1) Week in Review: IQ Articles Published this week
2) Trump bans US residents from doing business with TikTok and WeChat
The InvestQuest’s View: The actual financial impact to Tencent is manageable, since only 2% of Tencent’s total revenues is derived from the US. Specifically on WeChat, there is only 1.8 million users in US, compared to 1.2 billion WeChat users in total globally. That said, the big risk is the fear of further escalation, resulting in weak investor sentiment.
3) Additional round of US Fiscal Stimulus Hits Roadblock
4) Singapore-based SEA Ltd posts a 880% return in the past 18 months
5) Market Monitors: Short-term Overbought and Oversold Stocks
6) Market Monitors: Corporate Earnings Releases in the Week Ahead
7) Market Monitors: Country Macro Data Releases in the Week Ahead
1) Week in Review: IQ Articles Published this week
2) Trump bans US residents from doing business with TikTok and WeChat
President Donald Trump signed a pair of executive orders on Friday, prohibiting US residents from doing business with the Chinese-owned TikTok and WeChat apps beginning 45 days from now, citing the national security risk of leaving Americans’ personal data exposed.
Shares of WeChat’s owner, China’s Tencent Holdings Ltd., fell as much as 10% on Friday morning trading but recovered slightly to end the day down 5%, wiping US$35 billion of market value in a single day (for context, that’s quite close to what DBS is worth in its entirety).
https://www.theedgesingapore.com/news/tech/trump-bans-us-residents-doing-business-tiktok-and-wechat
The InvestQuest’s View: The actual financial impact to Tencent is manageable, since only 2% of Tencent’s total revenues is derived from the US (see table below). Specifically on WeChat, there is only 1.8 million users in US, compared to 1.2 billion WeChat users in total. That said, the big risk is the fear of further escalation, resulting in weak investor sentiment.
3) Additional round of US Fiscal Stimulus Hits Roadblock
Coronavirus aid talks between Democratic leaders and the Trump administration ground to a halt Friday. Following which, President Trump threatened to take executive action if both sides fail to reach a deal.
In a letter to colleagues Friday, Pelosi outlined several areas of disagreement:
- She said Democrats aim to put $75 billion into Covid-19 testing and treatment, while the GOP bill includes $15 billion.
- Pelosi wrote that the GOP has offered $150 billion for states and municipalities, far below the $915 billion Democrats proposed.
- The speaker said the sides are “a couple hundred billion dollars apart” on money to help schools reopen. Republicans included $105 billion for schools in their legislation.
- Pelosi called for more money for food, water and utility assistance than the GOP has proposed.
- She said Democrats wanted to secure more concessions on ensuring a complete Census and safe voting during the pandemic.
4) Singapore-based SEA Ltd posts a 880% return in the past 18 months
Singapore-based gaming, e-commerce and payments company SEA Ltd had its stock rise by more than 880 per cent in the past 18 months, the largest gain worldwide among companies with a starting market value of at least US$1 billion.
Its Shopee platform overtook Alibaba’s Lazada in the fourth quarter of 2019 to become the top e-commerce provider in South-east Asia, according to research firm iPrice, and the business accounted for more than 40 per cent of Sea’s revenue in 2019, up from 2.3 per cent in 2017.
5) Market Monitors: Short-term Overbought and Oversold Stocks
The below is a screen of the most technically “Overbought” and “Oversold” stocks from our Global Stock Watchlist, primarily sorted by the stocks’ traded currency. Some of these stocks may be trading at these extreme ranges due to fundamental reasons, so please do your own due diligence before investing.
“Overbought” stocks are those stocks which are currently trading with RSI >70 or have breached their upper Bollinger Band. These are two commonly followed technical trading indicators.
“Oversold” stocks are those stocks which are currently trading with RSI <30 or have breached their lower Bollinger Band. As this week’s list of oversold stocks is very long, the below table consists mainly of stocks that have fulfilled both criteria.
6) Market Monitors: Corporate Earnings Releases in the Week Ahead
Summarizing the date and times of key company earnings for the week of 10th to 14th August 2020. Do note that some of the below data are expected release dates and may be revised in real-time. A more comprehensive list may be found on this page.
| Stock Name | Exchange Country | Expected Release Date | Release Time (GMT +8, SG Time) |
| Royal Caribbean Cruises Ltd | USA | 10/8/2020 | Bef-mkt |
| Marriott International Inc/MD | USA | 10/8/2020 | 19:00 |
| China Tower Corp Ltd | Hong Kong | 11/8/2020 | |
| SoftBank Group Corp | Japan | 11/8/2020 | 14:00 |
| Rakuten Inc | Japan | 11/8/2020 | 14:00 |
| Wilmar International Ltd | Singapore | 11/8/2020 | Aft-mkt |
| InterContinental Hotels Group | England | 11/8/2020 | Bef-mkt |
| Prudential PLC | England | 11/8/2020 | 16:30 |
| Commonwealth Bank of Australia | Australia | 12/8/2020 | |
| Tencent Holdings Ltd | Hong Kong | 12/8/2020 | |
| China Unicom Hong Kong Ltd | Hong Kong | 12/8/2020 | |
| Cisco Systems Inc | USA | 12/8/2020 | Aft-mkt |
| Telstra Corp Ltd | Australia | 13/8/2020 | |
| China Mobile Ltd | Hong Kong | 13/8/2020 | |
| Galaxy Entertainment Group Ltd | Hong Kong | 13/8/2020 | |
| China Telecom Corp Ltd | Hong Kong | 13/8/2020 | |
| Meituan Dianping | Hong Kong | 13/8/2020 | |
| Mitsubishi Corp | Japan | 13/8/2020 | 13:00 |
| City Developments Ltd | Singapore | 13/8/2020 | |
| UOL Group Ltd | Singapore | 13/8/2020 | |
| Ho Bee Land Ltd | Singapore | 13/8/2020 | Aft-mkt |
| Applied Materials Inc | USA | 13/8/2020 | Aft-mkt |
| Baidu Inc | USA | 13/8/2020 | Aft-mkt |
| Sands China Ltd | Hong Kong | 14/8/2020 | |
| CSPC Pharmaceutical Group Ltd | Hong Kong | 14/8/2020 | |
| AAC Technologies Holdings Inc | Hong Kong | 14/8/2020 | |
| Alibaba Group Holding Ltd | Hong Kong | 14/8/2020 | |
| Xiaomi Corp | Hong Kong | 14/8/2020 | |
| Singapore Telecommunications L | Singapore | 14/8/2020 | |
| Thai Beverage PCL | Singapore | 14/8/2020 | |
| ComfortDelGro Corp Ltd | Singapore | 14/8/2020 | Aft-mkt |
7) Market Monitors: Country Macro Data Releases in the Week Ahead
| Date / Time (GMT +8, SG time) | Country | Event | Period | Expected | Prior Period (Actual) |
| 08/10 09:30 | China | PPI YoY | Jul | -2.5% | -3.0% |
| 08/10 09:30 | China | CPI YoY | Jul | 2.6% | 2.5% |
| 08/10 20:15 | Canada | Housing Starts | Jul | 205.0k | 211.7k |
| 08/10-08/15 | China | Money Supply M2 YoY | Jul | 11.1% | 11.1% |
| 08/11 07:50 | Japan | BoP Current Account Balance | Jun | ¥132.6b | ¥1176.8b |
| 08/11 08:00 | Singapore | GDP YoY | 2Q F | -12.6% | -12.6% |
| 08/11 14:00 | UK | Claimant Count Rate | Jul | — | 7.3% |
| 08/11 14:00 | UK | Jobless Claims Change | Jul | — | -28.1k |
| 08/11 14:00 | UK | ILO Unemployment Rate 3Mths | Jun | 4.2% | 3.9% |
| 08/11 17:00 | Germany | ZEW Survey Expectations | Aug | 55.6 | 59.3 |
| 08/11 17:00 | Germany | ZEW Survey Current Situation | Aug | -69.5 | -80.9 |
| 08/11 20:00 | India | Industrial Production YoY | Jun | -21.5% | — |
| 08/11 20:30 | US | PPI Final Demand MoM | Jul | 0.3% | -0.2% |
| 08/12 08:30 | Australia | Westpac Consumer Conf SA MoM | Aug | — | -6.1% |
| 08/12 14:00 | UK | Industrial Production MoM | Jun | 9.0% | 6.0% |
| 08/12 14:00 | UK | Manufacturing Production MoM | Jun | 10.0% | 8.4% |
| 08/12 14:00 | UK | GDP QoQ | 2Q P | -20.5% | -2.2% |
| 08/12 14:00 | UK | GDP YoY | 2Q P | -22.3% | -1.7% |
| 08/12 16:00 | Italy | CPI EU Harmonized YoY | Jul F | 0.9% | 0.9% |
| 08/12 19:00 | US | MBA Mortgage Applications | Aug 7 | — | -5.1% |
| 08/12 20:00 | Brazil | Retail Sales YoY | Jun | -3.1% | -7.2% |
| 08/12 20:30 | US | CPI MoM | Jul | 0.3% | 0.6% |
| 08/12-08/15 | India | Exports YoY | Jul | — | -12.4% |
| 08/13 07:50 | Japan | PPI YoY | Jul | -1.1% | -1.6% |
| 08/13 09:30 | Australia | Employment Change | Jul | 30.0k | 210.8k |
| 08/13 09:30 | Australia | Unemployment Rate | Jul | 7.8% | 7.4% |
| 08/13 09:30 | Australia | Participation Rate | Jul | 64.4% | 64.0% |
| 08/13 14:00 | Germany | CPI MoM | Jul F | -0.5% | -0.5% |
| 08/13 14:00 | Germany | CPI YoY | Jul F | -0.1% | -0.1% |
| 08/13 20:30 | US | Initial Jobless Claims | Aug 8 | 1100k | 1186k |
| 08/14 10:00 | China | Industrial Production YoY | Jul | 5.1% | 4.8% |
| 08/14 10:00 | China | Retail Sales YoY | Jul | 0.1% | -1.8% |
| 08/14 12:30 | Japan | Tertiary Industry Index MoM | Jun | 6.6% | -2.1% |
| 08/14 14:45 | France | CPI YoY | Jul F | 0.8% | 0.8% |
| 08/14 16:30 | Hong Kong | GDP YoY | 2Q F | -9.0% | -9.0% |
| 08/14 20:30 | US | Retail Sales Advance MoM | Jul | 1.9% | 7.5% |
| 08/14 21:15 | US | Industrial Production MoM | Jul | 3.0% | 5.4% |
| 08/14 22:00 | US | U. of Mich. Sentiment | Aug P | 71.9 | 72.5 |
Be the first to comment