2%, while Japan lost TDK . company And the morata manufacture Throwing more than 1% each.

An apple The stock briefly lost $4 a share overnight, but closed the regular session 0.94% higher as major indexes advanced.

– Abigail Ng

CNBC Pro: Goldman Sachs identifies four economic scenarios and predicts how gold will perform in each of them

Goldman analysts wrote in a note on October 11 that it has been a volatile year for gold, as the precious metal has been torn between growth and inflation risks, higher real interest rates and a strong dollar.

“In our view, there is still a lot of uncertainty about the future path of US inflation, growth, rates, and central bank reaction functions.”

Goldman implemented four different economic scenarios, predicting where gold prices might end up in each case.

CNBC Pro subscribers can read more here.

US crude futures rose by $1 a barrel on expectations that Biden will release oil from the Strategic Petroleum Reserve

. futures contracts West Texas Intermediate Crude It rose about $1, or 1.33% and futures Brent crude It rose by $0.83 or 0.92% as the Biden administration is expected to release more oil from the US US Strategic Petroleum Reserve.

Sources told CNBC that the plan may be announced on Wednesday.

The sources said the move aims to extend the strategic petroleum reserve delivery program, which began this spring, until December.

– Kayla Tucci, Jihee Lee

RBNZ likely to deliver ‘huge rise’ of 75 basis points in November: ANZ

Economists at ANZ expect the Reserve Bank of New Zealand to raise 75 basis points each at its upcoming November and February meetings.

New Zealand’s central bank raised interest rates by 50 basis points to 3.5%. in advance this monthwhich raised the cash rate to its highest level in seven years.

ANZ said the RBA was likely to take a more conservative path than the RBA, which would result in a “much wider policy differential going forward in 2023”.

The next monetary policy meeting of the Reserve Bank of New Zealand is scheduled for November 23.

– Jie Lee

Apple falls due to report of production cuts

Apple shares fell briefly and turned negative after a report from The Information that the tech giant is reducing production of its new iPhone 14 Plus.

The move by Apple, the largest US stock, brought the major averages back near today’s lows, although they have since regained some of that ground.

How far can the Fed pay a 10-year yield?

The Fed is widely expected to rise by another three-quarters of a percentage point next month, but the central bank may have reached the maximum dictate for long-term interest rates, according to Jim Poulsen of The Leuthold Group.

“There is an important precedent in the tightening cycles prior to the Fed shutdown because the bond market ‘flashes’ first. The Fed may soon try to raise the money rate to 4%, 4.5%, or even 5%. But at some point, long-term bonds may simply come to a halt. about the rally and refuse to follow the Fed’s approach,” Paulsen wrote in a note to clients on Tuesday.

The 10-year Treasury yield has been trading above 4% in recent days, reaching its highest levels in more than a decade. With growing concern about a recession in 2023, Paulsen said, he may be approaching the ceiling.

“Every time the Fed tightens monetary policy, recession fears increase relative to inflation fears. Eventually, as the Fed becomes more aggressive, the recession becomes a bigger concern than inflation, and bond buyers start to outnumber bond sellers — that is, the bond market flashes. “.

– Jesse Pound

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