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On March 7th, Bai Jingyu, Director of the Innovation and High-Tech Development Department of the National Development and Reform Commission, stated at a press briefing held by the State Council Information Office that the draft outline of the 15th Five-Year Plan constructs a development sequence for emerging industries that combines short-term and long-term goals, consisting of strategic emerging industries, emerging pillar industries, and future industries. Looking to the present, the plan continues to focus on the development of strategic emerging industries such as next-generation information technology and new energy, and builds industrial clusters with distinctive characteristics and complementary advantages tailored to local conditions. In the medium term, it focuses on developing emerging pillar industries such as integrated circuits, biomedicine, and aerospace, constructing new pillars for national economic development. Looking to the long term, it proactively plans for future industries such as quantum technology, brain-computer interfaces, and embody intelligence, cultivating strategic emerging industries for "tomorrow" and pillar industries for "the day after tomorrow."On March 7th, Chen Lei, Director of the Development Strategy and Planning Department of the National Development and Reform Commission (NDRC), stated at a press briefing held by the State Council Information Office that in recent years, Chinas level of opening up to the outside world has been continuously improving. The negative list for foreign investment access has been reduced to 29 items, and restrictions on foreign investment access in the manufacturing sector have been completely eliminated. The next step will be to expand market access and open areas with a focus on the service sector, promoting the orderly expansion of opening up in telecommunications, the internet, education, culture, and healthcare, advancing comprehensive pilot demonstrations for expanding the opening up of the service sector, and further reducing the negative list for foreign investment access, thus providing foreign companies with "broader" investment opportunities in China. Simultaneously, diverse forms of openness will be created.On March 7, Liu Dechun, Director of the Department of Social Development of the National Development and Reform Commission, stated at a press briefing held by the State Council Information Office that the draft outline of the 15th Five-Year Plan proposes, in terms of building a fertility-friendly society, expanding the coverage of the maternity insurance system, reasonably improving the level of protection for prenatal medical expenses, and fully implementing the maternity leave system.On March 7th, Chen Lei, Director of the Development Strategy and Planning Department of the National Development and Reform Commission (NDRC), stated at a press briefing held by the State Council Information Office that during the 14th Five-Year Plan period, China utilized over US$750 billion in foreign investment, with overseas investments spanning 190 countries and regions. During the 15th Five-Year Plan period, China will continue to optimize the foreign investment environment, fully implement national treatment for foreign-invested enterprises, improve the service and support system for foreign investment, and ensure both market access and operational rights. China welcomes more foreign-invested enterprises to invest in China and share the enormous development potential in advanced manufacturing, modern services, high technology, energy conservation, and environmental protection. Simultaneously, China will improve its overseas comprehensive service system and support qualified enterprises to conduct mutually beneficial overseas investment cooperation.The National Highway Traffic Safety Administration (NHTSA) has recalled 11,787 General Motors (GM.N) vehicles in the United States because engine shutdown increases the risk of a collision.

GBP/JPY Surpasses 161.00 Due to Firmer Rates, Discussions of UK Tax Cuts, and Concentration on BoE

Daniel Rogers

Jan 30, 2023 15:32

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GBP/JPY demonstrates moderate gains near 161.00 as it reflects the market's cautious disposition at the beginning of a key week that includes multiple monetary policy meetings and important data. Despite this, the cross-currency pair sustains its two-week recovery on the back of rising US Treasury bond yields and hawkish Bank of England forecasts (BoE).

 

Despite a tiny bid at press time, 10-year US Treasury rates remain uninspired about 3.51% after reversing a two-week decline last Friday. Concerns surrounding the Bank of England's 0.50 percentage point interest rate increase to contain inflation appear to keep GBP/JPY purchasers optimistic.

 

Notably, concerns regarding the United Kingdom's opposition to tax cuts appear to help the pair's upward momentum. Reuters quotes British finance minister Jeremy Hunt as saying on Friday that he plans to prioritize corporate tax cuts whenever public finances permit.

 

GBP/JPY sellers, on the other hand, are hopeful due to the Bank of Japan's (BoJ) continuing efforts to defend the Yield Curve Control (YCC) with recently higher inflation data from Tokyo. Japan's foundations may be on par with those of the United Kingdom, despite the former's greater stability.

 

The GBP/JPY exchange rate may experience a short-term rebound in the near future as a result of cautious optimism on the market and reduced fears of UK worker strikes. Nonetheless, the Bank of England's (BoE) rate hike and efforts to limit inflation without harming productivity will draw considerable attention.