Summary of content
Hong Kong will completely remove all demand-side management measures in the property market.
Alibaba raised $2.5 billion for a Chinese artificial intelligence company.
The number of American tourists in Greece is increasing rapidly.
U.S. home price growth has accelerated as buyer demand has increased.
Prince Edward Island, Canada Announces 2024 Immigration Priorities.
Today's headlines:
1.Hong Kong will completely remove all demand-side management measures in the property market.
On February 28, the Financial Secretary of the Hong Kong Special Administrative Region (HKSAR**), Paul Chan, delivered the Budget of the HKSAR for the financial year 2024-2025. Mr Chan said that after careful consideration of the current overall situation, the HKSAR** has decided to lift all residential property demand management measures with immediate effect, i.e. all residential property transactions will no longer be subject to Special Stamp Duty, Buyer's Stamp Duty and New Residential Stamp Duty from today.
The policy is designed to address the challenges posed by high interest rates, a complex geopolitical environment, and fiscal deficits that have been increasing in recent years. In addition, in order to attract more capital, businesses and tourists, ** will also introduce a series of measures, including more than HK$1 billion in support for the tourism industry, and more than 80 large-scale events are planned to be held in the first half of the year. At the same time, in the face of four consecutive years of fiscal deficits, the HKSAR** pledged to adopt a fiscal consolidation strategy to gradually restore fiscal balance.
2.Alibaba led a record-breaking deal to raise $2.5 billion for a Chinese artificial intelligence company
Alibaba Group Holdings*** led a funding round for Chinese artificial intelligence startup Moonshot AI, setting a record high in a single round and valuing it at $2.5 billion. This marks another big investment in Alibaba's quest for growth, particularly in the area of generative AI technology, which is at the heart of ChatGPT. Since its inception, Moonshot AI has focused on developing competitive generative AI technologies that strive to rival giants such as OpenAI and Google. Despite challenges such as U.S. sanctions, Alibaba and other investors have invested heavily to reflect a strong belief in the future of AI. In addition, Alibaba's new leadership is working to revitalize the company's business by investing in disruptive technologies and diversifying its business, and to combat the twin pressures of regulatory scrutiny and economic downturn.
3.The number of American tourists in Greece is increasing rapidly.
U.S. tourists are becoming Greece's fastest-growing travel group, growing at more than 10% a year and spending much more per capita than other countries. Greece's positive image in the United States in recent years, combined with Americans' interest in maritime tourism and culturally rich countries, has contributed to their large number of visits to Greece. The rapid opening of Greek destinations during the pandemic has further strengthened its tourism image and service reliability. In 2023, Greece welcomed an all-time high in tourists from the United States, becoming one of the preferred Mediterranean destinations for Americans, ranking behind Spain, Italy, Turkey and Croatia. According to the Bank of Greece, tourist flows from the United States increased by 29% year-on-year in 20232%, a record high, and tourism revenues have also increased.
Market Summary:
4.U.S. home price growth has accelerated as buyer demand has increased.
U.S. home price growth accelerated in December, with a year-on-year increase of 5 nationwide5%, reflecting the sharp fluctuation of mortgage interest rates and the release of buyers' demand. As 30-year borrowing costs fall from a two-decade high, tight*** and ongoing inventory shortages have pushed home purchases higher**. Among the 20 major cities, house prices increased by 6% year-on-year1%, with San Diego, Los Angeles and Detroit leading the way. This annual review shows that home price growth in 2023 surpassed the average of the past 35 years, highlighting the broad-based growth dynamics of the U.S. housing market.
5.Sony will lay off 900 PlayStation employees and close its London studio
Japan's Sony Corporation announced that it will lay off about 900 employees in its PlayStation division and close a studio in London due to the sluggish recovery of the gaming industry after the pandemic. The layoffs, which account for about 8% of the division's workforce, follow a downward revision of its five-year sales forecast for PlayStation. Jim Ryan, head of Sony's gaming division, noted that tough decisions were inevitable in the face of changes in the industry's development, product distribution and distribution methods, and announced his imminent retirement. The move reflects Sony's similar strategy to peer giants such as Microsoft and Tencent in the context of the slow growth of the world's largest gaming market.
6.BlackRock said Japan could "surpass all-time highs."
Strategists at BlackRock Investment Research believe that thanks to strong corporate earnings and corporate reforms, Japan's growth space is still broad and is expected to refresh its all-time high. Recently, the Nikkei 225 and the broader TOPIX index have outperformed their all-time records by strong performance, mainly due to shareholder-friendly policies of Japan** companies and increased external earnings from a weaker yen. In addition, the ability of companies to raise prices to protect margins in a higher inflationary environment, consumer spending boosted by wage growth, and corporate governance reforms promoted by the Tokyo ** Stock Exchange provided positive support to the market. At the same time, the Bank of Japan is expected to cautiously end its ultra-loose monetary policy to avoid affecting the economy.
7.The U.S. Treasury Secretary called the global economy resilient and praised the U.S. as an engine of growth
U.S. Treasury Secretary Janet Yellen will say at a press conference ahead of the G20 fiscal meeting in São Paulo, Brazil, that strong U.S. economic growth is a key factor driving global growth beyond expectations. Although the IMF had said that the global economy would generally slow down, real growth in 2023 will reach 31%, and inflation has fallen. Yellen stressed that despite the risks, the global economy has shown strong resilience, thanks to the U.S. economic policy and a strong labor market. At the same time, the IMO shows a certain optimism about future global growth.
Current Affairs News:
8.Brazil's draft G20 communiqué downplays regional conflicts, and a soft landing for the economy is in focus
The G20 financial leaders' meeting in Brazil this week is expected to ignore regional conflicts and focus on global economic issues in response to differences over the war in Gaza and Ukraine, according to a draft report. Despite the uncertainty, there are more signs of a soft landing in the global economy, risks are more balanced, inflation is falling faster than expected, and fiscal policy that is conducive to economic growth is supporting, the draft said. At the same time, the G20 reaffirmed its commitment to the current exchange rate policy and warned of the adverse impact of excessive exchange rate volatility on economic growth.
Immigration Dynamics:
9.Australian house prices are expected to be **5 this year and next0%
Australian house prices are expected to be 5 per cent in 2024 and 2025 each0%, despite the pressure of a possible rate hike. House prices fell sharply during the pandemic, but last year it was almost completely. Low unemployment, high wage growth, and increased immigration are seen as the main drivers of ***. While first-time buyers face high house price challenges, and analysts expect tax breaks and interest rate policies to partially ease the cost of home ownership pressure, opinions remain divided on first-time buyers' ability to afford a home.
10.Prince Edward Island, Canada Announces 2024 Immigration Priorities.
In response to housing and infrastructure pressures, PEI has decided to temporarily reduce immigration nominations by 25% and align the remaining nominations with key areas to promote workforce skills balance and infrastructure development. The province launched the "Growing Together: A Demographic Framework for Prince Edward Island" plan, which aims to achieve sustainable growth through five priorities: expanding critical infrastructure, building the workforce, supporting land planning, strengthening community belonging, and long-term planning. The aim is to develop a healthy and sustainable workforce that meets the needs of residents.