Tag Archives: SG

Asia stocks spooked by sudden slide in gold

  • Asian stock markets : https://tmsnrt.rs/2zpUAr4
  • Gold drops more than 4% at one stage, oil prices slide
  • Strong U.S. jobs report brings Fed tapering nearer
  • Rising Treasury yields lift dollar to 4mth high on euro

SYDNEY, Aug 9 (Reuters) – Asian shares wobbled on Monday amid sharp losses in gold and oil prices, while the dollar held near four-month highs after an upbeat U.S. jobs report lifted bond yields.

Sentiment was shaken by a sudden dive in gold as a break of $1,750 triggered stop loss sales taking it as low as $1,684 an ounce . It was last down 2.2% at $1,723.

Brent sank almost 2% on concerns the spread of the Delta variant would temper travel demand.

Holidays in Tokyo and Singapore made for thin trading conditions, leaving MSCI’s broadest index of Asia-Pacific shares outside Japan (.MIAPJ0000PUS) down 0.1%.

Japan’s Nikkei (.N225) was shut but futures were trading just below Friday’s close. Nasdaq futures slipped 0.5% and S&P 500 futures 0.3%.

Chinese trade data out over the weekend undershot forecasts, though figures due later Monday should show inflation is no barrier to more policy stimulus. read more

The U.S. Senate was closer to passing a $1 trillion infrastructure package, though a single Republican lawmaker was holding up a vote on Sunday. read more

Investors were still assessing whether Friday’s strong U.S. payrolls report would take the Federal Reserve a step nearer to winding back its stimulus.

“There is not a lot of disagreement on a taper announcement coming sometime between September-December followed by actual tapering sometime between November and January,” said Rodrigo Catril, a senior FX strategist at NAB.

However, the pace of tapering was still up in the air and would decide when an actual rate hike came, he said. The Fed is currently buying $120 billion of assets a month, so a $20 billion taper would end the programme in six months whilst a $10 billion tapering approach would take a year.

The spread of the Delta variant could argue for a longer taper with U.S. cases back to levels seen in last winter’s surge with more than 66,000 people hospitalised.

Figures for July CPI due this week are also expected to confirm inflation has peaked, with prices for second hand vehicles finally easing back after huge gains.

There are four Fed officials speaking this week and will no doubt offer their own take on tapering.

In the meantime, stocks have been mostly underpinned by a robust U.S. earnings season. BofA analysts noted S&P 500 companies were tracking a 15% beat on second quarter earnings with 90% having reported.

“However, companies with earnings beats have seen muted reactions on their stock price the day following earnings releases, and misses have been penalized,” they wrote in a note.

“Guidance is stronger than average but consensus estimates for two-year growth suggest a slowdown amid macro concerns.”

Financials firmed on Friday as a steeper yield curve is seen benefiting bank earnings, while also penalising the tech sector where valuations are sky high.

Yields on U.S. 10-year notes were up at 1.30% in the wake of the jobs report, having hit their lowest since February last week at 1.177%.

That jump gave the dollar a broad lift and knocked the euro back to $1.1744 , its lowest since April. The dollar likewise climbed to 110.28 yen and away from last week’s trough of 108.71.

That took the U.S. currency index up to 92.882 and nearer to the July peak of 93.194.

Oil prices eased further after suffering their largest weekly drop in four months amid worries coronavirus travel restrictions would threaten bullish expectations for demand.

Brent fell $1.30 to $69.40 a barrel, while U.S. crude lost $1.29 to $66.99.

Editing by Shri Navaratnam

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Harris to push back on China’s South China Sea claims during Asia trip

WASHINGTON, Aug 3 (Reuters) – Vice President Kamala Harris will focus on defending international rules in the South China Sea, strengthening U.S. regional leadership and expanding security cooperation during her trip to Vietnam and Singapore this month, a senior White House official told Reuters.

Harris she will be the first U.S. vice president to visit Vietnam asWashington seeks to bolster international support to counter China’s growing global influence.

The U.S. official said Washington saw both countries as critical partners given their locations, the size of their economies, trade ties and security partnerships on issues such as the South China Sea, which China claims almost in its entirety.

Former U.S. foe Vietnam has been a vocal opponent of China’s South China Sea claims. Countries in the region largely welcome the U.S. military presence there in the face of China’s militarization of the waterway and its vast coastguard and fishing fleet.

“We do not want to see any country dominate that region or take advantage of the power situation to compromise the sovereignty of others,” the White House official said.

“The Vice President is going to underscore that there should be free passage for trade, throughout the South China Sea, and no single country should disrespect the right of others.”

The U.S. Navy has maintained a steady pattern of freedom of navigation operations in the South China Sea and near Taiwan but these appear to have done little to discourage Beijing.

Harris’ trip will follow one by Defense Secretary Lloyd Austin last week to Hanoi, where he sought to nudge forward steadily deepening security ties. read more

It will also follow high-level talks between U.S. Deputy Secretary of State Wendy Sherman and senior Chinese diplomats last month that did little to ease deeply strained ties. read more

This week, Secretary of State Antony Blinken will seek to reinforce the U.S. message that it is serious about engaging with Southeast Asia to push back against China by joining a series of regional meetings held virtually. read more

Addressing a virtual session of the Aspen Security Forum on Tuesday, Singaporean Prime Minister Lee Hsien Loong said high-level U.S. visits were “greatly valued” as they showed Washington knew it had substantial interests to protect and advance in the region.

However, he expressed concern about deteriorating U.S.-China relations and said many countries hoped to see this checked “because many U.S. friends and allies wish to preserve their extensive ties with both powers.”

“It’s vital for the U.S. and China to strive to engage each other to head off a clash, which would be disastrous for both sides, and the world,” he said.

The White House official said the COVID-19 pandemic, vaccinations and quality of vaccines would also be a top priority for Harris.

Last month, Washington shipped 3 million doses of the Moderna COVID-19 vaccine to Vietnam, bringing total donations to Hanoi to 5 million.

Harris is due in Singapore on Aug. 22. She arrives in Vietnam on Aug. 24 and departs on Aug. 26.

Reporting by Nandita Bose in Washington and Aradhana Aravindan in Singapore, Editing by David Brunnstrom and Nick Zieminski

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Pentagon chief in Vietnam to advance ties but rights concerns linger

U.S. Defense Secretary Lloyd Austin answers reporters questions at the Pentagon as the U.S. military nears the formal end of its mission in Afghanistan in Arlington, Virginia, U.S. July 21, 2021. REUTERS/Ken Cedeno/File Photo

HANOI, July 29 (Reuters) – U.S. Defense Secretary Lloyd Austin sought on Thursday to nudge forward security ties with Vietnam that have been slowly deepening as both countries watch China’s activities in the South China Sea with growing alarm.

Despite closer military relations, more than four decades after the Vietnam War ended in 1975, President Joe Biden’s administration has said there are limits to the relationship until Hanoi makes progress on human rights.

Vietnam has emerged as the most vocal opponent of China’s territorial claims in the South China Sea and has received U.S. military hardware, including coastguard cutters.

Before a meeting with his Vietnamese counterpart in Hanoi, Austin said the United States did not ask Vietnam to choose between countries.

“One of our central goals is ensuring that our allies and partners have the freedom and the space to chart their own futures,” Austin said.

He did not mention China but there is a perception in Asia that China is making countries chose between it and the United States, as tension rises between those two big powers.

On Wednesday, a U.S. Navy warship carried out a transit through the Taiwan Strait. While such operations are routine, they usually anger Beijing.

“(Vietnam) wants to know that the U.S. is going to remain engaged militarily, it’s going to continue its presence in the South China Sea,” said Greg Poling, with the Center for Strategic and International Studies.

The two sides signed a “memorandum of understanding” for Harvard and Texas Tech University to create a database that would help Vietnamese search for those missing from the war.

LIMITS

On Sunday, the United States shipped 3 million doses of the Moderna COVID-19 vaccine to Vietnam, raising the amount given by the United States, via the global COVAX vaccine scheme, to 5 million doses.

Poling said there was a limit to how fast and far the Vietnamese were comfortable with deepening ties.

Experts say there are lingering concerns in Vietnam about Biden’s predecessor, Donald Trump, withdrawing from the Trans Pacific Partnership trade pact in 2017.

There are also limits to how far the United States is willing to deepen relations before Vietnam improves its human rights record.

Vietnam has undergone sweeping economic reforms and social change in recent decades, but the ruling Communist Party retains a tight grip over media and tolerates little dissent. read more

In Singapore on Tuesday, Austin said the United States would always lead with its values.

“We will discuss those values with our friends and allies everywhere we go and we don’t make any bones about that,” Austin said.

This month, Marc Knapper, Biden’s nominee to be the next U.S. ambassador to Vietnam vowed to boost security ties but said they could only reach their full potential if Hanoi made significant progress on human rights. read more

In a meeting with Austin on Thursday morning, Vietnamese President Nguyen Xuan Phuc said he was looking forward to an upcoming visit to Vietnam by U.S. Vice President Kamala Harris.

Harris could travel to Vietnam and Singapore in August, a source familiar with the matter told Reuters on Monday. read more

Reporting by Idrees Ali
Editing by Robert Birsel and Lincoln Feast

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With eye on China, Pentagon chief heads to Southeast Asia

U.S. Defense Secretary Lloyd Austin answers reporters questions at the Pentagon as the U.S. military nears the formal end of its mission in Afghanistan in Arlington, Virginia, U.S. July 21, 2021. REUTERS/Ken Cedeno

FAIRBANKS, Alaska, July 26 (Reuters) – U.S. Defense Secretary Lloyd Austin will become the first member of President Joe Biden’s cabinet to visit Southeast Asia this week, seeking to emphasize the importance Washington places on fortifying ties in the region while pushing back against China.

The United States has put countering China at the heart of its national security policy for years and the Biden administration has called rivalry with Beijing “the biggest geopolitical test” of this century.

Six months into his presidency, however, Southeast Asian countries are still looking for details of Biden’s strategy as well as his specific plans for economic, trade and military engagement with the Indo-Pacific.

“You’ll hear me talk a lot about partnerships and the value of partnerships,” Austin told reporters enroute to Alaska.

“My goal is to strengthen relationships,” he said.

In a keynote speech in Singapore on Tuesday and meetings in Vietnam and the Philippines, Austin will call out aggressive Chinese behavior in the South China Sea and stress the importance of keeping the wider region free and open.

His trip follows the first visit by U.S. Deputy Secretary of State Wendy Sherman to China on Sunday and Monday and coincide with a trip by Secretary of State Antony Blinken to India, another important partner in U.S. efforts to counter Beijing.

Experts say Austin’s presence is important to make clear that Southeast Asia is a vital component in Biden’s efforts.

“The administration does understand that this region is critical, so that’s a big part of it: Just showing up,” said Gregory Poling, a senior fellow for Southeast Asia at Washington’s Center for Strategic and International Studies.

An Asian diplomat, speaking on the condition of anonymity, said it appeared the Biden administration was now directing its focus more firmly on Asia after addressing other global issues, such as relations with Russia and Europe.

Austin had been due to visit the region in June, but was forced to postpone due to COVID-19 restrictions in Singapore.

‘MEAT ON THE BONE’

So far the Biden administration has broadly sought to rally allies and partners to form a united front against what it says are China’s increasingly coercive economic and foreign policies.

One pillar of engagement that has been conspicuously lacking has been on the economic and trade side after Biden’s predecessor, Donald Trump, withdrew from the Trans Pacific Partnership trade pact in 2017.

The administration has made clear it is in no rush to rejoin such a pact, which critics say would cost American jobs, but has been discussing the possibility of smaller agreements such as on digital trade.

The Pentagon has completed a study of its China policy and Austin has issued an internal directive calling for several initiatives, but few details have emerged.

The U.S. Navy has maintained a steady pattern of freedom of navigation operations in the South China Sea and near Taiwan but these appear to have done little to discourage Beijing.

Malaysia, Vietnam, the Philippines, Brunei and Taiwan all have rival claims to Beijing’s in the South China Sea and largely welcome a U.S. presence in the face of China’s militarization of the waterway and its vast coastguard and fishing fleet.

Abraham Denmark, a former deputy assistant secretary of defense for East Asia, said Washington was saying “all the right things on competition” with China but there were questions about how it could “translate words into actions and investments.”

It was still unclear “what’s it’s going to look like in terms of our budget, in terms of our force posture, in terms of our investments in diplomacy and infrastructure, really putting meat on the bone,” he said.

Austin’s priority in the Philippines will be progress on renewing an agreement governing the presence of U.S. troops there, which is of vital U.S. strategic interest. A deadline for the pact’s expiration has been extended several times.

Analysts say Austin will need to strike a balance between stressing the China threat and making clear that Washington sees Southeast Asia as more than just a military theater.

“The emphasis from the region is yes, having the military around is good and welcome, but you need an economic strategy,” the Asian diplomat said.

Reporting by Idrees Ali; additional reporting by David Brunnstrom;
Editing by Mary Milliken and Sonya Hepinstall

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Amazon restores service after global outage

July 12 (Reuters) – Amazon.com Inc (AMZN.O) said its online stores had returned to normal services after a global outage disrupted shopping on its country sites.

According to outage monitoring website Downdetector, services were disrupted for nearly two hours and at the peak of the disruption, more than 38,000 user reports indicated issues with Amazon’s online stores. They occurred on Sunday evening in the United States and Monday morning for much of the rest of the world.

“Some customers may have temporarily experienced issues while shopping. We have resolved the issue, and everything is now running smoothly,” an Amazon spokesperson said.

The spokesperson declined to comment on the reason for the outage.

It was the second broad disruption since late June when users experienced a brief outage on Amazon platforms including Alexa and Prime Video before services were restored. read more

Reporting by Radhika Anilkumar, Sneha Bhowmik and Shubham Kalia in Bengaluru; Editing by Arun Koyyur and Edwina Gibbs

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Singapore not counting Sinovac shots in COVID-19 vaccination tally

People queue to enquire about Sinovac vaccine at a clinic, during the coronavirus disease (COVID-19) outbreak in Singapore June 18, 2021. REUTERS/Chen Lin

SINGAPORE, July 7 (Reuters) – Singapore has excluded those who received Sinovac Biotech’s (SVA.O) shots from its national COVID-19 vaccination count, according to the city-state’s health ministry.

“The national vaccination numbers reflect only those vaccinated under the national vaccination programme,” the ministry said in an emailed statement on Wednesday.

Currently, this only includes those vaccinated with the Moderna Inc (MRNA.O) and Pfizer-BioNTech/Cominarty (PFE.N), vaccines, it said.

Sinovac’s CoronaVac shot is not part of Singapore’s national vaccination programme and the city-state has said it is still awaiting critical data from the company.

It has, however, allowed the usage of the vaccine by private healthcare institutions under a special access route, following an emergency use approval by the World Health Organization (WHO). Selected private clinics can draw on the country’s current stock of 200,000 CoronaVac doses. read more

About 3.7 million people have received at least one dose of the Pfizer or Moderna’s vaccines, covering about 65% of the population, and nearly 2.2 million have completed the regimen.

Singapore has set a target for two-thirds of its people to complete the two-dose regimen by around Aug. 9.

Both have shown efficacy rates of well over 90% against symptomatic disease in clinical trials, compared with trials for Sinovac that shown results from as low as 51% to about 84%. Sinovac did not respond to a request for comment on its efficacy rates earlier this week.

Kenneth Mak, Singapore’s director of medical services, said last month evidence from other countries showed people who had taken the Sinovac vaccine were still getting infected.

“There is a significant risk of vaccine breakthrough,” he said.

Just over 17,000 people in Singapore have received one dose of CoronaVac as of July 3. These records will be captured in a national immunisation registry.

Recipients of the Sinovac vaccine are also not exempt from COVID-19 tests required before attending certain events or entering some venues. Those who have completed the full vaccination regimen with Moderna or Pfizer are exempt from such pre-event testing.

“COVID-19 vaccines that are not part of our national vaccination programme may not have documented sufficient data on their protection against COVID-19 infection, especially against the Delta variant that is currently circulating,” the health ministry said last week.

Reporting by Aradhana Aravindan in Singapore
Editing by Ed Davies

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Smart foam material gives robotic hand the ability to self-repair

SINGAPORE, July 6 (Reuters) – Singapore researchers have developed a smart foam material that allows robots to sense nearby objects, and repairs itself when damaged, just like human skin.

Artificially innervated foam, or AiFoam, is a highly elastic polymer created by mixing fluoropolymer with a compound that lowers surface tension.

This allows the spongy material to fuse easily into one piece when cut, according to the researchers at the National University of Singapore.

“There are many applications for such a material, especially in robotics and prosthetic devices, where robots need to be a lot more intelligent when working around humans,” explained lead researcher Benjamin Tee.

To replicate the human sense of touch, the researchers infused the material with microscopic metal particles and added tiny electrodes underneath the surface of the foam.

When pressure is applied, the metal particles draw closer within the polymer matrix, changing their electrical properties. These changes can be detected by the electrodes connected to a computer, which then tells the robot what to do, Tee said.

“When I move my finger near the sensor, you can see the sensor is measuring the changes of my electrical field and responds accordingly to my touch,” he said.

This feature enables the robotic hand to detect not only the amount but also the direction of applied force, potentially making robots more intelligent and interactive.

Tee said AiFoam is the first of its kind to combine both self-healing properties and proximity and pressure sensing. After spending over two years developing it, he and his team hope the material can be put to practical use within five years.

“It can also allow prosthetic users to have more intuitive use of their robotic arms when grabbing objects,” he said.

Reporting by Lee Ying Shan and Travis Teo; Writing by Xu Xiao; Editing by Karishma Singh and Stephen Coates

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Indonesia searching for missing submarine with 53 on board

Indonesia’s navy is searching for a missing submarine with 53 people on board that went missing on Wednesday and is seeking help from neighbouring Australia and Singapore in the hunt, the Indonesian military chief told Reuters.

The German-made submarine, KRI Nanggala-402, was conducting a torpedo drill in waters north of the island of Bali but failed to relay the results as expected, a navy spokesman said.

“We are still searching in the waters of Bali, 60 miles (96 km) from Bali, (for) 53 people,” military chief Hadi Tjahjanto told Reuters in a text message.

The military chief confirmed that assistance in the search for the submarine and missing crew members had been sought from Australia and Singapore. He said that contact with the vessel was lost at 4:30 a.m. on Wednesday.

Representatives of the defence departments of Australia and Singapore did not immediately respond to requests for comment.

The 1,395-tonne KRI Nanggala-402 was built in Germany in 1978, according to the Indonesian cabinet secretariat’s website, and underwent a two-year refit in South Korea that was completed in 2012.

Indonesia in the past operated a fleet of 12 submarines purchased from the Soviet Union to patrol the waters of its sprawling archipelago.

But now it has a fleet of only five including two German-built Type 209 submarines and three newer South Korean vessels.

Indonesia has been seeking to upgrade its defence capabilities but some of its equipment still in service is old and there have been deadly accidents involving in particular ageing military transport planes in recent years.

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