Oct 12 HK & CHINA and Asia sell off as Energy prices and inflation fears rise.

12 Oct

This and previous notes can be found at Substack ( Asian Market Sense )
Check out ERI-C.com  for your research needs

HSI -363pts (-1.4%) 24,963 HSCEI -150pts (-1.7%) 8,849 T/O HK$136.98bn (-15.9% DoD)  

Markets opened lower but working back to flat.  ZEW survey for Germany weak for a fifth month -VE as bottlenecks hurt the economy.
Basic Resources Weak.
Earnings updates from LVMH and Givaudan.
ZEW Economic Sentiment Index  Oct 21 vs 31.1 Sept (F/cast was 20)
Wholesale Prices Sept +13.2% YoY vs +12.3% Aug (F/cast was +12.7%)
Wholesale Prices Sept +0.8% MoM vs +0.5% Aug (F/cast was +0.3%)
ZEW Economic Sentiment Index Oct 22.3 vs 26.5 Sept (F/cast was 22.6)
ZEW Current Conditions Index Oct 21.6 vs 31.9 Sept (F/cast was 25)
BRC Retail Sales Monitor Sept -0.6% vs+1.5% Aug
Employment Change Jul 235k vs 183k Jun (F/cast was 225k)
Ave Earnings Inc Bonus Aug +7.2% vs 8.3% Jul (F/cast was +7.1%)
Ave Earnings Ex Bonus Aug +6% vs +6.8% Jul (F/cast was +6%)
Unemployment rate Aug 4.5% vs 4.6% Jul (F/cast was 4.6%)
US Futures opened: Dow -20 pts in Asia with S&P 500 futures and Nasdaq 100 both -0.1% but dropped when Europe came in to Dow -132pts with S&P and NDX -VE.  But have now recovered to Dow -52pts, S&P flat and NDX +0.1%
AHEAD Redbook, NFIB Business Optimism, JOLT’s job openings, Consumer Inflation Expectations, WASDE report.

CHINA CSI 300 closed -52 pts (-1.1%) @ 4,884
CSI 300 opened lower and traded 4,900/920 in the morning session. PM trended lower, support at 4,840 before seeing a rally into the close. Sentiment weak on news President Xi is now targeting the Financials and their ties with private firms for a crackdown. Adding to the weakness in power intensive industries (Nine Dragons paper issued price rise notices effective Wednesday). Late afternoon there was a headline ‘China to expand anti-monopoly bureau as crackdown widens’ a further -VE for sentiment. On the flip side whilst Property was weak some names rebounded on yesterday’s news that Harbin was relaxing home purchase restrictions and also news that Developers could get some presale funds currently in govt accounts returned and news that China Assnt plans a meeting with builders over diffculties.
PBoC drained another 90b Yuan from the system this morning; removing the holiday liquidity. Concerns over power shortages but NDRC says it will allow price reform on electricity pricing but does not expect it to impact inflation.

Shanghai Comp -45pts (-1.3%) @ 3,547 T/O US$66,519m (-2.6% DoD)
Shenzhen Comp -232pts (-1.6%) @ 14,135 T/O US$82,537m (+1.7% DoD)
ChiNext Comp -71pts (-2.1%) @ 3,350

China's National Health Commission reported 12 confirmed COVID-19 cases yesterday (11th), 
with all of them being imported cases.
After market
Vehicle Sales Sept -19.6% YoY  vs -17.8% Aug (F/cast was -15%)
Trade data due Mid morning Wednesday
Inflation  due Thursday and may also get New Loans, Outstanding Loan Growth, Total Social Financing, M2 Money Supply. 

Pre market opened @ 24,996 -329pts vs -202pts ADR’s on news that China's NRTA had stepped up management of new business forms like online variety shows, e-commerce live-streaming and short videos, thus weighing on relevant shares; KUAISHOU-W (01024.HK) -2.7% and BABA-SW (09988.HK) -4.5%. But market rebound back above 25,100 but saw resistance approaching 25,200 and trended lower going into lunch. PM trended lower before finding support around the 24,865 level before seeing a slight recovery into the close with an uptick in the closing auction.
President Xi says China has started building a 100 GW wind and solar project in desert areas. But they are also realising the transition will take time and hence relaince on coal will remain for sometime. I still think that there is a lot of rehetoric being spoken without much solid planning. The trouble with some of the desert projects will suffer from sand storms and connecting them to the grid could be expensive.

No data

SHORT SELLING HSI Tuesday  23.6% vs 21.9% Monday
Top shorts 
Wharf REIC (1997) 48%, HK & China Gas (3) 41%, Sunny Optical (2382) 40%, Ali Health (241) 40%, Country Garden (2007) 39%, Hang Seng Bank (11) 37%, Hengan (1044) 36%,  Henderson Land (12) 35%, CM Bank (3968) 35%, Sinopec (386) 35%, China Res Land (1109) 33%, Baba-SW (9988) 33%,  Shenzhou (2313) 32%, Xiaomi (1810) 32%, HK Ex (388) 31%, China Life (2628) 30%, Geely (175) 29%, Li Ning (2331) 28%,  AAC Tech (2018) 27%, CCB (939) 26%.

China Res Land Sept Contract Sales -23.8% (22.1bn Yuan)
Longfor Sept Contract Sales 20.2bnYuan
Chow Tai Fook Q2 HK & Macau SSS +57.7%, Mainland Sales +58%

CK ASSET (01113.HK)'s low-density residential project located in Hung Shui Kiu -- "#LYOS" has obtained the pre-sale consent and may commence sales within this month.  
CK ASSET expressed during a press conference that, "#LYOS" will become the first residential project to be launched after the Chief Executive's proposal of the "Northern Metropolis" scheme, and that the company is hoping to upload the sales brochure of the project and unveil the sample flats by next week.

Regional Markets
Market trended lower on the open following the US but rebounded as Business Confidence was stronger than forecast and with Energy and Iron Ore +VE but then sold down to 7,260 mid-morning as the rest of Asia traded lower. It then traded sideways until a small uptick into the close to finish -19pts (-0.3%) @ 7,281.  
Tech and Financials weak (Westpac warned of 2H write downs totalling $1.3bn hit), Techs: Appen (-3.3pc), Afterpay (-3.1pc), and Zip Co (-3.2pc), along with Ansell (-4.4pc), Worley (-4.3pc) and REA Group (-3.4pc). Star Ent -2.7% continued selling. Miners +VE Alumina (+4.2pc), Perseus Mining (+4.2pc), Ramelius Resources (+2pc) and BlueScope Steel (+2pc).
Business Confidence Sept 13 vs -6 Aug revised (F/cast was -2)
Nikkei opened lower and trended down to 28,200 mid morning and then traded sideways around 28,250 into lunch. PM traded 28,200/230 and closed -268pts (-0.9%) @ 28,230
Topix similar pattern low of 1,980. PM traded 1,981/85 and closed -14pts (-0.7%) @ 1,983
Yen remains weak but the spread between Value and Growth widening.
Leaders Non Ferous Metal, Shippers, Iron/Steel and Oil/Gas
Laggards Utility, Retail/Consumer, IT/Telco and Airlines
Pre Market Data
Bank Lending Sept +0.6% YoY vs +1.5% Aug
PPI Sept +0.3% MoM vs 0% Aug (F/cast was +0.2%)
PPI Sept +6.3% YoY vs +5.5% Aug (F/cast was +5.7%)
S Korea 
Foreigners and Local Institutions selling Tech (SEC -3.7%) & Pharma.
Leaders Energy/Chem
but LGE and LG Chem earnings miss on recall provisions on GM battery recall.
Kospi re-opened lower and trended down to 2,901 in the first hour and then worked slightly better but dipped at the end to close -40pts (-1.4%) @ 2,916
Kosdaq traded in along similar lines closed -13pts (-1.4%) @ 940
BoK kept rates unchanged at 0.75% but statement was hawkish suggesting an imminent rate adjustment could be on the cards.
Taiex re-opened lower and sold down to 16,350 before a small bounce and then traded sideways around 16,450 for the rest of the session and closed -178pts (-1.1%) @ 16,463
T/O was US$9.89bn remaining at the lighter end of recent trading but concerns about growing retail margin calls.
CECC reported 4 new imported covid cases
Weakness in Tech (although TSMC recovered initial losses to close flat), Shipping, Transport and Plastics as higher oil prices and concerns over slowdown/power cuts in China impact sentiment.
Apple supply chain names weak following the worker shortage in Vietnam.

HK/CHINA Connect Flows
Northbound Rmb 52,791m Sell 26,595m vs 26,196m Buy
Southbound HK$ 13,035m Sell 5,746m vs 7,289m Buy
Northbound Rmb 61,076m Sell 31,028m vs 30,048m Buy
Southbound HK$  13,475m Sell   6,470m vs   7,005m Buy

Active Heavyweights
PING AN (02318.HK)  -2.950 (-4.929%)    Short selling $262.74M; Ratio 27.847%    closed at $56.75, down 5.2%
BABA (09988.HK) -4.500 (-2.682%) Short selling $1.51B; Ratio 32.535% closed at $161.3, down 3.9%
MEITUAN (03690.HK) -2.400 (-0.865%) Short selling $688.97M; Ratio 16.055% closed at $269, down 3%
TENCENT (00700.HK) -7.000 (-1.411%) Short selling $895.34M; Ratio 20.447% closed at $483.2, down 2.6%
HKEX (00388.HK) -8.000 (-1.698%) Short selling $225.94M; Ratio 32.872% closed at $462.2, down 1.9%
AIA (01299.HK) -0.800 (-0.902%) Short selling $92.87M; Ratio 13.582% closed at $87.5, down 1.3%
CCB (00939.HK) +0.050 (+0.914%) Short selling $72.73M; Ratio 17.690% closed at $5.49, up 0.4%

HSI & HSCEI Constituents on Move:
JD HEALTH (06618.HK)  -4.750 (-6.009%)    Short selling $51.57M; Ratio 7.495%    closed at $73.85, down 6.6%
KUAISHOU-W (01024.HK) -5.800 (-6.591%) Short selling $206.40M; Ratio 35.023% closed at $82.75, down 6%
SUNAC (01918.HK) +0.880 (+5.898%) Short selling $302.16M; Ratio 54.075% closed at $15.62, up 4.7%
ALI HEALTH (00241.HK) -0.400 (-3.509%) Short selling $51.10M; Ratio 37.563% closed at $10.88, down 4.6%
SUNNY OPTICAL (02382.HK) -7.600 (-3.770%) Short selling $536.52M; Ratio 39.331% closed at $193.2, down 4.2%
BIDU-SW (09888.HK) -6.500 (-3.995%) Short selling $40.43M; Ratio 26.419% closed at $156.2, down 4%
WH GROUP (00288.HK) -0.190 (-3.598%) Short selling $7.80M; Ratio 9.087% closed at $5.1, down 3.4%
COUNTRY GARDEN (02007.HK) +0.290 (+3.867%) Short selling $65.07M; Ratio 41.699% closed at $7.75, up 3.3%
WUXI BIO (02269.HK) +1.100 (+0.981%) Short selling $165.21M; Ratio 22.056% closed at $108.4, down 3.3%

Market News
MTR CORPORATION (00066.HK) announced that the Hong Kong Observatory has announced that Gale or Storm Signal No. 8 will be issued later. 
MTR is stepping up its train, Light Rail and MTR Bus services to peak frequencies to meet the anticipated increase in passenger demand.  As MTR rail services will continue under Gale and Storm Signal No. 8, the Corporation suggested passengers to stagger their departure from work to avoid overcrowding at stations. Crowd management measures may be implemented at individual stations to facilitate smooth passenger flow, the announcement added.

Honor, a spin-off smartphone operation from Huawei, disclosed on social media platform that, it has confirmed the cooperation relationship with multiple suppliers, 
and that the overseas version of its HONOR 50 series has been authorized to be equipped with Google Mobile Services (GMS), signifying that said series will be able to use functions such as Google Map, GMAIL, YouTube, Chrome and the application store Google Play.

The Hong Kong government will gazette the extension of most existing social distancing measures for 14 days till October 27 with two new "vaccine bubble" arrangements for fitness centres introduced.  
Under the condition that the fitness centres have complied with the requirements such as ventilation standards, the maximum number of participants in each sub-group of training groups or classes will be relaxed to 12 persons provided that all staff members have completed a vaccination course and all participants are wearing masks; and customers will be allowed to exercise without wearing a mask if all staff members and users have completed a vaccination course, the announcement added.

The semiconductor shortage has seen signs of slight alleviation in September 2021, but the chip supply remained insufficient to cope with the production needs, according to China Association of Automobile Manufacturers (CAAM). The automobile production and sales volumes increased MoM in September, but declined YoY due to a relatively higher base of last year, CAAM added.

Moody's said China's electricity curtailment has forced certain industries to stop production, posing adverse impact on corporate credits. 
However, the rating agency believed that if the power cut is temporary, the impact on the economic growth and corporate ratings will be limited.  Moody's assumed China to have full financial and monetary capacity to address the current crisis, including EVERGRANDE (03333.HK)'s debt saga.

Shenzhen government issuing offshore RMB bonds in Hong Kong bears a certain significance in reaffirming Hong Kong's role as an international offshore RMB center, remarked Pan Gongsheng, Deputy Governor of the People's Bank of China.  
Said issuance of bonds will also further open up the Chinese bond market to foreign investment and expand the financing channels, Pan added.   HKEX (00388.HK)'s chairman, Laura Cha, likewise expressed that Shenzhen government's bond issuance in Hong Kong attested China's determination in supporting Hong Kong as an international financial hub, while further solidifying Hong Kong's position as an offshore RMB center.

GEELY AUTO (00175.HK)'s Boyue X was officially released on Sunday night (10th), offering four vehicle models in total, with the official guidance prices ranging RMB112,800-142,800. 
Boyue X is the first mass production vehicle model to be equipped with the BIDU-SW (09888.HK)'s self-developed Honghu chip.

China Association of Automobile Manufacturers (CAAM) forecast that, should there be no material issues, this year's NEV sales  volume could break through 3 million units, remarked Xu Haidong, vice chief engineer of CAAM.  Data showed that the aggregate sales volume of NEVs over the first three quarters of this year amounted to 2.157 million units.

In September, China's wholesale volume of NEV hit 355,000 vehicles, up 14.7% MoM or 184.4% YoY,
as revealed by the data from China Passenger Car Association (CPCA)

BOC HONG KONG (02388.HK)  has enabled potential customers to open a bank account via the government's identity verification mobile application "iAM Smart" on smartphones. 
By enabling mobile account opening via "iAM Smart", the bank hopes reduce the time required for account opening and to attract more potential customers including those from the younger generation, expressed Winnie Cheung, Deputy General Manager, Personal Digital Banking Products Department of BOCHK.  Cheung added that the bank is now considering to apply "iAM Smart" on the branch services, allowing clients to complete identity verification through their smartphones without their identity cards.

With the demand for semiconductors expanding from the consumption ends to the corporate ends, the value of the global semiconductor market is estimated to soar past USD1 trillion by 2030, with the Asia Pacific region accounting for 62% of it, suggested Deloitte.  
In terms of revenue, five out of the 15 highest-grossing semiconductor corporates around the world are located in the Asia Pacific region, which sufficiently illustrates the region's leading role in the market, remarked Deloitte China Technology Sector Leader, Mark Lian.  South Korea, Japan, China and Taiwan are all playing vital roles in terms of propelling both the upstream and downstream development of the APAC semiconductor industry, Lian added.

Six of ND PAPER (02689.HK)'s paper making bases issued price hike notices, reporting RMB50-150 increment per ton in their paper. For example, plants in Dongguan, Tianjin and Chongqing will ramp up prices of corrugated paper and craft paper by RMB100 per ton with effect from tomorrow (13th).   In Quanzhou, prices of Nine Dragon and Sea Dragon craft paper will be added by RMB50 per ton with effect from tomorrow.

FANTASIA (01777.HK) confirmed that Fantasia Holdings Group and its subsidiary Shenzhen Fantasia Property Group  are cooperating to undergo a structural merger 
and has set up task forces specifically aimed at handling debts and asset restructuring, reported cs.com.

Baidu AI Cloud and the Baiyun District of Guangzhou signed an agreement to build an "AI + Industrial Internet Base" and a research and operation center there. 
Both sides will actively and thoroughly promote the application of Baidu AI Cloud and solutions by integrating local industrial edges with Baidu's AI technology.

China's National Development and Reform Commission (NDRC) issued a notice on further deepening the market-oriented reform of coal-fired on-grid power tariffs. 
The upper limit for coal-fired market trading tariffs will be expanded from no more than 10% to no more than 20%, while the lower limit will be expanded from no than 15% to no more than 20%.  Equally, industrial and commercial users across regions have to enter the power market in an orderly manner and make purchases at market prices.

Hong Kong Chief Executive, Carrie Lam, expressed that the government will study to simplify the preliminary procedures for homebuilding projects. 
She added that the government likewise hopes to distribute housing units to citizens at a faster pace by adopting construction methods that are more efficient, namely Modular Integrated Construction (MIC), and design and build.    When asked about chamber of commerce's concern on Hong Kong's quarantine measures will hamper its financial status, Chief Executive Carrie Lam assured that the status will not be shaken by one single public health event since Hong Kong has been a global financial hub for decades. Moreover, she explained to the related chamber of commerce in person and by letter that the stringent plague precaution against imported cases was due to the need to resume travel with China.
Lam said the Hong Kong government will improve the prevailing border restrictions as soon as possible, especially after reaping feedback from the meeting with Mainland experts in September. She hoped there will be a second meeting soon, by which definitive plans could be nailed. Finally she expressed that she will be attending the Canton Fair cum Zhujiang International Trading Forum in Guangzhou tomorrow (13th), after which she will be meeting government officials in Shenzhen on Thursday, to introduce the development strategy related to the Northern Metropolis scheme outlined in the Policy Address.

Bitcoin peaked at USD57,819 last night, 
marking the first time for the cryptocurrency to break through the threshold of USD57,000 since May, according to data from coindesk.  Bitcoin last posted USD57,032, up nearly 3%. Ether, on the other hand, gained 1.1% to post at USD3,499.  Comes as JPM’s Dimon says Bitcoin in his opinion is worthless but if his clients want to trade it JPM could provide a safe regulated way to do so.

Stanley Choi, one of the founders of Yunfeng Capital, has acquired 11 million shares of CHINA RE (01508.HK)  last Friday (8th), at an average price of $0.9109 per share, involving approximately $10.0199 million, 
further boosting his stake from 4.88% to 5.04%, according to information from the Stock Exchange.

China is zeroing in on the relations between state-owned banks with other financial powerhouses with big private-sector enterprises, having launched a sweeping round of financial institution inspections, 
The Wall Street Journal citing sources.
The probes focus on whether state lenders, investment funds and financial watchdog are too chummy with private companies, particularly those recently landed in the country's crosshairs, including EVERGRANDE (03333.HK), Didi Chuxing and BABA-SW (09988.HK)'s Ant Group.

TENCENT (00700.HK) 's communication software WeChat unveiled its new version for iOS 8.0.15, with an upgraded adolescence mode and "guardian authorization" feature, 
allowing parents to manage their children's usage of WeChat.   With the new feature activated, adolescents could apply for authorization from their guardians on visiting public article page, mini-programs, weblinks and extending video account usage period.

Shanghai Discipline and Market Regulation Commission  announced that one general manager and one manager of the technological development department at the China Foreign Exchange Trading System (CFETS) are now under investigation of Shanghai Chongming District Supervisory Commission for serious illegal acts.

Pre Market News
There will be few buyers willing to acquire EVERGRANDE (03333.HK)’s project in Won Shang Wai, Yuen Long as the land cost is high in lack of a detailed blueprint,
South China Morning Post cited industry sources. Previously, EVERGRANDE was said to have planned disposal of the project at $8 billion loss.  Tom Ko, Cushman & Wakefield’s executive director of capital markets in Hong Kong, said potential buyers may await a bigger discount from EVERGRANDE since the latter may get more desperate to unload the asset when debt burden increases.

FANTASIA (01777.HK) announced that Ho Man has resigned as an independent non-executive director of the company, while Wong Pui Sze, Priscilla, has likewise resigned as an independent non-executive director of the company .  Following the resignations of Ho and Wong, the Board comprises seven Directors and only one independent non-executive Director with no independent non-executive Director possessing appropriate professional qualifications or accounting or related financial management expertise. Accordingly, the company is not in compliance with Rule 3.10 and Rule 3.10A of the Listing Rules. The Board will make its best endeavours to identify suitable candidates to fill the vacancies as soon as practicable, the announcement added.

"The ARLES", Centralcon Properties' residential project located in Fo Tan, has received about 20,000 subscription registrations for the 402 units released through the first two price lists, representing an oversubscription of nearly 49x, suggested market sources.

Christopher Hui, Secretary for Financial Services and the Treasury, is unworried about the Northern Metropolis Development proposed in the Policy Address would become a burden on public finance. Given the project's supreme value to Hong Kong's long-term development, he regards it as an investment rather than simply an expense.  Based on past experience, Hui finds it possible to explore means like private sector participation and public private partnership for the large-scale project buildout.

Trading in the shares of AUSNUTRIA (01717.HK)  has been halted from 9:00 a.m. today (12 October) pending the release of an announcement of the Company in relation to inside information of the Company and pursuant to The Hong Kong Code on Takeovers and Mergers.

Thailand will exempt fully-vaccinated visitors from low-risk nations from quarantine beginning 1 November.  At least ten low-risk countries, including China, the U.S., Britain and Singapore, are on Thailand's exemption list.

SINIC HOLDINGS (02103.HK) announced that the aggregate principal amount of the group’s liabilities under its material offshore financing arrangements is US$1.005 billion and the company's Board is currently ascertaining further details of the material onshore financing arrangements (other than those relating to the overdue payments) which may be in technical default and/or subject to actions of the relevant creditors and any other arrangements under which other liabilities may arise for the group.   Further, the terms and conditions of the 2021 Bonds provide that the payment and the last interest payment will fall due on 18 October 2021. Having given careful consideration to its liquidity, the company currently anticipates that it will not have enough financial resources to make payments of the principal. As such, the company is currently of the view that an event of default under the terms and conditions of the 2021 Bonds will likely occur.  Trading of the shares and the debt securities of the company on the Stock Exchange will remain halted until further notice.

Alfred Sit, Secretary for Innovation and Technology, said yesterday (11th) the assembly of scientific research talents at home and abroad will be bolstered under the Global STEM Professorship Scheme proposed in the Policy Address. He expected to beef up Hong Kong's talent and fundamental research edges, while leveraging the city's advantages to meet the country's needs by playing a role in national science and tech construction.

U.S. officials expressed that the White House is now calling for the OPEC+ to adopt extensive measures to aid the global economic recovery as the oil prices are reaching new peaks in past few years.  The officials added that the U.S. government is closely monitoring the cost of oil and gas and will employ all possible tools to tackle the anti-competition behavior in the U.S. and around the world, so as to ensure a reliable and stable energy market.

LOGAN GROUP (03380.HK) announced that, on 11 October 2021, the company purchased from the open market the 2022 Notes in an aggregate principal amount of US$10 million, representing 4% of the aggregate principal amount of the 2022 Notes issued.  The repurchased notes will be cancelled in accordance with its terms and indenture, the announcement added.

EVERGRANDE (03333.HK)'s debt crisis keeps brewing, reported Bloomberg. Some bondholders claimed they have yet to receive coupons on two Evergrande USD bonds, i.e. the 9.5% bonds due 2022 and the 10% bonds due 2023, as of 5pm yesterday (11 October), being the interest payment date.

China's National Radio and Television Administration (NRTA) has recently published the 14th five-year plan on radio, TV and network audiovisual development. Accordingly, it will implement requirements for the integrated film and TV sector reform as well as the integrated cultural entertainment governance. Meanwhile, NRTA shall explore management and long-term cultivation systems for key online audiovisual personnel, while stepping up administration of new business forms like online variety shows, online showrooms, live broadcasts and short videos.

In relation to the legal accusation of unfair competition launched by "Ele.me" against MEITUAN-W (03690.HK), Qingdao Intermediate People's Court recently ruled that Beijing Sankuai Online Technology Co., Ltd. and Beijing Sankuai Technology Co., Ltd. (operators of MEITUAN-W delivery platform) shall cease to engage in unfair internet competition behavior and shall compensate Rajax Network Technology (Shanghai) Co. Ltd and Shanghai Rajax Informational Technology Co. Ltd. (operators of Ele.me delivery platform) RMB1 million for the economic loss and reasonable expenses.  Both parties agreed to the ruling and have decided not to appeal.

EVERG VEHICLE (00708.HK)  expressed during a strategic partner meeting that the company has already ensured that the production of its auto model -- "Hengchi 5" will begin in the Tianjin factory early next year, and that the first mass production model of the company will be the "Hengchi 5", which is set to be unveiled to the media at the Auto Shanghai.

Greenland Holdings (600606.SH)  posted a record decline in US dollar bonds due in June 2022. As of 12:12 yesterday, the company's 6.75% bond fell US6.8 cents per US dollar to US63.4 cents, the steepest one-day downfall since the bond was issued in June 2019; the 6.75% bond due in March 2024 sank US4.5 cents per US dollar to US45.2 cents; the 7.25% bonds due in January 2025 faded US4.3 cents per US dollar to US45 cents.  Ministry of Housing and Urban-Rural Development (MOHURD) in Jinan City purportedly issued a letter regarding the suspension of the pre-sale permit for commercial housing of Greenland Real Estate (Jinan) Co., Ltd. and its subsidiaries. The Economic Observer later confirmed the above rumor with an official of Jinan MOHURD.

Chinese Premier Li Keqiang, presiding over a National Energy Commission meeting, said China needs to create a modern energy system under the premise of ensuring security, thus raising its capability of self-reliant energy supply.  Meanwhile, China shall ensure people in the North a warm and safe winter and boost the clean energy weighting, he added. Beijing aims to promote energy saving and carbon emission cut based on market mechanisms, hence magnifying its green development ability.

ANTON OILFIELD (03337.HK)  announced that, for 3Q, the group won new orders of approximately RMB1.01 billion, representing a decrease of 6.3% compared to the same period last year.  New orders from the domestic market amounted to approximately RMB578 million, representing a decrease of 12.1% compared to the same period last year; new orders from Iraqi market amounted to approximately RMB341 million, representing a decrease of 2.6% compared to the same period last year; and new orders in other overseas markets amounted to approximately RMB91.0 million, representing an increase of 30.4% compared to the same period last year.

CST GROUP (00985.HK) announced that on 11 October 2021, the Vendor disposed of EVERGRANDE (03333.HK) Notes with both of the nominal values of US$4 million in the secondary market for a respective consideration of approximately US$815,000 and US$702,000.  The proceeds from the Aggregated Disposals amounted to approx US$5.72 million. It is expected that the Group will record a loss of approximately US$11 million for the financial year ending 31 March 2022 as a result of the Aggregated Disposals.

* The email will not be published on the website.