Asia

China’s industrial production, retail sales and investment undershot expectations in April, despite Beijing’s aggressive easy-money policies in the first quarter, indicating ongoing weakness in the world’s second-biggest economy. Industrial output increased 6.0% year-over-year in April, down from 6.8% growth in March, the National Bureau of Statistics reported, coming in below economists’ forecast for a 6.6% gain. In addition to that, retail sales rose by a less-than-predicted 10.1% in April compared with a year earlier, slowing from March’s 10.5% year-over-year surge. Fixed-asset investment in urban areas grew by a weaker-than-expected 10.5% year-over-year in the January-to-April period, compared with an annual increase of 10.7% for the first three months of 2016.

Apple invests $ 1 billion in Didi Chuxing, Uber’s rival in China. Apple will help Didi to develop its platform for sharing data, a useful tool for the Chinese company that makes more than 11 million trips per day and serves 300 million customers.

The Apple investment for Didi is very important. The Chinese company is engaged in a round of fundraising by $ 2 billion, with whom is valued $ 25 billion. The Chinese market is growing and Didi and UberChina they battle to win customers and investors. Although for many start up recently to collect funds has become very difficult with the economic slowdown, Didi is the exception. Its valuation has rocketed from February 2015, when it was worth $ 6 billion.

Nissan confirmed that it had initiated talks to acquire Mitsubishi Motors. The automaker is ready to invest 200 billion yen ($ 1.8 billion) for about a third of the capital which would give him control over his competitor. Mitsubishi had lost about 42% of its market value in a scandal related to the tests on the efficiency of rigged engines, hence the opportunity for Nissan.

Carlos Ghosn, CEO of Nissan and Renault, have postponed a press conference today on the annual budget just to convoke another in order to announce the investment in Mitsubishi Motors.

Investors welcomed the news with some favor, making staple of purchase requisitions for the title of Mitsubishi Motors, back from a decline due to the scandal since April 20.

The conditions of the Japanese economy even worse, as indicated by leading indicators, summary indicator of the state of the Japanese economy.

According to the preliminary estimate by the Cabinet Office, the figure for March is expected to be 98.4 points down 0.5% compared to 98.9 points in February. The figure, revised up from the previous estimate of 96.8, was higher than market expectations were for 96.4.

In the same period, the coincident index is estimated to rise to 111.2 points from 110.7, confirming an improvement of the current conditions, while the deferred index (lagging index) is expected to fall to 112 from 113.8 and indicates a deterioration in the outlook for the next 12 months.

Toyota has announced a record net profit for the full fiscal year ended March 31 rising by 6.4% to 2.31 trillion yen (18.7 billion euro). The first group global car, however, said he expected a for the first time in 5 years net profit down 35% in fiscal 2016, due to currency volatility.

For most investors, Pakistan is not an investment destination being considered in their investment process. But soon MSCI, the biggest index provider globally, may bring that to a sudden change. On June 14th, MSCI will announce its decision whether to upgrade Pakistan from the current frontier market classification to emerging market classification or not. In the case of a positive decision, emerging markets funds with an estimated 40x the capital of frontier funds will be forced to have a look at the 180 million population nation on the border between Asia and the Middle East.

Saudi Arabia does not intend to change its oil policy. Assures the new Minister of Energy, Industry and Mining Resources, Khaled al-Faleh, who took over from veteran Ali al-Naimi said Riyadh and "strengthen its more reliable energy supplier position world". Analysts at the time, waiting for the reaction of the markets.

In office since 1995, the former minister has been replaced by the Minister of Health and Chairman of the Aramco oil giant, al-Falih: the shift goal of such an important minister in the Arab country is to improve the fortunes of the economy hit hard by the collapse in oil prices.

China confirms in obvious economic difficulty, signaling a slowdown in foreign trade, which has not failed to have adverse impacts on the manufacturing conditions.

The foreign trade data appears negative, with the collapse of exports and imports, due to the persistence of the international crisis, although the first quarter ended with a better than expected budget.