Hang Seng rose 2% in Hong Kong and opens Asian markets higher after Powell’s inflation comments

Hang Seng rose 2% in Hong Kong and opens Asian markets higher after Powell's inflation comments
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HSBC says China’s latest inflation readings allow PBOC to maintain a concerted monetary policy

In a note, HSBC said China’s latest inflation figures gave the People’s Bank of China room to maintain its current monetary stance.

“The moderation in price pressures gives the PBOC an opportunity to remain conciliatory,” said Greater China economist Erin Xin.

Xin added that the central bank will make it even easier to use structural tools such as “additional re-lending quotas for areas of focus such as manufacturing and green investment.”

—Jihye Lee

China consumer price index rises 2.5% in August, misses estimates

China’s consumer price index rose 2.5% year-on-year in August, lower than the 2.7% recorded in July, data from the National Bureau of Statistics showed it missed the Reuters poll’s estimate of 2.8%.

Producer prices rose 2.3% for the month, also slower than July’s increase of 4.2% and underestimated 3.1%.

In a report published by Nomura earlier this week, 12% of China’s total GDP affected by Covid controls on a weighted basis – up from 5.3% last week.

Jihye Lee

Analyst says worst is not over for Japanese yen

Jesper Koll, chief executive of Monex Group, told CNBC that the Japanese yen’s depreciation is one of the “harder” and “easiest” moves to explain, as it is “based on real fundamentals”, adding that it could drop further in the coming months.

It was “the most textbook-based currency move I’ve seen in 30 years,” he said.

Koll pointed to the interest rate gap between the US and Japan as one of the “strong forces” to move the yen, adding that the Bank of Japan’s chances of raising interest rates are “close to zero”.

Read the full story here.

— Charmaine Jacob

CNBC Pro: Uranium is in ‘tears’ right now. Here are two ETFs to play with

Uranium, one of the niche areas of the commodity market, was a bright spot last month, outperforming even that of the broader energy sector.

Two ETFs have risen in recent weeks as the West strives to reduce its reliance on Russian energy.

For subscribers, you can read more here.

— Weizhen Tan

Bilibili drops 16% at opening after reporting second-quarter loss

Hong Kong-listed shares of the Chinese video and game company they believed It fell more than 16% at opening after reporting a loss in second-quarter earnings overnight.

The company reported a net loss of more than $300 million almost double the amount of loss reported for the same period a year ago.

But Brian Gong, vice president of internet and media for China at Citi Research, was optimistic, saying that regulatory concerns over the country’s gaming industry have eased.

Pointing to the government’s resumption of gaming licenses, Gong said on CNBC’s “Squawk Box Asia” that “although the numbers are lower than expected, the environment is improving,” adding that “the worst is over.”

—Jihye Lee

CNBC Pro: Citi just raised eight Chinese shares

China’s “economic recovery appears to be slower than market expectations”, Citi’s stock analysts said in a statement in September. 2 reports.

They downgraded 12 Chinese stocks – but upgraded eight. Here are three stocks From an updated list of the best Hong Kong and mainland traded Chinese stocks to buy.

For subscribers read more here.

Evelyn Cheng

US stock futures slightly changed

U.S. stock futures opened with little change after a volatile session in key averages as Wall Street considered the pace of future rate hikes.

Dow Jones Industrial Average futures were up 23 points, or 0.07%. S&P 500 and Nasdaq 100 futures rose 0.08% and 0.13%, respectively.

—Sarah Min

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