Everything You Need to Know About China's Economy on Monday (Nov. 18)
Your Daily & Trustworthy Updates on the Chinese Economy
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Hope you have enjoyed your weekend. This is TIAN in Beijing.
Welcome to monitor the pulse of China's economy together with me.
DRIVING THE DAY, Chinese President Xi Jinping has arrived in Brazil for the 19th G20 Leaders' Summit and a state visit to the country at the invitation of President Lula.
Here is some key data about China-Brazil relations:
This year marks the 50th anniversary of China-Brazil diplomatic ties. Fifty years ago, on August 15, 1974, China and Brazil established full diplomatic ties.
Brazil is the first country to establish a strategic partnership with China. It is also the first nation in Latin America to enter into a comprehensive strategic partnership with China.
China has been Brazil's largest trading partner and export destination for the past 15 consecutive years, while Brazil has long been China's top trading partner in Latin America.
Statistics from the Chinese side showed that China's annual imports from Brazil in the past three years have stayed above 100 billion U.S. dollars.
Meanwhile, China's trade with Brazil soared 9.9% in the first 10 months of 2024 from the same period last year.
The growth rate was 4.7 percentage points higher than the overall growth rate of China's foreign trade.
China's trade with Brazil hit 1.14 trillion yuan (158.33 billion U.S. dollars) from January to October, including 432.08 billion yuan in exports and 708.15 billion yuan in imports.
In the first 10 months, China's share in Brazil's exports of soybeans and iron ore exceeded 70%, while in pulp and crude oil, the share surpassed 40%.
China exported intermediate goods worth 216.86 billion yuan to Brazil in the first 10 months, up 11.8 percent year on year, accounting for half of China's total export value to Brazil.
MEANWHILE, Chinese carmaker BYD hits 10 million produced NEVs 30 years after founding.
The 10 millionth vehicle produced was the newly launched Denza Z9. Guess who is the owner of this milestone vehicle?
He is Feng Ji, founder and CEO of Game Science and the producer of the hit game “Black Myth: Wukong”.
BYD, earlier this year, entered into a partnership with Game Science to become the exclusive automotive brand partner for the game.
Here is the Monkey King or Sun Wukong, one of the most iconic characters in global fiction, from the Chinese video game Black Myth: Wukong
ALSO ON MONDAY, China saw its express delivery volume in 2024 surpass the 150-billion-parcel mark for the first time, according to the State Post Bureau.
The symbolic 150-billionth delivery was a shipment of a box of Huaniu apples, a specialty of Tianshui city in the northwest Chinese province of Gansu.
The country now averages more than 5,400 parcels per second, with daily peaks exceeding 729 million and monthly transaction volumes above 13 billion, the latest SPB data showed.
A decade ago, the country's total parcel volume crossed the 10-billion mark for the first time in 2014.
IN TODAY'S FINANCIAL MARKET,
Chinese stocks closed lower on Monday, with the benchmark Shanghai Composite Index down 0.21 percent to 3,323.85 points.
The Shenzhen Component Index closed 1.91 percent lower at 10,544.02 points.
The combined turnover of these two indices stood at nearly 1.76 trillion yuan (about 244.76 billion U.S. dollars), down from the 1.83 trillion yuan recorded on the previous trading day.
Shares in the education and cloud office sectors suffered heavy losses, while those in the banking and steel sectors led the gains.
The ChiNext Index, tracking China's Nasdaq-style board of growth enterprises, lost 2.35 percent to close at 2,190.95 points Monday.
China's benchmark interbank gold prices higher Monday
According to the China Foreign Exchange Trade System, the benchmark price for gold that is 99.95 percent pure or above stood at 591.8 yuan (about 82.3 U.S. dollars) per gram, 0.23 yuan higher than the previous trading day.
The price for gold that is 99.99 percent pure or above went up 0.85 yuan from the previous trading day to 591.97 yuan.
Chinese yuan strengthens to 7.1907 against USD Monday
The central parity rate of the Chinese currency renminbi, or the yuan, strengthened 85 pips to 7.1907 against the U.S. dollar Monday, according to the China Foreign Exchange Trade System.
In China's spot foreign exchange market, the yuan is allowed to rise or fall by 2 percent from the central parity rate each trading day.
Hong Kong's Hang Seng Index closes 0.77 pct higher
Hong Kong's stock market ended higher Monday with the benchmark Hang Seng Index up 0.77 percent to close at 19,576.61 points.
The Hang Seng China Enterprises Index rose 1.1 percent to end at 7,057.1 points, and the Hang Seng Tech Index rose 0.32 percent to end at 4,341.53 points.
China's central bank conducts reverse repos Monday
China's central bank conducted 172.6 billion yuan (about 24 billion U.S. dollars) of seven-day reverse repos at an interest rate of 1.5 percent Monday.
The move aims to keep liquidity in the banking system adequate at a reasonable level, the central bank said.
AT THE END OF TODAY'S SHARING, LET'S TAKE A LOOK AT YOUR DAILY FUTURES:
Cotton futures closed lower Monday in daytime trading on the Zhengzhou Commodity Exchange (ZCE).
The most active cotton contract for January 2025 delivery lost 50 yuan (about 6.95 U.S. dollars) to close at 13,955 yuan per tonne.
On Monday, the total trading volume for six listed cotton futures contracts on the ZCE was 379,137 lots with a turnover of 26.4 billion yuan.
Sugar futures closed lower Monday in daytime trading on the Zhengzhou Commodity Exchange.
The most active sugar contract for January 2025 delivery lost 51 yuan (7.09 U.S. dollars) to close at 5,833 yuan per tonne.
On Monday, the total trading volume for six listed sugar futures contracts on the ZCE was 251,022 lots with a turnover of 14.63 billion yuan.
Iron ore futures closed higher on Monday in daytime trading at the Dalian Commodity Exchange (DCE).
The most active iron ore contract for January 2025 delivery gained 14 yuan (about 1.95 U.S. dollars) to close at 761 yuan per tonne.
On Monday, the total trading volume of 12 listed iron ore futures contracts on the exchange was 573,694 lots, with a turnover of about 43.12 billion yuan.
No.1 soybean futures closed lower on Monday in daytime trading at the Dalian Commodity Exchange.
The most active No.1 soybean contract for January 2025 delivery dipped 11 yuan (about 1.53 U.S. dollars) to close at 3,883 yuan per tonne.
On Monday, the total trading volume of six listed No.1 soybean futures contracts on the exchange was 140,636 lots, with a turnover of about 5.46 billion yuan.
About the Newsletter:
Ran by TIAN Dongdong, this newsletter features daily and trustworthy content on China's economy. Having worked in Brussels, London, Cairo, and Tripoli for Chinese media as correspondent for several years, TIAN is now based in Beijing.
Good coverage of Brazil trade. Many thanks!