Links for Monday, November 21, 2022

Beijing’s COVID-zero policy and global economy
COVID in China sets sterling for biggest daily fall in two weeks / Reuters
“Sterling slipped against a strengthening U.S. dollar on Monday as global risk sentiment was dented by rising COVID-19 cases in China, which led to new restrictions in the world’s second largest economy.”

China’s mutual fund market is opening up
Canada’s Manulife approved to take full control of its China mutual fund venture / Caixin (paywall)
“Canadian insurance giant Manulife Financial Corp. has won approval to become the fourth foreign company to operate a wholly owned mutual fund business in China.”

Graft scandal
Two former top men at Beijing trust firm hit with graft probes / Caixin (paywall)
“A former chairman and an ex-general manager of Beijing International Trust Co. Ltd. (BITIC), a state-owned financial firm, are under investigation for suspected corruption, with possible connections to a local official, Caixin has learned.”

China takes fresh steps to open bond market to foreigners
New rules to streamline foreign investment in $20 trillion bond market / Caixin (paywall)
“China issued new rules Friday to streamline foreign institutions’ investments in China’s $20 trillion bond market and make the market more appealing to them, according to the State Administration of Foreign Exchange (SAFE).”

China’s economy and global stocks
Hong Kong stocks fall 2% on Covid fears; China keeps benchmark lending rates on hold / CNBC
“Shares in the Asia-Pacific mostly fell on Monday amid growing Covid concerns in China as its central bank kept the benchmark lending rates, or loan prime rates, on hold — in line with expectations.”

Germany to tackle China exposure
Germany plans to tighten rules for firms highly dependent on China – document / Reuters
“Germany’s foreign ministry plans to tighten the rules for companies deeply exposed to China, making them disclose more information and possibly conduct stress tests for geopolitical risks, a confidential draft document seen by Reuters said.”

Layoff spree in Silicon Valley sparks anxiety among Chinese engineers
Chinese tech community in Silicon Valley faces dark cloud of layoffs / Pandaily
“For the Chinese community, the tide of layoffs in the internet sector has spread anxiety.”

Russian online retailer makes foray into China
Russian e-commerce site Ozon to open Shenzhen office for attracting Chinese merchants / Pandaily
“Ozon, one of the first e-commerce companies in Russia, will open a representative office in Shenzhen. The company plans to attract 100,000 Chinese merchants with operations on the platform and expand the transaction volume of goods from the country tenfold by 2024, Russian media reported on November 21.”

Chinese companies at 2022 Qatar World Cup
A review of Chinese brands involved with the FIFA World Cup Qatar 2022 / Pandaily

Bonds and banks in the age of COVID
China withdraws cash from banking system as bond selloff cools / Bloomberg (paywall)
“China withdrew short-term cash from the financial system for the first time in nearly two weeks, as a selloff in government and corporate bonds eased.”