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Head of the US SEC wants faster delisting for Chinese firms not compliant with disclosure rules

  
Analysis, US Market

Gary Gensler is chair of the US Securities and Exchange Commission. He appeared before a Senate Banking, Housing and Urban Affairs Committee hearing on Tuesday.

Said he wants Chinese firms to comply with American auditing rules
  • And that the SEC supports ed legislation that would allow for faster delisting of those that do not.
More:
  • the SEC has “had discussions directly with the Chinese authorities” about the potential speeding up of delisting
  • “the clock is ticking”
Gensler’s testimony is in relation to the Accelerating Holding Foreign Companies Accountable Act. The bill is not yet law (the US Senate passed the bill in June but the House of Representatives has yet to vote on it). If it passes it would reduce the amount of time US-traded Chinese companies have to hand over their audits to US regulators to 2 years from 3 before they can be delisted from American exchanges.
Info via South China Morning Post  (may be gated)
Gary Gensler is chair of the US Securities and Exchange Commission. He appeared before a Senate Banking, Housing and Urban Affairs Committee hearing on Tuesday.

Semiconductor chips – Taiwan’s TSMC announced price rises last month

  
  Analysis

Taiwan Semiconductor Manufacturing Co announced price hikes last month, post is here ICYMI:

  • TSMC to increase prices of most advanced chips by roughly 10%; less advanced chips will cost about 20% more
Financial media outlets are now reporting prices will rise …. So, yeah, just note this has been around for a few weeks now. Prices have been rising anyway given shortages (lower supply).
Taiwan Semiconductor Manufacturing Co announced price hikes last month, post is here ICYMI:

Chile sees slowing Chinese demand for copper, projects price falling in 2022

  
  Analysis
#  #  #  #  #  #

Commission Chilena del Cobre (Cochilco) acts as an advisor to the Chilean government through the Ministry of mining, focused on copper and its by-products.

(That’s an ‘in a nutshell’ description.)
Cochilco average copper price forecast
  • for 2021 US$4.20/lb (was US$4.30/lb previously, this projection made 3 months ago)
  • for 2022 unchanged at US$3.95/lb
Cites:
slower growth in the Chinese economy
and therefore copper import falls
China’s policy to sell copper reserves
US Federal reserve to taper stimulus
On the other hand:
  • expectations of economic recovery
  • low inventories
  • limited supply
  • labour disputes
Cochilco predicts a supply deficit for 2021 and a surplus for 2022
  • global copper demand will rise this year and next

US major stock indices close lower. NASDAQ down for the fifth consecutive day

  
Analysis, US Market

All 11 sectors of the S&P are lower.

The majors stock indices are all closing lower with the Dow industrial average the worst performer.

  • The S&P and Dow have been down for five the last six trading days
  • The NASDAQ index has fallen five straight days
  • All 11 sectors of the S&P index are lower today
  • US yields are sharply lower leading to the decline in the financials.  The tenure yield is down -4.5 basis points. The 30 year yield is down -5.1 basis point.
All 11 sectors of the S&P are lower.

  • The Russell 2000 was the worst performer with a decline of over -1.4%
the final numbers are showing:
  • Dow industrial average fell -291.07 points or -0.83% at 34578.56
  • S&P index fell -25.5 points or -0.57% at 4443.23
  • NASDAQ index fell -67.82 points or -0.45% at 15037.76
  • Russell 2000 felt -30.83 points or -1.38% at 2209.95
Looking at the sectors of the S&P index (all declined), the worst performers included:
  • Energy -1.54%
  • Financials, -1.41%
  • Industrials -1.23%
  • Materials -1.16%
The best performers in a losing effort were:
  • Healthcare -0.11%.
  • Technology, -0.14%.
  • Discretionary, -0.33%.
  • Real estate, -0.34%.

Gold climbs to one-week high after inflation slips

  
Analysis, Gold / Silver

Gold up $15 to $1808 today

Falling inflation and declining Treasury yields are good news for gold bugs.
The yellow metal has risen to the best levels since Sept 6. Early in the day it had touched the worst since Aug 25 so it’s shaping up to be a bullish outside day.
Gold up $15 to $1808 today
In the bigger picture, you could argue a triple top at $1835 or an inverse head-and-shoulders with a neckline there.
In any case, this is clearly a range trade for the moment but if we get a close at these levels, the bulls will have the upper hand into the FOMC decision.
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