Expectation of Fed ra上海乌托邦s an over-reaction

Herd instinct is the human nature to follow the crowd and act collectively – and market expectation always does not change smoothly but t

上海乌托邦ends to over-react to new information. The current market expectation of the US Federal Reserve’s rate cuts is a case in point.

On June 20, the latest meeting of the Fed’s policy-setting Federal Open Market Committee shrugged off the market’s high expectation of rate cuts and gave no clear policy signal confirming a cut.

We believe the market had overreacted in forming its expectation of rate cuts after the Fed swiftly adopted a dovish tone from the end of last上海乌托邦

year. Specifically, we believe market expectation – it has formed since May – of a change in policy stance, as well as the timing and degree of rate cuts, may not fully materialize.

We will elaborate on this now. It should be noted the misconceived expectation of Fed rate cuts could ind上海乌托邦

uce a drastic reversal in investor sentiment and asset price fluctuations, if the Fed’s moves miss expectation.

Firstly, the market may have overestimated the degree of the Fed’s policy stance change. A clear rate cut signal may not emerge until the end of this month.上海乌托邦

According to Bloomberg, the Fed funds futures market has recently priced in a 98.5-percent chance that the Fed will lower rates at least once this year.

上海乌托邦品茶微信However, the Fed’s earlier forward guidance only indicated the end of monetary policy n

ormalization, which does not necessarily point to the beginning of a rate cut cycle. Also, the Fed h

as removed the word “patient” from the latest FOMC meeting statement but did not confirm a rate-cut stance.

We believe that because of the following two reasons, the Fed is still on cautious lookout, and t

here will not be any clear rate cut signal or plan until the next FOMC meeting at the end of this month.上海乌托邦品茶微信

Externally, the Fed is expected to stand pat until trade dispute uncertainties ease, to give itself an advantage in its game with the US Administration.

The Fed would put itself in an unfavorable position if it initiated a rate cut before majo上海乌托邦品茶微信

r uncertainties over the China-US trade dispute are removed, because the pre-emptive move may enc

ourage the US Administration to escalate the trade dispute, which will in turn pose a dilemma to the Fed.

That’s because any escalation in trade tensions will, on the one hand, d

ssipate and even offset the easing boost from rate cuts and force the Fed to accelerate the上海乌托邦品茶微信

rate cut pace. On the other hand, the escalation could further fuel imported inflation, which will significantly reduce the

Fed’s room for rate cuts. The Fed will then face a policy-making dilemma of whether to further cut rates.

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As Kong understands, there are plenty of opportunitie

 for insurance companies in the integrated development of the Yangtze River Delta region, with transportation as a top priority.

上海夜网女神会所”Insurance capital can help the government to boost domestic consumption. A co

mprehensive transportation network connecting railway, subway, ports and even airports has上海夜网

been a longstanding goal of many cities in this area. This is where insurers can play a big role,” he said.

Elderly care is another sector where insurance companies can find big opportunities, said Ko

ng. In early June, CPIC opened an elderly care community in Hangzhou, and is about to launch a new one in Nanjing.上海夜网女神会所

“The idea is to let the senior citizens in Shanghai enjoy quality elderly care services in other parts of the Yangtze River Delta region. Mor

e room in Shanghai can thus be given to ambitious young entrepreneurs to set up their own businesses,” he said.

The integration of risk prevention schemes for peasants in the Y

angtze River Delta region is one more area where insurers can focus on, said Kong.上海夜网

Peasants’ income can be largely increased via products such

as cost insurance, yield insurance, income insurance or one-stop insurance service.

He Haifeng, director of the Institute of Financial Policy, which is a part of the Chinese Academy of Social Sciences, said the int上海夜网女神会所

egrated development of the delta region presents many latent challenges. So, more efforts should be made to r

eform finance and tax areas, to reduce fees in various fields, and improve the overall business environment.

Work on a new film based on a script by novelist Liu Cixin, the first Asian ever to win a global sci-fi literature’s top honor Hugo Award, has just begun.上海夜网女神会所

The movie called Mo Ri Zheng Jiu (The Rescue on the Last Day) will star award-winning Hong Kong actor Nick Cheung Ka-f

ai and veteran actor Hu Jun, best known for the first Sino-Kazakh coproduction The Composer.

Director Shen Yue says that Liu wrote the script before he started to write The Three-Bod

y Problem, which won the Hugo Award for Best Novel in August 2015. The book was first published in 2006.

Zhu Jin, the curator of Beijing Planetarium, will be the film’s chief science consultant.

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Premier urges support 上海品茶微信女神会所 beside a China R

Innovative overs上海品茶微信女神会所ight helps companies improve their cross-border business

Greater policy support and innovative government oversight is needed to shore up the growth of cross-border e-c

ommerce, Premier Li Keqiang said during an inspection trip to Zhejiang province on Wednesday and Thursday.

As he visited a pilot zone in Hangzhou, the premier underlined the role of cross-border e-commerce in

enabling more businesses to take part directly in international trade.

He noted that the business model is a major trend for the future develo

pment of international trade, and it will help promote the integrated development of busin

esses of various sizes and benefit the upgrading and branding of domestic manufacturers.

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ing addresses the 1上海会所女神会所 Council of Heads of

President calls 上海会所女神会所on members to support regional links to Belt and Road Initiative

Members of the Shanghai Cooperation Organization should follow the trend of economic globalization and

build the SCO into a community with a shared future, President Xi Jinping said on Friday.

Xi made the remark while delivering a speech at the 19th

meeting of the Council of Heads of State of the SCO in Bishkek, Kyrgyzstan’s capital.

SCO members should promote the multilateral trading system, buil

d an open global economy and put forward more policies to facilitate trade and investment, he said.

Xi proposed making full use of cooperation platforms such as the China Intern

ational Import Expo to promote the openness, exchanges and integration of regional economies.

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The president said China will work with Russia to fost

ster stronger synergy between the Belt and Road Initiative and the Russ

ian-led Eurasian Economic Union, advance negotiations on a Eurasian economic pa

rtnership agreement and enhance facilitation of regional trade and investment.

He said development and use of the Arctic shipping routes will provide

new opportunities, a new platform and new impetus for synergizing the BRI and the EAEU.

Security and environmental protection are crucial in developing these routes, and China encourages its compan

ies to take an active part and make practical contributions to the commercial op

eration of Arctic shipping routes and local economic and social development, he said.

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China’s Qomolangma climbing season runs from April 10 t

At least four deaths have been blamed on crowding during the climbs, Agence France-Presse reported.

People should be well prepared to handle Qomolangma’s traffic jams which are common phenomena along climbing paths, said alpinists who had reached the summit.

“Although the news about the jam on Qomolangma this year has gone viral, people should understand that it happens every year during the brief cl

imbing window. Knowing what to do when climbers jam the narrow paths should be incl

uded in their training well in advance,” said Ma Liyamu, who reached the top of Qomolangma, the world’s ta

llest mountain at 8,848 meters, on May 22 and was also held up by the crowds on her descent.

She is the leader of a mountaineering team of three Chinese women w

ho scaled Qomolangma. They launched their expedition from Nepal, which issued 381 cli

mbing permits for the season that concludes this week. Nepal’s permits this season cost $11,000 each.

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The strong earthquake was also felt in parts of Ecuador

 FTSE Russell, a leading global multi-asset index, data and analytics provider, said Satur

day that it will add Chinese A shares to its widely-tracked global benchmarks next month.

The addition will be officially effective after the close of share markets on June 24.

According to the plan of FTSE Russell, this move marks the first stage of incorporatin

g Chinese shares into its indexes. In this stage, 1,097 Chinese stocks, or 20 percent of A shares, will be bro

ught into the indexes, drawing an expected $10 billion from passive investors.

FTSE Russell will add 40 percent of A shares to its indexes in September, and another 40 percent in March next year.

shlf17.com

By late April, China had been hit by 129 African swine

 fever outbreaks, affecting all 31 provinces, municipalities and autonomous regions on the mainland, since the country’s first reported outbr

eak in Shenyang, Liaoning province, in August, according to the Ministry of Agriculture and Rural Affairs.

This resulted in more than 1 million pigs being slaughtered to prevent and control the disease, which is deadly to pigs but does no

t affect people. The ministry has called for intensified research and development to expedite the availability of va

ccines for disease prevention and control, but admitted difficulties due to the complex nature of the virus.

China is the world’s largest producer and consumer of pork, with an annual produc

tion of 700 million pigs. Pork accounts for 62 percent of meat consumption in China, and su

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Technology teams from Shanghai universities start

businesses in Suzhou, Zhejiang province. Things like this happen a lot now,” Wang said.

“And plans to build data infrastructure, such as cloud computi

ng and data centers, have been made in the integrated development of the region.”

The report also surveyed AI education in China, which has started at all levels. More tha

n 30 universities have opened schools on AI, and 75 established AI majors or interdisciplinary majors with AI.

China’s first high school textbook on AI was published by East China Normal Universit

y last year, and 40 high schools nationwide have participated in a pilot program on teaching AI to their students.

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Trump must turn over financial records to House, judge rules

A federal judge in Washington ruled Monday against President Donald Trump in a financial records dispute with Congress.

US District Judge Amit Mehta, who was appointed by President Barack Obama, said T

rump cannot block a House subpoena of financial records. He sai

d the Democratic-led House committee seeking the information has said it belie

ves the documents would help lawmakers consider strengthening ethics and disclosure laws, among other things.

The committee’s reasons were “valid legislative purposes,” Mehta said, and it was not for hi

m “to question whether the Committee’s actions are truly motivated by political considerations.”

The decision comes amid a widespread effort by the White House and the preside

nt’s lawyers to refuse to cooperate with congressional requests for information and records.

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