Week In Review
- The Wall Street Journal pointed out this Monday that China has steadily increased its purchases of US crude oil since May.
- Bloomberg announced this Tuesday that Singaporean sovereign wealth funds, GIC and Temasek will participate in the Ant Group IPO, with the former reportedly making a $1 billion investment.
- It was reported this Wednesday that over 400 million Chinese are vacationing domestically during the Golden Week holiday. Thus, it is no surprise that consumption plays are performing well this week.
- On Thursday, Ping An Insurance-backed company Lufax Holdings filed for a New York Stock Exchange listing under the ticker LU.
Let’s not bury the lead: THE STRONGEST SINGLE DAY OF PERFORMANCE FOR THE RENMINBI VERSUS THE US DOLLAR IN 15 YEARS! The renminbi (RMB) moved $0.09 versus the USD last night! You might remember how China “devalued” its currency back in August 2015. Last night’s move was almost the same magnitude as 2015, but the other way around! Regardless, back then the headlines SCREAMED about the “devaluation” for weeks. Don’t get me wrong, Summer 2015 was awful as China’s Mainland stock market fell and then the currency drop left a Grand Canyon-sized wrinkle in between my eyebrows. However, with such a strong move to the upside, I would have expected at least a few headlines covering the RMB’s historic positive move last night… (For my friends in Europe & UK, the appreciation wasn’t as pronounced versus the Euro or Pound.)
While I have your attention, I will point out the growing disparity between MSCI’s