TREE NEWS update: People’s Bank of China Deputy Governor Zou Lan said on Nov. 13 that financial institutions should be guided to interpret and use credit reports properly and avoid over-reliance on the credit system. Speaking at the 17th Caixin Summit, Zou called for strict compliance with rules on disclosing comprehensive financing costs and online marketing of financial products, urging responsible lending and differentiated operations. He also said the public, especially young people, should build sound credit habits and borrow rationally.
TREE NEWS update: A magnitude 4.0 earthquake struck the Kumamoto region of Kumamoto Prefecture, Japan, at about 10:52 local time on the 13th, the Japan Meteorological Agency said. The quake registered a maximum seismic intensity of 3 and had a focal depth of 10 kilometers.
TREE NEWS update: People’s Bank of China Deputy Governor Zou Lan said on Nov. 13 at the 17th Caixin Summit that the central bank will step up data governance and service levels for its credit reporting system, improve mobile app channels for public access, and explore broader cooperation between the central bank’s credit system and commercial credit agencies. He also called for tighter control of credit data quality at the source, including rules for institution entry and exit and credit information intake, to prevent data contamination and ensure system security.
TREE NEWS update: People’s Bank of China Deputy Governor Zou Lan said on Nov. 13 at the 17th Caixin Summit that the central bank will strictly enforce licensing requirements for credit reporting agencies and crack down on unlicensed, illegal credit reporting activities. He said the PBOC will push personal credit agencies to improve quality and efficiency, upgrade the corporate credit market, and develop diversified products such as “data + credit reporting” and “AI + credit reporting.”
TREE NEWS reports: Innovative drug concept stocks in China moved lower, with Baipu Saisi and Warner Pharmaceutical falling more than 10%. Wanbang Pharmaceutical, Nearshore Protein, Guilin Sanjin and Baihua Pharmaceutical each declined more than 6%, reflecting a broad pullback across the sector.
TREE NEWS reports: The ChiNext Index rebounded from its lows to turn positive, having earlier fallen more than 1.5%. The index recovered its losses intraday, reversing the earlier decline. No further details on the move were provided.
TREE NEWS update: The Export-Import Bank of China issued a 1-year bond with a scale of 1 billion yuan, at an issuance rate of 0.0000% versus an expected 1.3800%. The bid-to-cover ratio was 1.00 times, and the marginal ratio was also 1.00 times.
TREE NEWS update: Democratic congressional leaders confirmed that multiple senior officials in the Trump administration, including Secretary of State Marco Rubio, could become targets of investigations and impeachment after Democrats formally take control of Congress in January. The statement signals the incoming majority’s intent to pursue oversight actions against top administration figures once the new session begins.
TREE NEWS update: BAIC Group Chairman Zhang Jianyong led a delegation to Shenzhen on Nov. 10 to meet Huawei founder Ren Zhengfei and senior Huawei executives, the automaker said, with both sides pledging to deepen strategic cooperation. They said the Xiangjie brand, combining BAIC’s luxury car-making experience with Huawei’s intelligent technology, has achieved some success and will see increased investment to build it into a Chinese luxury brand. Xiangjie’s first family smart flagship MPV, the V8, launches Nov. 20.
TREE NEWS reports: Shares of Chinese computing-power hardware suppliers fell in a broad decline, with Yuanjie Technology and Kexiang Co. dropping more than 10%. Tianfu Communication, Robert Ke, JPT, Kinwong Electronic, Victory Giant Technology, Shengyi Technology and Wus Printed Circuit each fell more than 7%. The material gave no reason for the move.
TREE NEWS update: China’s Ministry of Finance awarded its 1-month treasury cash deposit at a winning rate of 1.30% on the latest operation, down from 1.42% previously. The 12-basis-point decline marks a lower yield on the short-term placement of fiscal funds with commercial banks. No size or settlement date was disclosed.
TREE NEWS reports: The ChiNext Index fell more than 1% while the Shanghai Composite slipped 0.05% and the Shenzhen Component dropped 0.53%, with computing hardware, agriculture, solar and real estate among the worst-performing sectors. More than 3,400 stocks declined across the Shanghai, Shenzhen and Beijing exchanges.
TREE NEWS update: US Treasury Secretary Scott Bessent said he is watching whether Democrats are “serious” about lowering the US debt level, and signaled the Trump administration is willing to address “tax gimmicks” as part of a solution to reduce the national deficit. Bessent did not specify which tax provisions he was referring to or provide a timeline for any proposal.
TREE NEWS reports: New World Development Co. has hired banks to prepare a rights issue aimed at raising as much as HK$25 billion, Bloomberg reported. The Hong Kong-listed property developer has not disclosed the timing or pricing of the offering. The move comes as the company seeks to shore up capital.
TREE NEWS reports: China A-share semiconductor and chip stocks led gains at the open, with Tianpu Co. hitting its fourth consecutive daily limit-up and Huadong Heavy Machinery locked at the limit-up ceiling from the open. Xuanji Information, Dashengda, Moore Threads, Tianpu and Cambricon each rose more than 4%.
TREE NEWS reports: The CSI Convertible Bond Index opened 0.26% higher, with Zuoli and Qianhong convertible bonds each surging 30.00% to lead gains. Huafeng, Aoshi and Lianrui bonds rose 3.64%, 3.47% and 3.17% respectively. On the downside, Peidi, Aike and Sanjiang bonds fell 1.97%, 1.11% and 0.90%, leading decliners.
TREE NEWS update: SMIC’s third-quarter gross margin reached 29.9%, up 4.6 percentage points quarter-on-quarter, co-CEO Zhao Haijun said at the company’s Q3 earnings call. He attributed the improvement to urgent customer pull-in requests that led SMIC to slow engineering and R&D wafer starts to support customer shipments, lifting capacity utilization to 97.3%, up 3.6 points, on 20,000 additional 8-inch-equivalent monthly wafers. Higher output diluted per-wafer costs, offsetting a 2.3% quarter-on-quarter rise in depreciation and pushing gross margin above the top end of guidance.
TREE NEWS reports: Semiconductor Manufacturing International Corp. co-CEO Zhao Haijun said smartphone and consumer electronics demand remained weak in the third quarter, with wafer revenue from those segments falling 8% and 1% quarter on quarter. Revenue from computing and tablets, industrial and automotive, and interconnect and wearables rose 26%, 26% and 18% respectively, helped by supply-chain localization and the company’s platform deployment, he said at the company’s third-quarter results briefing.
TREE NEWS update: SMIC co-CEO Zhao Haijun said the chipmaker expects full-year sales revenue to exceed $12 billion, up nearly 30% year on year, speaking at the company’s third-quarter earnings call. Gross margin is forecast at around 26%, roughly 5 percentage points higher than a year earlier, even as total depreciation rises about 30%. Tight global equipment supply chains have lengthened delivery times, with some equipment timing still uncertain, which could disrupt full-year capex execution though not this year’s capacity expansion plans.
TREE NEWS reports: China’s treasury futures opened higher, with the 30-year main contract up 0.13%, the 10-year up 0.04%, the 5-year up 0.03% and the 2-year up 0.01%. The gains across the curve came at the open of trading.