What’s going on? Online retail giant JD.com reported better-than-expected results, after China proved it’s leaning into a digital future. What does that mean? JD.com’s been making the most of the pandemic, reporting an expectation-beating 31% sales jump in Q4/2020. While in-house delivery is what sets JD apart from Alibaba (which relies on 3rd-party couriers), investors are…
Tag: china
Ep 131: EU and China coming to an agreement on investment
What’s going on? The EU and China are close to reaching a business investment deal as Brussels (Belgium) seeks to flatten the playing field for European companies operating in the Chinese market. For EU The talks are seen as a core part of EU’s strategy for managing increasingly tense trade relations with China. The pact…
Ep 109: Two Accounting Scandals in China in One Week Burn Investors
What’s going on here? China’s second accounting scandal in less than a week is underscoring concern over lax corporate governance at some of the country’s fastest-growing companies. TAL Education Group, a tutoring business, delivered the latest bombshell after a routine internal audit found an employee had inflated sales by forging contracts. Forgery is usually considered…
Ep 103: Coronavirus is affecting everything, even Diet Coke
What’s going on here? Coca-Cola said it depends on Chinese suppliers for sweeteners that are a key ingredient to the popular diet soda. The company also warned of possible supply chain issues in the long term, should the outbreak continue to grow. What does that mean? Coke says it is implementing procedures to procure the…
Ep 99: Farfetch Raises $250M To Grow Luxury Fashion Platform
What’s going on here? Farfetch, a luxury technology platform, has raised $125 million from Tencent and $125 million from Dragoneer through the sale of convertible senior notes. Tencent is a global technology company based in Shenzhen, China, and Dragoneer is an investment firm based in San Francisco. The journey ahead Farfetch will use the capital to…
Ep 95: US companies suspend China operations, restrict travel as coronavirus outbreak spreads
What’s going here? Disney, McDonald’s, Starbucks and other U.S. companies with significant exposure in China are suspending operations as response to the outbreak of the coronavirus. The municipal government of Shanghai also issued a notice ordering companies not to resume work after the CNY holiday until Feb. 3, instead of Jan. 31. The virus has…
Ep 94: Sorry, We’re Closed
What’s Going On Here? Investors ditched their stocks on Monday, as the deadly coronavirus continued to disrupt the Chinese – and global – economy. What Does This Mean? Chinese authorities confirmed on Monday that the virus has killed 80 people and infected almost 3,000 more. And they warned its spread could accelerate with the millions…
Ep 85: Year Of The Rat
What’s Going On Here? New data confirmed that the Chinese economy was fastened in 2019 – but shrewd investors might hope it’ll scurry ahead during the upcoming Year of the Rat. What Does This Mean? China’s economy grew 6.1% in 2019: its weakest year since 1990. It blames trade war with the US, and as tensions…
Ep 77: Rally Baba
What’s Going On Here? Alibaba completed its share sale in Hong Kong, revealing $11 billion in hidden riches. What Does This Mean? Alibaba is actually already a public company: it raised a record $25 billion by selling shares in 2014. But it did so in New York rather than in the East because the Hong Kong Stock Exchange’s…
Ep 76: A Recipe For Success
What’s Going On Here? Morgan Stanley whipped up an optimistic prediction: it reckons the start of next year will provide all the ingredients we need for a global economic recovery. What Does This Mean? The past two years have seen global economic growth slow from 3.8% to 3%, in part because of the US-China trade…
with HT 