Lagarde said world leaders should fix global trading systems instead of tearing them down. (Photo: AFP/Goh Chai Hin) Lagarde's comments came as a global market sell-off rolled on following Trump's comments, underscoring rising financial volatility that the IMF will address at its annual meetings this week in Bali. Lagarde said central bank rate increases such as those by the policy-setting US Federal Reserve were justified by fundamentals. "It is clearly a necessary development for those economies that are showing much improved growth, inflation that is picking up ... unemployment that is extremely low," she told a press briefing in Bali. "It's inevitable that central banks make the decisions that they make." Following a sharp Wall Street sell-off on Wednesday, Trump said the Federal Reserve "is making a mistake." "I think the Fed has gone crazy," he said. GATHERING CLOUDS Trump has repeatedly touted Wall Street records as proof of the success of his economic programme including his … [Read more...] about IMF chief defends rate hikes after Trump slams ‘crazy’ Fed
Volatility trading strategies
US wish to rejoin to cause turmoil within CPTPP?
US President Donald Trump signing the ordinance to withdraw the US from the TPP Comparing the multi-country trade agreement to a glasswork, Yoshihide Suga, Japan’s Chief Cabinet Secretary cautioned against any efforts to change it to accommodate President Trump. He told New York Times: “It is difficult to bring part of the pact and re-negotiate the CPTPP,” and called it a “well-balanced pact” that carefully addressed the needs of the current eleven member countries. Taro Aso, Japanese Minister of Finance, said he would welcome a decision by the US to explore rejoining the CPTPP. “If it is true, I would welcome it.” But he added that he needed to verify facts carefully. “Trump is a person who could change temperamentally, so he may say something different the next day,” Reuters reported. New Zealand’s Trade Minister David Parker questioned how real the engagement was, given similar comments of President Trump in Davos. … [Read more...] about US wish to rejoin to cause turmoil within CPTPP?
Shares end three day rally on fears of volatility
Shares declined for the first time in the last four trades as investors still kept a cautious view on the market outlook amid global volatility following the US-China trade tension. This was the second fall of the VN-Index in the past two weeks. The southern market index has expanded more than 4 per cent this month. - Photo thoibaonganhang.vn The benchmark VN-Index on the HCM Stock Exchange edged down 0.44 per cent on Thursday, closing at 1,167.03 points, after advancing 1.6 per cent in the previous three days. This was the second fall of this index in the past two weeks. The southern market index has expanded more than 4 per cent this month. The trading volume continued to decrease with more than 185 million shares being exchanged, down 11.2 per cent from Wednesday’s level, but value of trades increased 6.6 per cent, totaling VND6.6 trillion (US$290 million). “Continuous declining volume reflected a somewhat depressed sentiment of investors with the sluggish … [Read more...] about Shares end three day rally on fears of volatility
Trade war could cause stock volatility
A share auction held at the Ho Chi Minh Stock Exchange. - VNA/VNS Photo My Phương The VN Index on the HCM Stock Exchange fell 1.60 per cent or 18.77 points to close at 1,153.59 points, putting an end to its previous nine-session rally of total 4.3 per cent. The southern exchange index had gained total 1.9 per cent since the beginning of the week to reach its record high of 1,172.36 points on Thursday before narrowing its weekly growth to only 0.3 per cent. The minor HNX Index on the Hanoi Stock Exchange dropped 1.62 per cent to end at 131.88 points, totalling a three-day decrease of 2.5 per cent. The northern market index scored a weekly reduction of 0.9 per cent following the last three falling sessions. Average trading liquidity in each session showed an improvement compared to the previous week with more than 316.5 million shares in average being traded in each session, worth VNĐ8.43 trillion (US$375 million). The trading figures last week were up 3.6 per cent in … [Read more...] about Trade war could cause stock volatility
VN Index rises for fifth straight session
Viet Nam’s benchmark VN Index rose slightly yesterday as recent growth of local stocks triggered investors to sell to make some profit.The benchmark index on the HCM Stock Exchange inched up 0.19 per cent to close at 1,050.11 points, making gains in all five trading sessions of the week with a weekly growth of 3.7 per cent.The minor HNX Index on the Ha Noi Stock Exchange fell 1.70 per cent to end at 120.76 points after increasing 0.75 per cent on Thursday.The northern market index has gone through a volatile week, growing 1.5 per cent from the previous trading week.The stock market was dominated by losing stocks, which outnumbered gainers by 275 to 217.More than 490.5 million shares were traded on the two local exchanges, worth VND11.9 trillion (US$531.5 million).Both local exchanges posted a new record high in trading value, which was up 31 per cent compared to Thursday.Trading condition among large-cap stocks was poor as 21 of the 30 largest stocks by market capitalisation in … [Read more...] about VN Index rises for fifth straight session
BUSINESS IN BRIEF 9/1
Vingroup, T&T to develop urban railway projects in HanoiThe government of Hanoi City has proposed the Prime Minister allow Vingroup and T&T Group to develop three urban railway projects which the city plans to complete by 2025, Tuoi Tre newspaper reports.The two domestic investors will use their capital to make pre-feasibility studies for these projects.When the projects were announced, many investors expressed interest in Hanoi. However, only Vingroup and T&T Group have registered to take part.Both of them proposed implementing the projects in the build-transfer (BT) format. Particularly, Vingroup registered to build the 38.4-kilometer metro line No. 5 which connects Van Cao and Hoa Lac and metro line No. 2 from Tran Hung Dao to Thuong Dinh with a length of 5.9 kilometers. Meanwhile, T&T Group is keen on metro line No. 4 connecting Me Linh, Sai Dong and Lien Ha, and measuring 54 kilometers in length.The two investors said they would use their own finances to study the … [Read more...] about BUSINESS IN BRIEF 9/1
Development Potential of Vietnam Pharmaceutical Industry
Among the Top 10 pharmaceutical companies in Vietnam, Traphaco Joint Stock Company and DHG Pharmaceutical Joint Stock Company have the strongest financial strength and achieve the highest communication scores. According to experts, the two industry-leading drug-makers have positioned their brands in the pharmaceutical market in Vietnam. According to the Top 10 Prestigious Vietnam Pharmaceutical Company Report 2017 released by Vietnam Report Joint Stock Company, the prestige of pharmaceutical companies is based on research on impacts of financial performance, corporate image in the media and valuation by industry specialists. Financial capacity is shown on the latest financial statement (total assets, total revenue, profit after tax and capital performance); communication prestige is assessed by Media Coding methodology - encoding the company's articles on influential media channels; specialist surveys; pharmacist/drugstore surveys; and business surveys conducted in December 2017 … [Read more...] about Development Potential of Vietnam Pharmaceutical Industry
Central highlands province invites investment in 53 projects
The three national projects include the project on restoring Da Lat-Thap Cham railways and upgrading Da Lat train stations for tourism; building Dau Giay-Lien Khuong expressway; and constructing Lam Dong high-tech agriculture zone. Besides, the province is also seeking opportunities for cooperation in production, business and market expansion with relevant businesses on safe and high quality products, travel routes, tours as well as new travel products. Nguyen Van Yen, Vice Chairman of Lam Dong People's Committee, said that tourism and agriculture are two areas that the province will focus on in the future to exploit its strength of modern agriculture combining with agricultural tourism, as well as focusing on building the Da Lat - Lam Dong agricultural product brand to promote in the country and export to the world. Lam Dong has the largest areas under vegetables, flowers and tea in the country, Yen said, adding that high-tech agriculture is practised on nearly 51,800ha, or 20 per … [Read more...] about Central highlands province invites investment in 53 projects
Lam Dong discusses ways to attract FDI
It was held on the sidelines of the seventh Da Lat Festival (December 23-27).It was attended by local scientists and foreign experts, relevant authorities and executives from 50 local agricultural firms.Deputy Chairman of the province People’s Committee, Nguyen Van Yen, said Lam Dong had advantages in areas like agricultural technology and high-quality tourism.It has the largest areas under vegetables, flowers and tea in the country, he said.High-tech agriculture is practised on nearly 51,800ha, or 20 per cent of all the province’s farmlands, he said.The province farms cashew, mulberry, cocoa, pepper, fruits, and cold-water fish (sturgeon and salmon).Lam Dong received 5.9 million visitors this year, including over 400,000 foreigners, an increase of 8.7 per cent year-on-year.But Yen said the province was yet to do justice to its potential and strengths, and the seminar hoped to find ways to mitigate that.Tran Dinh Thien, director of the Viet Nam Institute of Economics, said … [Read more...] about Lam Dong discusses ways to attract FDI
BUSINESS IN BRIEF 10/12
JETRO to host Invest Japan seminar in Ho Chi Minh CityJapan External Trade Organisation Ho Chi Minh City (JETRO) and the Ministry of Planning and Investment's Foreign Investment Agency will co-organise the Invest Japan seminar in Ho Chi Minh City on December 19.The seminar aims to introduce the strengths of the Japanese market, the advantages of establishing a branch in Japan, as well as JETRO’s free support activities for enterprises in Vietnam looking to invest or establish a business in Japan.The relationship between Japan and Vietnam has improved significantly over the past years. This January, Japanese Prime Minister Shinzo Abe visited Vietnam. In March, the Emperor and his Empress visited Vietnam for the first time, and in June, Vietnamese Prime Minister Nguyen Xuan Phuc visited Japan for the second time after taking office.In terms of the economy, the number of Japanese enterprises investing in Vietnam continues to increase, while trade relations are on the rise. A growing … [Read more...] about BUSINESS IN BRIEF 10/12