As we move closer to a deadline for new US tariffs on Chinese goods, it promises to be another day of wait-and-see in the Hong Kong and China markets. Even though Bloomberg has reported US Agriculture Secretary Sonny Perdue as saying Washington was unlikely to impose extra tariffs on another US$160 billion of Chinese goods on December 15, the prevailing sentiment of caution is not expected to lift any time soon.
On the domestic front, all eyes will be on the trading debut of Postal Savings Bank of China, whose shares start trading in Shanghai after the lender raised 28.45 billion yuan in a secondary listing. Also, worth keeping a tab on is China’s automobiles sector, which looks like it will contract for a second year in a row, after car sales fell 10.2 per cent for the first 11 months of the year.
– Yujing Liu and Azar Zaidi in Hong Kong