Shipments of goods from China to the US are at a four-year high as Chinese exporters rush to land deliveries before the latest US tariffs bite. A 10% levy applies to a range of Chinese goods starting Monday -- 25% starting next year -- although US retailers such as Walmart and Target have indicated they will not increase consumer prices in the near term.
A broad stock rally has driven the S&P 500 and the Dow Jones Industrial Average to record highs and the Nasdaq composite to within 1.3% of an all-time high. Investors shrugged off concerns about rising trade tensions with China and instead focused on weeks of steadily improving US economic data.
Sales of green bonds have increased nearly 20% this year in Europe, reaching €40 billion, as issuers focus on environmental instruments and sustainability. Irish developer Societe du Grand Paris and auto lessor ALD are among companies that plan to issue green notes, while Mitsubishi UFJ Financial Group is preparing a second issuance in 2018.
Steven Maijoor, chairman of the European Securities and Markets Authority, says regulators must strike a balance between risks and opportunities posed by technological innovation. Artificial intelligence lets regulators exert greater control and lets firms comply more efficiently with requirements, Maijoor says in a conference address.
European Central Bank President Mario Draghi urges eurozone banks to reduce nonperforming loans to revitalise lending and to promote industry consolidation. "Low profitability and uncertainty regarding the valuation of legacy assets reduce the appeal of cross-border" mergers and acquisitions, he says.
The Bank of Japan, which has voted to retain a negative short-term interest rate and a long-term rate of about 0%, is the only major central bank left with vigorous quantitative easing. Exiting the strategy could be challenging, with economists saying the central bank could struggle to manage debt, Henry Hoenig and Chloe Whiteaker write.
The Hindenburg Omen, an indicator that emerges when certain negative criteria are recorded on stock charts and that suggests an imminent correction, has appeared at the New York Stock Exchange. However, technical analyst JC O'Hara, CMT, says that the omen is not invariably accurate and that the incidence might have stemmed from poor performance of foreign entities.
The UK's FTSE 100 index has turned to the downside, prompting concerns it is oversold, technical analyst John Burford writes. Elliott Wave analysis confirms the index is in correction but indicates it will resume ascent imminently, with decline likely in the long term, Burford writes.
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