Daily Macro Economy News on May,23th
Latest Global Major Index
International Crude Price Trend and Exchange Rate of RMB to USD Trend
Domestic News
1CSPG peak load exceeded 200 million kilowatts as the peak of electricity consumption was advanced
2State Grid held a 2023 summer peak power supply and flood control work
3The Planning Department of NDRC went to Guangdong Province to carry out the mid-term evaluation and research on the implementation of the 14th Five-Year Plan
4Economic Daily: Fiscal revenue rebounded to stimulate the momentum of expanding domestic demand
International News
1BDI touches a two-month low
2Russian crude oil demand lower in May due to seasonal maintenance
3New Zealand Fed may raise rates by 50 basis points on Wednesday
4British media: EU plans to further the gas joint procurement
1CSPG peak load exceeded 200 million kilowatts as the peak of electricity consumption was advanced
On May 22, China Southern Power Grid indicates that the peak load of electricity exceeded 200 million kilowatts for the first time this year. The peak of electricity consumption arrived in advance, and according to the expectation in May, Guangdong, Guangxi, Yunnan, Guizhou, Hainan and other five southern provinces and regions of the electricity load and electricity consumption will achieve greater growth. Since May, the southern region of electricity load continues to go high. "At present, the peak load in Shenzhen has exceeded 19 million kilowatts, which is the highest since this year, an increase of 8.3% compared to the same period last year." Renli Cheng, deputy general manager of the power dispatching control center of the Shenzhen Power Supply Bureau of the Southern Power Grid complemented, since mid-May, the demand for electricity in Shenzhen has grown significantly.
2State Grid held a 2023 summer peak power supply and flood control work teleconference
On May 22, State Grid held a teleconference on 2023 summer peak power supply and flood control work, resolutely implementing the Party Central Committee, the State Council's decision and deployment, in accordance with the State Council Security Committee, the central enterprises safety production meeting requirements, step up to a good job of peak summer power supply and flood control work, to ensure the safe operation of the power grid and the reliable supply of electricity, to promote the overall economic performance continues to improve. By doing that, we can make a positive contribution to promote the overall improvement of economic operations and to achieve effective improvement in both quality and quantity.
3The Planning Department of NDRC went to Guangdong Province to carry out the mid-term evaluation and research on the implementation of the 14th Five-Year Plan
From May 15th to 19th, the Planning Department of the National Development and Reform Commission (NDRC) went to Guangdong Province to investigate the progress of the implementation of the main objectives and targets, major strategic tasks and major projects of the 14th Five-Year Plan. The research team held a symposium for the mid-term evaluation of the implementation of the 14th Five-Year Plan in the South China region in Guangzhou Province to exchange in-depth information on the strategic deployment of the 14th Five-Year Plan involving Guangdong Province, Fujian Province, and Hainan Province and the implementation progress of the 14th Five-Year Plan in the three provinces, and also searching for problems, which considering the next step to deepen the implementation. At the same time, the research team surrounding the topic of the construction of a modern industrial system and encourages rural migrant workers to settle in cities and other key issues and carry out field research in Guangzhou City, Dongguan City, Shenzhen City, and other places.
4Economic Daily: Fiscal revenue rebounded to stimulate the momentum of expanding domestic demand
In the first quarter to achieve from negative to positive, fiscal revenue to further stabilize and rebound, enhance the positive fiscal policy and stimulate domestic demand momentum. At present, the constraints of the lack of domestic demand are still more obvious, the economic rebound endogenous power is not strong, whether the economic operation or fiscal revenue growth is mainly restorative, fiscal revenue to be further supported by economic development. In the next step, joint efforts from fiscal, monetary and other macro policies are needed, which can stimulate the vitality of the business entities, restore and expand demand, to stabilize growth.
1BDI touches a two-month low
Baltic Dry Index fell to its lowest level since early March on Monday due to weak demand for Capesize and Panamax vessels. The Baltic Dry Index fell 19 points, or 1.4 percent, to 1,365 points, the lowest level since March 8 and the eighth consecutive day of decline. The Capesize shipping rate index fell 40 points (1.9%) to 2065 points, the lowest level in nearly a month. The average daily profit for Capesize vessels fell $333 to $17,126. The Panamax shipping rate index slipped 2 points (0.2%) to 1,220 points, the lowest level since Feb 23rd. The average daily profit for Panamax vessels slipped from $19 to $10,982. The BSI slipped 14 points (1.3%) to 1,063 points.
2Russian crude oil demand lower in May due to seasonal maintenance
Russia's refineries used less crude oil this month due to seasonal maintenance, but the supply decline was too small to prove the country has fully implemented its promised production cuts, according to foreign media. Data show that from May 1st to 17th, average daily production at Russian refineries fell to 5.34 million barrels per day, which is about 372,000 barrels per day less than the February level. Most of the oil that was not processed locally appears to have been moved overseas. Oil Movements data showed that Russia's average offshore oil flow in May was about 268,000 barrels per day higher than that in February.
3New Zealand Fed may raise rates by 50 basis points on Wednesday
The New Zealand Fed will announce its interest rate resolution on Wednesday, with interest rate futures suggesting there is a 40% chance it will choose to raise rates by 50 basis points, bringing the benchmark rate to 5.75%, a level higher than the New Zealand Fed's own forecast. Prashant Newnaha, the senior rates strategist at TD Securities Asia Pacific, expects the terminal rate to reach 6%, up from 5.5% previously, citing fiscal stimulus and rising net migration to push up inflation in New Zealand.
4British media: EU plans to further the gas joint procurement
The European Union said it will move forward with plans to jointly purchase hydrogen and key raw materials after its first attempt to buy gas centrally was oversubscribed, the Financial Times. Several leading energy companies participated in the first round of gas joint procurement, securing gas from gas buyers and potential suppliers at 10.9 billion cubic meters, exceeding the EU's year-end target of 13.5 billion cubic meters by 80%. The participants are said to include French energy company ENGIE Group, Norwegian state oil company Equinor and others, and Total Energies may also be involved. Some of these groups act as buyers and sellers in different parts of the EU. The EU's quest for gas joint procurement reflects the need to secure supplies of key products and stabilize prices. Naftogaz (Ukraine's National Gas Company) said it joined the round as a buyer. Other companies, such as Italian oil company Eni Group, have also said they plan to participate in the next round of tenders. The EU commissioner in charge of the gas platform said the result was "a remarkable success," even though the amount of gas tendered so far represents only a small fraction of the EU's total use.
Domestic Macro Economy Index
