Beijing in August imposed high import duties of up to 60 per cent on almonds in response to the United States’ punitive tariff actions, but they’re still flowing in from the US.

Meanwhile averse whether has curtailed almond production in China.

The price of almonds hit $3.60 per pound in July and is currently about $3.45, 15 per cent higher than the price this time last year. In May and June alone, the price rose by 8 per cent.

It’s estimated that the harvest completed in October will yield 2.3 billion-2.35 billion pounds of almonds, on target. The US produces about 80 per cent of the almonds consumed around the world, with California growing more than any other locale in the world.

While global demand for US almonds remains high, Americans are increasingly turning to almond milk and almond butter as healthier substitutes for their dairy counterparts, just as soy milk is preferred in the East.

Almond milk is free of cholesterol and gluten and is being touted as a “superfood” due to its claimed health benefits. It’s rich in antioxidants and Vitamin E, which help boost the immune system and reduce the risk of colon cancer. It has flavonoids that protect the walls of blood vessels, curbing the risk of cardiovascular disease.

The fat in almonds is unsaturated, a good choice for reducing cholesterol, controlling blood sugar and lowering the risk of diabetes.

Almonds’ potassium content keeps blood pressure in check, reduces fatigue and, along with magnesium, is beneficial to bones and teeth.

The healthful appeal of almonds nevertheless didn’t stop Beijing from boosting import duties on US products from 50 to 60 per cent. It’s been claimed that imports dropped less than expected, though, with the California Almond Committee saying exports to China and Hong Kong up to August were down 25 per cent compared to the same month last year.

China also imports almonds from Australia, imposing no duties but paying a higher price – even though the nuts remain cheaper there than the US variety.

The US is also the world’s second-largest producer of walnuts, exports of which were forecast to drop to 570,000 tonnes in September due to bad weather in California. The price is currently $3.50 per pound, up 40 per cent from a year earlier.

China grows more walnuts than any other country, especially in Yunnan province, but traders lament that Chinese dessert makers prefer US walnuts, so American imports represent 70-75 per cent of the total consumed in China.

The price of cashew nuts is meanwhile currently declining, from about $5.50 per pound in 2018 to $4.10 currently.

“It’s worth investing because you at least get tax deductions on your investments in retirement mutual funds [RMF] and long-term equity funds [LTF],” said Pipat Luengnaruemitchai, assistant managing director and co-head of the CIO office at Phatra Wealth Management.

Capital gains can also be made in the long run since equity investment has been shown to offer higher returns than bank deposits or investments in bonds, he said.

There is a “high chance” the index will return to about the 1,700 level, he said, blaming the current downturn in the stock market partly on listed firms performing more poorly than expected.

Corporate earnings are expected to rise next year, with market consensus agreeing that earnings-per-share growth would reach 10 per cent.

The Finance Ministry is considering a new long-term investment fund scheme because the LTF will expire at the end of this year.

The Stock Exchange of Thailand Index last week closed below the supported level of 1,600 as foreign investors sold on concerns partly about bleak prospects for the US and China completing a trade deal.

The index on Friday (November 29) closed at 1,590.59, 0.45 per cent down from the previous week, with daily turnover at Bt56.3 billion, up 23.2 per cent.

A lower boundary for this week is expected of 1,575 or 1,550 and an upper bound of 1,605 or 1,615, according to Kasikorn Securities.

The market dropped after US President Donald Trump signed off on legislation supporting democracy in Hong Kong that would allow Washington to impose sanctions on rights abusers in the Chinese enclave, which has seen pro-democracy protests over the past five months.

The protests and the US legislation have both angered Beijing.

SET president Pakorn Peetathawatchai has floated the idea of issuing a type of virtual currency to support Thai investors eyeing equities and other assets abroad.

The Thai Bond Market Association is mulling a similar idea with the aim of reducing investors’ transaction costs.

Investors sending money overseas often struggle with exchange-rate discrepancies and end up short despite earning capital gains, Pakorn said.

A dedicated, stable cryptocurrency would help them manage any risks that arise and could be purchased for baht at an “almost fixed” exchange rate and later resold when they repatriate their foreign investment, he said.

Thais who invested in Vietnamese equities earned capital gains, only to lose it all upon exchanging the Vietnamese currency for baht. The Vietnamese dong is more volatile than the baht, which has been appreciating for several years, according to a source in financial industry.

The Bank of Thailand, known to be cautious about cryptocurrency, has yet to comment on Pakorn’s proposal.

The central bank is currently experimenting with its own digital currency in the so-called Inthanon project, developing a virtual currency for use in its financial settlements with the commercial banks.

If given permission, Pakorn said, the SET would try out a stable coin of its own in the central bank’s online sandbox.

The central bank has in the meantime introduced several measures to encourage Thais to invest in foreign financial assets, hoping capital outflow will ease pressure on the muscular baht.

Pakorn insisted the stable coin he proposes would also cut transaction fees for investors trading in equities on foreign stock markets.

In another development, the SET is seeking dual listings with Indonesia, home to many growth stocks but lacking in the kind of high-return dividend stocks that are in abundant on the SET, he said.

If large companies in Indonesia could list on the Thai market, Thais would discover more investment opportunities, he explained.

Last week, the key 225-issue Nikkei average rose 181.03 points, or 0.78%, to 23,293.91, after optimism for progress in the trade talks was fueled by comments from both sides that they are close to a phase-one deal.

This week, the Nikkei is expected to move mainly between 23,150 and 23,700, the analysts and brokers said.

Masahiro Ichikawa, senior strategist at Sumitomo Mitsui DS Asset Management Co., warned that the Nikkei may fall if there is no further progress in the trade talks, as market players will become increasingly worried that the negotiations are not going well.

On the other hand, Ichikawa said that the Nikkei may rise “if there is any news indicating progress in the talks,” including news that the United States will delay another round of tariffs on Chinese goods scheduled to take effect on Dec. 15.

Meanwhile, Yutaka Miura, senior technical analyst at Mizuho Securities Co., said that market players will also focus on U.S. economic indicators, including the Institute for Supply Management’s manufacturing index for November, due out Monday.

https://the-japan-news.com/news/article/0006197630?fp=06c0e4566e19f302a9374d6be3d2a6a7

South Korea’s exports amounted to $44.1 billion in November, shedding 14.3 percent from a year earlier, extending the downtrend, Imports fell 13 percent during the same period to $40.7 billion, shrinking for the seventh consecutive month, according to the Ministry of Trade, Industry, and Energy.

The trade surplus came to $3.37 billion, marking 94 consecutive months that exports exceeded imports, but this was a 27.8 percent fall from a year earlier.

The sluggish exports were attributed to the weak prices of semiconductor and petrochemical products, as well as the impact of the ongoing US-China trade tensions. There were also fewer working days in November, compared with the previous year, the ministry added.

The memory chip business — backbone sector of the trade-dependent country — slipped 30.8 percent to $7.39 billion in November, accounting for around 15 percent of total outbound shipments. Petrochemical goods shed 19 percent to $3.21 billion during the same period.

Marking the steepest on-year dip was the shipbuilding sector, which plunged 62.1 percent due to a major project cancellation, despite the general recovery of the sector.

Government officials say exports should regain momentum next year, on the back of recovery in the chip industry.

Last week, the Korea International Trade Association suggested that outbound shipments will climb 3.3 percent on-year in 2020, as against this year’s estimated on-year drop of 10.2 percent.

“We believe that exports will gain momentum, starting December,” said Industry Minister Sung Yun-mo.

Private consumption is likely to grow 1.9 percent this year, hitting a six-year low, reflecting the downbeat market sentiment, according to the Bank of Korea. The corresponding figure last year was 2.8 percent.

Last week, the central bank inched down its outlook for the nation’s economic growth pace to 2 percent from the previous 2.2 percent.

“The economic growth rate for this year is anticipated to be around 2 percent,” said Bank of Korea Gov. Lee Ju-yeol, after the rate-setting Monetary Policy Board meeting that froze the nation’s key interest rate at the current 1.25 percent.

The monetary chief’s remark triggered speculation that the figure may end up dipping even below the 2 percent threshold.

Last month, Finance Minister Hong Nam-ki projected the economic growth pace for this year will be in the 2-2.1 percent range, marking the first downward adjustment in the government’s forecasts.

As government figures have always exceeded those from private institutions, concerns are mounting that the final figure will fall within the 1 percent range.

http://m.koreaherald.com/view.php?ud=20191201000120