Evergrande’s rating goes down
On Wednesday, Moody’s Investors Service lowered the credit rating of the China Evergrande Group by one notch to “B2.” This is the second downgrade by a global rating agency in less than two weeks. “Evergrande is cutting debt to improve financial stability, but the company is facing significant maturity debt and puttable bonds over the next 12-18 months,” Moody’s said. .. A Shenzhen-based developer said it reduced its net debt-to-capital ratio to less than 100% and reduced total borrowings from 717 billion yuan in December last year to about 570 billion yuan (US $ 88.2 billion).
Housing boom eased
The housing boom subsided in the previous quarter after returning to blockage due to the outbreak of COVID-19. According to a preliminary estimate by the Urban Redevelopment Authority, the value of private property has risen by 0.9% from 3.3% in the previous quarter. This was the first time price growth slowed in five quarters. Christine Sun, senior vice president of research and analysis at OrangeTee & Tie, said prices have fallen due to low real estate sales.
Central bank maintains policy
The central bank said yesterday that the economy still needs help, even if the effects of the COVID-19 pandemic diminish without changing policy. “Therefore, the board decided to keep the repo rate unchanged at zero percent, and Riksbank will continue to buy assets within Skr 700 billion (US $ 81.62 billion) during the fourth quarter,” the statement said. Stated. The Sveriges Riks expects economic growth to reach 4.2% this year as inflation rises above its target of 2% and house prices soar.
Ford cuts production
Ford Motor Co has stopped production for two weeks at its Michigan plant, which has just begun production of the long-awaited Bronco SUV, due to a shortage of unspecified parts. Automakers are also cutting production at eight additional plants this month and next month due to a global shortage of semiconductors that is hampering global car production. Ford said it was diverting its rare semiconductor supply to complete a nearly complete vehicle waiting for chips before being sent to dealers.
Insufficient Krispy Kreme IPO
Krispy Kreme Inc raised $ 500 million on Wednesday, below the initial public offering (IPO) price in the US, below the $ 640 million sought. The company said in a statement that it sold more than 29 million shares for US $ 17 per share. The size of the sale expanded from the approximately 27 million shares that Krispy Kreme planned to sell, but the asking price was well below the US $ 21 to $ 24 market range. Krispy Kreme is valued at around US $ 2.78 billion on the list.
Russia strengthens IT rules
Russian President Vladimir Putin has signed a law requiring foreign information technology (IT) companies to open offices on Russian territory, a document released yesterday by the government said. Moscow has fined IT companies for failing to remove content that it claims to be illegal, slowing down Twitter as a punishment, and a new proceeding against Google for violating personal data laws on Wednesday. Woke up.
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