Top News
Fed's Powell cues possible rate cut, US stocks surge
Federal Reserve chair Jerome Powell indicated US interest rates may be coming down in a widely anticipated keynote address at the annual Jackson Hole international economic symposium. His remarks sent US stock prices surging and government bond yields dropping. Powell said the "balance of risks appears to be shifting," a reference to the Fed's recent concerns about the effects of Trump tariff on inflations, and "may warrant adjusting our policy stance." The US market remains in good shape, he said but warned that the Fed needs to be on its guard against stagflation. Analysts lifted their odds of a rate cut when the Fed meets next month. The Dow Jones Industrial Average surged 1.9 percent on Powell's remarks to a record close, and the yield on the benchmark 10-year Treasury bond slid 0.07 percentage point to 4.26 percent.
Israel says Gaza City will be destroyed if Hamas rejects release of all hostages
Israeli hard line defense minister Israel Katz said Gaza City, the most heavily populated area of the territory, will be razed if Hamas doesn't agree to disarm and release all hostages. Despite global calls to end the bloodshed, the Israeli military began a new offensive on the city this week. Israel has thus far rejected the latest ceasefire proposal, agreed to by Hamas and brokered by Egypt and Qatar, that calls for release of half of the remaining hostages in Gaza while talks on a permanent peace are held. Only 20 of 50 hostages still in Gaza are believed alive after 22 months of war.
Separately, the UN-backed body responsible for monitoring food security, declared for the first time that a man-made famine exists in Gaza, threatening 500,000 people, including 132,000 children, with malnutrition and starvation. "Just when it seems there are no words left to describe the living hell in Gaza, a new one has been added: famine," UN Secretary-General Antonio Guterres said. Israel called the report "false and biased."
Top EU diplomat warns of Russian "trap"
Kaja Kallas, the EU's top diplomat, said the idea of Ukraine ceding territory to Russia as part of any peace deal is "a trap that Putin wants us to walk into." The idea of land swaps was discussed at a bilateral summit between Russian President Vladimir Putin and US President Donald Trump last weekend. It is known that the Kremlin wants to take over the Donbas region in eastern Ukraine. "Putin is just laughing, not stopping the killing but increasing the killing," Kallas told the BBC. "We are forgetting that Russia has not made one single concession."
China tightens controls over rare earths
China issued new rules on Friday to strengthen oversight over mining and processing of rare earth minerals, which are critical in electric vehicles, consumer electronics, wind turbines and defense systems. The interim measures introduce output quotas for mining and refining of rare earth products. Only approved firms will be allowed to operate in the sector and they must register product flows into a national system. Violators risk penalties and reduced quotas. China supplies about 60 percent world demand for rare earths.
China condemns US military presence off Venezuela
China criticized US naval deployment off the coast of Venezuela, accusing Washington of foreign interference. Chinese Foreign Ministry spokesperson Mao Ning said China opposes actions that violate the United Nations Charter and a country's sovereignty and security. The Trump administration sent warships to the area in an effort, in its words, to combat drug cartels.
Top Business
Nvidia halts supplies related to H20 chips as China market sours
Nvidia, the world's biggest chipmaker, has asked suppliers to stop production of products related to its new H20 chip, which was specifically designed for China, according to US-based technology publication The Information. It said US-based Amkor Technology was told to stop production of advanced packaging for the chips and South Korea's Samsung Electronics was told to cease output of memory for them. A separate Reuters report said Nvidia asked Taiwan-based Foxconn to suspend work related to the H20s. The directive comes after Chinese regulators questioned "backdoors" in the chips that would allow tracking and remote shutdown – a claim Nvidia denied – and amid lukewarm response from Chinese buyers.
An April ban on exports of H20 chips to China by the Trump administration was lifted in July. Subsequent remarks by Commerce Secretary Howard Lutnik that the H20s are "our fourth best" and the US ban remains on premium technology, like Nvidia top tier B200 chips, reportedly rankled Chinese authorities. China is developing its own advanced chips.
Nvidia Chief Executive Jensen Huang, who was in Taipei on Friday visiting chip foundry giant TSMC, said the company is in talks with US officials about offering China the H20 successor B30A chip but he can't say if US authorities will approve the idea.
Tesla partners with ByteDance for AI smart cockpit experience
Tesla's smart car cockpits will now feature artificial intelligence models from ByteDance's Volcano Engine as part of a new partnership. According to updated terms of use for the electric carmaker's voice assistant, the newly released Model Y L will integrate the Doubao and DeepSeek AI models.
The collaboration reflects Tesla's strategy to localize its technology for the Chinese market, where strict data and privacy regulations apply. Doubao is expected to handle routine voice commands such as navigation and climate control, while DeepSeek will manage more complex, conversational interactions. Both models are hosted on ByteDance's cloud service, ensuring data processing remains within China.
Sany Heavy first-half profit surges 46 percent
China's Sany Heavy Industry, the world's third-largest heavy equipment manufacturer, posted a 46 percent surge in first-half profit from a year earlier to 5.2 billion yuan (US$724 million). Overseas revenue, which accounts for 30 percent of sales, rose 12 percent. The company said it benefited from a recovery in the domestic construction machinery industry and from overseas growth spurred by the launch of 80 new products. By category, revenue from excavators, cranes and concrete machinery led gains.
Insurer PICC reports net income decline
PICC Property & Casualty, the largest non-life insurer in China, reported first-half net income fell 7.7 percent from a year earlier to 889 million yuan (US$124 million), on a 1 percent slide in revenue to 34.8 billion yuan. The company reported some losses on investments and claims. Premiums rose to 24.9 billion from 24.2 billion, but revenue from car insurance dropped to 22.9 billion from 24.2 billion, and home insurance tumbled to 585 million yuan from 793 million yuan.
US buys 10 percent stake in Intel
The US government has taken a 10 percent stake in struggling chipmaker Intel, the only American company capable of making advanced chips wholly on US soil. The government purchased 433 million Intel shares for US$8.9 billion. Trump hailed the purchase as part of his "make America great again" campaign.
Economy and Markets
Chinese property developers clear debt loads
More than 20 Chinese property developers have secured approval for their debt restructuring plans this year, clearing over 1.2 trillion yuan (US$167 billion) in liabilities. According to the China Index Academy, major firms like Sunac China Holdings and Country Garden are among those making progress. Learning from earlier failures by companies like Guangzhou-based R&F Properties, developers are now favoring more practical solutions like cash buybacks and debt-for-equity swaps. The new focus is on cutting overall debt levels by as much as 70 percent.
Japan inflation eases as rice prices begin to drop
Japan's headline inflation rate in July cooled to 3.1 percent from 3.3 percent in June as rice prices eased but remained above the Bank of Japan's target rate of 2 percent for the 40th straight month. Core inflation, which excludes fresh foods, eased by the same month-on-month percentages. The price of rice, a staple of the Japanese diet, doubled in June on a supply shortage. Rice inflation eased to 91 percent in July.
China pharma ranks second in the world
China's pharmaceutical industry has moved up to second-largest in the world after the US, accounting for about 30 percent of global innovative drugs under research, said Yang Sheng, deputy head of the National Medical Products Administration. The Chinese government has been strong in its support for the industry with the intent of reducing reliance on foreign drugs that have long dominated the domestic market.
China to issue more yuan bonds in HK
China's Ministry of Finance said that it will issue 12.5 billion yuan (US$1.75 billion) of yuan-denominated treasury bonds in Hong Kong on Aug 27. It will be the fourth issue of its kind in the city this year.
Ride-hailing giants in China cut commissions
Major Chinese ride-hailing companies, including Didi Chuxing, T3 Chuxing and Cao Cao Mobility, are reducing commission fees for drivers. This move comes in response to a sustained push from local regulators to address high commission rates and improve driver compensation. Didi will lower its maximum commission fee to 27 percent from 29 percent by year's end, with a monthly cap of 25 percent for high-volume drivers. T3 has also set a maximum fee of 27 percent.
Deep Dive
'Baby-face' injections soar in popularity, profits are proving skin deep
As of July, nine "baby-face injection" products have won approval for use in China, with another dozen in the regulatory pipeline. Prices, once hovering above 18,000 yuan per treatment, are already sliding toward the 10,000-yuan mark in major cities as competition bites.
Some aggressive newcomers have undercut prices of market leaders by a third, sparking disputes over product authenticity and medical qualifications.
(Click the headline to read the full article.)
Pet show opens with AI-powered products and global ambitions
The Pet Fair Asia 2025 opened in Shanghai on August 20, showcasing a thriving "pet economy" driven by technological innovation.
(Click the headline to read the full article.)
Corporate
Nio shares surge on cheaper SUV
Nio shares jumped after the Chinese electric carmaker launched one of its most affordable models to date, intensifying a price war in the world's largest car market. Its US-listed stock rose 14 percent on Friday. The company introduced the new ES8 SUV at a sticker price of 308,800 yuan (US$43,000) under a battery subscription plan that lowers upfront costs and allows battery swapping for a monthly fee. Deliveries are due to start in late September. Long known as a premium brand, Nio has struggled against rivals offering cheaper alternatives.
AI software company IFlytek narrows loss in first half
IFlytek, a leading Chinese supplier of AI voice recognition software, narrowed its first-half loss to 239 million yuan (US$33 million) from 400 million yuan a year earlier. Revenue rose 17 percent to 11 billion yuan. China Mobile is the company's largest shareholder. Earlier this year, iFlytek began collaboration with Huawei on improving its Xinghuo X1large language model. The model now supports over 130 languages, offering a choice for a fully independent, controllable large model platform, mainly used in mathematics, translation reasoning and text generation.
Bilibili posts second-ever quarterly profit
Shanghai-based Bilibili, a Chinese video-sharing and game platform, turned to a profit of 218 million yuan (US$31 million) in the second quarter from a 608 million yuan loss a year earlier, beating forecasts. It was only the second time the company reported a profit. Revenue rose 20 percent to 7.3 billion yuan. Income from mobile games rose 60 percent, while advertising sales increased 20 percent.
Video platform iQiyi turns to loss from profit
Chinese video-on-demand platform operator iQiyi swung to a second-quarter loss of 134 million yuan (US$19 million) from a year earlier profit of 69 million yuan. Revenue tumbled 11 percent to 6.6 billion yuan on a 9 percent drop in membership and a 13 percent drop in online advertising. However, revenue from overseas membership grew, with Brazil, Mexico and Indonesia up 80 percent. Spending on research and development fell 6 percent to 959 million yuan.
Video app developer posts 24 percent rise in profit
Beijing-based Kuaishou, developer of a mobile app for sharing short videos and a video special effects editor, reported second-quarter profit rose 24 percent to 4.9 billion yuan (US$682 million). Revenue climbed 13 percent to 35 billion yuan. The Kuaishou app had a record 409 million daily active users in the period. Revenue from offshore business grew 21 percent.
Miniso shares soar on strong performance
Shares in Chinese consumer goods retailer Miniso Group Holding surged 20 percent in New York and Hong Kong after the company reported better-than-expected quarterly results. Revenue for the three months ended June 30 grew 23 percent to 5 billion yuan (US$693.2 million), led by its trendy TopToy brand. Adjusted net profit rose 11 percent to 692 million. The company said it was operating 7,612 stores at the end of June. Miniso raised its full-year revenue growth outlook to at least 25 percent.
Yonghui Superstores swings to loss on store closures
Chinese retail chain Yonghui Superstores turned to a first-half loss of 241 million yuan (US$34 million) from profit of 275 million yuan a year earlier, largely on costs associated with the closure of loss-making outlets. Revenue fell 21 percent to 30 billion yuan. The company said it closed 227 stores, leaving 552 still operating. Some 160 stores have undergone operational restructuring, with another 40 expected to be completed by the end of September. Chief Financial Officer Wu Kaizhi said the closures and restructuring will lower 2025 earnings from last year.