Hot Topics
China reclaims top German trade partner spot
China has reclaimed its position as Germany’s top trading partner, surpassing the U.S. and highlighting the European economic giant’s deepening reliance on Chinese supply chains for critical components like semiconductors and rare earths.
China and ASEAN sign upgraded free trade protocol
China and ASEAN signed the 3.0 version of their free trade area upgrade protocol in Kuala Lumpur, Malaysia. According to China’s Ministry of Commerce, both sides have agreed to temporarily waive customs duties on electronic transmissions and to promote the mutual recognition of electronic authentication and signatures.
Yuan hits near one-year high on domestic economic optimism
The Chinese yuan strengthened to a near one-year high against the U.S. dollar, closing at 7.0991 on Wednesday, driven mainly by growing optimism in the domestic economy. This confidence is supported by a significant surge in foreign exchange settlements into yuan, which saw a surplus of $51 billion in September, the highest since early 2021. The People’s Bank of China aided the rally by setting a stronger central parity rate. While expectations of U.S. Federal Reserve rate cuts could pressure the dollar, analysts attribute the yuan’s robust performance primarily to these positive internal factors.
China releases 15th Five-Year Plan proposals
China has officially released the proposals for its 15th Five-Year Plan (2026–2030), five days after the conclusion of the fourth plenary session of the 20th Communist Party Central Committee.
Chinese banks face mounting pressure from property slump
Chinese banks are facing growing challenges as the country’s economic growth slows and the property sector remains mired in a slump, while shouldering more of the costs of government stimulus policies, according to French investment bank Natixis.
Senior Henan securities regulator probed
A senior official at the China Securities Regulatory Commission’s Henan bureau has been placed under investigation less than a year after being promoted to the role, signaling continued antigraft scrutiny of the country’s financial regulators.
Postal Savings Bank gets go-ahead for China’s ninth AIC
China’s roster of bank-backed investment firms has expanded to nine, after Postal Savings Bank of China Co. Ltd. received regulatory approval to establish its own unit, completing the rollout of such arms across the country’s “Big Six” state-owned lenders.
China’s state-owned enterprise equity climbs to $15 trillion
The owners’ equity attributable to the state in China’s state-owned enterprises grew 7.25% year-on-year to 109.4 trillion yuan ($15 trillion) by the end of 2024, according to an annual government report delivered to the country’s top legislature.
Gold prices have tumbled, wiping out nearly all the gains made in October in a sharp reversal just days after the precious metal hit a record high, as easing U.S.-China tensions sap its safe-haven appeal.
Trump criticizes Fed chair, vows replacement
U.S. President Donald Trump called Federal Reserve Chair Jerome Powell “incompetent,” stating that his term ends in May and that he will be replaced with a new appointee.
Nvidia announces $1 billion investment in Nokia
Nvidia plans to invest $1 billion in Nokia to jointly accelerate the development of AI-RAN and 6G technology. The announcement was made by Nvidia CEO Jensen Huang at a conference, where he also outlined a vision for AI that includes 6G, quantum computing, robotics and autonomous driving. Nvidia’s stock rose about 5% Tuesday, bringing its market capitalization to $5 trillion.
Apple’s market cap tops $4 trillion
Apple’s market cap surpassed $4 trillion for the first time Tuesday after its shares rose 0.2%. It is the third U.S.-listed company to reach this milestone, following Nvidia and Microsoft.
News Summary
Domestic
• The People’s Bank of China reported that the number of local government financing vehicles and their operating financial debt have fallen by 71% and 62%, respectively.
• The Ministry of Industry and Information Technology has released a mandatory national standard for electric-bicycle charging stations, as 80% of related fires occur during charging.
• China’s Cybersecurity Law has been amended and will take effect on Jan. 1, 2026.
• The National Financial Regulatory Administration announced support for insurance companies on the Chinese mainland to issue insurance-linked securities in Hong Kong.
• The People’s Bank of China has authorized First Abu Dhabi Bank to be the “renminbi” clearing bank in the UAE.
• The Shanghai Stock Exchange has clarified three key review priorities for the refinancing of innovative drug development companies.
Companies
• BYD has overtaken Tesla to become the top seller of electric vehicles in Hong Kong.
• Qualcomm’s stock jumped 11% after it launched its first new server AI chip in six years and secured a major order from the Middle East.
