The Asia Eight

Daily must-reads from the world’s most dynamic region

November 25, 2020

1 TOP STORY: Rare earth miners win in Sino-US standoff

2 ATF BIG PICTURE: Rising Tesla lifts China EV stocks

3 ASIA MARKETS: Nikkei 225, HSI climb, CSI300 falls

4 NEWS: 5G hastens expansion of China's digital economy

5 NEWS: RBI surprises with plan to allow new bank openings

6 NEWS: Bank shakeup as foreign capital floods China

7 NEWS: Apple deals increase iPhone production in India

8 TRADE OF THE DAY: Oil is back in the picture

01 Top Story Stand-off benefits rare earth miners

Listed rare earth companies roar ahead on China’s stock markets in build-up to new export rules on the commodities expected in early December. Databao, Northern Rare Earth saw "super-large single net inflows”, according to reports.

02 ATF Big Picture Tesla lifts China EV stocks

US carmaker’s value exceeds $500 billion, driving extraordinary volumes in US-listed shares of Chinese electric vehicle makers Nio, XPeng and Li Auto.

03 Asia Markets

Nikkei 225 rises 0.5% to 26,296.86; Hang Seng Index climbs 0.3%to 26,669.75; CSI300 drops 1.2% to 3,362.33; MSCI Asia Pacific adds 2%.    

04 E-economy expands

China’s digital economy, with an estimated value of $5.4 trillion, ranks among the largest in the world and internet-related businesses from education to healthcare, as well as entertainment, are among the new growth engines of the Chinese economy.

05 RBI lender surprise

The Reserve Bank of India has shocked analysts by saying it will go ahead with a plan to allow large corporates to open banks; a former RBI governor and many research groups say this is a bad idea given the country's mixed record on corporate banks

06 All-change at banks

Top researcher says opening up the banking sector will require regulatory adjustments and a new agency to deal with the risks tied to foreign financial institutions operating in China; as well as the spread of risks between different banks.

07 Apple bites into India

Analysts say outlays by three major manufacturers are likely to rev up sales of its popular handsets once iPhones start being made at sites around the country.

08 Trade of the Day

"I suspect oil prices will need to move a bit higher before the long-only community returns in earnest, but the way Brent oil is trading these days, we might even hit the mystical $50 level in early December post-OPEC+ meeting if all goes well."

Stephen Innes, Chief Global Market Strategist at Axi