China’s central bank vows crackdown on virtual currency, flags stablecoin concerns

Scott Bessent stated that China is on track to fulfill its commitments regarding US soybean purchases, indicating a positive momentum in agricultural trade relations between the two nations. This follows a series of significant transactions, including China's largest soybean buy from the US in two years, which has buoyed prices and encouraged sales from struggling farmers.

The European Union (EU) is taking steps to enhance its defenses against economic threats, particularly in light of recent export restrictions imposed by China. This initiative reflects the EU's growing concerns about its reliance on Chinese imports and aims to bolster its economic resilience in a shifting global landscape.

The European Union has introduced a €3 billion strategy aimed at reducing its reliance on China for critical raw materials, particularly rare earth metals. This initiative, known as the ReSourceEU program, is designed to diversify and de-risk supply chains amid increasing geopolitical tensions and supply vulnerabilities exacerbated by China's control over these essential resources.

Bank of America has projected a decline in the AUD/USD exchange rate, forecasting it to fall to 0.63 by the first quarter of 2026, primarily due to ongoing economic weaknesses in China. This outlook reflects concerns about the impact of China's economic challenges on global markets.

The Indian rupee has fallen to a record low below 90, raising concerns about its stability and the potential for a steeper decline without intervention from the central bank. This drop is attributed to various factors, including capital outflows and the strength of the US dollar, which has been exacerbated by reduced expectations for a Federal Reserve rate cut.

The European Union is set to unveil a new plan aimed at reducing its dependence on China for rare earths, critical minerals essential for various high-stakes supply chains, including defense, renewable energy, and automotive sectors. This announcement comes amid concerns over China's dominance in the global rare earths market, particularly following recent export restrictions imposed by Beijing.

Volvo Car reported a 10% decline in global sales for November, continuing a trend of challenging industry conditions. Despite this downturn, the company expressed optimism due to growth in electric vehicle sales and increased deliveries of long-range plug-in hybrids in China.

China's services sector activity growth has slowed, with the RatingDog general services purchasing managers index dropping to 52.1, the lowest level in five months, as reported on Wednesday.