October 4, 2021

Evergrande Has Investors Be Careful!

 Evergrande’s risk threat awaits investors at the opening earlier in the week after its shares were reportedly delayed for trading on the Hong Kong market.

According to a report released at the start of the Asian session, trading of China Evergrande Group shares was halted at 9am today. Therefore, all structured products related to the company will also be stopped trading at the same time.

The situation came after the giant firm failed to pay two interest on offshore bonds that ended on October 23 and 29. It now has a temporary grace period of 30 days from the date it ends.

Risk -sensitive currencies, the Aussie dollar and the kiwi began to show slight declines in the Asian session after posting gains at the end of last week’s trading.

The two currencies are the main focus of the market this week following the policy meetings of the Australian and New Zealand central banks scheduled to take place this week.

Meanwhile, the US dollar king was seen slightly higher following the decline recorded at the end of last week following profit -taking by investors. At the time of writing, the dollar index is trading at 94.05.

Investors will focus on the publication of the US NFP jobs report on Friday which is expected to increase in September.

Following the development of the European currency, the euro slipped slightly from the 1.1600 price level it reached at the beginning of the Asian session, while the pound held around 1.3530 against the greenback.