Afp Business Asia

Wall Street stocks surged to fresh records Wednesday on hopes about easing US monetary policy, shrugging off political upheaval in South Korea and France.All three major US indices scored records, with the Dow Jones Industrial Average finishing above 45,000 for the first time.”The market at this point is looking for excuses to go up, and there’s not really anything that might work against that narrative,” said Steve Sosnick of Interactive Brokers.”Over the last couple of days, it’s managed to ignore all sorts of inconvenient things and decided that the situation in France doesn’t matter for them,” Sosnick said of the stock market. “The situation in Korea doesn’t matter.”South Korea’s stock market fell less than feared and the won rebounded from earlier losses after President Yoon Suk Yeol swiftly reversed a decision to impose martial law.In Europe, Paris stocks managed to advance as France’s government faced looming no-confidence votes.Late Wednesday in Paris, French lawmakers voted to oust the government of Prime Minister Michel Barnier after just three months in office, pushing the country further into political uncertainty.For the first time in over sixty years, the National Assembly lower house toppled the incumbent government, approving a no-confidence motion that had been proposed by the hard left but which crucially was backed by the far-right headed by Marine Le Pen.”Political turmoil in both France and South Korea provide a uncertain backdrop for global markets, with the likely removal of both Barnier and Yoon bringing the potential for both countries to find a fresh direction,” said Joshua Mahony, chief market analyst at Scope Markets.Thomas Mathews, head of Asia-Pacific markets at Capital Economics, said the losses in Seoul could have been “much worse” had the president not aborted his plan.”Rarely does a combined sell-off in a country’s stocks, bonds and currency feel like a relief rally,” he said.Oil prices turned lower after surging around 2.5 percent Tuesday, mainly after the United States sanctioned 35 companies and ships it accused of involvement with Iran’s “shadow fleet” illicitly selling Iranian oil to foreign markets.Major producers at the OPEC+ grouping led by Saudi Arabia and Russia were set to meet Thursday to discuss extending output limits.Back in New York, major indices were led by the Nasdaq, which piled on 1.3 percent to finish at a third straight record.Wednesday’s gains came after payroll firm ADP said US private-sector hiring in November came in at a lower-than-expected 146,000 jobs, while a survey from the Institute for Supply Management showed weaker sentiment than expected in the services sector. But the lackluster data boosts expectations that the Federal Reserve will cut interest rates later this month. At a New York conference, Federal Reserve Chair Jerome Powell refrained from tipping his hand, but he “didn’t say anything that would scare the market,” said Briefing.com analyst Patrick O’Hare.O’Hare noted that Wednesday’s gains were led by large tech names such as Nvidia and Microsoft, which are major AI players. The boost followed strong results from Salesforce, which was the biggest gainer in the Dow with an 11 percent jump.- Key figures around 2150 GMT -New York – Dow: UP 0.7 percent at 45,014.04 (close)New York – S&P 500: UP 0.6 percent at 6,086.49 (close)New York – Nasdaq Composite: UP 1.3 percent at 19,735.12 (close)London – FTSE 100: DOWN 0.3 percent at 8,335.81 (close)Paris – CAC 40: UP 0.7 percent at 7,303.28 (close)Frankfurt – DAX: UP 1.1 percent at 20,232.14 (close)Seoul – Kospi Index: DOWN 1.4 percent at 2,464.00 (close)Tokyo – Nikkei 225: UP 0.1 percent at 39,276.39 (close)Hong Kong – Hang Seng Index: FLAT at 19,742.46 (close)Shanghai – Composite: DOWN 0.4 percent at 3,364.65 (close)Euro/dollar: UP at $1.0510 from $1.0509 on TuesdayPound/dollar: UP at $1.2702 from $1.2673Dollar/yen: UP at 150.56 yen from 149.60 yen Euro/pound: DOWN at 82.71 from 82.92 penceBrent North Sea Crude: DOWN 1.8 percent at $72.31 per barrelWest Texas Intermediate: DOWN 2.0 percent at $68.54 per barrelburs-jmb/jgc

South Korea’s stock market fell less than feared Wednesday and the won rebounded from earlier losses after President Yoon Suk Yeol swiftly reversed a decision to impose martial law.In Europe, Paris stocks managed to advance while the euro dipped as France’s government faced no-confidence votes later in the day that could spell the end of the administration of Prime Minister Michel Barnier.Oil prices turned lower after surging around 2.5 percent Tuesday mainly after the United States sanctioned 35 companies and ships it accused of involvement with Iran’s “shadow fleet” illicitly selling Iranian oil to foreign markets.Major producers at the OPEC+ grouping led by Saudi Arabia and Russia were set to meet Thursday to discuss extending output limits.”Political turmoil in both France and South Korea provide a uncertain backdrop for global markets, with the likely removal of both Barnier and Yoon bringing the potential for both countries to find a fresh direction,” said Joshua Mahony, chief market analyst at Scope Markets.Yoon plunged South Korea into political chaos by imposing martial law and ordering troops and helicopters to parliament, before being forced into a U-turn.It was the first time in more than four decades that martial law was in force in the country of 52 million people.The suspension of civilian rule was to “safeguard a liberal South Korea from the threats posed by North Korea’s communist forces and to eliminate anti-state elements plundering people’s freedom and happiness”, Yoon said.Seoul’s Kospi stocks index ended down more than one percent, having shed as much as 2.3 percent at the open.South Koreans took to the streets in mass protest and the nation’s largest umbrella labour union called an “indefinite general strike” until Yoon resigned.The won tumbled more than three percent to a two-year low of 1,444 per dollar after the declaration, then bounced back to around 1,414 following the U-turn.Thomas Mathews, head of Asia-Pacific markets at Capital Economics, said the losses could have been “much worse” had the president not aborted his plan.”Rarely does a combined sell-off in a country’s stocks, bonds and currency feel like a relief rally,” he said.”Investors now ‘only’ have to worry about a period of significant political uncertainty,” said Mathews, as South Korea’s finance ministry and central bank looked to provide stability and reassure markets.”From a macro perspective, South Korea was already one of the more vulnerable countries to the impact of Trump’s proposed tariffs,” said analyst Michael Wan at financial group MUFG.”This recent development could raise some further risk premium on the currency at least until we get clarity on political stability.”The losses in Seoul came on a mixed day for Asia stock markets.In Europe, London fell while Frankfurt advanced to hit another record high after ending Tuesday above 20,000 points for the first time.Wall Street pushed higher, with the major indices pushing further into record territory.Salesforce shares jumped over eight percent after the business software firm released earnings and discussed its AI plans.The market’s “focus is on the good vibes flowing out of Salesforce’s earnings report and commentary,” said market analyst Patrick O’Hare at Briefing.com.- Key figures around 1630 GMT -New York – Dow: UP 0.6 percent at 44,959.76 pointsNew York – S&P 500: UP 0.4 percent at 6,074.19New York – Nasdaq Composite: UP 0.9 percent at 19,659.01London – FTSE 100: DOWN 0.3 percent at 8,335.81Paris – CAC 40: UP 0.7 percent at 7,303.28Frankfurt – DAX: UP 1.1 percent at 20,232.14Seoul – Kospi Index: DOWN 1.4 percent at 2,464.00 (close)Tokyo – Nikkei 225: UP 0.1 percent at 39,276.39 (close)Hong Kong – Hang Seng Index: FLAT at 19,742.46 (close)Shanghai – Composite: DOWN 0.4 percent at 3,364.65 (close)Euro/dollar: UP at $1.0534 from $1.0511 on TuesdayPound/dollar: UP at $1.2714 from $1.2673Dollar/yen: UP at 150.15 yen from 149.53 yen Euro/pound: DOWN at 82.85 from 82.94 penceBrent North Sea Crude: DOWN 0.6 percent at $73.20 per barrelWest Texas Intermediate: DOWN 0.6 percent at $69.53 per barrelburs-rl/cw

South Korea’s stock market fell less than feared Wednesday and the won rebounded from earlier losses after President Yoon Suk Yeol swiftly reversed a decision to impose martial law.In Europe, Paris stocks managed to advance in afternoon deals as the euro dipped, with France’s government facing no-confidence votes later in the day that could spell the end of the administration of Prime Minister Michel Barnier.Oil prices extended gains after surging around 2.5 percent Tuesday mainly after the United States sanctioned 35 companies and ships it accused of involvement with Iran’s “shadow fleet” illicitly selling Iranian oil to foreign markets.Crude won additional support from reports that major producers at the OPEC+ grouping led by Saudi Arabia and Russia were close to a deal to extend output limits.”Political turmoil in both France and South Korea provide a uncertain backdrop for global markets, with the likely removal of both Barnier and Yoon bringing the potential for both countries to find a fresh direction,” said Joshua Mahony, chief market analyst at Scope Markets.Yoon plunged South Korea into political chaos by imposing martial law and ordering troops and helicopters to parliament, before being forced into a U-turn.It was the first time in more than four decades that martial law was in force in the country of 52 million people.The suspension of civilian rule was to “safeguard a liberal South Korea from the threats posed by North Korea’s communist forces and to eliminate anti-state elements plundering people’s freedom and happiness”, Yoon said.Seoul’s Kospi stocks index ended down more than one percent, having shed as much as 2.3 percent at the open.South Koreans took to the streets in mass protest and the nation’s largest umbrella labour union called an “indefinite general strike” until Yoon resigned.The won tumbled more than three percent to a two-year low of 1,444 per dollar after the declaration, then bounced back to around 1,414 following the U-turn.Thomas Mathews, head of Asia-Pacific markets at Capital Economics, said the losses could have been “much worse” had the president not aborted his plan.”Rarely does a combined sell-off in a country’s stocks, bonds and currency feel like a relief rally,” he said.”Investors now ‘only’ have to worry about a period of significant political uncertainty,” said Mathews, as South Korea’s finance ministry and central bank looked to provide stability and reassure markets.”From a macro perspective, South Korea was already one of the more vulnerable countries to the impact of Trump’s proposed tariffs,” said analyst Michael Wan at financial group MUFG.”This recent development could raise some further risk premium on the currency at least until we get clarity on political stability.”The losses in Seoul came on a mixed day for Asia stock markets.In Europe, London fell while Frankfurt hit another record high after ending Tuesday above 20,000 points for the first time.Wall Street pushed higher at the start of trading, with shares in Salesforce jumping over eight percent after the business software firm released earnings and discussed its AI plans.The market’s “focus is on the good vibes flowing out of Salesforce’s earnings report and commentary,” said market analyst Patrick O’Hare at Briefing.com.- Key figures around 1430 GMT -New York – Dow: UP 0.5 percent at 44,929.75 pointsNew York – S&P 500: UP 0.3 percent at 6,068.90New York – Nasdaq Composite: UP 0.6 percent at 19,595.46London – FTSE 100: DOWN 0.2 percent at 8,340.70Paris – CAC 40: UP 0.9 percent at 7,318.35 Frankfurt – DAX: UP 1.0 percent at 20,217.41Seoul – Kospi Index: DOWN 1.4 percent at 2,464.00 (close)Tokyo – Nikkei 225: UP 0.1 percent at 39,276.39 (close)Hong Kong – Hang Seng Index: FLAT at 19,742.46 (close)Shanghai – Composite: DOWN 0.4 percent at 3,364.65 (close)Euro/dollar: DOWN at $1.0490 from $1.0511 on TuesdayPound/dollar: UP at $1.2682 from $1.2673Dollar/yen: UP at 150.92 yen from 149.53 yen Euro/pound: DOWN at 82.73 from 82.94 penceBrent North Sea Crude: UP 0.5 percent at $74.01 per barrelWest Texas Intermediate: UP 0.5 percent at $70.26 per barrelburs-rl/lth

The OECD warned Wednesday that protectionist trade measures pose a major risk to disrupting the world economy, just weeks before Donald Trump is set to return to the White House.The Organisation for Economic Cooperation and Development, a Paris-based body that advises industrialised nations on policy matters, never named Trump in its updated analysis of the world economy.But with the president-elect vowing to slap tariffs on US trading partners after his return to power next month, it was abundantly clear that the OECD was warning about Trump’s possible measures.While the organisation raised its 2025 global growth forecast to 3.3 percent, it cautioned that “greater trade protectionism, particularly from the largest economies” poses a “downside risk” along with geopolitical tensions and high public debts.On the campaign trail, Trump threatened blanket tariffs of at least 10 percent on all imports and since his election has vowed to slap 25 percent import tariffs against Canada and Mexico, top US trade partners.”Increases in trade-restrictive measures could raise costs and prices, deter investment, weaken innovation and ultimately lower growth,” the OECD warned in its economic outlook.”Further increases in global trade restrictions would add to import prices, raise production costs for businesses and reduce living standards for consumers,” it added.During his first term in office from 2017 to 2021, Trump slapped tariffs on certain products from China and other trading partners, including the European Union, but on a smaller scale than the measures he has pledged to take upon his return to the White House.A recent study by the Roland Berger consultancy calculated the cost of the US measures and likely countermeasures by China and the EU at more than $2.1 trillion through 2029.- ‘Major shocks’ -Trump is far from the only risk in terms of protectionist measures.The Covid-19 pandemic and the war in Ukraine showed the dependency of many countries upon global trade, but instead of facilitating the exchange of goods and service many countries have sought to shorten certain supply chains and protect markets.A spat has also broken out between Brussels and Beijing after the EU imposed import tariffs on Chinese electric vehicles. China has retaliated with tariffs on EU brandy, including cognac.The OECD noted “the global economy has demonstrated remarkable resilience despite being subject to major shocks such as the pandemic and an energy crisis.”It even raised its global growth forecast for next year to 3.3 percent, an increase of 0.1 percentage points from its previous outlook in September, due in large part to the strong performance of the US economy.- Strong US growth -The OECD now sees the US economy expanding by 2.4 percent next year, up from its September forecast of 1.6 percent growth. It also raised its forecast of British growth next year by 0.5 percentage points, to 1.7 percent, due to higher public spending planned by the new Labour government.China’s economy is now expected to expand by 4.7 percent next year, an increase of 0.2 percentage points, while India’s growth forecast was raised 0.1 percentage points to 6.9 percent.But both France and Germany saw to 0.3 percentage point cuts to their 2025 growth forecasts, to 0.9 percent and 0.7 percent, as both countries face political crises amid mounting fiscal pressure.The downgraded forecast comes as France’s new minority government faces being brought down Wednesday by lawmakers after it forced through the adoption of the social welfare budget.

South Korean stocks sank Wednesday while the won rebounded from earlier losses after President Yoon Suk Yeol dramatically declared martial law overnight before reversing the decision hours later.The shock announcement sent shivers through the trading floor in Seoul and fuelled a political crisis in Asia’s third-biggest economy, with the opposition party saying it had submitted a motion to impeach Yoon.Investors are now keeping a close eye on developments in the country, with analysts pointing out that the upheaval comes as authorities steeled for the second US presidency of Donald Trump who has vowed to reignite his hardball trade policy.The Kospi index ended down more than one percent, having shed as much as 2.3 percent at the open, as traders fretted over the impact of Yoon declaring South Korea’s first martial law in more than four decades.He said the decision was made “to safeguard a liberal South Korea from the threats posed by North Korea’s communist forces and to eliminate anti-state elements plundering people’s freedom and happiness”.However, he backed down hours later when lawmakers voted to oppose the declaration, while thousands of protesters took to the streets and the nation’s largest umbrella labour union called an “indefinite general strike” until Yoon resigned.The won tumbled more than three percent to a two-year low of 1,444 per dollar after the declaration, then bounced back to around 1,410 following the U-turn.”Rarely does a combined sell-off in a country’s stocks, bonds and currency feel like a relief rally,” said Thomas Mathews, head of Asia-Pacific markets at Capital Economics.Mathews said the situation could have been “much worse” had the president not aborted his plan.”Investors now ‘only’ have to worry about a period of significant political uncertainty,” he said.The South Korean finance ministry and central bank looked to provide stability and reassure markets.”As announced together with the government, it has been decided to temporarily supply sufficient liquidity until the financial and foreign exchange markets stabilise,” the Bank of Korea said.It added that “the range of securities eligible for (repo) transactions and the target institutions will be expanded”.Deputy Prime Minister Choi Sang-mok, who also holds the economy portfolio, said financial authorities will keep international partners informed about developments.But Michael Wan at MUFG warned of remaining uncertainty, despite the measures to recover from the initial economic hit.”From a macro perspective, South Korea was already one of the more vulnerable countries to the impact of Trump’s proposed tariffs,” he said in a commentary. “This recent development could raise some further risk premium on the currency at least until we get clarity on political stability,” he added.The losses in Seoul came on a mixed day for Asia markets, with Tokyo, Singapore, Taipei, Mumbai and Jakarta rising but Shanghai, Sydney, Wellington, Bangkok and Manila falling. Hong Kong was marginally lower.London fell at the open, while Frankfurt hit another fresh record after ending Tuesday above 20,000 for the first time.Wall Street had provided a healthy lead, with the S&P 500 and Nasdaq hitting fresh records as investors try to assess the chances of the Federal Reserve slashing interest rates again this month.Even Paris eked out gains despite the brewing political crisis in France, where opposition lawmakers vowed to topple the three-month-old minority government of Prime Minister Michel Barnier in a no-confidence vote owing to a budget standoff.The euro remained wedged just above a 14-month low on concerns about the outlook for the eurozone’s number two economy.Oil prices extended gains after surging around 2.5 percent Tuesday on reports that major producers at the OPEC+ grouping were close to a deal to extend output limits.- Key figures around 0810 GMT -Seoul – Kospi Index: DOWN 1.4 percent at 2,464.00 (close)Tokyo – Nikkei 225: UP 0.1 percent at 39,276.39 (close)Hong Kong – Hang Seng Index: FLAT at 19,742.46 (close)Shanghai – Composite: DOWN 0.4 percent at 3,364.65 (close)London – FTSE 100: DOWN 0.1 percent at 8,353.21Euro/dollar: DOWN at $1.0508 from $1.0511 on TuesdayPound/dollar: UP at $1.2679 from $1.2673Dollar/yen: UP at 150.30 yen from 149.53 yen Euro/pound: DOWN at 82.90 from 82.94 penceWest Texas Intermediate: UP 0.3 percent at $70.12 per barrelBrent North Sea Crude: UP 0.3 percent at $73.85 per barrelNew York – Dow: DOWN 0.2 percent at 44,705.53 (close)

A multi-billion-dollar fraud scandal involving one of Vietnam’s most prominent tycoons exposed systemic weaknesses in the country’s banking sector, say analysts who warn other such cases could yet emerge. Judges on Tuesday upheld the death sentence of property developer Truong My Lan, who was convicted this year of embezzling vast sums from the Saigon Commercial Bank (SCB), which she controlled, having borrowed from tens of thousands of small investors.Corruption is extensive in Vietnam, which ranked 83rd out of 180 in Transparency International’s most recent Corruption Perception Index.But the monumental scale of Lan’s crime was unprecedented, with the $27 billion in losses prosecutors said she caused equivalent to Bosnia’s entire annual gross domestic product.Banking experts fear other damaging allegations are lurking in hidden recesses of the financial sector of the fast-growing economy, which is seen as a favoured destination for foreign investors looking for an alternative to China.”SCB is not a single problem, it is an illness of the whole economy,” banking expert Bui Kien Thanh told AFP.The Vietnamese financial system was “characterised by a lack of tight state management”, he said.”Similar issues are rampant in society, so (Vietnam) needs to study and fix the problem before others arise.”Experts say a key systemic weakness is in the regulation of the corporate bond market, where companies borrow money from investors.- Contemplating suicide -In most developed markets, bonds are issued through independently regulated brokers on the basis of a full prospectus, graded by ratings agencies, and traded on stock exchanges.But SCB, through its branches, misleadingly sold its bonds directly to retail customers, with staff trained for weeks on how to falsely reassure them their money was secure and the investment carried little risk.Tens of thousands of people invested their savings in the bonds and lost everything when the bank collapsed and had to be bailed out by authorities, some of them contemplating suicide.Most Vietnamese company debt is not rated for creditworthiness at all, with local ratings agency FiinRatings saying there were no corporate bonds with credit ratings in the country in the years before Lan’s arrest.That compared with an average of around 50 percent across the 10-member Association of South East Asian Nations (ASEAN).According to state media, a judge at Lan’s original trial asked police to look into the role played by staff at three of the world’s biggest accounting firms that audited SCB’s books — Ernst & Young, Deloitte and KPMG.None of the three responded to requests for comment by AFP.At every level of the Vietnamese financial sector — from employees on the ground to regulatory authorities — there is a lack of training on financial markets, the risks involved and regulatory obligations, Thanh said.On paper, Lan owned just five percent of shares in SCB, but at her trial, the court concluded that she effectively controlled more than 90 percent through family, friends and staff who were asked to hold stocks on her behalf. – ‘Can of worms’ -She then used her position to direct SCB management staff to withdraw money from the bank, over time transporting the equivalent of $4.4 billion in cash in trucks to her home and the offices of her Van Thinh Phat property firm.”They don’t question the paperwork… they just say, how are we going to do it? How fast can we do it?” said Khuong Huu Loc, an economist based in the United States. “The whole system is a game based on collusion,” he added. “The problem is, it gets so bad, (but) people let her continue on because you don’t want to open the can of worms.”That comes on top of the corruption that is deeply embedded in the system — one former chief inspector at the State Bank of Vietnam (SBV) was found guilty of accepting a $5 million bribe to overlook financial problems at SCB.Since the scandal emerged, Vietnam has stepped up an anti-corruption drive.But Carl Thayer, an emeritus professor at The University of New South Wales, warned foreign investors were concerned anti-graft efforts had “led to a chilling effect on the state bureaucracy and a slowing of procedures”, with officials fearing taking any decision could lead to their motives being questioned.Even so, he said the revelations from the case meant Vietnam “will have to take exceptional steps to audit the banking system effectively”.Even if there was nothing on the gargantuan scale of SCB waiting to be found, Loc said that “there could be a smaller version out there”.”The question is how many?”

In Vietnam’s heavily polluted capital Hanoi, teenage taxi driver Phung Khac Trung rides his electric motorbike through streets jammed with two-wheelers belching toxic fumes.Trung, 19, is one of a growing number of Generation-Z workers driving an e-bike trend in the communist nation where 77 million — largely petrol — motorbikes rule the roads.A cheap set of electric wheels can now be had for as little as $500, but issues include wasting hours at charging stations and people finding it hard to give up their habits.Trung has long hated riding in Hanoi, rated among the world’s top 10 polluted capital cities in 2023 by air quality technology firm IQAir. The air “is unbearable for motorbike riders”, said Trung, who is working as a motorbike taxi driver before applying to university.”When stopping at T-junctions… my only wish is to run the red light. The smell of petrol is so bad,” he told AFP after a morning rush-hour shift in air labelled “unhealthy” by IQAir. More than two thirds of the poisonous smog that blankets Hanoi for much of the year is caused by petrol vehicles, city authorities said last year. The World Bank puts the figure at 30 percent. Vietnam officials have ordered that a quarter of two-wheelers across the country must be electric by 2030 to help battle the air crisis.In 2023 just nine percent of two wheelers sold were electric, according to the International Energy Agency — although only in China was the share higher.- Hard to give up -Low running costs and cheap prices are pulling in students, who account for 80 percent of electric two-wheeler users in Vietnam, transport analyst Truong Thi My Thanh said.But for older drivers, it is harder to give up what they know.Fruit vendor Tran Thi Hoa, 43, has been driving a petrol motorbike for more than two decades and has no intention of switching. “The gasoline motorbike is so convenient. It takes me just a few minutes to fuel up,” she said.”I know e-bikes are good for the environment and can help me save on petrol, but I am too used to what I have,” Hoa told AFP from behind her facemask.Although most electric two-wheelers can easily be charged at home, fears over battery safety cause many to instead use one of the 150,000 EV power points installed by Nasdaq-listed VinFast across the country.After a fire last year in Hanoi that killed 56 people, several apartment buildings temporarily restricted EV charging — before police later ruled out battery charging as a possible cause.But some remain fearful, while others living in crowded apartment shares have no space to power up.Trung, whose VinFast scooter has a 200-kilometre (124-mile) range, spends up to three hours a day drinking tea and scrolling on his phone while he waits for his battery to charge — time he could be picking up fares.But home-grown start-up Selex, which makes e-bikes and battery packs, has pioneered a quick-fix — stations where riders can instantly swap a depleted battery for a new one. – ‘Swapping is critical’ -Bowen Wang, senior sustainable transport specialist at the World Bank, told a news conference this month, that it was delivery and taxi firms, as well as rural drivers, who could really benefit.They “typically drive much longer distances than urban users”, he said. “That’s where the swapping is critical.”Selex, which is now backed by the Asian Development Bank, has partnerships with delivery giants Lazada Logistics and DHL Express, who use e-bikes for some of their shipments. Vingroup — helmed by Vietnam’s richest man — runs a taxi company with a fleet of thousands of e-bikes, mostly in major cities.Selex founder Nguyen Phuoc Huu Nguyen, who left his job on a top-secret defence ministry research project to set up the company, urged the government to help drive momentum through incentives. He suggested that a vehicle registration fee waiver for EVs would help “end-users see the benefits of buying an e-bike”.”We all understand that EVs are good for the environment. But it needs investment.”Transport analyst Thanh emphasises that Hanoi must also embrace public transport alongside EVs if it wants to free up gridlocked streets. But if a shift to electric cannot fully solve Hanoi’s issues, the growth in ownership “is a beacon of hope”, Thanh told AFP.

South Korean stocks sank more than two percent Wednesday while the won rebounded from earlier losses after President Yoon Suk Yeol dramatically declared martial law overnight before reversing the decision hours later.The shock announcement sent shivers through the trading floor in Seoul and fuelled a political crisis in Asia’s third-biggest economy, with the already unpopular Yoon facing a possible impeachment.Investors are now keeping a close eye on developments in the country, with analysts pointing out that the upheaval comes as authorities steeled for the second presidency of Donald Trump, who has vowed to reignite his hardball trade policy.The Kospi index shed as much as 2.3 percent at the open as traders fretted over the impact of the events overnight, when Yoon declared South Korea’s first martial law in more than four decades, catching its global allies off guard.He said the decision was made “to safeguard a liberal South Korea from the threats posed by North Korea’s communist forces and to eliminate anti-state elements plundering people’s freedom and happiness”.However, he backed down hours later when lawmakers voted to oppose the declaration, while thousands of protesters took to the streets and the nation’s largest umbrella labour union called an “indefinite general strike” until Yoon resigned.The won tumbled more than three percent to a two-year low of 1,444 per dollar after the declaration, then bounced back to around 1,415 following the U-turn.The South Korean finance ministry looked to provide stability, saying it would deploy “unlimited liquidity” into the country’s financial markets if necessary.Michael Wan at MUFG warned that the country could face turmoil.”While the worst negative economic impact to South Korea including on tourism and domestic activity, may have been averted in the near-term, political uncertainty could still remain,” he said in a commentary. “From a macro perspective, South Korea was already one of the more vulnerable countries to the impact of Trump’s proposed tariffs, and this recent development could raise some further risk premium on the currency at least until we get clarity on political stability.”The losses in Seoul came as most other markets in Asia struggled, with Tokyo, Hong Kong, Sydney and Wellington down. Singapore, Taipei and Manila rose.Wall Street had provided a healthy lead, with the S&P 500 and Nasdaq hitting fresh records as investors try to assess the chances of the Federal Reserve slashing interest rates again this month.Meanwhile, Germany’s DAX ended above 20,000 for the first time.Even Paris eked out gains despite the brewing political crisis in France, where opposition lawmakers vowed to topple the three-month-old minority government of Prime Minister Michel Barnier in a no-confidence vote owing to a budget standoff.The euro remained wedged around a 14-month low of $1.0500 on concerns about the outlook for the eurozone’s number two economy.Oil prices were barely moved after surging around 2.5 percent Tuesday on reports that major producers at the OPEC+ grouping were close to a deal to extend output limits.- Key figures around 0230 GMT -Seoul – Kospi Index: DOWN 2.0 percent at 2,450.89Tokyo – Nikkei 225: DOWN 0.4 percent at 39,077.04 (break)Hong Kong – Hang Seng Index: DOWN 0.3 percent at 19,687.75Shanghai – Composite: DOWN 0.2 percent at 3,372.50Euro/dollar: DOWN at $1.0504 from $1.0511 on TuesdayPound/dollar: DOWN at $1.2668 from $1.2673Dollar/yen: UP at 149.91 yen from 149.53 yen Euro/pound: DOWN at 82.92 from 82.94 penceWest Texas Intermediate: FLAT at $69.96 per barrelBrent North Sea Crude: FLAT at $73.64 per barrelNew York – Dow: DOWN 0.2 percent at 44,705.53 (close)London – FTSE 100: UP 0.6 percent at 8,359.41 (close)

Global stocks mostly rose Tuesday, with US and German indices posting records, as markets weighed Chinese stimulus hopes, political tensions in France and the US interest-rate outlook.Germany’s blue-chip DAX stock index jumped above 20,000 points for the first time and Paris rebounded even as France braced for new political turmoil. In New York, both the S&P 500 and Nasdaq narrowly rose to finish at records, while the Dow pulled back.Oil prices jumped more than two percent following reports that crude exporters were near an agreement to extend production limits.A closely-watched labor market report showed an increase in US job openings in October, but also a decline in new job postings during the month, a less upbeat sign.Samuel Tombs, chief US economist at Pantheon Macroeconomics, said the data overall provides “good grounds” for the Federal Reserve to lower interest rates again this month.Still, the choppiness of Tuesday’s trading session in New York points to reticence among US investors following a series of post-election records that many pundits believe have left stocks overvalued.”There wasn’t a lot of conviction behind the upside moves,” said Briefing.com. “The overall vibe in the market was more negative.”Stocks in Paris edged higher even as France headed into a new political crisis as opposition lawmakers vowed to topple the minority government of Prime Minister Michel Barnier in a no-confidence vote after just three months in office.Germany’s DAX, meanwhile, scored a fresh milestone, defying multiple headwinds battering Europe’s biggest economy.The German economy, hit hard by a manufacturing slowdown and weak demand for its exports, has struggled in 2024. Yet the DAX has advanced in large part because companies in the index do heavy business abroad. In addition, the euro’s recent weakness has boosted Germany’s export-oriented companies, while easing interest rates both in the eurozone and the United States have also helped sentiment.Investors greeted a Bloomberg report that China’s top leaders, including President Xi Jinping, would hold a two-day economic work conference next week to outline their targets and stimulus plans for next year.The report followed manufacturing activity data on Monday that suggested China’s economic struggles may be coming to an end, but investors are looking for Beijing to step up support for the economy.The news helped push Hong Kong and Shanghai stock markets higher despite Washington announcing new export restrictions taking aim at Beijing’s ability to make advanced semiconductors.The moves step up existing US efforts to tighten curbs on exports of state-of-the-art AI chips to China.Beijing hit back by saying it would restrict exports to the United States of some key components in making semiconductors.Oil prices jumped ahead of a meeting Thursday of members of the OPEC oil cartel and its allies”The forecast is that they will announce an extension until the end of the first quarter of 2025, and this should help put a floor under prices,” said Trade Nation analyst David Morrison.- Key figures around 2130 GMT -New York – Dow: DOWN 0.2 percent at 44,705.53 (close)New York – S&P 500: UP 0.1 percent at 6,049.88 (close)New York – Nasdaq Composite: UP 0.4 percent at 19,480.91 (close)London – FTSE 100: UP 0.6 percent at 8,359.41 (close)Paris – CAC 40: UP 0.3 percent at 7,255.42 (close)Frankfurt – DAX: UP 0.4 percent at 20,016.75 (close)Tokyo – Nikkei 225: UP 1.9 percent at 39,248.86 (close)Hong Kong – Hang Seng Index: UP 1.0 percent at 19,746.32 (close)Shanghai – Composite: UP 0.4 percent at 3,378.81 (close)Euro/dollar: UP at $1.0511 from $1.0498 on MondayPound/dollar: UP at $1.2673 from $1.2655Dollar/yen: DOWN at 149.53 yen from 149.60 yen Euro/pound: DOWN at 82.94 from 82.95 penceBrent North Sea Crude: UP 2.5 percent at $73.62 per barrelWest Texas Intermediate: UP 2.7 percent at $69.94 per barrelburs-jmb/dw

Stock markets struggled for direction Tuesday as investors weighed Chinese stimulus hopes, political tensions in France and the US interest-rate outlook.Meanwhile oil prices jumped more than two percent as the United States expanded sanctions on Iran’s so-called “shadow fleet” illicitly selling oil to foreign markets.Germany’s blue-chip DAX stock index jumped above 20,000 points for the first time and Paris rebounded even as France braced for new political turmoil, while US shares were mostly mixed in late morning trading.The euro also bounced back against the dollar, which was pressured by expectations that the Federal Reserve will once more cut US interest rates this month.Opposition lawmakers in France prepared to back a no-confidence motion this week that risks toppling the government of Prime Minister Michel Barnier after just three months in office.The standoff between Barnier and the opposition over France’s 2025 budget has caused jitters on financial markets.Wall Street traded mixed, a day after setting more record highs amid strong US holiday sales and as traders assessed Washington’s decision to impose fresh tech export restrictions on Beijing.Briefing.com analyst Patrick O’Hare said there was a lack of a strong conviction to take positions as the S&P 500 and tech-heavy Nasdaq hung around record highs.Investors are “mindful that the big rally since the (US) election presents a valid reason to think there could be — or should be — a consolidation period,” said O’Hare.But “by and large, there is an allowance to think the market can continue to move higher with momentum, a seasonal bias, and a fear of missing out on further gains,” he added.The trading day got off on a string foot Tuesday after a Bloomberg report said China’s top leaders, including President Xi Jinping, would hold a two-day economic work conference next week to outline their targets and stimulus plans for next year.The report followed manufacturing activity data on Monday that suggested China’s economic struggles may be coming to an end, but investors are looking for Beijing to step up support for the economy.The news helped push Hong Kong and Shanghai stock markets higher despite Washington announcing new export restrictions taking aim at Beijing’s ability to make advanced semiconductors.The moves step up existing US efforts to tighten curbs on exports of state-of-the-art AI chips to China.Beijing hit back by saying it would restrict exports to the United States of some key components in making semiconductors.Investors remain wary about the prospect of a second term for Donald Trump as US president, particularly after his pledge to hit China, Canada and Mexico with heavy tariffs.Oil prices were already trading higher ahead of a meeting Thursday of members of the OPEC oil cartel and its allies, and jumped a further two percent after the United States announced expanded sanctions on Iranian shippers illicitly selling oil to foreign markets.”The forecast is that they will announce an extension until the end of the first quarter of 2025, and this should help put a floor under prices,” said Trade Nation analyst David Morrison.China stimulus measures would also help boost oil demand growth in China, which has been flagging and causing worries about overall oil demand.- Key figures around 1630 GMT -New York – Dow: DOWN 0.3 percent at 44,641.48 pointsNew York – S&P 500: DOWN less than 0.1 percent at 6,044.79New York – Nasdaq Composite: UP 0.2 percent at 19,450.71London – FTSE 100: UP 0.6 percent at 8,359.41 (close)Paris – CAC 40: UP 0.3 percent at 7,255.42 (close)Frankfurt – DAX: UP 0.4 percent at 20,016.75 (close)Tokyo – Nikkei 225: UP 1.9 percent at 39,248.86 (close)Hong Kong – Hang Seng Index: UP 1.0 percent at 19,746.32 (close)Shanghai – Composite: UP 0.4 percent at 3,378.81 (close)Euro/dollar: UP at $1.0507 from $1.0499 on MondayPound/dollar: UP at $1.2660 from $1.2654Dollar/yen: DOWN at 149.51 yen from 149.54 yen Euro/pound: UP at 83.00 from 82.97 penceBrent North Sea Crude: UP 2.2 percent at $73.43 per barrelWest Texas Intermediate: UP 2.4 percent at $69.76 per barrelburs-rl/gv