As every Sunday, the most important news of the last week and the dates of the coming week.
The dates of the coming week as a video:
https://youtube.com/shorts/9slv_6lrsUE?si=wyuXHFEHzMM6VORY
Monday:
Real estate crisis in Germany 🇩🇪 and in China 🇨🇳, Country Garden falters in China. The next project developer after China Evergrande. In Germany, Development Partner, the Project Group and Euroboden are three project developers sliding into insolvency. The effects in China, however, would be more drastic. A large part of the global assets are in the Chinese real estate market, which is considered to be highly overvalued.
$NWO Xing (New Work) earns less money. Sales stagnated, earnings were 24% below the previous year's level. The reasons are fewer paid memberships and higher personnel expenses.
$FOXT (-2,95%) Foxconn lowers forecast, Apple's contract manufacturer suffers from generally low demand for consumer electronics.
The inflation rate in #indien 🇮🇳 is rising significantly. The reason for this is rising food prices. Inflation rises to 7.44% in July. The forecast was only 6.6%.
https://www.cnbctv18.com/economy/retail-inflation-rate-in-india-iip-cpi-data-17527381.htm/amp
New offer from bidder Adnoc from Abu Dhabi for $1COV (-0,37%) Covestro, the price is now EUR 60. Management has so far resisted the takeover.
https://www.deraktionaer.de/artikel/aktien/covestro-bietet-adnoc-bald-60-euro-je-aktie-20337641.html
Zhongzhi Enterprise also facing problems - The Chinese asset manager cannot service part of its payment obligations. The renminbi falls to new lows. One yuan now costs only USD 0.14.
Tuesday:
Chinese growth appears to be slowing right now. The central bank announces a surprise interest rate cut. Industrial production was only 3.7% above the previous year's level instead of the expected 4.4%. The interest rate cut further devalues the national currency, supports the economy and makes imports from China even more attractive.
Possible downgrade of the creditworthiness of the major US banks. This step is currently being considered by the rating agency Fitch and is causing uncertainty on the markets.
Wednesday:
Hangover on the stock market - after the record highs in the DAX, prices are currently falling again. Among other things, the bad Chinese economic data, as well as the possible downgrade in U.S. banks, cloud the mood. In addition, it became known that Michael Burry once again shorts the market.
Matching the new expert recommendation from the Ministry of Economic Affairs, it is known that the Norwegian sovereign wealth fund is again making record profits. The fund grew by 130 billion euros to 1.3 trillion euros.
Significant drop in inflation in the UK, inflation fell to 6.8%, which was expected. However, core inflation was 10 basis points higher than expected at 6.9%.
$700 (-6,2%) Tencent is growing again but missed market expectations. Although revenue rose by eleven percent and profit by 41 percent, analysts had expected more.
The FED minutes show above all that the central bankers are at odds. As already communicated, the next interest rate decisions will probably be data-driven. There is much to be said for a pause in interest rates, but there could also be a further increase.
Thursday:
$CSCO (-3,89%) Cisco expects lower revenue growth, but was able to increase profits significantly.
The Swiss sanitary technology group $GEBN (-2,95%) Geberit is selling less due to the construction slump. The Group therefore expects a decline in sales for the full year.
#china is trying to protect the renminbi from a further decline in value by selling dollars. With China struggling with a weaker currency due to the interest rate cut, dollar reserves are now being sold.
$ADYEN (-5,35%) is struggling with an unexpected operating profit slump. The payment service provider from the Netherlands has been known as the 'working' Wirecard competitor.
According to Europace, real estate prices continue to fall in July. Condominiums lost on average 0.79% in value compared to the previous month, new construction houses by 0.23% and existing houses by 0.45%.
Friday:
Space X sells crypto stocks, pushing the $BTC (+0,56%) Bitcoin into the minus.
In China, the real estate crisis continues to worsen. The Evergrande Group has filed for creditor protection under US law. In total, the group is in debt to the tune of around 300 billion euros.
The summary inflation data for the euro zone give a small reason for hope. Overall, the inflation rate is falling slightly compared with the previous month. In July, the rate was still 5.3%, while in the previous month it was 5.5%. Core inflation (adjusted for energy and food prices) remained at 5.5%.
Further slump in building permits in Germany. Permits are 25% below the prior-year figure. In the first half of the year, 135,200 units were approved. In the previous year, the figure was 50,600 units higher.
These are the most important dates for the coming week:
Monday: 03:15 Interest rate decision (China)
Tuesday: 16:00 Real estate sales figures (USA)
Wednesday: 9:30 Purchasing Managers Index (DE)
Thursday: 14:30 New orders (USA)
Friday: 01:30 Inflation data (Japan)