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February 6th - Hong Kong stocks opened lower but rebounded throughout the day, before slightly retreating in the afternoon. At the close, the Hang Seng Index fell 1.21%, and the Hang Seng Tech Index fell 1.11%. New energy vehicle stocks rallied, with NIO-SW (09866.HK) rising nearly 7%, the company expecting to achieve its first profit in the fourth quarter of 2025. Oil stocks fluctuated higher, with PetroChina (00857.HK) and CNOOC (00883.HK) both rising over 1%. Lithium battery concept stocks were active, with Zhongchuang Aviation (03931.HK) rising over 5% and CATL (03750.HK) rising over 1%. Tea beverage stocks saw their gains narrow in the afternoon, with Chabaidao closing up 6.08%. In addition, traditional Chinese medicine, biomedicine, optical communications, coal, and new consumption concept stocks strengthened during the day. Cloud computing, wind power, nuclear power, leading internet companies, non-ferrous metals, building materials and cement, and artificial intelligence concept stocks were weak during the day.The Hang Seng Index closed down 325.29 points, or 1.21%, at 26,559.95 on Friday, February 6; the Hang Seng Tech Index closed down 59.93 points, or 1.11%, at 5,346.2; the H-share Index closed down 61.96 points, or 0.68%, at 9,031.38; and the Red Chip Index closed down 13.6 points, or 0.31%, at 4,360.7.Hong Kong stocks closed with the Hang Seng Index down 1.21% and the Hang Seng Tech Index down 1.11%. New energy vehicle companies, oil, lithium batteries, tea beverages, and traditional Chinese medicine concepts performed well; cloud computing, wind power, leading tech companies, non-ferrous metals, and building materials and cement sectors were among the biggest losers.February 6th - Today, the draft national standard for pre-prepared meals was released for public comment, outlining regulations for pre-prepared meal products from the perspectives of food safety and nutrition. Pre-prepared meals must not use spoiled or rotten ingredients. Pesticide residues, veterinary drug residues, contaminants, and mycotoxins must all meet relevant limits. Proof of origin and traceability of raw materials are essential. The production process of pre-prepared meals requires strict control of cross-contamination risks, along with temperature control and hygiene management. The standard provides detailed regulations on the amount of raw materials or ingredients used in pre-prepared meals and their content in the finished product, allowing consumers to clearly understand the products true condition through the label. The label must indicate the consumption method: pre-cooked pre-processed meals should be labeled "must be heated or reheated before consumption"; uncooked or partially cooked pre-processed meals should be labeled "must be cooked before consumption."Spains seasonally adjusted industrial production fell 0.3% year-on-year in December, compared with a forecast of 2.5% and a revised previous reading of 4.6% (up from 4.50%).

Oil Hits A Two-month High Due to Tight Supplies, And The EU Wants to Ban Russian Crude

Haiden Holmes

May 30, 2022 11:16

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On Thursday, oil prices rose almost 3 percent to a two-month high on concerns of tight supply ahead of the U.S. summer driving season, as the European Union (EU) squabbled with Hungary over plans to prohibit petroleum imports from Russia in response to its invasion of Ukraine.


Traders also observed that oil prices tracked a rise in equities and a weakening of the U.S. dollar versus a basket of currencies, which makes oil more affordable when purchased in other currencies. 


Brent (LCOc1) futures increased $3.37, or 3.0%, to $117.40 per barrel, while U.S. West Texas Intermediate (WTI) oil advanced $3.76, or 3.4%, to $114.09.


Brent reached its highest level since March 25 after six consecutive days of gains. WTI had its highest close since May 16.


Edward Moya, a senior market analyst at the data and analytics firm OANDA, said, "Crude prices increased because a tight oil market was expected to persist given that the start of the summer driving season would put U.S. stockpiles on a downward trend."


A significant weekly reduction in U.S. oil stocks, as announced on Wednesday, provided support for prices. 


"The underlying background... is becoming price supportive... and will become even more optimistic once all parties embrace EU sanctions on Russian oil sales," PVM Oil's Tamas Varga said.


President of the European Council Charles Michel is convinced that an agreement can be reached prior to the council's next meeting on May 30.


As EU penalties require unanimity of support, Hungary remains an obstacle. Hungary is requesting approximately 750 million euros ($800 million) to modernize its refineries and expand a Croatian pipeline.


Even in the absence of an official prohibition, there is significantly less Russian oil accessible since customers and trading houses have avoided purchasing from the country.


According to Deputy Prime Minister Alexander Novak, Russia's oil production should decrease to 480-500 million tonnes this year from 524 million tonnes in 2021, as reported by the state-run news agency RIA.


OPEC is expected to adhere to last year's agreement to increase July output targets by 432,000 barrels per day, six OPEC sources told Reuters, rebuffing Western calls for a faster increase to control prices. OPEC will meet on June 2 and is expected to adhere to last year's agreement to increase July output targets by 432,000 barrels per day.


Other factors also support the price of oil.


Sugandha Sachdeva, vice president of commodities research at Religare Broking, said, "Shanghai is set to reopen after a two-month lockdown, while the U.S. peak driving season begins with the Memorial Day weekend." On Monday, the United States observes Memorial Day.


The U.S. government seized an Iranian oil shipment held on a Russian-operated ship in Greece and will transport the shipment to the United States aboard a different vessel.


Britain, meanwhile, imposed a 25 percent windfall tax on the earnings of oil and gas firms, along with a $18.9 billion ($15 billion) support package for those struggling to pay their energy bills.


Hungary announced increased "excess earnings" taxes of 800 billion forints ($2.19 billion) on banks, energy industries, and other businesses.