HKEX eyes metals trading in China
HONG KONG • Hong Kong Exchanges & Clearing (HKEX), which bought the London Metal Exchange in 2012 for US$2.2 billion, plans to start a metals trading platform in southern China in the first half of next year, as it tries to secure a foothold in the world's biggest consumer and producer of raw materials.
Grappling with a slide in volumes after a fee increase and shrinking profits from commodities, the bourse aims to provide a marketplace for physical metals that will eventually generate benchmark prices in China. The HKEX model is targeted at physical users, producers and traders.
The new platform will be based in Qianhai near Shenzhen.
US retail sales in May higher than expected
WASHINGTON • Retail sales in the United States rose more than expected last month as Americans bought cars and other goods, suggesting that economic growth was gaining steam despite a sharp slowdown in jobs creation.
Retail sales rose 0.5 per cent last month after surging by an unrevised 1.3 per cent in April, the Commerce Department said yesterday. It was the second straight month of gains and lifted sales 2.5 per cent from a year ago.
Core retail sales correspond most closely with the consumer spending component of gross domestic product (GDP). The fairly strong May retail sales report could see economists raising their second-quarter GDP growth estimates, which are currently around a 2.5 per cent annualised rate.