The IMF lowered its forecast for global economic growth this year to its lowest level in three years and warned that trade tensions may further drag on growth. Trump urged China should reach a real trade agreement. Theresa May refused to rule out the possibility of postponing Britain’s Brexit and will shift its focus to reach a compromise with the EU on the Irish reserve plan.
- The United States’ market is closed.
- The IMF cut its global economic growth forecast this year to 3.5%, the lowest in three years, due to weak demand in Europe and recent financial market turmoil.
- Trump posted on Twitter that China should stop making troubles and should reach a real trade agreement, given China’s latest weak economic data.
- The UK’s FTSE 100 index closed at 6,970.59 points, increased by 2.26 points or 0.03%. The Frankfurt DAX index closed at 11,136.20 points, decreased by 69.34 points or 0.62%. The French CAC40 index closed at 4,867.78 points, decreased by 8.15 points or 0.17%.
- British Prime Minister Theresa May refused to rule out the possibility of delaying the Brexit and will shift his focus to a compromise with the EU on the Irish reserve plan.
- Zurbruegg, deputy governor of the Swiss National Bank, said the central bank adhered to a loose monetary policy in view of the increase in global risks and the fragile financial markets.
- Japan’s Nikkei 225 index closed at 20,719.33 points, increased by 53.26 points or 0.26%. The yen closed at 109.610 against the US dollar, decreased by 0.201%.
- Japan’s franchise chain association (JFA) statistics show that Japan’s same-store sales of convenience stores rose for two months in December last year, and accelerated year-on-year to 1.2% to 876.12 billion yen.
- The Shanghai Composite Index closed at 2,610.51 points, increased by 14.50 points or 0.56%. The Shanghai and Shenzhen 300 Index closed at 3,185.64 points, increased by 17.47 points or 0.55%. The RMB closed at 6.697 against 1 US dollar, decreased by 0.306%.
- According to the Xinhua News Agency, Chinese President Xi Jinping stressed at the high-level cadre meeting on Monday that focuses on preventing major risks.
- Guofeng Sun, director of the monetary policy department of the People’s Bank of China, said that the central bank is trying to push the benchmark deposit and loan interest rate into a 7-day reverse repo rate, which may lead to a downward shift in financing costs and transmission to the real economy.