5/16/2021 Financial News of the week: CCP’s pension funds begin switching to commercial insurance: Li Keqiang issues an alert to cope with the surge in commodities

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1.Seafood price surging for 5 days

China Aquatic Frontier reported that aquatic materials set off the second round of crazy price hikes in this year. At present, more than 20 feed companies have raised prices within 5 days. Since the first aquatic product company issued a price increase order on May 10, a large wave of feed companies urgently followed up. Including several subsidiaries of Haida, Tongwei, Guangdong, New Hope, Wanghai, Baiyang, Guangmuxing, Fenghua, Nanbao, Xiangxing, Aohong, More than 20 material companies including Yinghai and Liaohai issued price increases for 5 consecutive days.
The main price-increasing varieties are grass carp, tilapia, carp, catfish, bighead carp, mud carp, etc. and fry feed for bulk freshwater fish feed, and some companies also increase yellow catfish feed. The increase ranges from 2-5 yuan/package.

2.Palm oil inventories have fallen, and short-term prices have remained strong

Inventories of palm oil continue to decline. On May 12, the edible palm oil inventory in coastal areas was 370,000 tons, a decrease of 10,000 tons from the same period last week, a month-on-month decrease of 80,000 tons, and a year-on-year decrease of 110,000 tons. Among them, 50,000 tons in Tianjin, 130,000 tons in Zhangjiagang, Jiangsu, and 130,000 tons in Guangdong. Recently, domestic palm oil arrivals to Hong Kong have increased and are expected to be around 600,000 tons in May. However, as the temperature rises and palm oil demand increases, it is expected that palm oil inventories may stop falling and then rise in the future. 130,000 tons and 130,000 tons in Guangdong. Recently, domestic palm oil arrivals to Hong Kong have increased and are expected to be around 600,000 tons in May. However, as the temperature rises and palm oil demand increases, it is expected that palm oil inventories may stop falling and then rise in the future.

3.China Hongqiao Group will move to Yunnan Province

According to two people familiar with the matter, the private aluminum producer China Hongqiao Group plans to relocate more production capacity from Shandong Province to Yunnan Province. In 2019, Hongqiao promised to relocate its annual production capacity of approximately 2 million tons from Shandong to Wenshan, Yunnan.
One of the sources said that the Wenshan Phase I project started in September last year and plans to relocate another 1 million tons of production capacity, this time to nearby Honghe. This means that 3 million tons will be relocated to Yunnan, which is close to nearly half of Hongqiao Group’s annual license of 6.46 million tons of primary aluminum production capacity.
The second source confirmed Hongqiao’s plan to build a factory in Honghe but was not sure how much capacity it would relocate. They did not provide a timeline for the migration, and because the plan has not yet been made public, the two sources requested anonymity.
Hongqiao Group declined to comment.

4.The CCP Banking and Insurance Regulatory Commission promotes a pilot program for exclusive commercial pension insurance

Starting from June 1, 2021, six family life insurance companies will launch exclusive commercial endowment insurance pilots in Zhejiang and Chongqing. The trial period is tentatively set for one year. The “Notice” regulates the payment method, accumulation period and collection period design, insurance liability, surrender rules, information disclosure, product management, etc. of exclusive commercial pension insurance products, and clarifies the proportion of equity asset allocation, minimum capital requirements, etc. Related regulatory support policies. Specifically, pilot insurance companies should innovate and develop exclusive commercial endowment insurance products that are simple to insure, flexible in payment, and stable in return. Consumers who reach the age of 60 and above can receive pensions, and the period of receiving is not less than 10 years.

5.New Oriental plummeted 18.22% of market value evaporated by nearly 30 billion

This week, the stock prices of 3 of the 10 TOP10 Education companies with market capitalization rose, and the stock prices of 7 companies fell. Specifically, the four companies in the U.S. stock market all closed down this week. In particular, the stock price of New Oriental fell by 18.22%, and its market value evaporated 29.842 billion yuan to become the company with the largest decline in share price and market value. In the tenth place, the alternate New Oriental Online and Tianli Education. This week, New Oriental Online squeezed out the tenth position of Tianli Education with a market value of 12.28 billion Hong Kong dollars. In the past week, New Oriental’s share price fell 18.22%, and its market value evaporated 29.842 billion yuan, becoming the company with the largest decline in share price and market value.

6.The price of electricity and coal have soared

After February, coal prices began to rebound. Especially since entering the second quarter, the “coal fly” market has continued. “The company’s pit coal sold at 460 yuan per ton in January, a record high. It fell in March to 380 yuan per ton. In April it rose 10% to 15% month-on-month.” Mr. Tang, who works in Shaanxi Coal Industry Tell a reporter from China Securities Journal. According to data released by the Yulin Coal Trading Center in Shaanxi Province, on May 12, the price of most coal types reached 1,000 yuan per ton. On May 13, the price of 3-8 blocks and 3-6 seeds in Bailu Coal Mine reached 1,030 yuan per ton.

7.Li Keqiang issued an alert again: responding to the surge in bulk prices

Li Keqiang presided over an executive meeting of the State Council on May 12, requesting to track and analyze the domestic and foreign situation and market changes, make market adjustments, and deal with the rapid rise in commodity prices and its collateral effects. Strengthen the coordination of monetary policy with other policies.This is the fourth time the issue of commodity prices has been mentioned at the CCP’s high-level meetings and ministerial conferences since April.
On May 8, 95 steel mills including Tianjin Tiangang Group and Jiangsu Xugang Group raised their scrap purchase prices by RMB 10 per ton to 200 yuan per ton. On the same day, 19 construction steel companies raised their ex-factory prices from RMB 50/ton to RMB 230/ton.
On May 10, in the mainland futures market, iron ore, rebar, and hot-rolled coils successively rose by the limit, and the price of iron ore broke 1,300 yuan per ton; the main coking coal futures contract also rose by more than 7%; a single ton of rebar Over 6000 yuan.

8.China Life Group Reduces Its Holdings Of 20 Million H Shares Of Agricultural Bank Of China, Reducing Its Shareholding Ratio To 9.95%

According to data from the Hong Kong Stock Exchange on Friday, China Life Group reduced its holdings of 1288.HKH shares of Agricultural Bank of China by 20 million shares this Tuesday, reducing its shareholding ratio from 10.02% to 9.95%. The average price of China Life Group’s shares sold was HK$3.0917 per share, involving approximately HK$61.83 million in capital. Agricultural Bank of China’s H shares closed up 0.99% on Friday, at 3.06 Hong Kong dollars. China Life Group is the parent company of China Life 2628.HK601628.SS.

9.The RMB Against The Us Dollar Closed Up More Than 200 Points, Inflation Concerns Ease

The RMB against the US dollar closed up more than 200 points on Friday with the central parity rate, and the trading volume continued to maintain above US$40 billion. Traders said that the market temporarily absorbed the shock of unexpected inflation data, the U.S. index gradually weakened, and the RMB gradually recovered its previous decline. The subsequent performance of US retail sales and other data is expected to continue to disturb the foreign exchange market. As commodity prices continue to run at a high level, inflationary pressures in the United States are expected to gradually increase. Beginning in mid-to-late May, the disturbance of foreign exchange purchases with dividends will continue to increase, which requires special attention.

10.Mixuebingcheng apologizes for tampering with the date of opening ingredients

Mixuebingcheng, a famous ice-cream chain store in china, has tampered with the date labels of ingredients, arbitrarily changes or does not record the deadline for preparation of ingredients “validity tracking card”, illegal use of ingredients such as overnight tea soup and milk tea, and hygiene problems and food safety hazards such as not washing the lemon skin. On the 15th, Michelle Ice City issued a statement of apology, stating that its stores in Zhengzhou Yong’an Street, Jinan Daguanyuan Store, and Wuhan Mahu Commercial Street have tampered with the date labels of opening ingredients and illegal use of semi-finished products of overnight milk tea milk.

By 【金融组 】
素材搜集: Totoro

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