China property giant avoids default, investor confidence rises

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China property giant avoids default, investor confidence rises

Analyst confidence in Asia was boosted by a report saying that teetering Chinese property giant Evergrande had once again avoided a default after meeting bond- payment deadlines, but sentiment was boosted by a report saying that a Chinese property giant Evergrande had once again avoided a default after meeting bond-payment deadlines.

The Federal Reserve could act to prevent inflation from running out of control because of a forecast-beating read on the consumer price index, which hit a 31 year high last month, which gave investors a boost to the dollar.

A surge which came after a report showing producer prices accelerating - was fanned by a spike in costs of various items, including gasoline, autos and food prices, as well as expectations that central bank will be forced to tighten monetary policy quicker than expected.

While Fed officials insist the jump will be temporary as the global economy slowly returns to a normality next year, observers warned the pain could continue for some time.

Labour costs are also rising. The picture of inflation gets worse before it gets better, according to Sarah House at Wells Fargo Co. All three main indexes on Wall Street, which started the week posting fresh records, sank into the red for a second successive day.

However, in Asia, the mood was a little lighter after Bloomberg News reported that China Evergrande has stumped up the cash for the interest on bonds due to a default in the next few days, with two previous deadlines and slightly easing concerns about its imminent collapse.

Adding to the positive vibe were reports that Chinese authorities were planning to ease some restrictions on developers" financing, which could give them more leeway to borrow cash to finish projects and raise much-needed cash.

After a 30 day grace period that kicked in, Evergrande's payments were only made after a 30 day grace period that kicked in when it failed to meet its initial deadlines.

The outlook for the firm, which isдрowning in more than $300 billion of debt, remained uncertain, and fears remained about a spillover in the Chinese or even global economy.

Hong Kong reversed early selling to add one percent, with Evergrande surging 6.8 percent, while Shanghai climbed more than one percent.

Tokyo, Singapore, Wellington, Jakarta, Bangkok and Bangkok were in positive territory. Sydney, Seoul, Singapore, Taipei, Mumbai, Jakarta, and Manila fell.

The United Kingdom's economy went up by 1.3 percent in the third quarter because of data showing it's economy in the third quarter. Paris and Frankfurt were also lower.

Despite a lot of concerns about the outlook, market analyst Louis Navellier remained upbeat.

He said the huge liquidity that has been injected in the capital markets by central banks continues to lift all boats, and stocks continue to have the best fundamental story with solid earnings, a vibrant IPO market and even many solid dividend plays.

The dollar gained on Wednesday on expectations of higher US interest rate next year, while the coin hovered just below $64,900, as investors increasingly eye the coin as a hedge against inflation.

In Hong Kong, Alibaba went up over 1.2 percent as it held its Singles' Day online sales event.

It was a much mode sedated affair compared to previous years. There was hardly any of the razzmatazz that has become known for, with China's e-commerce giants chastened by a government crackdown on platforms.

The day dwarfs the pre- Christmas Black Friday promotion in the United States, with Alibaba and rival JD.com reporting combined sales of more than $100 billion in 2020.

There were no rolling tallies or triumphant comments from executives from major platforms as of Thursday morning, and state media have described a quieter event this year in the wake of Beijing's campaign to rein in Big Tech.

The euro pound has a low of 85.62 pence from 85.60 pence.

West Texas Intermediate: up 0.2 percent at $81.49 per barrel

Brent North Sea crude: up 0.2 percent at $82.77 per barrel

New York - Dow: DOWN: 0,7 percent, at 36,079.