An Hour Ago
Xiaomi falls amid broader decline in EV shares ahead of showcasing its electric vehicle in Barcelona
Chinese smartphone company Xiaomi revealed on Dec. 28, 2023, its forthcoming electric car, the SU7 sedan.
CNBC | Evelyn Cheng
Hong Kong-listed shares of Xiaomi fell 1% in midday trading Monday amid a broader decline in shares of electric vehicle makers.
The Chinese smartphone company said it has identified a consumer niche that will pay up for its upcoming electric car.
“We think it’s a good starting point for us in the premium segment because we have already 20 million premium users in China based on the smartphone,” Weibing Lu, Xiaomi Group President told CNBC ahead of the car’s international reveal at the Mobile World Congress in Barcelona, which starts Monday.
“I think the initial purchases will be very overlapped with the smartphone users,” Lu said.
Shares of Chinese EV maker Nio fell nearly 5%, while Xpeng shed nearly 1%. Hong Kong’s Hang Seng index fell 0.7% by midday trading.
— Shreyashi Sanyal, Evelyn Cheng
An Hour Ago
South Korea unveils measures to tackle ‘Korea discount’, boost stock markets
South Korea’s financial regulatory body announced steps to better corporate governance on Monday, taking a leaf out of Japan’s playbook, to boost its undervalued stock markets and address the “Korea discount.”
Korea’s Financial Services Commission provided details on its “Corporate Value-up Program,” which aims to prioritize shareholder returns through various incentives including tax benefits.
Korean authorities acknowledged the similarities in its program with that of Japan’s, which has seen Tokyo markets hitting record highs for the first time in 34 years.
The FSC said it will also introduce the “Korea Value-up Index” for institutional investors, including pension funds.
— Shreyashi Sanyal
2 Hours Ago
Veteran investor David Roche would rather invest in India, Indonesia and Japan than China
Veteran investor David Roche, would rather invest in India, Indonesia and Japan rather than China.
“It’s certainly where I would have more money than I would in China at the moment,” the president of Independent Strategy told CNBC’s “Squawk Box Asia” when asked about prospects for India and Indonesia. “I would also, by the way, still have more money in places like Japan than I would in China,” he added.
Roche noted that there are plenty of companies in China which are “fundamentally cheap,” but major problems such as deflation still plague the economy. Still, Roche said Chinese markets could be in for a bounce.
“When markets fall as much as China has done, they’re in for a bounce,” he said.
—Lee Ying Shan
4 Hours Ago
China de-linking talk is overdone, Asian Development Bank says
China is still a critical trading partner for many countries across the world, and the often-used narrative of the superpower being delinked from the global economy is overdone, says the Asian Development Bank.
“China’s still probably the number one trading partner for the majority of countries in the world,” ADB’s Chief Economist Albert Park told CNBC. “The story of China being delinked from the global economy — I think those are probably generally very overdone or very partial.”
The economic powerhouse remains a top trading partner to over 120 countries, and is still the largest trading partner to Japan, South Korea, Taiwan and Vietnam, according to U.S. think tank Wilson Center.
China also continues to play an outsized role in the global economy as the world’s largest trading economy even with trade tensions between China and the U.S. festering since 2018.
—Lee Ying Shan
6 Hours Ago
S&P 500 and Nasdaq futures open slightly lower
Jessica Roberts is a seasoned business writer who deciphers the intricacies of the corporate world. With a focus on finance and entrepreneurship, she provides readers with valuable insights into market trends, startup innovations, and economic developments.
