On Bloomberg, “Inflation data should lead the Fed to consider a 0.75 percentage point hike” in US interest rates this Wednesday (14). In the Wall Street Journal, the central bank “should consider a 0.75 point increase in rate”.
The South China Morning Post headlined that “China leaning towards rate cuts, with inflation and capital outflows under control” (above). He listens to analysts from Capital Economics, Standard Chartered Bank and others focused on the Chinese financial market.
Outside China, Forbes and other sectors followed the same line on Tuesday, echoing Bloomberg, which days earlier had reported that “China’s moderate inflation leaves room for more easing.”
But Reuters, with a survey of analysts, projects that the first step also on Wednesday, with the definition of the Chinese rate for medium-term loans, should be to maintain interest rates. The reason would be the US’s own “expectation of more aggressive monetary tightening”, which could stimulate capital outflows.
On the other hand, the last week was full of headlines such as “Foreign capital roars back to China’s stock market” on Caixin. Anyway, if it doesn’t cut this week, China also has the base rate to decide next week.
MORE PAIN
The world price of soybeans “reaches records” of ten years, reports the WSJ, with expectations of smaller harvests in Brazil and Argentina and risk also in the USA. “It promises more pain for consumers facing the most serious outbreak of food inflation in a decade,” he says.
In the background, revealed Bloomberg, “USA silently asks [às empresas agrícolas americanas] fertilizer agreements with Russia”.
‘A NEW DYNASTY HAS ARRIVED’
In China, Caixin reported on the “Brazilian expansion” of BYD, in dealerships, and Zhengquan Shibao, a finance company linked to the People’s Daily, heard from CEO Wang Chuanfu that the automaker is exerting “great pressure to develop markets abroad”.
In Brazil, websites such as Bahia Economica report that the state government is closing with BYD to manufacture its electric cars in Camaçari, in the space left by Ford. Starting with the Tan EV model (above), advertised on their website with the slogan “A new dynasty has arrived”.
HUMAN RIGHTS
The European Court of Human Rights temporarily barred, at the last minute, the flight with the first group of deportees to Rwanda, Africa, organized by the British government, the Times and others reported.
Via CCTV and Guancha, the Chinese foreign ministry, which competes with the European one in Africa, criticized that this “behavior of evicting vulnerable groups to other countries is frightening” and “illegal”.
