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China’s top diplomat said Thursday that a visit by Canadian Prime Minister Mark Carney to Beijing marked a “turning point” in the two countries’ long acrimonious relationship.The first visit by a Canadian leader to Beijing in eight years was a “turning point and symbol for the relationship between two countries”, Chinese Foreign Minister Wang Yi said in a statement, according to a readout.”The leaders of the two countries will hold meetings and talks, which I believe will open up new prospects for bilateral relations,” he added.Carney, who has also said ties between the two sides are shifting, is meeting with top Chinese leaders in Beijing on Thursday, as he pulls away from traditional ally the United States.Following President Donald Trump’s aggressive tariffs on Canadian products, Carney has sought to reduce his country’s economic reliance on its main market, the United States.Video from Chinese state media showed Carney arriving in Beijing for his four-day state visit late Wednesday evening to a red carpet welcome.He is scheduled to meet with Chinese President Xi Jinping and Premier Li Qiang, among other government and business leaders for trade talks.Ties between the two nations withered in 2018, when Canada arrested the daughter of Huawei’s founder on a US warrant, and China’s retaliatory detention of two Canadians on espionage charges.- ‘Right track’ -The two countries imposed tit-for-tat tariffs on each other’s exports in the years that ensued, with China also being accused of interfering in Canada’s elections.Caught in the tariffs crossfire were Chinese electric vehicles along with Canadian canola oil and other agricultural goods.The last time Chinese and Canadian leaders formally met was when then prime minister Justin Trudeau visited Beijing in 2017.But there have been signs of warming ties under Carney, who met Xi on the sidelines of an APEC summit in October.China has shown a willingness to rekindle the relationship, with Xi telling Carney after their meeting that it has “shown a recovery” towards “the right track”.Officials from the two countries have been in talks to lower tariffs, but an agreement has yet to be reached.Beijing, meanwhile, said this week it “attaches high importance” to Carney’s visit.- Pivot from US -Ottawa has traditionally been hawkish towards Beijing, positioning itself in alliance with the United States.But Canada has been hit especially hard by Trump’s steep tariffs on steel, aluminium, vehicles and lumber, prompting a change of heart.In October, Carney said Canada should double its non-US exports by 2035 to reduce reliance on the United States.But the United States remains far and away its largest market, buying around 75 percent of Canadian exports in 2024, according to Canadian government statistics.While Ottawa has stressed that China is Canada’s second-largest market, it lags far behind, buying less than four percent of Canadian exports in 2024.Carney will be looking to raise that figure, with his office saying the visit aims to “elevate engagement on trade, energy, agriculture, and international security”.

A “shadow fleet” of 19 tankers suspected of smuggling oil for Russia and Iran was flagged by New Zealand with Cook Islands authorities in 2024, according to a confidential list obtained by AFP.The small Pacific island is home to a flourishing international shipping registry, allowing foreign vessels to sail under its flag for a modest fee of a few thousand dollars.There is mounting evidence the archipelago has become a haven for foreign smugglers, who sail under the Cook Islands flag to escape scrutiny as they flout Western sanctions.New Zealand officials in 2024 compiled a list of 19 tankers — or “vessels of concern” — that had been registered to the Cook Islands in recent years.The list included the Arabesca, a crude oil tanker that frequently calls at Russian ports in the Baltic Sea.The Arabesca was in 2025 blacklisted by the UK, Canada, Switzerland and the European Union for smuggling Russian oil.Also named in New Zealand’s list was a ship called the Maruti, a chemical tanker often seen sailing through the Persian Gulf.The Maruti transported “hundreds of thousands of barrels” of Iranian naptha fuel while sailing under the Cook Islands’ flag in 2025, according to a US sanctions notice published in December.Both the Arabesca and the Maruti have since been deleted from the Cook Islands’ shipping registry.The Cook Islands has apparently brushed off New Zealand’s concerns about some other vessels.Of the 19 ships singled out by New Zealand in 2024, seven remained registered to the Cook Islands as of mid-January this year.This included tankers the Bonetta and the Ocean Wave, which are suspected by the United States of hauling crude oil from Iran.AFP could not reach the owners of the Arabesca, Maruti, Bonetta and Ocean Wave for comment.New Zealand’s list, released to AFP under freedom of information laws, was raised with Cook Islands through diplomatic channels in 2024. – Shadow fleet -Western sanctions aim to curb Iran and Russia cashing in on oil sales, limiting funding for Tehran’s nuclear programme or Moscow’s war machine.New Zealand alleges the Cook Islands has been exploited by transnational maritime smuggling networks known as the “shadow fleet”.By registering in places such as the Cook Islands — where they are subject to less stringent checks — shadow fleet ships can disguise themselves as legitimate vessels.Often the shipping registries are unaware of the ship’s true purpose.Cook Islands’ links to sanctions evasion are a source of potential embarrasment to New Zealand, which once governed the Pacific nation of some 15,000 people.New Zealand remains the Cook Islands’ closest diplomatic partner and still has a constitutional responsibility to help with foreign affairs and defence.”New Zealand has raised serious concerns directly with the Cook Islands government about the management of its shipping registry, including the flagging of shadow fleet vessels,” New Zealand’s foreign affairs department said.Former Royal New Zealand Navy officer Mark Douglas said some 150 foreign tankers were registered in the Cook Islands at its busiest point in 2024.”It certainly seemed at its peak that it was ‘pay to play’,” said Douglas, now an analyst for Starboard Maritime Intelligence.”If you turned up with some good paperwork and the cheque cleared, you were able to get the Cook Islands’ flag.”Cook Islands had since de-registered many of the most dubious vessels, Douglas said, but there were “some left that have question marks over them”.The UN-backed International Maritime Organisation currently lists 40 tankers registered to the Cook Islands.The Cook Islands offers what is known as a “flag of convenience”.This means foreign ship owners can pay to sail under the flag without ever setting foot on the archipelago, halfway between New Zealand and Hawaii.”Many shadow fleet vessels use flags of convenience from countries that are either less inclined or unable to enforce Western sanctions,” notes a European Parliament briefing from 2024.The Cook Islands was one of the “top countries whose flags are used by shadow tankers transporting Russian crude oil”, according to the report.- Growing fast -Shipping journal Lloyd’s List in 2024 crowned Maritime Cook Islands the “fastest growing registry” in the world.While Cook Islands’ fees are opaque, the revenue generated by shipping licenses is modest.Cook Islands budget documents estimate shipping registrations will bring in around US$50,000 this year.Maritime Cook Islands did not reply to a request for comment.The shipping registry has previously denied that it failed to conduct appropriate checks.”The Cook Islands register has never harboured sanctioned vessels,” Maritime Cook Islands told AFP in November last year.”Any sanctioned vessels are deleted.”

Oil and precious metals slid Thursday after US President Donald Trump appeared to dial down threats of imminent military action on Iran, while Asian markets were mixed after Wall Street edged lower the previous day.Oil prices dropped three percent after Trump said Wednesday he would “watch it and see” on possible intervention in the Islamic republic, after he said he had been told the killings of protesters there had stopped.Crude prices had surged over recent days as Trump talked about coming to the aid of the Iranian people over the crackdown on protests, sparking concerns over possible disruption to global supplies.Gold and silver also dipped on the news.Hong Kong, Shanghai, Taipei, Wellington, Mumbai and Kuala Lumpur fell on Thursday, while Sydney, Seoul, Bangkok and Manila posted minimal gains.The mixed picture in Asia came after Wall Street stocks fell again Wednesday as investors shrugged off solid bank earnings and US data, which showed a 0.6 percent increase in retail sales in November.Analysts noted investor unease about possible US inverventions in Iran and Greenland, and Trump’s threats to Federal Reserve autonomy, most recently in the Department of Justice’s criminal probe of the central bank.Jack Ablin of Cresset Capital Management also pointed to Trump’s proposed 10 percent interest rate cap on credit cards as an unwelcome wildcard that has added to a broader sense of unpredictability.Meanwhile, the US Supreme Court held off a widely-anticipated ruling Wednesday on the legality of Trump’s sweeping tariffs.- South Korean won slides -Traders were also watching South Korea as the won’s exchange rate slid towards its weakest level in 16 years.In a rare mention, US Treasury Secretary Scott Bessent said Wednesday that the won’s depreciation was “not in line with Korea’s strong economic fundamentals” and that volatility in the foreign exchange market is “undesirable”.The won gained as much as one percent after Bessent’s comments, which he posted on social media after meeting Seoul’s finance minister Koo Yun-cheol in Washington. “Bessent’s comments can support the won in the near term, but markets may have more influence if they feel the fundamentals and politics are still in a worsening trajectory,” said Brendan McKenna, a strategist at Wells Fargo in New York.Tokyo was down 0.8 percent, cooling off after gains fuelled by speculation that Prime Minister Sanae Takaichi would call an election to capitalise on strong public approval ratings.Takaichi’s ruling party and a coalition partner said Wednesday she intends to dissolve parliament next week for a snap election.Takaichi’s cabinet approved a record 122.3-trillion-yen ($768 billion) budget for the fiscal year from April 2026, and she has vowed to get parliamentary approval as soon as possible to address inflation and shore up the world’s fourth-largest economy.- Key figures at around 0230 GMT -Tokyo – Nikkei 225: DOWN 1.0 percent at 53,820.46 (break)Hong Kong – Hang Seng Index: DOWN 0.1 percent at 26,962.88Shanghai – Composite: DOWN 0.2 percent at 4,116.605West Texas Intermediate: DOWN 3.0 percent at $60.16 per barrelBrent North Sea Crude: DOWN 3.0 percent at $64.58 per barrelEuro/dollar: DOWN at $1.1640 from $1.1647 on WednesdayPound/dollar: FLAT at $1.3432 from $1.3433Dollar/yen: DOWN at 158.52 yen from 158.56 yenEuro/pound: DOWN at 86.65 pence from 86.68 penceNew York – Dow: DOWN 0.1 percent at 49,149.63 points (close)London – UP 0.5 percent at 10,184.35 (close)

Canadian Prime Minister Mark Carney is meeting with top Chinese leaders in Beijing on Thursday, hoping to repair a long acrimonious relationship as he pulls away from traditional ally the United States.Carney is the first Canadian leader to visit China in eight years and has said the two countries are at a “turning point” in their strained relations.Following President Donald Trump’s aggressive tariffs on Canadian products, Carney has sought to reduce his country’s economic reliance on its main market, the United States.Video from Chinese state media showed Carney arriving in Beijing for his four-day state visit late Wednesday evening to a red carpet welcome.He is scheduled to meet with Chinese President Xi Jinping and Premier Li Qiang, among other government and business leaders for trade talks.Ties between the two nations withered in 2018, when Canada arrested the daughter of Huawei’s founder on a US warrant, and China’s retaliatory detention of two Canadians on espionage charges.- ‘Right track’ -The two countries imposed tit-for-tat tariffs on each other’s exports in the years that ensued, with China also being accused of interfering in Canada’s elections.Caught in the tariffs crossfire were Chinese electric vehicles along with Canadian canola oil and other agricultural goods.The last time Chinese and Canadian leaders formally met was when then prime minister Justin Trudeau visited Beijing in 2017.But there have been signs of warming ties under Carney, who met Xi on the sidelines of an APEC summit in October.China has shown a willingness to rekindle the relationship, with Xi telling Carney after their meeting that it has “shown a recovery” towards “the right track”.Officials from the two countries have been in talks to lower tariffs, but an agreement has yet to be reached.Beijing, meanwhile, said this week it “attaches high importance” to Carney’s visit.- Pivot from US -Ottawa has traditionally been hawkish towards Beijing, positioning itself in alliance with the United States.But Canada has been hit especially hard by Trump’s steep tariffs on steel, aluminium, vehicles and lumber, prompting a change of heart.In October, Carney said Canada should double its non-US exports by 2035 to reduce reliance on the United States.But the United States remains far and away its largest market, buying around 75 percent Canadian exports in 2024, according to Canadian government statistics.While Ottawa has stressed that China is Canada’s second-largest market, it lags far behind, buying less than four percent of Canadian exports in 2024.Carney will be looking to raise that figure, with his office saying the visit aims to “elevate engagement on trade, energy, agriculture, and international security”.

Wall Street stocks fell again Wednesday as investors shrugged off solid bank earnings and US data while oil prices jumped on rising tensions between Washington and Tehran.Executives with Citigroup, Bank of America and Wells Fargo described US consumers as resilient while releasing a batch of generally good earnings with no major bombshells.But shares of all three banks fell decisively.The broader market was also not buoyed by US data for November that showed a 0.6 percent increase in retail sales, topping expectations.Major indices spent most of the day firmly in the red, with the S&P 500 closing down 0.5 percent.”Investor attitudes are changing,” said Jack Ablin of Cresset Capital Management. “Some negativity is creeping in.”Ablin described investor unease about President Donald Trump’s threats to Federal Reserve autonomy, most recently in the Department of Justice’s criminal probe of the central bank. He also pointed to Trump’s proposed 10 percent interest rate cap on credit cards as an unwelcome wildcard that has added to a broader sense of unpredictability.There’s “uncertainty around these capricious policies and markets are already expensive,” Ablin said.Other topics that have dominated headlines include Trump’s ambitions to take over Greenland that have raised worry in Europe and a rise in rhetoric between the United States and Iran over the latter’s handling of protests.The latter issue helped propel oil prices about 1.5 percent higher.Iran warned the United States that it was capable of responding to any attack, as Washington appeared to be pulling personnel out of a base that Iran targeted in a strike last year.”Traders are closely watching the political unrest in Iran and possible US intervention, which could threaten disruption to the country’s…oil production,” said Helge Andre Martinsen, senior energy analyst at DNB Carnegie.In European stocks trading London set a fresh all-time high thanks to gains in mining stocks, but Frankfurt and Paris slid lower. Asian stock markets mostly gained.Tokyo shares jumped by 1.5 percent while the yen slumped to its lowest value since mid-2024 amid media reports that Prime Minister Sanae Takaichi planned to hold an election as soon as February 8.Takaichi’s cabinet — riding high in opinion polls — has approved a record 122.3-trillion-yen ($768 billion) budget for the fiscal year from April 2026.She has vowed to get parliamentary approval as soon as possible to address inflation and shore up the world’s fourth-largest economy.On the corporate front, British energy giant BP revealed a write-down of up to $5 billion linked to its energy transition efforts that will be reflected in the company’s upcoming annual results.Its share price traded lower most of the day but closed the day with a gain of 1.5 percent.- Key figures at around 2115 GMT -Brent North Sea Crude: UP 1.6 percent at $66.52 per barrelWest Texas Intermediate: UP 1.4 percent at $62.02 per barrelNew York – Dow: DOWN 0.1 percent at 49,124.17 pointsNew York – S&P 500: DOWN 0.7 percent at 6,917.81New York – Nasdaq Composite: DOWN 1.1 percent at 23,440.38London – FTSE 100: UP 0.5 percent at 10,184.35 (close)Paris – CAC 40: DOWN 0.2 percent at 8,330.97 (close)Frankfurt – DAX: DOWN 0.5 percent at 25,286.24 (close)Tokyo – Nikkei 225: UP 1.5 percent at 54,341.23 (close)Hong Kong – Hang Seng Index: UP 0.6 percent at 26,999.81 (close)Shanghai – Composite: DOWN 0.3 percent at 4,126.09 (close)Euro/dollar: UP at $1.1647 from $1.1641 on TuesdayPound/dollar: DOWN at $1.3433 from $1.3465Dollar/yen: DOWN at 158.56 yen from 158.14 yenEuro/pound: DOWN at 86.68 pence from 86.64 penceburs-jmb/sla

Oil prices rose further Wednesday on the political instability in major crude producer Iran and the possibility of a US intervention, which also helped push safe-haven gold to a new record high while weighing on the dollar.Wall Street’s main stock indices fell despite US retail sales posting a higher-than-expected 0.6 percent increase in November and several major US banks beating earnings expectations.”Things are looking a little softer at the moment, reflecting a heightened sense of uncertainty in the air,” said Briefing.com analyst Patrick O’Hare.”Some of that uncertainty revolves around the path of monetary policy after this morning’s economic data worked against the notion of needing to cut rates again soon,” he noted.Recent data has indicated the US economy continues to hum, the labour market has not seen a major degradation and inflation is holding at a moderate level above the US Federal Reserve’s target.The Fed has tipped it would probably wait to make further cuts in interest rates, and most investors expect it will likely hold off for several months.O’Hare also pointed to traders waiting for a possible US Supreme Court ruling on Wednesday on the legality of US President Donald Trump’s sweeping tariffs.A ruling against the government would prove a temporary setback to its economic and fiscal plans, though officials have said that tariffs can be reimposed by other means.Meanwhile, China said its trade last year reached a “new historical high”, surpassing 45 trillion yuan ($6.4 trillion) for the first time.Global demand for Chinese goods has held firm despite a slump in exports to the United States after Trump hiked tariffs.Other trade partners more than filled the gap, increasing Chinese exports overall by 5.5 percent in 2025.”We expect this resilience to continue through 2026,” said Zichun Huang, China economist at Capital Economics.Much attention among traders remained on Iran, with Tehran warning it was capable of responding to any US attack, as Washington appeared to be pulling personnel out of a base that Iran targeted in a strike last year.”Traders are closely watching the political unrest in Iran and possible US intervention, which could threaten disruption to the country’s… oil production,” said Helge Andre Martinsen, senior energy analyst at DNB Carnegie.In European stocks trading London set a fresh all-time high thanks to gains in mining stocks, but Frankfurt and Paris slid lower. Asian stock markets mostly gained.Tokyo shares jumped by 1.5 percent while the yen slumped to its lowest value since mid-2024 amid media reports that Prime Minister Sanae Takaichi planned to hold an election as soon as February 8.Takaichi’s cabinet — riding high in opinion polls — has approved a record 122.3-trillion-yen ($768 billion) budget for the fiscal year from April 2026.She has vowed to get parliamentary approval as soon as possible to address inflation and shore up the world’s fourth-largest economy.”We are seeing a shift in sentiment that could see European and Asian equities gain ground on their US counterparts,” said Joshua Mahony, chief market analyst at Scope Markets.On the corporate front, British energy giant BP revealed a write-down of up to $5 billion linked to its energy transition efforts that will be reflected in the company’s upcoming annual results.Its share price traded lower most of the day but closed the day with a gain of 1.5 percent.- Key figures at around 1630 GMT -Brent North Sea Crude: UP 0.8 percent at $65.96 per barrelWest Texas Intermediate: UP 0.7 percent at $61.35 per barrelNew York – Dow: DOWN 0.1 percent at 49,124.17 pointsNew York – S&P 500: DOWN 0.7 percent at 6,917.81New York – Nasdaq Composite: DOWN 1.1 percent at 23,440.38London – FTSE 100: UP 0.5 percent at 10,184.35 (close)Paris – CAC 40: DOWN 0.2 percent at 8,330.97 (close)Frankfurt – DAX: DOWN 0.5 percent at 25,286.24 (close)Tokyo – Nikkei 225: UP 1.5 percent at 54,341.23 (close)Hong Kong – Hang Seng Index: UP 0.6 percent at 26,999.81 (close)Shanghai – Composite: DOWN 0.3 percent at 4,126.09 (close)Euro/dollar: UP at $1.1656 from $1.1643 on TuesdayPound/dollar: UP at $1.3448 from $1.3426Dollar/yen: DOWN at 158.25 yen from 159.15 yenEuro/pound: DOWN at 86.66 pence from 86.71 penceburs-rl/cw

A Dutch court held hearings Wednesday to weigh whether to order an investigation into Nexperia, a Chinese-owned chip company at the centre of a global tug-of-war over critical semiconductor technology.The firm, based in the Netherlands but whose parent company is China’s Wingtech, has been the subject of a standoff between Beijing and the West that threatened to cripple car manufacturers that rely on its chips.The Dutch state in September invoked a 1952 law to effectively seize control of the company, sparking fury in Beijing.The Amsterdam-based Enterprise Chamber also played a major part in the battle over Nexperia in October when it suspended the firm’s Chinese CEO, Zhang Xuezheng, also known as Wing, citing concerns over his management.Lawyers for Nexperia on Wednesday accused Wingtech of a “scorched earth” policy in its bid to wrest control of the company.”Wingtech is doing everything to destabilise Nexperia, already under pressure from a crisis situation,” said one of Nexperia’s lawyers, Jeroen van der Schrieck.- ‘Mystery’ -Zhang Xuezheng did not appear at the hearings. His lawyer said he was not in a strong enough state to attend, as this case was taking a personal toll on him.”The intervention (by the Dutch government) and especially the way it was handled, is incomprehensible for Mr Wing,” said Jan Bart van de Hel, a lawyer for the Chinese tycoon.”It should never have happened. The situation degenerated needlessly,” he added.Dirk-Jan Duynstee, a lawyer for the Wingtech company, said “the real reasons that led the minister to intervene remain a mystery.” Judges said they expected to issue a ruling on whether to order an investigation within four weeks at the latest.The court could order an investigation “if it has valid reasons to doubt the sound policy and business operations at Nexperia”, it said in a statement.If the court does decide to order an investigation, it can also maintain or amend its decisions made in October.If however the court decides no investigation is required, the decisions it made in October will no longer be in force.In late October, following trade talks between China’s President Xi Jinping and his US counterpart Donald Trump, Beijing agreed to resume exports of Nexperia chips halted over the row.In response, the Dutch government said it was suspending its emergency takeover move as a “constructive step” hailed by Beijing.But while the political clash has died down for the moment, all eyes are on the court to see whether it will order a probe.

Oil prices rose further Wednesday on the political instability in major crude producer Iran, which also helped push safe-haven gold to a new record high while weighing on the dollar.Wall Street’s main stock indices fell at the start of trading despite US retail sales posting a higher-than-expected 0.6 percent increase in November and several major US banks beating earnings expectation.”Things are looking a little softer at the moment, reflecting a heightened sense of uncertainty in the air,” said Briefing.com analyst Patrick O’Hare.”Some of that uncertainty revolves around the path of monetary policy after this morning’s economic data worked against the notion of needing to cut rates again soon,” he noted.Recent data has indicated the US economy continues to hum, the labour market has not seen a major degradation and inflation is holding at a moderate level above the US Federal Reserve’s target.The Fed has tipped it would probably wait to make further cuts in interest rates, and most investors expect it will likely hold off for several months.O’Hare also pointed to traders waiting for a possible US Supreme Court ruling on Wednesday on the legality of US President Donald Trump’s sweeping tariffs.A ruling against the government would prove a temporary setback to its economic and fiscal plans, though officials have said that tariffs can be reimposed by other means.Meanwhile, China said its trade last year reached a “new historical high”, surpassing 45 trillion yuan ($6.4 trillion) for the first time.Global demand for Chinese goods has held firm despite a slump in exports to the United States after Trump hiked tariffs.Other trade partners more than filled the gap, increasing Chinese exports overall by 5.5 percent in 2025.”We expect this resilience to continue through 2026,” said Zichun Huang, China economist at Capital Economics.Much attention among traders remained on Iran, where a funeral ceremony began in Tehran on Wednesday for over 100 members of the security forces and other “martyrs” killed in the wave of protests, state television said.”Traders are closely watching the political unrest in Iran and possible US intervention, which could threaten disruption to the country’s… oil production,” said Helge Andre Martinsen, senior energy analyst at DNB Carnegie.European and Asian stock markets mostly gained.Tokyo shares jumped by 1.5 percent while the yen slumped to its lowest value since mid-2024 amid media reports that Prime Minister Sanae Takaichi planned to hold an election as soon as February 8.Takaichi’s cabinet — riding high in opinion polls — has approved a record 122.3-trillion-yen ($768 billion) budget for the fiscal year from April 2026.She has vowed to get parliamentary approval as soon as possible to address inflation and shore up the world’s fourth-largest economy.”We are seeing a shift in sentiment that could see European and Asian equities gain ground on their US counterparts,” said Joshua Mahony, chief market analyst at Scope Markets.On the corporate front, British energy giant BP revealed a write-down of up to $5 billion linked to its energy transition efforts that will be reflected in the company’s upcoming annual results.Its share price was down 0.9 percent in London.- Key figures at around 1430 GMT -Brent North Sea Crude: UP 0.9 percent at $66.05 per barrelWest Texas Intermediate: UP 0.8 percent at $61.39 per barrelNew York – Dow: DOWN less than 0.1 percent at 49,167.97 pointsNew York – S&P 500: DOWN 0.4 percent at 6,935.76New York – Nasdaq Composite: DOWN 0.7 percent at 23,554.20London – FTSE 100: UP 0.3 percent at 10,167.96 Paris – CAC 40: UP less than 0.1 percent at 8,353.59Frankfurt – DAX: DOWN 0.5 percent at 25,305.19Tokyo – Nikkei 225: UP 1.5 percent at 54,341.23 (close)Hong Kong – Hang Seng Index: UP 0.6 percent at 26,999.81 (close)Shanghai – Composite: DOWN 0.3 percent at 4,126.09 (close)Euro/dollar: UP at $1.1655 from $1.1643 on TuesdayPound/dollar: UP at $1.3456 from $1.3426Dollar/yen: DOWN at 158.27 yen from 159.15 yenEuro/pound: DOWN at 86.63 pence from 86.71 penceburs-rl/js

A Dutch court held hearings Wednesday to weigh whether to order an investigation into Nexperia, a Chinese-owned chip company at the centre of a global tug-of-war over critical semiconductor technology.The firm, based in the Netherlands but whose parent company is China’s Wingtech, has been the subject of a standoff between Beijing and the West that threatened to cripple car manufacturers that rely on its chips.The Dutch state in September invoked a 1952 law to effectively seize control of the company, sparking fury in Beijing.The Amsterdam-based Enterprise Chamber also played a major part in the battle over Nexperia in October when it suspended the firm’s Chinese CEO, Zhang Xuezheng, also known as Wing, citing concerns over his management.Lawyers for Nexperia on Wednesday accused Wingtech of a “scorched earth” policy in its bid to wrest control of the company.”Wingtech is doing everything to destabilise Nexperia, already under pressure from a crisis situation,” said one of Nexperia’s lawyers, Jeroen van der Schrieck.Zhang Xuezheng did not appear at the hearings. His lawyer said he was not in a strong enough state to attend, as this case was having a personal effect on him.His lawyers are to respond later Wednesday.Judges are not expected to make a ruling on Wednesday on whether to order an investigation but may announce a date for a decision.The court could order an investigation “if it has valid reasons to doubt the sound policy and business operations at Nexperia”, it said in a statement.If the court does decide to order an investigation, it can also maintain or amend its decisions made in October.If however the court decides no investigation is required, the decisions it made in October will no longer be in force.In late October, following trade talks between China’s President Xi Jinping and his US counterpart Donald Trump, Beijing agreed to resume exports of Nexperia chips halted over the row.In response, the Dutch government said it was suspending its emergency takeover move as a “constructive step” hailed by Beijing.But while the political clash has died down for the moment, all eyes are on the court to see whether it will order a probe.

Asian markets largely rose on Wednesday as speculation about a snap election in Japan pushed up Tokyo shares, and oil prices dipped after a surge fuelled by instability in Iran.Metals added to their recent gains to hit new record highs, with silver up more than four percent, partly propelled by the prospect of interest rate cuts by the US Federal Reserve this year.Tokyo closed 1.5 percent higher and the yen slumped to its lowest value since mid-2024 as media reports said Prime Minister Sanae Takaichi planned to hold an election as soon as February 8.Takaichi’s cabinet — riding high in opinion polls — has approved a record 122.3-trillion-yen ($768 billion) budget for the fiscal year from April 2026.She has vowed to get parliamentary approval as soon as possible to address inflation and shore up the world’s fourth-largest economy.Hong Kong closed up 0.6 percent while Shanghai dipped 0.3 percent after Beijing said trade last year reached a “new historical high”, surpassing 45 trillion yuan ($6.4 trillion) for the first time.Global demand for Chinese goods has held firm despite a slump in exports to the United States after President Donald Trump hiked tariffs.Other trade partners more than filled the gap, increasing Chinese exports overall by 5.5 percent in 2025.”We expect this resilience to continue through 2026,” said Zichun Huang, China economist at Capital Economics, in a note.London, Frankfurt and Paris saw marginal gains at the open.- Tariff ruling -“One risk to the export outlook is that the trade truce with the US doesn’t last,” Huang added, referring to a detente that Washington and Beijing reached last year after a major escalation.”Trump’s threat to impose a 25 percent tariff on countries doing business with Iran underscores the potential for renewed trade tensions.”Sydney, Seoul, Taipei, Wellington, Jakarta, Bangkok and Manila were all in the green, while Mumbai, Singapore and Kuala Lumpur were down.Gold spot hit a record high and silver topped $90 an ounce for the first time, partly on the shock news that prosecutors have reopened a probe into Federal Reserve Chair Jerome Powell.”Continued attacks on Fed independence and Trump’s proclivity to push for lower rates is another key reason behind our view and we forecast US Fed funds rates to fall below three percent” by the third quarter, said analyst Michael Wan at MUFG.Trump’s warning of “very strong action” if Iranian authorities hang protesters has also contributed to a tense geopolitical backdrop.Oil prices were lower after an overnight surge as the US president announced steep tariffs on anyone trading with Iran, sparking expectations that the threat will restrict supplies of crude.International outrage has built over the crackdown that a rights group said has likely killed thousands during protests posing one of the biggest challenges yet to Iran’s clerical leadership.Traders will also be keeping an eye on a possible US Supreme Court ruling on Wednesday on the legality of Trump’s sweeping tariffs.A ruling against the government would prove a temporary setback to its economic and fiscal plans, although officials have noted that tariffs can be reimposed by other means.- Key figures at around 0815 GMT -Tokyo – Nikkei 225: UP 1.5 percent at 54,341.23 (close)Hong Kong – Hang Seng Index: UP 0.6 percent at 26,999.81 (close)Shanghai – Composite: DOWN 0.3 percent at 4,126.09 (close)Euro/dollar: UP at $1.1645 from $1.1643 on TuesdayPound/dollar: UP at $1.3440 from $1.3426Dollar/yen: FLAT at 159.15 yenEuro/pound: DOWN at 86.64 pence from 86.71 penceWest Texas Intermediate: DOWN 0.8 percent at $60.66 per barrelBrent North Sea Crude: DOWN 0.8 percent at $64.96 per barrelLondon – FTSE 100: UP at 10,164.74New York – Dow: DOWN 0.8 percent at 49,191.99 (close)