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China consumer prices rise in September at fastest pace since April 2020 By Reuters

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© Reuters. FILE PHOTO: People wearing face masks shop at a market after new cases of coronavirus (Covid-19) emerged in the country, in Beijing, China, Jan. 11, 2021. REUTERS/Tingshu Wang

BEIJING (Reuters) – China’s consumer prices rose in September at the fastest pace since April 2020, driven largely by food costs, limiting the scope for further policy easing to support a faltering economy hit by COVID-19 restrictions and a slump in the real estate sector.

Data from the National Bureau of Statistics on Friday showed that the consumer price index rose 2.8% from a year earlier, accelerating from a 2.5% increase in August, in line with expectations in a Reuters poll of analysts.

Consumer inflation accelerated with food prices rising 8.8% year over year from 6.1% in August. Pork prices jumped 36.0% from 22.4% in the previous month and vegetable prices jumped 12.1% from 6.0% previously.

However, core inflation remained more modest, with core inflation – which does not include volatile food and energy prices – at 0.6% versus 0.8% in August.

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On a monthly basis, CPI grew 0.3% after a 0.1% decline in August, also supported by higher monthly pork price inflation.

The Producer Price Index (PPI) grew at the slowest pace since January 2021, rising 0.9% year over year from 2.3% growth the previous month, and compared to expectations of 1.0%.

Analysts had expected producer inflation to decline largely due to lower oil prices, as factory surveys suggested companies were passing on some savings to customers in order to bolster weak sales.

The world’s second-largest economy barely grew in the June quarter and struggled to regain momentum amid prolonged pandemic restrictions, a sharp slump in the property market and slumping exports.

As of Oct. 10, Nomura said in a research note that 36 cities, making up 13.9% of China’s population and 19.7% of GDP, were implementing various levels of lockdown or some type of district-level control measure.

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With the pandemic’s severe restrictions likely to remain in place for some time, economists expect policymakers to roll out more monetary and fiscal easing to support the recovery, although they will be cautious amid concerns about capital flight. Other major economies continue to raise interest rates aggressively and the yuan is already hovering around 14-year lows.

The International Monetary Fund on Tuesday lowered its forecasts for China’s economic growth in 2022 and 2023 to 3.2% and 4.4%, respectively, saying that repeated shutdowns under the country’s COVID-free policy had taken a heavy toll.

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Economic

Six Macau casino operators awarded new licenses, Genting out By Reuters in Malaysia

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© Reuters. FILE PHOTO: A general view shows casinos and hotels in the aftermath of the coronavirus outbreak in Macau, China, February 5, 2020. REUTERS/Tyron Siu/

(Reuters) – Macau’s government said on Saturday that its six existing casino operators will receive new licenses to operate at the world’s largest gambling hub from January, with Malaysia’s Genting missing out.

The highly anticipated announcement signals stability and continuity for Macau operators who have invested more than $50 billion in the Chinese SAR in the past 20 years.

Officials in Macau, the world’s largest casino hub, said at a press conference that key considerations for licensing include ensuring local employment, developing overseas tourism markets, and developing non-gaming projects.

Genting Malaysia has been seen as a credible threat for Macau’s license due to its strong non-gaming record and mass-market appeal, fitting key criteria for Beijing which insists that Macau’s diversity is beyond gambling and attracting foreign tourists.

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The company did not immediately respond to an emailed request for comment.

If any of the incumbents lost, they would have to return the casino district to the government for free at the end of this year, making it financially unviable to operate the remaining facilities as gambling accounts for 80% to 90% of all revenue.

China Sands (OTC:), Where is Macau? (OTC:), Galaxy Entertainment, MGM China (OTC:), Melco Resorts, and SJM Holdings (OTC:), operating in the Chinese Special Administrative Region since 2002. Their franchises expire at the end of this year.

“We are committed to Macau and its development as a major tourism destination in Asia,” Lawrence Ho, Melco Chairman and CEO, said in a statement.

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Canada says by Reuters decision on North American car rules ‘imminent’

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© Reuters. FILE PHOTO: Canadian International Trade Minister Mary Ng speaks during question period in the House of Commons at Parliament House in Ottawa, Ontario, Canada November 29, 2021. REUTERS/Blair Gable/File Photo

MEXICO CITY (Reuters) – Canada’s International Trade Minister Marie Ng said on Friday that a decision should be made soon in a dispute between Canada and Mexico against the United States over the interpretation of regional trade rules in the auto industry.

Canada this year joined Mexico in a complaint against the United States over how it enforces auto sector content requirements under the United States-Mexico-Canada Free Trade Agreement (USMCA), which went into effect in 2020.

“I’m looking forward to making a decision. I understand it’s very imminent,” Ng told Reuters in Mexico City, where she was attending meetings of the Pacific Alliance trade group.

Under the USMCA, a deal reached at the urging of former US President Donald Trump to replace the North American Free Trade Agreement (NAFTA), 75% of vehicle components are supposed to originate in the region for quality tax-exempt status.

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Mexico and Canada favor a looser interpretation of the rules than Washington, and Mexico said in August that hearings for the Dispute Commission had begun. Mexican officials expressed confidence that the committee would favor their arguments.

Ng wouldn’t be drawn on whether a decision will come in 2022, and when asked how she expects it to be made, she said:

“Canada is confident of a point of view: This is our understanding of how we negotiated the trade agreement.”

During her visit, Ng also confirmed the concerns of Canadian investors in Mexico’s energy and mining sectors about steps taken by President Andres Manuel Lopez Obrador to tighten state control over energy and natural resources.

These differences led to a separate energy dispute under the United States of America, Mexico and Canada agreement between Ottawa and Washington against Mexico.

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Ng said she reminded Mexican officials that many of the affected investors were Canadian pension funds for groups like the teachers.

“So it’s really important that those investments that have been made here in Mexico are respected in accordance with our commercial commitments,” she said.

The minister also said she hopes next year Canada will become an associate member of the Pacific Alliance, which includes Mexico, Colombia, Peru and Chile as its core members.

NG said this week that Canada has begun exploratory discussions with Ecuador about a possible free trade agreement. She said that while it was too early to say when a deal would be concluded, the talks were starting from a “really good place”.

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Factbox – What European companies are doing as workers facing hyperinflation By Reuters

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© Reuters. Signs for the German airline Lufthansa are placed at their closed counters as Lufthansa pilots go on strike over a wage dispute at Frankfurt Airport), Germany, September 2, 2022. REUTERS/Kay Waffenbach

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(Reuters) – Companies across Europe are offering one-off bonuses and renegotiating wages as rising inflation pushes up staff food and energy bills during the winter.

Here are some examples by sector:

Cars, airlines and travel:

Volkswagen

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Volkswagen (ETR) in late November agreed a two-year wage deal for workers at its western German plants, offering 8.5% extra pay, as well as a €3,000 lump-sum payment after tax.

Lufthansa

German airline Lufthansa said on November 1 that it would increase the salaries of 19,000 cabin crew. The increase will come in two stages next year, with 250 euros more than the base salary from January 1st, and 2.5% of the base salary from July 1st.

Brembo

Brake maker Brembo announced in May a one-time pay rise of 1,000 euros ($977) for its employees in Italy.

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stellants

Carmaker Stellantis said on September 27 that it would provide financial support of up to 1,400 euros to most of its employees in France and would soon discuss a similar move in Italy.

Italian unions representing employees at Stellantis and Ferrari (NYSE:) and Iveco and CNH Industrial (NYSE:) have demanded wage increases of 8.4% in 2023.

Amsterdam Airport Schiphol

Amsterdam Airport Schiphol is offering security workers an average of 20% pay rise, the trade union FNV said on October 6 in a bid to solve an ongoing staff shortage.

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Air France

Air France said on September 14 that it would raise the salaries of all employees by 5% in anticipation of wage talks scheduled for next year and would pay a €1,000 bonus.

Renault

car maker Renault (EPA) in September gave employees more than 1,000 euros in exceptional payments.

British Airways

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BA on 22 July accepted a new wage offer for staff at Heathrow Airport, which included a flat 8% pay rise, a one-off bonus and back shift pay.

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British holiday group Saga said in September it was offering one-off benefits to frontline staff that included an 11% pay rise and a one-off cost of living payment.

The cost of living will be paid in two cash payments of EGP 500 each.

Food and general retailers:

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DIA

Spanish retailer Dia agreed on November 25 to give employees in supermarkets and warehouses pay increases of up to 12% over the next two years, as well as special bonuses for some low-paid workers.

Tesco

Tesco (OTC), Britain’s largest retailer, on November 18 offered its workers the option of receiving up to 25% of their contractual wages early. Tesco announced a second pay increase for hourly employees in October, equating to an increase of nearly 8% over the year.

Corris

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British retailer Currys said on September 30 it was raising its hourly wage rates for the third time in 13 months, adding that from October 30, hourly employees across the UK will receive a minimum rate of £10.35 ($11.66). , up 3.5%. .

Cooperative group

The British Co-operative group said on September 29 that it was looking at a 5.3% increase to 41,000 frontline workers.

Carrefour

The largest retailer in France Carrefour (EPA:) On September 22nd it offered a 2.5% wage increase from November this year, including a €100 extra payment in October.

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The offer means an overall increase in wages of 8.3% compared to August 2021

John Lewis

British retailer John Lewis said in September it would make a one-off £500 subsidy for living costs for full-time employees.

ALDI UK

German-owned discount supermarket group Aldi UK said on July 25 it would pay at least £10.50 and £11.95 in London – up 4% and 3.5% respectively – from September.

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Sainsbury’s

Supermarket chain Sainsbury’s said on Sept. 13 that from Oct. 16 it would start paying workers a minimum of £10.25, up from £10, and London’s at £11.30, up from £11.05.

This equates to a wage increase of 7.9% this year for salaried workers.

Morrisons

Supermarket chain Morrisons said on June 10 it would pay at least £10.20 from October, with workers in London being paid at least £11.05.

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Marks & Spencer

Retailer Marks & Spencer (OTC:) said on September 21st that it would pay as little as £10.20, up from £10.00, from October 1st. It says the annual increase is 7.4%.

LIDL GB

German-owned supermarket Lidl GB said on September 22 it would start from October 1 paying workers outside London a minimum of £10.90 an hour, up from £10.10, and workers in London a minimum of £11.95, up from 11.30. pounds sterling. . It says the annual increase is from 10% to 14.5%.

Luxurious items:

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French fashion giant LVMH announced the payment of bonuses of 27,000 of its employees in France on September 29 ranging between €1,000 and €1,500.

energy:

totals

TotalEnergies workers are seeking a 10% pay rise from this year after rising energy prices resulted in huge profits.

On October 9, the company offered to introduce wage talks set to begin in mid-November in an effort to end weeks of strikes that have disrupted gasoline supplies.

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Banks and Finance:

Lloyd’s

Britain’s largest domestic bank Lloyds (LON:) has offered staff either a £2,000 or a 5% pay increase – whichever is greater – up to a maximum of £5,000, according to a notice published by Union Unite to its members early on. November.

INTESA SANPAOLO

Italy’s largest bank (Intesa Sanpaolo) agreed in November with the unions for an additional one-time payment of 500 euros, the sector’s largest union FABI said on November 22.

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Mabfer

Spanish insurer Mapfre said on November 24 that it would pay a one-off €400 bonus at Christmas to its roughly 10,000 employees in Spain to help them cope with spiraling inflation.

UniCredit

UniCredit, Italy’s second-largest bank, will give its employees in Germany a €2,500 bonus, a copy of an internal memo, seen by Reuters and confirmed by a spokesperson, appeared on November 18.

National Building Association

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British lender Nationwide Building Societe said on August 15 that it would pay more than 11,000 of its staff £1,200.

HSBC

A note seen by Reuters on August 1 said Britain’s HSBC would pay some of its British workforce in a one-time payment of £1,500.

others:

royal mail

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British Post and Parcel Corporation, royal mail (LON:) offered a 9% salary increase over 18 months to its employees who are members of the Communications Workers Union, on November 23, but the union rejected the offer and is planning several strikes.

Compass Group is a contractor compass set (LON:) has launched a new salary advance and grant scheme for employees in Britain, allowing salaried employees the ability to withdraw up to 50% of their earned salary before payday, it said on November 21.

Cleaning and property management company Mitie said on November 17 that it was offering low-paid employees a “winter support package,” which includes one-time bonuses, retail discounts, and the option to borrow against future paychecks.

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Coffee and sandwich chain Pret A Manger said in October that all UK staff across its stores and support center would receive a 5% increase in wages from December 1, the equivalent of a 13% increase in a year’s time.

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AG bar

Soft drink maker AG Bar said on Sept. 27 that it had offered a one-off special cost-of-living payment of 1,000 pounds to its employees for less than 45,000 pounds.

Circo

British outsourcing company Serco said on August 4 that it would deliver an additional £9m in one-off payments to around 45,000 non-management staff.

($1 = 1.0233 euros)

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