September 23rd Macroeconomic Index: China Emphasizes Quality and Efficiency in Finance, Inspects Rule of Law, and Stabilizes Real Estate Market

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Domestic News

1. The Central Office for the Rule of Law has carried out on-the-spot rule of law inspections in 6 provinces and autonomous regions across the country

2. Economic Daily: The total amount of finance should be less emphasized and the quality and efficiency should be greatly emphasized

3. Purify the capital market environment and work together to cut off the interest chain of "small composition".

4. Wuxi: We must make every effort to stabilize the market and resolutely complete the target task of ensuring the completion of buildings and housings

5. Wang Tianguang, Secretary of the Party Leadership Group and Director of the Shanghai Municipal Communications Administration: Shanghai should appropriately deploy a new type of information infrastructure ahead of schedule

 International News

1. Israel plans to conduct a ground operation in Lebanon to establish a buffer zone

2. The probability of the Fed's interest rate cut of 50BP and 25BP in November is "tied"

3. A $100 billion chip project. TSMC and Samsung are considering building factories in the U.A.E..

4. Trump said that he would not run again if he lost the 2024 election

5. The Israeli army claims that Hezbollah has launched more than 120 air threats against civilian areas in northern Israel

Domestic News

1. The Central Office for the Rule of Law has carried out on-the-spot rule of law inspections in 6 provinces and autonomous regions across the country

It was learned from the Central Office for the Rule of Law that the Central Office for the Rule of Law sent 6 inspection teams to carry out a 7-day on-site rule of law inspection on the implementation of key tasks in the field of rule of law reform in 6 provinces and autonomous regions across the country. This is the first comprehensive rule of law supervision since the 20th National Congress of the Communist Party of China. The six provinces are Anhui, Hunan, Guangxi, Sichuan, Gansu and Ningxia. The inspection team is led by the current ministerial-level leaders of the relevant departments of the central and state organs, and the relevant departments and local business backbones, experts and scholars, deputies to the People's Congress, and Members of the Chinese People's Political Consultative Conference (CPPCC) participate.

2. Economic Daily: The total amount of finance should be less emphasized and the quality and efficiency should be greatly emphasized

At present, China's economy is undergoing transformation and upgrading and moving towards a stage of high-quality development, and the growth of money and credit required by the real economy has changed from supply-side constraints to demand-side constraints. In contrast, "attach less importance to the total amount of the economy and putting quality and efficiency as the point" is of greater significance for financial support for the real economy, and only by revitalizing the existing capital stock, improving the market-oriented interest rate regulation and control mechanism, and improving the transmission efficiency of monetary policy can we better support the high-quality development of the real economy.

3. Purify the capital market environment and work together to cut off the interest chain of "small composition".

On September 21, the Cyber Security Bureau of the Ministry of Public Security released a case of cracking down on online rumors in the securities market. Since last year, cracking down on online rumors and tackling "small compositions" has become an important task for regulatory authorities. The interviewed experts believe that the regulatory authorities should strengthen cooperation, give full play to their joint efforts, further increase the cost of violations, and cut off the interest chain of "small composition"; At the same time, we will continue to improve the transparency of capital market information disclosure and reduce information asymmetry; Strengthen investor education, strengthen supervision of the communication chain, etc., crack down on and reduce the impact of "small essays" on the capital market, and purify the market environment.

4. Wuxi: We must make every effort to stabilize the market and resolutely complete the target task of ensuring the completion of buildings and housings

On the 22nd, the Wuxi Municipal Government held a meeting to promote the city's real estate market to stabilize investment and promote consumption. The meeting pointed out that real estate work is related to the vital interests of the masses and the overall situation of economic and social development. All localities and relevant departments should be responsible, pragmatic and promising, adhere to the combination of digesting the stock and optimizing the increment, promote the work to be deepened and practical, speed up and improve efficiency, and ensure that real results are achieved. It is necessary to make every effort to stabilize the market, resolutely complete the target task of ensuring the delivery of real estate, pay close attention to the introduction of a new round of real estate-related optimization policies and do a good job in publicity and interpretation, strengthen the positive guidance of the market in combination with a series of activities to promote consumption, continue to expand the scope and object of housing ticket placement, make full use of new policies such as "trade in" of commercial housing, and take many measures to boost market confidence and stimulate market vitality.

5. Wang Tianguang, Secretary of the Party Leadership Group and Director of the Shanghai Municipal Communications Administration: Shanghai should appropriately deploy a new type of information infrastructure ahead of schedule

At the first working meeting of the leading group and expert group for the high-quality development of Shanghai's information and communication industry to promote new industrialization held by the Shanghai Municipal Communications Administration recently, Wang Tianguang, Secretary of the Party Group and Director of the Shanghai Municipal Communications Administration, said that Shanghai's information and communication industry should continue to explore in depth from the following three aspects: First, the deployment of new information infrastructure in advance. The new information infrastructure is the main carrier for the industry to serve the new industrialization, and it is necessary to continue to increase investment; The second is to accelerate the popularization and application of the new generation of information technology in an all-round and full-chain manner, promote artificial intelligence to empower new industrialization, increase exploration, actively embrace manufacturing enterprises, and serve the digital transformation of application scenarios; The third is to continue to explore and research new technologies, new models and new business formats, such as flexible factories and collaborative manufacturing, so as to achieve more extensive resource optimization and deeper changes in production methods, so as to create a higher level of industry value for the society.

International News

1. Israel plans to conduct a ground operation in Lebanon to establish a buffer zone

The United Kingdom magazine The Economist, citing military sources, reported that Israel is preparing a ground operation in Lebanon to create a buffer zone north of the border between the two countries. "Israel is also preparing to launch a ground offensive, which includes seizing miles north of the border to create a buffer zone, military sources said." An Israel reserve officer involved in the preparations said plans for ground operations had been developed but not yet sufficient to carry them out. The report also pointed to divisions within Israel highest military and political classes, with some hoping for an early escalation of the situation, suggesting to exploit the chaos within the Lebanon Allah Party, while others proposed a more cautious approach to force the group to back down.

2. The probability of the Fed's interest rate cut of 50BP and 25BP in November is "tied"

According to CME's "Fed Watch": the probability of a 25 basis point cut by the Fed by November is 49.0%, and the probability of a 50 basis point rate cut is 51.0%. The probability of a cumulative rate cut of 50 basis points by December is 25.6%, and the probability of a cumulative rate cut of 75 basis points is 50.0%; The probability of a cumulative rate cut of 100 basis points is 24.4%. Last week, the Fed's potential successor to the Fed chairman, current Fed Governor Waller, said another 50 basis point rate cut could be considered if the job market deteriorated.

3. A $100 billion chip project. TSMC and Samsung are considering building factories in the U.A.E..

According to the Wall Street Journal, two of the world's largest chipmakers, TSMC and Samsung Electronics, have discussed building chip projects in the U.A.E. in the coming years, which could be worth more than $100 billion. The report quoted sources as saying that TSMC's top management recently visited the U.A.E. and talked about building a factory complex comparable to TSMC's largest and most advanced factory in Taiwan. Samsung Electronics is also considering launching a new large-scale chip manufacturing business in the U.A.E. in the coming years, and senior company officials recently visited the U.A.E. to discuss the idea. Under the preliminary terms being discussed, the projects will be funded by the U.A.E., with Abu Dhabi-based sovereign wealth fund Mubadala playing a central role. The broader goal is to increase global chip production and help lower chip prices without hurting the profitability of chipmakers, the report added.

4. Trump said that he would not run again if he lost the 2024 election

On September 22, local time, United States Republican presidential candidate and former President Trump said that if he loses the presidential election in November this year, he does not think he will run again in the 2028 presidential election. Born in 1946, Trump is 78 years old and will be 82 years old by the time of the 2028 United States presidential election. Before United States incumbent President Joe Biden announced that he was withdrawing from the 2024 United States presidential election, Trump often attacked the 81-year-old Biden on age issues.

5. The Israeli army claims that Hezbollah has launched more than 120 air threats against civilian areas in northern Israel

On the 22nd local time, Avichay Adraee, spokesman for the Israel Defense Forces, said that the Hezbollah Party launched more than 120 air threats against civilian areas in northern Israel that morning. An Israeli spokesman said that Israel is ready for the next move and will maintain a high level of alert in both offensive and defensive aspects. The the Hezbollah Party announced on the 22nd local time that in response to the Israel's "multiple attacks on Lebanon", the Party launched "dozens of missiles" at the Israeli side in the early morning of the same day. According to media reports, it’s the farthest attack on targets in Israel since the outbreak of the new round of Palestinian-Israeli conflict.

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