Language : English 简体 繁體
Media Report
June 21 , 2017
  • The Financial Times reports: "Chinese stocks hit an 18-month high following MSCI's decision to include them in its global benchmark equity index for the first time, marking a milestone in Beijing's efforts to draw international funds into the world's second-largest market. MSCI's move means mainland equities, known as A-shares, will next year be included in its flagship emerging markets index, obliging the estimated $1.6tn of investment funds that track the index to buy the stocks...MSCI's decision opens a new front in investors' long-running debate over whether, and how, to introduce domestic Chinese securities into international portfolios...Helen Wong, head of HSBC's Greater China operations, called MSCI's decision a 'pivotal moment'. She added: 'This is the start of a process through which Chinese equities will achieve a prominence in global investors' portfolios that reflects the size and significance of China's domestic stock market and its economy.'"
  • The Washington Post reports: "Otto Warmbier's death after returning from North Korean imprisonment is stoking outrage in Washington and threatening to overshadow high-level U.S.-Chinese talks Wednesday...Top U.S. and Chinese diplomats and defense chiefs are meeting in the U.S. capital for security talks, and North Korea will get 'top billing,' according to Susan Thornton, the senior U.S. diplomat for East Asia. The two world powers are trying to build on 'positive momentum' created when Trump and Chinese President Xi Jinping met in Florida in April, she said. Wednesday's discussions replace a sprawling strategic and economic dialogue held annually under the Obama administration. It rarely produced significant results. This year's edition separates out the security aspects, and Secretary of State State Rex Tillerson and Secretary of Defense Jim Mattis are hosting Chinese foreign policy chief Yang Jiechi and Gen. Fang Fenghui, chief of the People's Liberation Army's joint staff department. Thornton said talks would cover the South China Sea, where Beijing's island-building and construction of possible military facilities have rattled neighbors and caused tension with Washington; U.S.-Chinese military cooperation to reduce risk of conflict; and efforts to defeat the Islamic State group. Divisive trade issues will be tackled separately at a later date."
  • The Diplomat comments: "Within Southeast Asia, one project that has been key to China's geopolitical ambitions in the subregion is a multibillion-dollar railway line with Thailand. As I have detailed previously, the project has been years in the making and has been proceeding in fits and starts due to differences over funding, feasibility, and even the speed of the trains. The recent round of controversy with respect to the deal erupted when the government of Thai Prime Minister Prayut Chan-o-cha declared that it would use special powers granted under Article 44 of the Thai constitution to circumvent legal and technical issues and expedite the construction on the project. Irrespective of the merits of the project itself, the government's decision has only intensified the concerns surrounding the process under which the decision is being made and led to a growing convergence of them into rising opposition to it. The concerns fall along roughly three lines..the merits of these arguments on their own matter less than the distrust in the government in some circles. Moreover, moves that are perceived to reduce transparency like the use of special powers only exacerbate the problem. That might ultimately be the real lesson here, not just for Thailand, but for other governments in the region as well."
News
Commentary
Back to Top