On this week’s market summary:
💡1. Credit Suisse made just SFr16m of revenue last year from Archegos Capital, the family office whose sudden collapse in March caused the Swiss bank $5.4bn in losses, according to people with knowledge of the relationship. The paltry fees Credit Suisse received from Archegos, whose implosion was one of the most devastating in recent history, raises further questions about the risks the lender was prepared to shoulder in pursuit of relationships with ultra-wealthy clients. Archegos, which was run by former hedge fund manager Bill Hwang, borrowed tens of billions of dollars from at least nine global banks to speculate on volatile stocks. The lenders have collectively lost more than $10bn in the fallout.
💡2. A sharp uptick in coronavirus cases in India and several Asian countries is diverting business to China, ensuring that its manufacturing engine will continue being the main driver of global trade demand, analysts said, pointing to the resilience of China’s economy and capital flows. Last year, the Asia-Pacific region outperformed amid its significantly lower infection and death rates relative to other regions. However, several domestic economic recoveries are being threatened by a combination of the emergence of more virulent strains globally, recurring waves of Covid-19 and sluggish progress in public vaccinations, according to analysts.
💡3. Hong Kong’s residential prices will rise by as much as 5 per cent this year, US rating agency S&P Global Ratings said on Wednesday. The agency said buoyant housing demand, a chronic shortage of land and housing supply, as well as a consistently low interest rate environment will support price rises. It joins a chorus of industry observers, which has forecast that Hong Kong residential prices will rise this year.
💡4. Hong Kong stocks gained in early trading on Thursday, as liquidity inflows from mainland Chinese investors returning from the Labour Day holiday gave markets a lift. The Hang Seng rose 0.9 per cent to 28,683.48 at 10am local time, after declining 0.5 per cent on Wednesday. On the mainland, the Shanghai Composite gained 0.3, while the CSI 300 index of the biggest stocks in Shanghai and Shenzhen slipped 0.6 per cent. Budweiser Brewing Company APAC led gainers among blue chips in Hong Kong, soaring 7 per cent to HK$26 and reaching its highest level since February 24.
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One of the must-ask interview questions for banking and finance is: “Have you read any news recently?”, with the follow-up questions: “How would you link this news to the market and what investment suggestions would you give to your clients based on this news?” .
Showing your market sense and ability to provide feasible investment ideas would help to differentiate you from other candidates. Therefore, apart from the weekly news update / investment insights, we have also generated this Weekly Market Summary for you to have a quick understanding of the market development and tips to answer some hot discussion topics. Take a look of the summary and WhatsApp us in the group if you have questions.
💡1. Credit Suisse made just SFr16m of revenue last year from Archegos Capital, the family office whose sudden collapse in March caused the Swiss bank $5.4bn in losses, according to people with knowledge of the relationship. The paltry fees Credit Suisse received from Archegos, whose implosion was one of the most devastating in recent history, raises further questions about the risks the lender was prepared to shoulder in pursuit of relationships with ultra-wealthy clients. Archegos, which was run by former hedge fund manager Bill Hwang, borrowed tens of billions of dollars from at least nine global banks to speculate on volatile stocks. The lenders have collectively lost more than $10bn in the fallout.
💡2. A sharp uptick in coronavirus cases in India and several Asian countries is diverting business to China, ensuring that its manufacturing engine will continue being the main driver of global trade demand, analysts said, pointing to the resilience of China’s economy and capital flows. Last year, the Asia-Pacific region outperformed amid its significantly lower infection and death rates relative to other regions. However, several domestic economic recoveries are being threatened by a combination of the emergence of more virulent strains globally, recurring waves of Covid-19 and sluggish progress in public vaccinations, according to analysts.
💡3. Hong Kong’s residential prices will rise by as much as 5 per cent this year, US rating agency S&P Global Ratings said on Wednesday. The agency said buoyant housing demand, a chronic shortage of land and housing supply, as well as a consistently low interest rate environment will support price rises. It joins a chorus of industry observers, which has forecast that Hong Kong residential prices will rise this year.
💡4. Hong Kong stocks gained in early trading on Thursday, as liquidity inflows from mainland Chinese investors returning from the Labour Day holiday gave markets a lift. The Hang Seng rose 0.9 per cent to 28,683.48 at 10am local time, after declining 0.5 per cent on Wednesday. On the mainland, the Shanghai Composite gained 0.3, while the CSI 300 index of the biggest stocks in Shanghai and Shenzhen slipped 0.6 per cent. Budweiser Brewing Company APAC led gainers among blue chips in Hong Kong, soaring 7 per cent to HK$26 and reaching its highest level since February 24.
————————————————
One of the must-ask interview questions for banking and finance is: “Have you read any news recently?”, with the follow-up questions: “How would you link this news to the market and what investment suggestions would you give to your clients based on this news?” .
Showing your market sense and ability to provide feasible investment ideas would help to differentiate you from other candidates. Therefore, apart from the weekly news update / investment insights, we have also generated this Weekly Market Summary for you to have a quick understanding of the market development and tips to answer some hot discussion topics. Take a look of the summary and WhatsApp us in the group if you have questions.
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