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Money Talks from The Economist

Money Talks: Over the great wall

Money Talks from The Economist

The Economist

Finance & Economics, Business News, Economy, News, Business

4.41.2K Ratings

🗓️ 23 March 2021

⏱️ 28 minutes

🧾️ Download transcript

Summary

Against the backdrop of sanctions and retaliations, China's capital markets are increasingly interwoven with global finance—what will this mean for foreign investors? Plus, will President Joe Biden’s fiscal stimulus trigger a dreaded return to high inflation—with global consequences? And, a new generation of workers' unions takes on the tech giants. Simon Long hosts.


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Transcript

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0:00.0

For successful people, the very best is something earned.

0:05.0

At Mayo Clinic Healthcare, our best in-class standards in health screening, diagnostics, GP and specialist treatment services have led to an unrivaled global reputation.

0:14.0

At our clinic in London, we've state-of-the-art healthcare technology and the expertise of leading UK physicians, supported by over 5,000 specialists in the US.

0:24.0

For the premium healthcare you deserve, visit mayoclinichealthcare.co.uk

0:40.0

You're listening to Money Talks on Economist Radio.

0:43.0

Our weekly podcast on the markets, the economy and the world of business. I'm Simon Long.

0:49.0

Coming up on today's show, will Joe Biden's Covid stimulus package spark a global rise in inflation?

0:55.0

Some measures of market inflation expectations have continued to creep up and this is sort of powering this narrative that there's

1:03.0

reflation of certainly an America's economy and that's the direction of travel.

1:07.0

And ahead of a crucial vote count at an Amazon warehouse, could unionisation finally catch on in America's tech industry?

1:15.0

To adapt Karl Marx, geeks of the world are uniting.

1:23.0

But first, this week America, the EU, Canada and the UK have imposed coordinated sanctions on Chinese officials,

1:32.0

accused of human rights violations against Uyghur Muslims in the Western region of Xinjiang.

1:38.0

China has responded with its own sanctions against some European officials in institutions.

1:44.0

Tense politics complicates matters for those foreigners who hold stocks and shares in China.

1:50.0

Investing there can be a confusing business at the best of times.

1:54.0

It's often a volatile environment, underpinned by the unwritten rule that the Chinese state will restore calm if things get too dicey.

2:03.0

Earlier this month, share prices in China fell by 15% in two weeks, their steepest fall in years.

2:09.0

After a few days of whispers and rumours, state-owned firms nicknamed the National Team came to the rescue.

2:17.0

So far, plus a charge, what was different this time was that this decline in Chinese shares mirrored the decline in the Nasdaq in America.

2:26.0

This suggests changes afoot that China's capital markets are now far more interwoven with global finance than ever before.

2:34.0

Traditionally, I'd say that there's a mix of mutual attraction, but also a lot of mutual suspicion.

...

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