International News 19/03
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China's new banking lending declines amid sluggish economy.
New bank loans in China for February 2024 fell more than expected, indicating a sluggish economy despite the central bank's efforts to boost growth and combat deflationary pressures. Chinese banks lent a total of 1.45 trillion yuan (US$201.5 billion) in February, lower than January and below analysts' expectations. The decrease in lending activity was anticipated because of the week-long Lunar New Year holiday, which took place in February this year instead of late January as in 2023. Analysts had predicted that new loans would fall to 1.50 trillion yuan in February, compared to 4.92 trillion yuan the previous month and 1.81 trillion yuan from a year earlier. The central bank did not provide a specific figure for new loans. However, data shows that Chinese banks issued 6.37 trillion yuan in new loans during the first two months of 2024.
https://internasional.kontan.co.id/news/ekonomi-masih-lesu-kucuran-kredit-baru-perbankan-china-turun
Tesla increases price of Model Y electric car.
Tesla will raise the prices of all Model Y cars in the United States by $1,000 per unit from April 1, 2024. This announcement was made on Tesla's website. It is unclear whether this increase is in addition to the $1,000 price hike that was implemented on March 1 for the Model Y rear-wheel drive and long-range vehicles, which brought their prices to $43,990 and $48,990, respectively. In February, Tesla temporarily reduced the prices of some Model Y cars in the US, following price reductions in Europe and China. Tesla CEO Elon Musk has previously acknowledged the need for continuous production in factories to maintain efficiency, despite seasonal fluctuations in consumer demand.
https://internasional.kontan.co.id/news/tesla-menaikkan-harga-jual-mobil-listrik-model-y
Global Dividend Payout to Hit Record US$1.66 Trillion by 2023, How Much This Year?
According to the Janus Henderson Global Dividend Index report, global corporate dividends are projected to reach a record $1.66 trillion by 2023, with banks accounting for half of the total increase. The report also shows that 86% of listed companies have either increased or maintained their dividends. Projections for this year suggest that dividend payouts could reach a new high of $1.72 trillion. It is expected that by 2023, Microsoft, Apple, and Exxon Mobil will be the largest dividend payers globally. The report also highlights that total corporate dividends increased by 5% from the previous year, reaching $1.57 trillion. This increase was influenced by factors such as currency movements and timing changes. Dividend payouts were encouraged within various sectors due to strong cash flows and share buybacks. The predicted year-on-year earnings growth for Q4 2023 for the S&P 500 is 9%. The banking sector has experienced a 15% increase in dividend payments to $220 billion in 2023 due to rising interest rates. Conversely, the mining sector has experienced significant reductions in dividends.