Asia Markets - Solomon Grey Capital

Hong Kong harbor at dawn seen through an office tower window with amber sunrise light reflecting on polished marble — Solomon Grey Capital editorial illustration for the Hang Seng bear mar...

Asia Markets

Hong Kong's Worst Week in a Year: Why the Hang Seng's Bear Market Is About AI Plumbing, Not China Growth

The Hang Seng's 5.24% weekly drop and the HSCEI's slide to 22% off its January peak look like a China bear market on the surface. They aren't. The selling originated in leveraged Korean AI books and propagated through Asian time zones into the most liquid AI proxies in Hong Kong. The China story is

An empty traditional Japanese government meeting room at dusk with two wingback chairs facing each other across a polished dark wood table, a single steaming tea cup

Research

Ueda's Silence at the Kantei: Why the Political Variable, Not the Inflation Data, Is the Binding Constraint on June

Markets are pricing 80% odds of a BoJ hike on June 15-16. Ueda's six-word sentence after his Friday meeting with PM Takaichi is what is not in the price.

Empty contemporary Shanghai shopping arcade at dusk with polished stone floor reflecting cold blue light

Research

China's April Reset: Why Beijing Is Defending a Policy Regime, Not a Growth Target

China's April data printed the weakest retail growth since December 2022. The interesting question is which 4.5% target Beijing is willing to miss.