Japan tourism and retail stocks slide after row with China over Taiwan

Japan and Switzerland's economies have contracted, primarily due to the impact of US tariffs on exports. The European Commission has raised its growth forecast for the eurozone, citing better-than-expected economic performance in the first nine months of the year. This growth was driven by a surge in exports and strong investment in equipment and intangible assets, particularly in Ireland. The continued growth in the third quarter indicates resilience in the European economy despite challenges.

The U.S. is making significant efforts to establish rare earth supply chains both domestically and internationally as it faces China's substantial control over these critical materials. This initiative is part of a broader competitive landscape referred to as 'Cold War 2.0.' The U.S. aims to reduce its dependence on China for rare earths, which are essential for various technologies and industries.

The German Finance Minister has emphasized the necessity for fair trading conditions in dealings with China. This statement highlights the ongoing discussions regarding trade practices and the importance of equitable terms for both parties involved. The minister's remarks come amid increasing scrutiny of international trade relationships and the need for transparency and fairness in global markets.

Tourism stocks in Japan have experienced a significant decline following heightened tensions between Japan and China. This situation escalated after Beijing issued a warning to its citizens against traveling to Japan, prompting Tokyo to send an envoy to address the growing diplomatic rift. The developments signal a deteriorating relationship between the two nations, which could have lasting implications for the tourism sector and broader economic interactions.

China's fiscal revenue for the period from January to October has increased by 0.8% year-on-year. This growth reflects the country's ongoing economic adjustments and efforts to stabilize its financial situation amid various challenges. The data indicates a modest improvement in fiscal health, which may influence future government spending and investment strategies.

Geely Automobile reported a significant profit increase in the third quarter of 2025, showcasing strong sales performance despite facing intense competition in the Chinese automotive market. The company's ability to navigate these challenges highlights its resilience and strategic positioning within the industry. This positive financial outcome reflects Geely's ongoing efforts to enhance its market share and operational efficiency.

Global oil markets are facing concerns about a potential glut, yet there is some support for producers due to increased buying from China and India. This uptick in demand is largely influenced by a series of US sanctions targeting Russian energy exports, which have altered the dynamics of the market.

Japan's economy has contracted, primarily due to the impact of US tariffs on exports. This economic shrinkage is expected to strengthen Prime Minister Sanae Takaichi's argument for implementing further stimulus measures aimed at supporting struggling households. The situation highlights the ongoing challenges faced by Japan's economy amid external pressures.