Saturday, December 2nd, 2017
TEHRAN, Dec 2 ― South Korea’s Hyundai Rotem signed a €720-million (RM3.5 billion) deal with Iran today to manufacture 450 railbuses for suburban trains, Iranian state media reported. The deal was signed in Tehran between Hyundai Rotem, a…
BERLIN, Dec 2 ― Adidas expects a big increase in sales of football jerseys from the 2018 World Cup in Russia helped by its sponsorship of three of the top teams, the German sportswear maker’s chief executive was quoted as saying today. “In…
BERLIN, Dec 2 ― Adidas expects a big increase in sales of soccer jerseys from the 2018 World Cup in Russia helped by its sponsorship of three of the top teams, the German sportswear maker’s chief executive was quoted as saying today. “In…
WASHINGTON, Dec 2 ― The sweeping tax overhaul that passed the US Senate today contains the Republicans’ biggest blow yet to former President Barack Obama’s healthcare law, repealing the requirement that all Americans obtain health insurance….
SHANGHAI, Dec 2 ― China is in the final stages of preparation to launch crude oil futures, the vice-chairman of the country’s securities regulator said today. “After years of preparation, crude oil futures are in the final sprint before…
NEW YORK: A US regulator cleared the way Friday for bitcoin futures to trade on major exchanges, but warned investors the digital currency is prone to elevated risk and volatility.
The decision opens the door for the Chicago Mercantile Exchange and CBOE Futures Exchange to offer contracts for futures of the virtual currency, rather than trading the actual currency.
The deal with the Commodities and Futures Trading Commission agency also enables Cantor Exchange to offer bitcoin options, another type of derivative contract, which allows for trading without taking ownership of an underlying asset.
CFTC chair J. Christopher Giancarlo said after “extensive discussions with the exchanges” they “agreed to significant enhancements to protect customers and maintain orderly markets.”
The agency said the exchanges agreed to modify the derivatives contracts and promised to coordinate with the CFTC and each other to guard against market manipulation and other irregularities.
“Bitcoin, a virtual currency, is a commodity unlike any the Commission has dealt with in the past,” he said in a statement, warning that “investors should be aware of the potentially high level of volatility and risk in trading these contracts.”
The agreement with the exchanges does not mean the CFTC endorses the digital currency or the various trading products, he said.
The announcement comes a day after a Federal Reserve governor Randal Quarles, the Fed's vice chair of banking regulation, warned that digital currencies like bitcoin could pose a threat to financial stability as they gain wider use because of the uncertainty of how they would fare during a crisis.
Bitcoin prices shot above US$10,000 for the first time earlier this week and stood at US$10,648 at midday Friday. — AFP
* US$1 = RM4.09
WASHINGTON: The Trump administration has confirmed it rejects China's bid to be considered a market economy in the World Trade Organization, making it subject to more onerous trade penalties.
In a 41-page legal document presented to the WTO, the US Trade Representative defended its right to consider China a non-market economy when ruling on how to handle a flood of cheap imports from the manufacturing behemoth and protect domestic industry.
The European Union and Japan, among others, also reject China's bid for recognition as a market economy in the WTO. The recognition was expected to kick in a year ago, 15 years after China joined the trade body.
The US position was presented in support of the European Union in a WTO dispute with China over the issue.
An outraged Beijing called the analysis a “serious distortion of the actual situation in China.”
“China urges the United States to earnestly fulfill its international obligations and take practical actions to correct its wrongdoings,” China's Ministry of Commerce said, warning that “China will take the necessary measures to safeguard the legitimate rights” in the WTO.
The Trump administration position continues the stance maintained by the Obama administration, which said China's state-directed economy had not made the reforms necessary to operate on market principles.
The distinction is important, since governments use prices in third countries rather than those prevailing in China in cases brought by trading partners to protect domestic industries from Chinese products being dumped at prices below the cost of production.
“The evidence is overwhelming that WTO Members have not surrendered their longstanding rights … to reject prices or costs that are not determined under market economy conditions,” when deciding on anti-dumping cases, the USTR report said.
It argued that the agreement with China when it joined the WTO specified that if market economy conditions “do not prevail in China or in the industry or sector under investigation, then 'comparable' prices or costs do not exist for purposes of the dumping comparison.” — AFP