culpritus [any]

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Joined 4 years ago
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Cake day: October 20th, 2020

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  • Stephen Stanley, chief US economist at Santander Bank, said that any impact was likely to be small. “The biggest deflationary force in goods prices here of late has been used vehicles, which has nothing to do with China,” he said.

    BYD, China’s biggest carmaker, recently announced price cuts of between 5 and 15 per cent for its electric vehicles in Germany, after Mercedes-Benz warned late last year that its profits were being hit by a “brutal” price war in electric vehicles.

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  • Citigroup analysts said this month that falling prices in China could help to hasten moves by central banks in emerging markets to cut interest rates this year, particularly in countries that consume relatively large shares of Chinese goods.

    “We as investors are only just starting to connect the dots” on how falling prices imported from China might play out across markets, said Luis Costa, global head of emerging markets sovereign debt strategy at Citigroup. “The question is the magnitude.”

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