China’s top trade negotiator Li Chenggang removed from post as permanent WTO representativeXinhua report.No further details for now. This article was written by Eamonn Sheridan at investinglive.com. 🔗 Read Full Article 💡 DMK Insight The sudden removal of Li Chenggang as China’s permanent WTO representative raises eyebrows and questions about the stability of China’s trade strategy. This shake-up could signal a shift in how China engages with global trade negotiations, particularly as tensions with the West continue to simmer. Investors should keep a close eye on the implications for trade policies, as changes in leadership often herald shifts in priorities and tactics. In a world where trade is as unpredictable as the weather, this development could be a storm cloud on the horizon or a chance for clearer skies. 📮 Takeaway Monitor China’s trade policy shifts closely; they could impact global markets significantly.

News of this from the weekend:Japan has agreed a coalition government – paves way for Takaichi PM – yen a little higherYen’s moving the right way now! Takaichi closer to being PM.Updating now:Ishin party leader Yoshimura says mostly agreed on conditions with LDP to form coalitionWill meet LDP leader Takaichi at 0900 GMT to formalise the coalition agreementJapan will hold a parliamentary vote to pick a new PM to replace outgoing Shigeru Ishiba on October 21. This article was written by Eamonn Sheridan at investinglive.com. 🔗 Read Full Article 💡 DMK Insight The formation of a coalition government in Japan signals a potential shift in economic policy, particularly with Takaichi at the helm. Investors should keep a close eye on how this new leadership may influence the yen’s trajectory and broader market sentiment. A stronger yen could mean a more competitive export environment, which might rattle some sectors while providing relief to others. As the political landscape evolves, it’s a reminder that currency markets often dance to the tune of political decisions. 📮 Takeaway Watch for yen fluctuations as Takaichi’s policies take shape; they could impact your investment strategy.

China’s q/q Q3 GDP improved, but the y/y was the slowest in a year:China Q3 GDP +1.1% q/q (+0.8% expected)Other data was better, although property investment cratered:China Sept Retail Sale (YoY) +3.0% (expected 2.9%) & Industrial Production (YoY) +6.5% 5.0%China National Bureau of Statistics (NBS) spokesperson comments, priomising more stimulus:Will intensify and optimize counter-cyclical policies, expand domestic demand, and strengthen domestic circulationWill further stimulate market vitality, boost growth expectations, strengthen endogenous momentum, and promote sustainable economic growthSince Q3, tariff abuse by certain countries has disrupted global trade order, with rising unilateralism and protectionism increasing instability and uncertainty in global trade growth This article was written by Eamonn Sheridan at investinglive.com. 🔗 Read Full Article 💡 DMK Insight China’s Q3 GDP growth shows a glimmer of hope with a quarterly uptick, but the year-on-year figures tell a different story, revealing the slowest growth in a year. This mixed bag of data underscores the fragility of the recovery, particularly as property investment continues to plummet. The promise of more stimulus from the National Bureau of Statistics could be a double-edged sword; while it aims to invigorate the economy, it also raises questions about long-term sustainability and the potential for inflation. Investors should keep a keen eye on how these developments unfold, as they could signal both opportunities and risks in the market. 📮 Takeaway Monitor China’s stimulus measures closely; they could sway market sentiment and investment opportunities.

Goldman Sachs analysts believe China holds “very strong” and potentially long-lasting market power over rare earths due to its dominance across the entire supply chain.This leverage comes not just from controlling the rare earth minerals themselves, but also the crucial refining process and the subsequent production of the magnets derived from them. While common light rare earths aren’t scarce, the supply of heavy rare earths (like dysprosium and terbium) is tighter because they are harder to find in economically viable amounts.Although the U.S. is investing in new rare-earth production, these facilities are not expected to be fully operational until 2028 or later. Furthermore, China has actively restricted the inventory of rare earth magnets held outside the country, resulting in low commercial inventories that amplify China’s control in the near term. This article was written by Eamonn Sheridan at investinglive.com. 🔗 Read Full Article 💡 DMK Insight Goldman Sachs’ assessment of China’s grip on the rare earth market underscores a critical geopolitical reality: control over resources is as much about refining and production as it is about raw materials. This dominance could have far-reaching implications for global supply chains, particularly for industries reliant on these essential components, like tech and renewable energy. As nations scramble to secure their own supply chains, the stakes are high, and the chessboard is shifting. Investors should keep a keen eye on how this power play unfolds, as it could reshape market dynamics in unexpected ways. 📮 Takeaway Monitor geopolitical developments in rare earths; they could impact tech and renewable energy investments significantly.

China’s ‘very strong’ rare earths leverage set to endure, says Goldman SachsChina on slower GDP: tariff abuse by certain countries has disrupted global trade orderJapan – Ishin party leader says mostly agreed on conditions with LDP to form coalitionChina’s top trade negotiator Li Chenggang removed from postReserve Bank of New Zealand’s own inflation indicator +2.7% y/yChina Sept Retail Sale (YoY) +3.0% (expectd 2.9%) & Industrial Production (YoY) +6.5% 5.0%China Q3 GDP +1.1% q/q (+0.8% expected)Moody’s forecasts China’s GDP data will show a significant deceleration in growth.China new home prices have fallen again in September – vicious cycle lower continuesPBOC sets USD/ CNY reference rate for today at 7.0973 (vs. estimate at 7.1318)People’s Bank of China set 1 and 5 year Loan Prime Rate (LPR) rates unchanged, as expectedChina’s September rare earth magnet exports drop to 5,774 tons, down from 6,146 in AugustTrump wants China to buy soybeans, says he believes China will make a deal on soybeansUS, India to drive copper demand as China’s growth slows; market becomes fragmentedUS Secret Service discovered a killing platform. For Trump assassination attempt?JD Vance: no security plan to disarm Hamas; Trump undecided on giving Tomahawks to UkraineUK housing market stalls ahead of November budgetUK launches ‘Sterling 20’ club of top pension funds to unlock investmentKering sells beauty business to L’Oréal to cut debtYen’s moving the right way now! Takaichi closer to being PM.New Zealand Q3 CPI +1% q/q (expected +1%) and +3% y/y (expected +3%)European Central Bank President Lagarde cautioned on a waning US dollar, tariff inflationFrance downgraded to A+ by S&P. Outlook from ‘negative’ to ‘stable’Economic calendar in Asia Monday, October 20, 2025: NZ CPI, China data, PBOC rate settingMonday morning open levels – indicative forex prices – 20 October 2025Japan has agreed a coalition government – paves way for Takaichi PM – yen a little higherNewsquawk Week Ahead: US, UK, Japan and Canada CPI, Flash Global PMIs, Japan PM VoteBessent will meet with He Lifeng next week on trade Japan: new political coalition confirmedThe Liberal Democratic Party (LDP) confirmed an agreement with the Japan Innovation Party (Ishin) to form a coalition government, paving the way for LDP leader Sanae Takaichi to become the new prime minister. The final agreement is set to be formalised at 0900 GMT today. In currency markets, the political news saw the USD/JPY pair gap slightly lower (yen strengthening) in early trade, though this was quickly reversed. USD/JPY saw highs around 151.20 before settling back to approximately 150.80. Expect the market to watch Takaichi’s policy stance, particularly on stimulus and its potential impact on Bank of Japan (BOJ) monetary policy. -New Zealand: inflation at the upper limit New Zealand released its third quarter (Q3) inflation data, with the annual figure hitting the upper boundary of the Reserve Bank of New Zealand’s (RBNZ) target range.Q3 CPI:3.0% year-on-year (y/y), which was in line with expectations but up from 2.7% in Q2 and the highest rate in a year.Core inflation: 2.5%.RBNZ target band: 1–3%.Later in the session, the RBNZ’s preferred underlying measure, the sectoral factor model, printed at 2.7% y/y.The NZD/USD pair traded a little higher following the release, in line with a generally stronger trend for major currencies against the US dollar today. The market will now focus on the RBNZ’s next move, with the reacceleration of inflation to the 3% ceiling creating a hiccup for policymakers.- China: mixed data despite GDP beatChina’s Q3 Gross Domestic Product (GDP) surprised to the upside on a quarterly basis, but underlying data highlighted persistent challenges, most notably in the property sector. Cumulative GDP growth for the first three quarters reached 5.2%, keeping Beijing on track to meet its “around 5%” full-year target. However, the data confirms that the housing market remains a significant drag; new home prices logged their 28th consecutive monthly decline, weighing heavily on consumer confidence and growth prospects.Separately, the People’s Bank of China (PBoC) kept its benchmark 1-year and 5-year loan prime rates (LPR) unchanged at 3.00% and 3.50%, respectively. -President Donald Trump made a number of public comments:Colombia tariffs: Trump announced plans to hike tariffs on Colombia due to rising tensions over the drug trade.6China trade: He laid out his demands for China, including a restart of soybean purchases (to at least previous levels), a stop to fentanyl shipments, and an end to the “rare earth game.” He added that he can lower tariffs on China, suggesting a willingness to de-escalate the trade war. Asia-Pac stocks:Japan (Nikkei 225) +2.9%, the prospect of a weaker yen an enticementHong Kong (Hang Seng) +2.45%Shanghai Composite +0.69%Australia (S&P/ASX 200) +0.23% This article was written by Eamonn Sheridan at investinglive.com. 🔗 Read Full Article 💡 DMK Insight China’s grip on rare earths is not just a matter of resources; it’s a strategic chess game that could redefine global supply chains. As Goldman Sachs points out, this leverage is likely to persist, signaling that countries reliant on these materials need to rethink their dependencies. With the backdrop of slower GDP growth and trade tensions, the stakes are high for investors who must navigate this complex landscape. The removal of key trade negotiators adds another layer of uncertainty, suggesting that the geopolitical climate is as volatile as the markets themselves. 📮 Takeaway Investors should monitor rare earths developments closely, as they could impact supply chains and market stability.