Latest news with #CaixinmanufacturingPMI
&w=3840&q=100)
Business Standard
5 days ago
- Business
- Business Standard
Silver price outlook: 'Buy on dips' suggests analyst; check key levels here
Silver- Consolidation ahead of key US data On June 2, spot silver staged its sharpest intra-day rally since 2021 as it surged 5.39 per cent to close at $34.76, the highest daily closing level since October 22. The white metal consolidated its gains on June 3 as the US dollar index strengthened. At the time of writing, spot silver was trading at $34.54, down around 0.63 per cent on the day. The MCX July contract was trading at ₹102,260, up around 0.2 per cent. US-China tensions escalate: On June 2, China accused the US of violating the US-China trade truce as the US imposed further chip technology curbs and halted the export of critical US jet engine parts and technology to China. It also plans to broaden restrictions on China's tech sector with new regulations to capture subsidiaries of companies under US curbs. The US also intends to revoke visas for Chinese students with connections to China's Communist Party and security issues. According to the White House, US President Trump and Chinese President Xi are likely to speak this week. Data roundup: US data released on June 3, were mostly mixed, markets gave more weightage to the JOLTs job openings though. Factory order (April) came in at -3.7 per cent against the forecast of -3.2 per cent as the prior data was revised lower from 4.3 per cent to 3.4 per cent. Durable goods order (April final) at -6.3 per cent were in line with the forecast. JOLTs job openings (April) surprisingly beat the forecast as openings rose from 72,00,000 to 73,91,000 as against the forecast of 71,00,000. However, the internals of the JOLTs report was not so encouraging as layoffs increased from 1 per cent to 1.1 per cent and the quits rate dropped from 2.1 per cent to 2 per cent indicating reduced prospects of finding a new job. In addition, vacancies in industries like manufacturing and food services declined. The Euro-zone's inflation cooled more than expected as consumer prices rose 1.9 per cent year-on-year (Y-o-Y) in May, trailing the forecast of 2 per cent; the reading was cooler than the prior data of 2.2 per cent. The data bolsters the case for the ECB cutting its key rates by 25 bps in its monetary policy meeting to be held on June 5. Elsewhere, China's Caixin manufacturing PMI (May) fell to 48.3, the lowest since September 2022, from 50.40 in April as trade frictions weighed on the nation's manufacturing sector. ALSO READ | US dollar index and yields: The US dollar index, at the time of writing, was 99.24, up around 0.60 per cent on the day, as the Index recovered from a six-week low ahead of the US ISM services and nonfarm payroll reports. US 10-year yields at 4.46 per cent were up by nearly 0.50 per cent OECD's warning: The OECD slashed its global economic forecasts on trade war leading to uncertainty on business confidence and investment. The organisation sees global economic growth at 2.9 per cent in 2025 from its earlier forecast of 3.1 per cent made in March as the US growth is expected to be 1.6 per cent as compared to its earlier estimate of 2.2 per cent. The OECD forecasts a global growth of 2.9 per cent in 2026, down from the previous forecast of 3 per cent. The organisation warned that fiscal risks are intensifying around the world with tremendous pressure for spending on defence, climate and aging population. ETF: Total known global ETF silver holdings, as of May 2, stood at 741.23MOz—highest since 20 November 2024. Silver ETF holdings are up by 4.95 per cent this year as holdings recorded net inflows for four straight weeks. Robert Kiyosaki on Silver: According to the Rich Dad Poor Dad author, silver has the potential to triple in value, calling the asset the biggest bargain of 2025. Outlook: As risk appetite is healthy and silver ETF holdings are rising, silver is likely to do well unless the US dollar rises sharply, or extreme risk aversion takes center stage. In this scenario, it is advisable to 'buy the dips' as the metal is expected to test the key resistance at $35 (₹102,500). A decisive breach of these levels may take the metal quickly to $37 (₹1,08,000). In the near term, the $33.50-$33.70 (₹98,200-₹98,800) zone will act as a key support zone.
Hindustan Times
03-06-2025
- Business
- Hindustan Times
China's factory activity cools in May as US tariffs hit
* Caixin manufacturing PMI at 48.3 in May vs 50.4 in April * New export orders fall at fastest pace since July 2023 * Output contracts for the first time since October 2023 BEIJING, - China's factory activity in May shrank for the first time in eight months, a private-sector survey showed on Tuesday, indicating U.S. tariffs are now starting to directly hurt the manufacturing superpower. The Caixin/S&P Global manufacturing PMI fell to 48.3 in May from 50.4 in April, missing analysts' expectations in a Reuters poll and marking the first contraction since September last year. It was also the lowest reading in 32 months. The 50-mark separates growth from contraction. The result is broadly in line with China's official PMI released on Saturday that showed factory activity fell for a second month. A federal appeals court temporarily reinstated the most sweeping U.S. tariffs, a day after a trade court ruled that President Donald Trump had exceeded his authority in imposing the duties and ordered an immediate block on them. Two weeks after breakthrough negotiations that resulted in a temporary truce in the trade war between the world's two biggest economies, U.S. Treasury Secretary Scott Bessent said on Thursday the talks are "a bit stalled". China's Premier Li Qiang last week said the country is mulling new policy tools, including some "unconventional measures", which will be launched as the situation evolves. According to the Caixin survey, new export orders shrank for the second straight month in May and at the fastest pace since July 2023. Producers said the U.S. tariffs restrained global demand. That dragged down overall new orders to the lowest since September 2022. Factory output meanwhile contracted for the first time since October 2023. Employment in the manufacturing sector declined at the sharpest pace since the start of this year, as producers cut headcount. Output prices have fallen for six straight months due to intense market competition. In the auto industry, for example, an intensifying price war in China has stoked fears of a long-anticipated shake-out in the world's largest car market. Robin Xing, Chief China Economist at Morgan Stanley, said this underscores how supply-demand imbalances continue to fuel deflation. "There is growing rhetoric about the need for rebalancing, but recent developments suggest the old supply-driven model remains intact. Thus, reflation is likely to remain elusive." Surprisingly, export charges rose for the first time in nine months, marking the fastest growth since July 2024, as companies cited rising logistics costs and tariffs. Overall, business optimism improved in terms of future output, as they expect the trade environment to improve with market expansion.
Yahoo
01-04-2025
- Business
- Yahoo
Asia's factory activity weakens as US tariffs sap confidence
By Leika Kihara TOKYO (Reuters) - Asia's factory activity mostly weakened in March as an intensifying U.S. tariff war and slowing global demand hurt business sentiment, private sector surveys showed on Tuesday, darkening the outlook for the region's economy. China was one outlier among a broadly downbeat set of purchasing managers' indexes, showing activity in the world's second-largest economy picking up, as factories rushed to get goods to customers before U.S. tariffs took effect. The prospect of a widening global trade war is adding to headaches for policymakers as they seek to cushion the hit to growth and manage inflationary pressures from rising costs. Elsewhere in Asia, Japan, South Korea and Taiwan saw manufacturing activity decline in March, the surveys showed, as companies braced for more uncertainty on U.S. trade policy. U.S. President Donald Trump has introduced various tariffs against trading partners since taking office in January, including a plan to impose higher levies on auto imports. China's Caixin/S&P Global manufacturing PMI climbed to 51.2 in March from 50.8 in the previous month, exceeding market expectations and staying above the 50.0 mark that separates growth from contraction. The rebound broadly aligned with an official PMI released on Monday that showed manufacturing activity growing at its quickest pace in a year. But analysts expect the relief to be short-lived as the trade war threatens to undermine momentum. Trump has imposed a cumulative 20% tariff on Chinese imports since January and is expected to announce additional "reciprocal" tariffs this week. "The rise in the Caixin manufacturing PMI mirrored its official counterpart, with both surveys suggesting that China's industrial sector is benefiting from a combination of tariff front-running and fiscal support," said Julian Evans-Pritchard, an economist at Capital Economics. "It won't be long before U.S. tariffs turn from being a tailwind to being a drag, however." Japan's factory activity fell at the fastest pace in a year, its PMI showed and extended declines for a ninth straight month. South Korea's factory activity declines also sped up, hit by weak domestic demand. Taiwan's PMI fell to 49.8 in March from 51.5 in February, while that for Vietnam rose to 50.5 from 49.2. Other indicators on Tuesday showed softness across the region with South Korea's exports growing slower than expected and Japan's closely watched tankan survey showing big manufacturers' business sentiment hitting a one-year low. Sign in to access your portfolio
Reuters
01-04-2025
- Business
- Reuters
GLOBAL ECONOMY Asia's factory activity weakens as US tariffs sap confidence
Summary Japan, S. Korea, Taiwan saw factory activity shrink in March China's private survey shows rebound in factory activity China's rebound seen as short-lived as tariff hits exports TOKYO, April 1 (Reuters) - Asia's factory activity mostly weakened in March as an intensifying U.S. tariff war and slowing global demand hurt business sentiment, private sector surveys showed on Tuesday, darkening the outlook for the region's economy. China was one outlier among a broadly downbeat set of purchasing managers' indexes, showing activity in the world's second-largest economy picking up, as factories rushed to get goods to customers before U.S. tariffs took effect. Get a look at the day ahead in U.S. and global markets with the Morning Bid U.S. newsletter. Sign up here. The prospect of a widening global trade war is adding to headaches for policymakers as they seek to cushion the hit to growth and manage inflationary pressures from rising costs. Elsewhere in Asia, Japan, South Korea and Taiwan saw manufacturing activity decline in March, the surveys showed, as companies braced for more uncertainty on U.S. trade policy. U.S. President Donald Trump has introduced various tariffs against trading partners since taking office in January, including a plan to impose higher levies on auto imports. China's Caixin/S&P Global manufacturing PMI climbed to 51.2 in March from 50.8 in the previous month, exceeding market expectations and staying above the 50.0 mark that separates growth from contraction. The rebound broadly aligned with an official PMI released on Monday that showed manufacturing activity growing at its quickest pace in a year. But analysts expect the relief to be short-lived as the trade war threatens to undermine momentum. Trump has imposed a cumulative 20% tariff on Chinese imports since January and is expected to announce additional "reciprocal" tariffs this week. "The rise in the Caixin manufacturing PMI mirrored its official counterpart, with both surveys suggesting that China's industrial sector is benefiting from a combination of tariff front-running and fiscal support," said Julian Evans-Pritchard, an economist at Capital Economics. "It won't be long before U.S. tariffs turn from being a tailwind to being a drag, however." Japan's factory activity fell at the fastest pace in a year, its PMI showed and extended declines for a ninth straight month. South Korea's factory activity declines also sped up, hit by weak domestic demand. Taiwan's PMI fell to 49.8 in March from 51.5 in February, while that for Vietnam rose to 50.5 from 49.2. Other indicators on Tuesday showed softness across the region with South Korea's exports growing slower than expected and Japan's closely watched tankan survey showing big manufacturers' business sentiment hitting a one-year low.
