Bottom-line: 타이거 글로벌 자산운용에서 투자했던 비상장 사모 투자자산에 대한 가치평가를 1/4 가까이 상각한 것으로 알려짐. 일부 투자의 경우 상장을 한 뒤 그 가치를 대부분 상실한 곳도 있음. 투자자들은 주식시장이 큰 폭 하락함에 따라 이와 유사한 기업에 대한 가치평가 할인이 뒤따를 것으로 예상함. 이런 회사의 움직임은 높은 성장률만으로 가치를 증명하고 자본 투자를 유입케 하려했던 기업들에게 비관적 소식임.
Tiger Global Management marked down the value of its private funds by almost a quarter this year, contributing to a $42 billion decline in assets, one of the industry’s biggest ever. In addition, some of the previously private but now-public companies held by Tiger Global’s venture unit lost value, according to people familiar with the matter. A representative for Chase Coleman’s New York-based firm declined to comment. The unit oversaw about $43 billion as of Sept. 30, down from $65 billion at year-end, after accounting for fundraising and redistributions to investors. The division marked down the value of its private investments by 24%. Assets in Tiger Global’s public investment arm shriveled to $15 billion from $35 billion, the people said. As equity markets have tumbled this year, investors have been waiting to see when the valuations of closely held firms will follow. Tiger Global’s markdowns shed light on what some of the once high-flying private companies may be worth, particularly as many of them have struggled to access capital.
Tiger Global Management marked down the value of its private funds by almost a quarter this year, contributing to a $42 billion decline in assets, one of the industry’s biggest ever. In addition, some of the previously private but now-public companies held by Tiger Global’s venture unit lost value, according to people familiar with the matter. A representative for Chase Coleman’s New York-based firm declined to comment. The unit oversaw about $43 billion as of Sept. 30, down from $65 billion at year-end, after accounting for fundraising and redistributions to investors. The division marked down the value of its private investments by 24%. Assets in Tiger Global’s public investment arm shriveled to $15 billion from $35 billion, the people said. As equity markets have tumbled this year, investors have been waiting to see when the valuations of closely held firms will follow. Tiger Global’s markdowns shed light on what some of the once high-flying private companies may be worth, particularly as many of them have struggled to access capital.
Bottom-line: 지난 25년 간 연 평균 25%의 수익률을 거둔 드러켄밀러는 2018년 인터뷰를 통해 주식시장만큼 훌륭한 경제학자는 없다며 경기를 예측하기 좋은 주식시장 지표 및 다른 몇가지 지표를 언급함. 이에 따르면 중기적으로 여전한 침체 위험이 있지만, 단기적으론 침체 위험을 피해 있는 것으로 보임. 하나씩 소개 하자면, i) 주택, 자동차, 소매판매와 같은 경기민감주가 전체 지수보다 상대성과 우위를 기록 중이며, ii) 장단기 금리 차이가 역전 후 다시 가팔라질 때 발생하는 침체 징후를 포착하는데 유용한 초과유동성 또한 계속 하락 중임. 초과 유동성은 장단기 금리차이와 일치하는 방향으로 선행함. iii) 끝으로 금액기준 미국 물류의 65%를 차지하는 트럭 운송의 활황을 짐작해볼 수 있는 트럭 판매는 승용차 판매와 함께 다시 상승함.
The risk of a near-term recession is easing, according to an indicator based on the thinking of renowned investor Stanley Druckenmiller. That reduces the immediate threat to equities, but any respite will be temporary as the risk of a recession by the middle half of next year remains very high. Stan Druckenmiller has an enviable record, achieving average annual returns of 30% for 25 consecutive years. “The inside of the stock market is the best economist I know,” said Druckenmiller in a 2018 interview. The behavior of highly cyclical sectors, such as housing, autos and retail, versus the market gauge how likely the economy is to tip into recession. This methodology helped him correctly predict the last four recessions before 2020. Near-term recession risk is likely to be low while such highly cyclical sectors are managing to outperform in aggregate – especially given these sectors are among the most interest-rate sensitive. The curve (2s10s) in the US continues to invert to levels not seen since the early 1980s, suggesting a recession is indeed on the cards. A more imminent sign is when the yield curve begins to steepen. And of that there is little sign. One of the few indicators to lead the yield curve itself is US excess liquidity (the difference between real money growth and economic growth). It has yet to turn up, anticipating no significant re-steepening of the curve in the near future. Similarly, truck sales - an excellent leading gauge of economic activity, with 65% of the dollar value of North American freight moved by trucks - had been falling. Combined with auto sales, they had hit levels that had previously always preceded a recession. But truck and auto sales have definitively bounced and are now growing at 25% a year.
The risk of a near-term recession is easing, according to an indicator based on the thinking of renowned investor Stanley Druckenmiller. That reduces the immediate threat to equities, but any respite will be temporary as the risk of a recession by the middle half of next year remains very high. Stan Druckenmiller has an enviable record, achieving average annual returns of 30% for 25 consecutive years. “The inside of the stock market is the best economist I know,” said Druckenmiller in a 2018 interview. The behavior of highly cyclical sectors, such as housing, autos and retail, versus the market gauge how likely the economy is to tip into recession. This methodology helped him correctly predict the last four recessions before 2020. Near-term recession risk is likely to be low while such highly cyclical sectors are managing to outperform in aggregate – especially given these sectors are among the most interest-rate sensitive. The curve (2s10s) in the US continues to invert to levels not seen since the early 1980s, suggesting a recession is indeed on the cards. A more imminent sign is when the yield curve begins to steepen. And of that there is little sign. One of the few indicators to lead the yield curve itself is US excess liquidity (the difference between real money growth and economic growth). It has yet to turn up, anticipating no significant re-steepening of the curve in the near future. Similarly, truck sales - an excellent leading gauge of economic activity, with 65% of the dollar value of North American freight moved by trucks - had been falling. Combined with auto sales, they had hit levels that had previously always preceded a recession. But truck and auto sales have definitively bounced and are now growing at 25% a year.
Bottom-line: 블룸버그 인터뷰를 통해 한국은행 총재는 2%대의 인플레이션으로 통제가 되고 있다는 강력한 신호를 보기 전에 통화정책 선회를 언급하는 것은 시기상조라 함. 목요일 금리인상을 통해 현재 3.5%로 예상되는 최종금리까지 25bp 밑으로 다가왔고, 7명의 의사결정자 중 최소 4명이 3.5% 혹은 그 이하를 현재 인상주기의 끝으로 보고 있기 때문에 물가안정이 최우선 목표임을 다시 한 번 강조함. 총재 본인이 생각하는 최종금리를 밝히진 않고, 다른 의사결정자들의 생각을 존중하지만, 그들이 최종금리에 대한 생각을 바꾸게 되도 놀랍진 않을 것이라 답함.
The Bank of Korea needs to see “strong” signs that inflation is under control before discussing any prospect of a pivot away from policy tightening, Governor Rhee Chang-yong said Friday. The BOK came closer to the end of its tightening hike cycle when it raised its benchmark interest rate by a quarter-percentage-point to 3.25% on Thursday. At least four of the seven-member board favor the rate peaking at 3.5% or less. A variety of factors will help determine the course of policy, including Federal Reserve decisions, Covid policies in China and credit-market conditions in Korea, Rhee said in an interview with Bloomberg TV’s Kathleen Hays. Rhee added that he wouldn’t be surprised if some board members changed their mind over the terminal rate. He declined to provide his own forecast, adding that he respected the board’s view. It’s “premature” to discuss any rate cuts and the BOK will need strong evidence of inflation slowing to its mid-term target of a 2% range before the board can discuss the potential for easing policy, he said. The BOK has delivered a total of 2.75 percentage points of rate hikes since August 2021, including two half-point moves. The tightening helped Korea position itself earlier than most nations in the fight against asset bubbles and inflationary pressures. However, the central bank’s faster-than-usual tightening in recent months has fueled credit risks triggered by the default of a local government-backed developer.
The Bank of Korea needs to see “strong” signs that inflation is under control before discussing any prospect of a pivot away from policy tightening, Governor Rhee Chang-yong said Friday. The BOK came closer to the end of its tightening hike cycle when it raised its benchmark interest rate by a quarter-percentage-point to 3.25% on Thursday. At least four of the seven-member board favor the rate peaking at 3.5% or less. A variety of factors will help determine the course of policy, including Federal Reserve decisions, Covid policies in China and credit-market conditions in Korea, Rhee said in an interview with Bloomberg TV’s Kathleen Hays. Rhee added that he wouldn’t be surprised if some board members changed their mind over the terminal rate. He declined to provide his own forecast, adding that he respected the board’s view. It’s “premature” to discuss any rate cuts and the BOK will need strong evidence of inflation slowing to its mid-term target of a 2% range before the board can discuss the potential for easing policy, he said. The BOK has delivered a total of 2.75 percentage points of rate hikes since August 2021, including two half-point moves. The tightening helped Korea position itself earlier than most nations in the fight against asset bubbles and inflationary pressures. However, the central bank’s faster-than-usual tightening in recent months has fueled credit risks triggered by the default of a local government-backed developer.
Docent: 11월 북아시아 주식시장의 강세에 대한 도슨트입니다. 이번 달 대만 주식시장에 외국인이 6개월 만에 유입, 금액 또한 58억달러로 15년래 최고치를 기록했고, 한국 시장 또한 2개월 연속 20억 달러 이상의 순매수를 기록할 것으로 보입니다. 홍콩 주식시장은 11월 약 20% 상승하며 아시아 및 전세계 다른 지수보다 우월한 성과를 거뒀습니다. 중국에 대한 높은 의존도로 비참한 한 해를 보냈던 홍콩, 한국, 대만과 독립적 소비와 원자재 중심국인 인도네시아와 인도의 질주가 익숙했던 투자자들에게 예상 밖의 움직임이 아닐 수 없습니다. 남아시아에서 북아시아로의 급격한 자금이동은 중국의 바이러스 억제 정책의 점진적 완화에 따른 경제 재개 기대감, 부실 우려에 놓인 부동산에 대한 정책 지원, 그리고 중국과 미국 간 갈등 완화에 따른 반도체 제조업 긴장 완화에 기인합니다. 다수의 투자은행들이 내년은 남아시아 비중을 축소하고 북아시아 비중을 높일 것을 권고하고 있습니다.
The nascent revival in North Asian equities is being touted as the start of a potential bull run as bets for China’s gradual reopening as well as the bottoming out of the chip industry intensify. Strategists at Goldman Sachs Group Inc. expect Asia’s equity leadership to shift from Southeast Asia and India to markets like China and Korea next year, while Societe Generale SA says Taiwan’s tech-heavy market is also at an inflection point. Jefferies Financial Group Inc. has echoed similar views. Stocks listed in Hong Kong as well as Korea and Taiwan have languished for most of the year owing to their heavy reliance on China’s economy, which has been crimped by stringent Covid controls and a property crisis. Meanwhile, domestic-demand driven southern markets of Indonesia and India boasted resilience. The tables have turned this month after a slew of positive policy moves by Beijing. “Of concern to us is that Southeast Asia is beginning to underperform in the last few weeks, as investors rotate back into North Asia,” said Alexander Redman, chief equity strategist at CLSA. “Indonesia, as a defensive, domestically-orientated commodity exporter, was a logical refuge to ride out the equity storm,” he said, adding that the market will be “less favored as investors reengage some deep value cyclical exposure in North Asia.”. Key equity gauges in Hong Kong have rallied about 20% in November, easily topping the rest of Asia and major global peers, as China urged more targeted Covid restrictions and boosted policy support for the real estate sector. Foreigners have piled $5.8 billion into Taiwan stocks this month, on track for the first inflows in six months and the biggest in 15 years. Net purchases of Korean shares are set to exceed $2 billion for a second straight month. In contrast, Indonesia’s market -- once investors’ favorite as an inflation hedge -- is flat in November, and poised to see monthly flows turn negative for the first time since July. Investors are also more wary about valuations in India, where benchmarks recently hit record highs, with Goldman Sachs expecting the market to relatively underperform in 2023. “Any positive catalysts such as a potential China re-opening and policy support, lowering of geopolitical tensions or tech cycle bottoming is likely to drive a sharp rerating” of North Asian markets, Jefferies strategists led by Desh Peramunetilleke wrote in a note. The brokerage is overweight Hong Kong, China, Korea and Taiwan, neutral on Indonesia and underweight India.
The nascent revival in North Asian equities is being touted as the start of a potential bull run as bets for China’s gradual reopening as well as the bottoming out of the chip industry intensify. Strategists at Goldman Sachs Group Inc. expect Asia’s equity leadership to shift from Southeast Asia and India to markets like China and Korea next year, while Societe Generale SA says Taiwan’s tech-heavy market is also at an inflection point. Jefferies Financial Group Inc. has echoed similar views. Stocks listed in Hong Kong as well as Korea and Taiwan have languished for most of the year owing to their heavy reliance on China’s economy, which has been crimped by stringent Covid controls and a property crisis. Meanwhile, domestic-demand driven southern markets of Indonesia and India boasted resilience. The tables have turned this month after a slew of positive policy moves by Beijing. “Of concern to us is that Southeast Asia is beginning to underperform in the last few weeks, as investors rotate back into North Asia,” said Alexander Redman, chief equity strategist at CLSA. “Indonesia, as a defensive, domestically-orientated commodity exporter, was a logical refuge to ride out the equity storm,” he said, adding that the market will be “less favored as investors reengage some deep value cyclical exposure in North Asia.”. Key equity gauges in Hong Kong have rallied about 20% in November, easily topping the rest of Asia and major global peers, as China urged more targeted Covid restrictions and boosted policy support for the real estate sector. Foreigners have piled $5.8 billion into Taiwan stocks this month, on track for the first inflows in six months and the biggest in 15 years. Net purchases of Korean shares are set to exceed $2 billion for a second straight month. In contrast, Indonesia’s market -- once investors’ favorite as an inflation hedge -- is flat in November, and poised to see monthly flows turn negative for the first time since July. Investors are also more wary about valuations in India, where benchmarks recently hit record highs, with Goldman Sachs expecting the market to relatively underperform in 2023. “Any positive catalysts such as a potential China re-opening and policy support, lowering of geopolitical tensions or tech cycle bottoming is likely to drive a sharp rerating” of North Asian markets, Jefferies strategists led by Desh Peramunetilleke wrote in a note. The brokerage is overweight Hong Kong, China, Korea and Taiwan, neutral on Indonesia and underweight India.
Bottom-line: 중앙은행의 지속적인 긴축에도 불구하고 11월은 주식과 채권 모두 강세를 보였음. 이번 달 마지막 주에 12월 주요 지표 중 고용이 금요일에 발표되기 때문에 월말을 기준하는 수요일에 포트폴리오를 재조정 하려는 욕구가 커질 수 있음. 뿐만 아니라 12월에 발표되는 고용과 인플레이션 지표가 예상을 상회할 경우 올해의 마지막 통화정책회의에서 시장의 기대와 다른 결말이 나올 수 있으므로, 현재까지 거둔 이익을 실현하고자 하는 유혹도 있을 것임.
November is proving to be a very buoyant month for assets of all stripes, with bonds and equities rallying into the teeth of a barrage of continued global central bank tightening. The strong gains could set up a spicy final week, given the month-end on Wednesday could motivate plenty of position squaring and rebalancing before the first of December’s three major event risks lands on Friday in non-farm payrolls. The temptation could be there for some to take profits off the table in case robust jobs and inflation numbers create the potential for surprises at the final Fed meeting of the year.
November is proving to be a very buoyant month for assets of all stripes, with bonds and equities rallying into the teeth of a barrage of continued global central bank tightening. The strong gains could set up a spicy final week, given the month-end on Wednesday could motivate plenty of position squaring and rebalancing before the first of December’s three major event risks lands on Friday in non-farm payrolls. The temptation could be there for some to take profits off the table in case robust jobs and inflation numbers create the potential for surprises at the final Fed meeting of the year.
Bottom-line: 한국은행 총재는 일본과 같이 고령화 사회에 경제를 부양하는 방법으로 재정정책이나 통화정책을 사용해선 안된다고 주장함. 성장이 둔화될 때 재정정책을 사용해 경기를 부양하고, 물가가 낮을 때 통화정책을 써 인플레이션을 만들자는 쉬운 말들은 모두 실패했다면서 구조적 변화를 이뤄야 한다고 함. 이를 위해 출산율이 높아질 수 있는 환경을 만들어야 하며, 여성의 노동 참여율을 높이고, 외국인 근로자를 적극 활용하는 등 고통이 수반되더라도 구조적인 변화를 시작해야 한다고 함.
South Korea should avoid following Japan’s lead of using fiscal and monetary stimulus to combat the challenges of an aging economy, central bank Governor Rhee Chang-yong said, urging reforms instead to boost fertility. Aging is a rising concern in the developed world and Korea is among the hardest-hit together with Japan. South Korea shattered its own record for the world’s lowest fertility rate last year, adding to long-term pressure on policy makers to keep interest rates low and fiscal stimulus ample to boost growth. “It’s easier to say ‘let’s use the fiscal policy to stimulate the economy if growth is going down, let’s use the loose monetary policy to increase the inflation rate,” Rhee said in an interview. “It all failed.”. Korea should instead embark on long-delayed structural reforms, even though they may be painful, while increasing female labor participation, improving the education system and utilizing foreign workers more effectively, the Bank of Korea governor said Friday.
South Korea should avoid following Japan’s lead of using fiscal and monetary stimulus to combat the challenges of an aging economy, central bank Governor Rhee Chang-yong said, urging reforms instead to boost fertility. Aging is a rising concern in the developed world and Korea is among the hardest-hit together with Japan. South Korea shattered its own record for the world’s lowest fertility rate last year, adding to long-term pressure on policy makers to keep interest rates low and fiscal stimulus ample to boost growth. “It’s easier to say ‘let’s use the fiscal policy to stimulate the economy if growth is going down, let’s use the loose monetary policy to increase the inflation rate,” Rhee said in an interview. “It all failed.”. Korea should instead embark on long-delayed structural reforms, even though they may be painful, while increasing female labor participation, improving the education system and utilizing foreign workers more effectively, the Bank of Korea governor said Friday.
Bottom-line: 테슬라 모델 Y는 올해 가장 많이 판매 된 자동차 모델 5위 안에 들었으며, 순위에서 유일한 전기차임. 올해 9개월 간 50만대를 판매했지만, 당신이 어느 국가에 거주하는지에 따라 이 차를 소유하는데 드는 비용은 막대한 차이를 보였음. 중국의 경우 최종 가격 인하를 기준할 때 미국 판매가의 절반을 가까스로 넘을 정도로 저렴하지만, 싱가폴은 세계에서 가장 비싼 값을 줘야 모델 Y를 구매할 수 있음. 심지어 이 가격은 부대 비용을 제외했으며, 이를 포함할 경우 판매가의 두 배가 될 수도 있음. 아래 차트는 테슬라 모델 Y의 공식 홈페이지 최저 가격을 기준해서 비교한 내용임.
Tesla Inc.’s Model Y has been a smash-hit worldwide -- on track to rank among the top five best-selling models this year and the only electric car to make the cut. More than 500,000 were snapped up in the first nine months, but depending on which country you live in, you may be forking out vastly different sums. Mainland China is the world’s cheapest place to buy a Model Y. After last month’s price cuts, the Model Y starts at 288,900 yuan ($40,500), slightly over half the US retail price. At the other end of the spectrum, Singapore is the world’s most expensive place to own a Tesla: getting the four-door SUV in the island state will set you back a hefty S$142,471 ($103,800) -- and that’s before excise and registration duties, which can double the overall price tag. Bloomberg compiled the most and least expensive places to buy a Model Y, based on the starting cash price shown on Tesla’s official website for each country and region.
Tesla Inc.’s Model Y has been a smash-hit worldwide -- on track to rank among the top five best-selling models this year and the only electric car to make the cut. More than 500,000 were snapped up in the first nine months, but depending on which country you live in, you may be forking out vastly different sums. Mainland China is the world’s cheapest place to buy a Model Y. After last month’s price cuts, the Model Y starts at 288,900 yuan ($40,500), slightly over half the US retail price. At the other end of the spectrum, Singapore is the world’s most expensive place to own a Tesla: getting the four-door SUV in the island state will set you back a hefty S$142,471 ($103,800) -- and that’s before excise and registration duties, which can double the overall price tag. Bloomberg compiled the most and least expensive places to buy a Model Y, based on the starting cash price shown on Tesla’s official website for each country and region.
Bottom-line: 토마스 바킨은 존 윌리엄스, 제임스 블라드에 이어 중앙은행이 금리인상 폭을 낮추는데 동의하지만, 더 오랜 기간에 걸쳐 예상했던 것보다 높은 최종 정책금리를 유지할 수 있다는 주장에 합류함. 이는 인플레이션 수준이 높은 상태로 유지되면서 불과 몇달 전에 생각했던 예상 금리경로를 더 높여야한다 생각이 들 정도며, 다른 중앙은행 인사들이 인플레이션이 정책금리를 더 높은 수준에 이르게 한다거나, 금융시장이 중앙은행의 추가 금리인상 필요성을 간과하고 있단 발언과 상통함.
Federal Reserve Bank of Richmond President Thomas Barkin said he favored slowing the pace of interest rate hikes in recognition of past aggressive moves, while adding that the peak of rates may need to be held for longer at potentially higher levels to dampen inflation. “I’m very supportive of a path that is slower, probably longer and potentially higher than where we were before,” Barkin said in an interview Monday with Kathleen Hays on Bloomberg Television. He added that he expects peak rates “certainly” to be higher than he thought a couple months ago. Fed officials have signaled they plan to raise their benchmark rate by 50 basis points at their final meeting of the year on Dec. 13-14, after four successive 75 basis-point hikes. But policy makers could also raise their forecasts for how high interest rates will eventually go when they update their economic projections during the meeting in the face of persistently high inflation. Barkin is the latest Fed official to endorse additional tightening to reduce inflation near a 40-year high. New York Fed President John Williams said earlier Monday that higher inflation would call for a “modestly higher path for policy” and St. Louis Fed President James Bullard separately said financial markets were “underpricing” the likelihood that the Fed would need to be more aggressive.
Federal Reserve Bank of Richmond President Thomas Barkin said he favored slowing the pace of interest rate hikes in recognition of past aggressive moves, while adding that the peak of rates may need to be held for longer at potentially higher levels to dampen inflation. “I’m very supportive of a path that is slower, probably longer and potentially higher than where we were before,” Barkin said in an interview Monday with Kathleen Hays on Bloomberg Television. He added that he expects peak rates “certainly” to be higher than he thought a couple months ago. Fed officials have signaled they plan to raise their benchmark rate by 50 basis points at their final meeting of the year on Dec. 13-14, after four successive 75 basis-point hikes. But policy makers could also raise their forecasts for how high interest rates will eventually go when they update their economic projections during the meeting in the face of persistently high inflation. Barkin is the latest Fed official to endorse additional tightening to reduce inflation near a 40-year high. New York Fed President John Williams said earlier Monday that higher inflation would call for a “modestly higher path for policy” and St. Louis Fed President James Bullard separately said financial markets were “underpricing” the likelihood that the Fed would need to be more aggressive.
Bottom-line: 중국 공식 대변인은 대중의 합리적인 바이러스 억제 정책 요구에 대응해야 한다면서, 과도한 바이러스 억제 정책을 지양하고, 바이러스 확산에 따른 다수의 불편을 줄이도록 하는 방향을 지시함.
China’s local officials must respond to and resolve “reasonable” Covid requests from residents in a timely manner, Mi Feng, spokesman for the National Health Commission, says at a briefing. Local officials must keep avoiding excessive Covid curbs. China must reduce inconvenience caused by the Covid outbreak among public.
China’s local officials must respond to and resolve “reasonable” Covid requests from residents in a timely manner, Mi Feng, spokesman for the National Health Commission, says at a briefing. Local officials must keep avoiding excessive Covid curbs. China must reduce inconvenience caused by the Covid outbreak among public.
Bottom-line: 스페인 물가가 전년 대비 6.6% 상승한 것으로 발표되며 전월 7.3% 상승과 예상치 7.1% 상승을 모두 하회함. 의류를 제외 한 전기료, 유가 하락에 기인함. 다만, 정책 입안자 입장이서는 변동성이 큰 에너지 및 식품을 제외 한 핵심 물가지표는 상승해 여전히 경계를 해야 한다고 함.
Spanish inflation eased for a fourth month and by more than expected, reinforcing expectations for a wider slowdown in European prices and offering some comfort to the government whose aid measures have brought record budget spending. Consumer prices advanced by 6.6% from a year ago in November, down from the previous month’s 7.3% advance, the statistics institute said Tuesday. That’s below the 7.1% median estimate in a Bloomberg survey of economists. The slowdown was driven by declines in electricity and fuel costs and an only moderate rise in clothing. A gauge of underlying prices, however, which excludes volatile items like energy and food, ticked up to 6.3%. Such measures may take on more significance even as headline inflation rates across the region start to ease, according to Vice President Luis de Guindos.
Spanish inflation eased for a fourth month and by more than expected, reinforcing expectations for a wider slowdown in European prices and offering some comfort to the government whose aid measures have brought record budget spending. Consumer prices advanced by 6.6% from a year ago in November, down from the previous month’s 7.3% advance, the statistics institute said Tuesday. That’s below the 7.1% median estimate in a Bloomberg survey of economists. The slowdown was driven by declines in electricity and fuel costs and an only moderate rise in clothing. A gauge of underlying prices, however, which excludes volatile items like energy and food, ticked up to 6.3%. Such measures may take on more significance even as headline inflation rates across the region start to ease, according to Vice President Luis de Guindos.
Docent: 중국의 바이러스 관련 정책 발표에 대해 그 반응이 사뭇 다른 이유를 도슨트 하고자 함. i) 접종: 노년층에 대한 백신 접종을 강조하는데, 특히 접종을 통해 본인의 건강은 스스로 책임에 있다고 넘기는 형태라 볼 수 있음. ii) 위독성: 변이 바이러스의 위험에 대해 경미함을 강조하면서 경제재개 시 대중이 바이러스에 대해 가질 공포를 축소시키려는 의도임. iii) 불편: 투자자들이 우려하는 지속적이고 강압적인 정부 태도의 변화를 추측케 불편을 최소화 할 것을 강조 했음. iv) 과도한 조치: 중앙정부의 승인이 필요하며, 대중이 원하는 합리적 범위에서의 봉쇄를 기간과 범위를 제한해서 하도록 함. 이러한 약간의 어조 변화에 투자자들은 환영하고 있음.
Let me unpack that China Covid press briefing. Vaccinations: There was a focus on the vaccination of the elderly. This may seem obvious but it’s one of the major obstacles to China’s reopening. While there was nothing about a vaccine mandate, we heard strong words urging older residents to take responsibility for their own health. Virulence: One spokesperson detailed the science showing omicron and its sub-variants aren’t as dangerous. Lowering the population’s fear of the virus is an important step toward a panic-free reopening. There was also a bit of self-congratulatory talk around China’s low death rate -- claiming victory over the pandemic also plays into how Beijing will clear the path to move on. Inconvenience: Health officials said it was paramount to minimize the impact caused by the Covid outbreak. This is somewhat of a reiteration but to investors it suggests the government is concerned about the anxiety caused by its pandemic response. Excessive measures: The spokespeople said some local governments are taking lockdowns too far, imposing measures without prior approval from the central government. Restrictions should be limited in scale and length, and local authorities must respond quickly to “reasonable” requests from residents. If not they will be named and shamed. The key to tracking shifts in China’s Covid Zero policy will come from official tone, language and signaling -- reading the tea leaves might be a high-risk bet but investors seem happy with what they got today.
Let me unpack that China Covid press briefing. Vaccinations: There was a focus on the vaccination of the elderly. This may seem obvious but it’s one of the major obstacles to China’s reopening. While there was nothing about a vaccine mandate, we heard strong words urging older residents to take responsibility for their own health. Virulence: One spokesperson detailed the science showing omicron and its sub-variants aren’t as dangerous. Lowering the population’s fear of the virus is an important step toward a panic-free reopening. There was also a bit of self-congratulatory talk around China’s low death rate -- claiming victory over the pandemic also plays into how Beijing will clear the path to move on. Inconvenience: Health officials said it was paramount to minimize the impact caused by the Covid outbreak. This is somewhat of a reiteration but to investors it suggests the government is concerned about the anxiety caused by its pandemic response. Excessive measures: The spokespeople said some local governments are taking lockdowns too far, imposing measures without prior approval from the central government. Restrictions should be limited in scale and length, and local authorities must respond quickly to “reasonable” requests from residents. If not they will be named and shamed. The key to tracking shifts in China’s Covid Zero policy will come from official tone, language and signaling -- reading the tea leaves might be a high-risk bet but investors seem happy with what they got today.
Bottom-line: 중앙은행 인사들이 내년에도 정책을 강화할 수 있단 발언을 했음에도 불구, 시장은 전혀 동요하지 않음을 유로 달러 선물 변동성에서 알 수 있음. 5거래일 동안 18틱 범위에서 거래되며 2월 이후 최저 변동을 보였기 때문임. 이는 변동성을 다시 키웠던 9월 물가지표와 통화정책회의를 앞뒀던 때의 진정 상태와 유사한데, 중앙은행의 정책이 충분히 가격에 반영되었거나 변동성이 이 추세대로 더 낮아질 것을 기대한다면, 과거 형태를 한 번 되살펴 볼 가치가 있음.
Monday saw both Williams and Bullard reiterate the need for restrictive policy throughout 2023, at this point these sorts of comments have relatively little impact on market pricing. Indeed, rate expectations are more stable than they have been for virtually all of this year, with EDM3 posting a 5-day trading range of just 18 ticks-- the lowest since early February. Granted, last week’s holiday trading conditions might have had something to do with that, as well as a dearth of important economic data. Still, it is worth noting that rate expectations also hit a lull in early September before CPI and the Fed announcement re-kindled volatility. That’s perhaps something to remember before concluding that the Fed is “fully priced” and that volatility across asset markets can now decline further on a trend basis.
Monday saw both Williams and Bullard reiterate the need for restrictive policy throughout 2023, at this point these sorts of comments have relatively little impact on market pricing. Indeed, rate expectations are more stable than they have been for virtually all of this year, with EDM3 posting a 5-day trading range of just 18 ticks-- the lowest since early February. Granted, last week’s holiday trading conditions might have had something to do with that, as well as a dearth of important economic data. Still, it is worth noting that rate expectations also hit a lull in early September before CPI and the Fed announcement re-kindled volatility. That’s perhaps something to remember before concluding that the Fed is “fully priced” and that volatility across asset markets can now decline further on a trend basis.