News

Golden Ten Data reported on June 29 that institutions expect the reduction in production capacity in June to continue accelerating. This expectation is mainly based on two aspects: first, the pig breeding sector continues to incur heavy losses. Since May, after a rebound in pig prices, they have reverted to a pattern of sustained, volatile declines. Since June, both self-breeding/self-raising and the raising of externally purchased piglets have experienced losses exceeding 300 yuan per head. Second, regarding piglet prices: according to Steel Union data, the price of a 7-kilogram piglet gradually stopped rising and started to fall at the end of May, and by mid-June had dropped again below 200 yuan, indicating that the sow-to-piglet segment has also entered a state of loss. The market holds significant confidence in the reduction of production capacity and the subsequent improvement in future supply and demand. Besides the economic principle that low prices stimulate demand, there are also policy-related factors. In June, policies aiming to curb "internal competition" in the pig farming sector have moved into the implementation phase, with mandatory targets already issued and the "Four Leadership" initiative put forward. The impact of these policies is expected to gradually become evident in the future.

Thomas Mathews of Capital Economics stated that the rally in US Treasuries will lose momentum, while German government bonds may rise. Thomas Mathews believes that the recent strengthening of the labor market, with a strong June employment report expected later this week, means the labor market will not be a reason to delay tightening.

Golden Ten Data reported on June 29 that, according to sources, the largest wireless communication service provider in the United States, Verizon (VZ.N), is in advanced talks with UK telecommunications group BT Group, planning to integrate certain segments of their international businesses. The deal is expected to take the form of a joint venture; the equity ownership of the new entity will be adjusted, though the specific shareholding ratios and transaction terms have not yet been finalized. Sources indicated Verizon could announce an agreement with BT Group as soon as Monday. Currently, BT Group has a market value of approximately £19.4 billion ($25.7 billion), while Verizon’s market value is about $194 billion.