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FROM Tencent Holdings to Alibaba Group Holding, China’s tech leaders delivered underwhelming numbers for a quarter beset by economic and geopolitical uncertainty. Whether or not they can win back investors may increasingly hinge on Beijing’s actions. In call after call with investors, China’s Internet pioneers described how the uneven economy was undermining their business and clouding the future. Most offered cautious optimism for how the unprecedented government stimulus unleashed late in the summer would help grease the wheels and pleaded for patience. But the group that once defied Silicon Valley and defined the country’s private economy was short on new ideas and ambitious goals. Just over the past week, the five biggest tech firms erased US$41 billion in market value, while a gauge of sector stocks listed in Hong Kong has fallen into bear market territory. On Friday (Nov 22), a sell-off in Chinese stocks deepened as concerns over Donald Trump’s imminent return mingled with growing frustration over the pace of Beijing’s fiscal stimulus rollout. For investors that were looking to major tech earnings to revive market euphoria, this season now looks like a flop. The business environment “is not only much worse than five years ago, it’s worse than even when China started the Covid Zero policy in 2022”, said Alicia Garcia Herrero, chief Asia-Pacific economist at Natixis. “This sector is obviously supported by China’s industrial policies and intent on winning the tech race with the US, but at the same time, it’s a problematic sector.” PDD Holdings executives boasted about their cheap hairy crabs instead of offering reassurance for disappointing earnings. Tencent went through its usual pitch about building and sustaining “evergreen” games, without promising any imminent new blockbusters. Alibaba executives spent their time justifying elevated spending to ward off intense competition. Even Baidu, the frontrunner in artificial intelligence development, failed to wow with any exciting new projects. “We have not observed a notable improvement in advertisers’ spending patterns, and consumer spending remains subdued,” Baidu’s head of mobile ecosystem Luo Rong told analysts on a call on Thursday, dulling expectations for the current quarter. “Having said that, we are particularly encouraged by the strength and timeliness of recent stimulus policies which continue to be rolled out.” Pressure is building for Beijing to offer further measures, as late September’s market rally on the stimulus campaign fizzles. The parade of ho-hum numbers, vague comments about fiscal policy and warnings contrasted sharply with the pre-Covid era, when Alibaba and Tencent each approached US$1 trillion in market value and analysts talked about the threat they posed to US rivals. Alibaba once fought directly with Amazon.com’s AWS for cloud customers around the world, as it and JD.com talked openly about carving up international markets. Tencent once sketched out ambitions of marrying content with social media and online finance in an unparalleled fintech and Internet empire. That swagger has vanished since Beijing’s 2020 crackdown on a sector it deemed too powerful. Having once commanded enviable growth rates off the back of China’s burgeoning economy, these companies now face prolonged consumer malaise at home, a lack of obvious growth engines and costly ventures to expand overseas. “October retail sales were boosted by earlier Singles’ Day promotions, so it’s not indicative of the real consumption environment – which companies I spoke to are still cautious about,” said Xin-Yao Ng, investment manager for Asian equities at abrdn. “Generally, I hear of a weaker November.” PDD’s US-listed stock plunged 11 per cent after the company gave a downbeat outlook due to intensifying competition in China. The stock, once an investor darling, now trades at 7.7 times forward earnings, about a third of its three-year average. Along with Alibaba, which eked out just 1 per cent growth in domestic commerce, PDD is fighting a defensive action against upstarts like closely held ByteDance. “I don’t think they will drop back to the pre-rally levels in September, more of trading sideways due to a lack of catalysts,” Ng said. There are some bright spots. PDD’s Temu shopping platform has proven to be a hit in the US and other overseas markets. Alibaba’s international e-commerce division delivered strong growth rates for several quarters in a row, prompting the company to unify all online retail operations under the leadership of that division’s chief, Jiang Fan. Meituan – which is next on the slate of companies whose earnings will be studied for signs of domestic consumer appetites – is following the trend and bringing its takeout service to the Middle East. In the realm of games, Tencent and NetEase enjoyed a string of hit releases over the summer that revived domestic sales. Tencent-backed Black Myth: Wukong was an unexpected smash hit on PCs, tapping Chinese history and folklore and potentially opening more opportunities for similarly ambitious titles. But that growth spurt may already be petering out. “The sector is no longer considered as driving structural growth like it once did, which means that it is a lot more cyclical than before,” said Daiwa Capital Markets Hong Kong analyst John Choi. “Policy stimulus will likely play an important role for these companies to see some level of growth acceleration. I am not sure if investors will lose patience, but I do see that the fundamentals are improving going forward.” There remain questions about the full extent and timing of China’s support, which is rolling out in stages, leaving the macroeconomic outlook uncertain. One of the sharper comments this earnings season came from PDD co-chief executive officer Jiazhen Zhao on Thursday. Disillusioned with the competition, the executive appeared to find fault within his own ranks. “Our team of staff is now limited by their past experience and suffers from a lack of certain capabilities,” Zhao told analysts. BLOOMBERG
Paul Finebaum Puts College Football Playoff Contender on Upset AlertDALLAS (AP) — Boopie Miller scored 24 points and added seven assists and Yohan Traoire posted a double-double with 20 points and 11 rebounds to help power SMU to its seventh straight win, closing out its nonconference schedule with a 98-82 victory over Longwood on Sunday. The Mustangs (11-2) shot 62% from the field for the game, knocking down 10 of 20 shots from behind the 3-point arc to earn their seventh win in eight home games. Javascript is required for you to be able to read premium content. Please enable it in your browser settings.
Former Prime Minister and prominent Congress leader Dr. Manmohan Singh passed away on Thursday at the age of 92. Singh breathed his last at AIIMS Delhi, where he had been admitted earlier that evening. ET Year-end Special Reads Corporate Kalesh: Top family disputes of India Inc in 2024 The world of business lost these eminent people in 2024 Fast, faster, fastest: How 2024 put more speed into your shopping Manmohan Singh's Political Journey Dr. Singh, widely regarded for his intellect and vision, was sworn in as India’s Prime Minister on May 22, 2004, following the Congress Party’s victory in the general elections. He took office for a second term on the same date in 2009. Born on September 26, 1932, in a village in Punjab province in undivided India, Singh completed his matriculation from Punjab University in 1948, laying the foundation for an illustrious career. In a political career spanning decades, Singh served as a Rajya Sabha member from 1991 until his retirement in April 2024. He held the position of Leader of the Opposition in the Rajya Sabha from 1998 to 2004. Internationally, he represented India at numerous high-profile conferences, including the Commonwealth Heads of Government Meeting (1993) and the World Conference on Human Rights (1993). Manmohan Singh's Landmark Achievements as Prime Minister As Prime Minister, Dr. Singh launched several transformative initiatives including the Mahatma Gandhi National Rural Employment Guarantee Act (MGNREGA) (2005) which is aimed at providing 100 days of guaranteed wage employment per year to rural households. 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His National Food Security Act (2013) ensured subsidized food grains for nearly two-thirds of India’s population. Manmohan Singh's Education Dr. Singh’s academic credentials were unparalleled. After completing his studies in Punjab, he earned a First Class Honours degree in Economics from the University of Cambridge in 1957, followed by a D. Phil in Economics from Nuffield College, Oxford, in 1962. His 1964 book, "India's Export Trends and Prospects for Self-Sustained Growth", was a groundbreaking critique of India’s inward-looking trade policy. Singh also served on the faculty at Punjab University and the Delhi School of Economics, solidifying his reputation as an eminent scholar. Manmohan Singh's Accomplishments Dr. Singh joined the Government of India in 1971 as an economic advisor in the commerce ministry and later served as Chief Economic Advisor in the finance ministry in 1972. His key positions included: Secretary, Ministry of Finance Deputy Chairman, Planning Commission Governor, Reserve Bank of India (RBI) Chairman, University Grants Commission Advisor to the Prime Minister He also served as Secretary General of the South Commission in Geneva from 1987 to 1990. Dr. Singh’s tenure as Finance Minister (1991–1996) under Prime Minister P.V. Narasimha Rao marked a turning point in India’s economic history. He spearheaded a wave of economic reforms that liberalized the Indian economy, a legacy that continues to be recognized globally. Manmohan Singh's Awards Dr. Singh was awarded India’s second-highest civilian honor, the Padma Vibhushan, in 1987, among many other accolades. Dr. Manmohan Singh will be remembered not only for his scholarly brilliance but also for his transformative contributions to India’s economic and political landscape. (You can now subscribe to our Economic Times WhatsApp channel )
Four flagship investments with a combined budget of 253 million euros were approved by the Interministerial Committee for Strategic Investments, as part of the implementation of the country’s new production model that was presented on October 21. These investments, implemented through the General Secretariat of Private Investments, concern the defense industry, the self-sufficiency of Greece in paper and alcohol and the safety of flights and civil protection services. Metlen’s strategic investment, with a budget of €45 million, concerns new building infrastructure and specialized mechanical equipment in the area of Thessaly. The aim is to produce special metal structures with advanced technology and high added value. The investment of BGS Alcohols, with a budget of €34 million, aims to establish an integrated unit in Patra for the production and distribution of ethyl alcohol of agricultural origin for multiple uses. Olympic’s strategic investment, with a budget of €74.75 million, is part of a larger investment of over €140 million. It concerns the creation of an integrated aircraft and aircraft maintenance service center, as well as a flight simulator and crew training center at Athens Airport. Finally, Intertrade’s investment of €99 million aims to expand the capacity of an existing unit, which will be implemented in Oinofyta, and create a logistics hub for finished products and paper rolls.It was a magical, memorable and historic football season for the West Burlington-Notre Dame Falcons. Sensational senior running back Quincy Collins rewrote the Falcon record book while WB-ND became the first team in school history to win a state playoff game. That high level of excellence highlighted another season of competitive football for teams in southeast Iowa and west central Illinois. For their achievements, five Falcon players earned top honors on the All-Hawk Eye football squad. Collins is being recognized as Player of the Year while WB-ND’s Joe Bowman has been named Coach of the Year. Collins was simply magnificent during a phenomenal senior season for the Falcons. He shattered school records for yards in a game, season and career. He also set numerous records for touchdowns. Collins finished his final prep season by rushing for 2,474 yards and 35 touchdowns. He rushed for a school record 367 yards and five touchdowns in a win at Central Lee. Collins also recorded 53 tackles on defense, including 13.5 for loss. Collins is joined on the All-Hawk Eye team by four teammates. That group includes offensive lineman Joey Glendening, defensive lineman Kael Cook, linebacker Emry Watson and defensive back Levi Fletcher-Bates. Bowman was honored for leading WB-ND to an 8-2 record and the school’s first playoff triumph in a Class 2A home win over Centerville. Mediapolis, a team that also advanced to the second round of the playoffs in 2A, had three players named to the team. That group includes running back Noah Schmidgall, offensive lineman Parker Lange and defensive lineman Alton Wonderlich. The explosive Schmidgall, a senior, rushed for 1,554 yards and 18 touchdowns for the Bulldogs. He added 261 receiving yards with two scores in the passing game. Schmidgall also had a 91-yard kickoff return for a touchdown. Playoff qualifier Danville placed standout quarterback Jaden Bauer on the elite squad. He is joined by Bear teammates Kessler Whaley (wide receiver), Landon Seibert (tight end) and Byers Nealey (linebacker). Bauer, a senior, completed 63.1 percent of his passes for 2,032 yards and 13 touchdowns. He also rushed for 558 yards and three scores. WACO, who made the second round in 8-Player football, landed running back Louden Huisenga and defensive back Clayton Miller on the team. Huisenga rushed for 1,072 yards and 23 touchdowns. He also had 434 yards receiving that resulted in four scores. Playoff qualifier Winfield-Mount Union had first team selections in lineman Cooper Buffington, quarterback Jake Edwards and running back Lane Genkinger. Edwards passed for 1,663 yards and 22 touchdowns while being intercepted just twice. He also rushed for 11 touchdowns. Genkinger rushed for 796 yards and 15 touchdowns. He had 821 yards receiving that resulted in 11 scores. Playoff qualifier Columbus had offensive lineman Bryce Grimm chosen to the squad. Burlington High School junior Adrian Perez-Hall was honored for his excellence on defense. He recorded 43 tackles, including seven for loss for the Grayhounds. BHS junior offensive lineman Caden Huff also landed a spot on the team. A much-improved Mount Pleasant team, who snapped a long losing streak, had three players named to the squad. They include offensive lineman Nolan Frueh, kicker Dylan White and linebacker Payton Walker. Keokuk had three players — quarterback Brenton Hoard, wide receiver Drew Campbell and linebacker Mason Claus — make the All-Hawk Eye Team. Hoard passed for 1,893 yards and 22 touchdowns. He ran for 608 yards and eight scores during a stellar senior season. Campbell caught 37 passes for 691 yards and 10 touchdowns. Claus was one of the state’s top tacklers in Class 3A. He finished with 79.5 total stops, including 11 for loss. Fort Madison standout Marcus Guzman was named to the squad as a defensive back. He also excelled at quarterback for the Bloodhounds. Central Lee’s Brayden Wyrick was picked to the team as a defensive back. Illini West’s Roan Jackson was selected as a defensive lineman. Wapello’s Edgar Vasquez was chosen to the team at punter.
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