Good morning.

Two quick reads this morning.

🇩🇪 German elections taking place this Sunday will determine not only who will lead Europe’s biggest economy, but how influential the far-right Alternative for Germany (AfD) party is. Bloomberg has a good overview here.

🇺🇸 US Defense Secretary Pete Hegseth has demanded cuts of $50 billion at the Pentagon and a reordering of US defense priorities.

Ways to stay informed…

A few minutes today means hours saved each week

Try it out - api.decis.ai 

Key Metrics

WTI is $72.73 (Down)

Low |-------- < -----------| High

Wheat is $185.794 (Up)

Low |--------- > ----------| High

EuroDollar is $1.04 (Down)

Low |---- < ---------------| High

YuanDollar is $0.14 (Unchanged)

Low |---------- < > ---------| High

Graphs are illustrative to show comparative price over last 180 days

Metrics via AlphaVantage updated Feb 19 2025 21:16 UTC

Asia Stability Ratings and News Summary

More Unstable

🇦🇫 Afghanistan, 🇦🇲 Armenia, 🇦🇿 Azerbaijan, 🇧🇩 Bangladesh, 🇧🇹 Bhutan, 🇰🇭 Cambodia, 🇨🇳 China, 🇹🇱 East Timor, 🇬🇪 Georgia, 🇮🇩 Indonesia, 🇰🇿 Kazakhstan, 🇰🇬 Kyrgyzstan, 🇱🇦 Laos, 🇲🇻 Maldives, 🇲🇳 Mongolia, 🇲🇲 Myanmar, 🇳🇵 Nepal, 🇰🇵 North Korea, 🇵🇰 Pakistan, 🇵🇭 Philippines, 🇸🇬 Singapore, 🇰🇷 South Korea, 🇱🇰 Sri Lanka, 🇹🇼 Taiwan, 🇹🇯 Tajikistan, 🇹🇭 Thailand, 🇹🇲 Turkmenistan, 🇺🇿 Uzbekistan

More Stable

No countries were more stable over this period

Unchanged

🇧🇳 Brunei, 🇮🇳 India, 🇯🇵 Japan, 🇲🇾 Malaysia, 🇻🇳 Vietnam

Asia News Summary

Singapore continues to bolster its strategic partnerships, particularly with India. Recent discussions between Singapore's President and Assam's Chief Minister highlighted Assam's role in enhancing the India-Singapore comprehensive strategic partnership. Additionally, India has expressed its willingness to increase flight connectivity between the two nations, further solidifying their ties [SOURCE - Daily Excelsior].

On the humanitarian front, Singapore has made notable contributions to global aid efforts, dispatching a second tranche of humanitarian assistance to the Gaza region, reflecting its commitment to international support [SOURCE - Deccan Chronicle].

Vietnam is also making strides in economic development, securing a substantial loan from China to fund an $11.2 billion railway project aimed at enhancing connectivity between the two nations [SOURCE - Asia One]. Furthermore, the Exim Bank has agreed to provide $300 million in credit to Vietnam for the development of guard boats and patrol vessels, indicating a focus on strengthening maritime security [SOURCE - Daily Excelsior].

In the realm of international relations, tensions in the South China Sea have escalated, particularly following China's decision to construct an underwater research facility in the region. This move has raised concerns among the US and Southeast Asian nations, exacerbating existing tensions [SOURCE - Malay Mail]. Australia has accused China of unsafe conduct following a recent incident involving a Chinese fighter jet and a Royal Australian Air Force aircraft [SOURCE - ABC - AUSTRALIAN BROADCASTING CORPORATION].

Meanwhile, the US has been reassessing its foreign aid commitments, with reports indicating a shift in its approach to soft power, potentially ceding ground to China in the global arena [SOURCE - JAPAN TIMES]. This shift is further complicated by ongoing tensions over artificial intelligence cooperation, with Chinese officials accusing the US of politicizing technology [SOURCE - SPACE DAILY].

In South Asia, Pakistan's Foreign Minister recently held talks with his Chinese counterpart, emphasizing the strengthening of ties between the two nations, particularly in agriculture and technology [SOURCE - APP]. This partnership comes amid rising tensions along the Line of Control with India, where ceasefire violations have resulted in heavy casualties for Pakistan [SOURCE - India Today].

In the context of economic growth, India has been recognized for its robust sales performance by global consumer companies, indicating a positive outlook for its economy [SOURCE - Economic Times]. However, the Reserve Bank of India has imposed restrictions on the New India Co-op Bank due to regulatory lapses, raising concerns about financial stability [SOURCE - Economic Times].

Oceania Stability Ratings and News Summary

More Unstable

🇦🇺 Australia, 🇫🇯 Fiji, 🇰🇮 Kiribati, 🇳🇷 Nauru, 🇳🇿 New Zealand, 🇵🇬 Papua New Guinea, 🇼🇸 Samoa, 🇸🇧 Solomon Islands, 🇹🇴 Tonga, 🇹🇻 Tuvalu

More Stable

No countries were more stable over this period

Unchanged

🇫🇲 Federated States of Micronesia, 🇲🇭 Marshall Islands, 🇵🇼 Palau, 🇻🇺 Vanuatu

Oceania News Summary

In recent weeks, Australia has faced a series of significant developments that reflect both domestic challenges and international tensions. Amid a housing crisis characterized by soaring property prices and rents, Australian politicians are advocating for a re-evaluation of foreign investment policies, resulting in new restrictions on foreign buyers of existing homes for two years. This move aims to alleviate the pressure on the housing market and address growing public concern over affordability [SOURCE - The Times of India].

On the international front, relations between Australia and China have soured further, as Australia accused China of endangering an Australian surveillance plane over the South China Sea. The incident involved a Chinese fighter jet releasing flares that nearly collided with the Australian aircraft, exacerbating existing tensions between the two nations [SOURCE - CBS News].

In the realm of sports, the Australian cricket team has had a disappointing start to its campaign, suffering a record 174-run defeat to Sri Lanka [SOURCE - The Daily Star]. As they continue their tour, they are also seeking a long-awaited victory against Pakistan, which has eluded them since 2009 [SOURCE - India Today]. This tour not only highlights sporting endeavors but also reflects growing economic ties between Australia and Pakistan, with discussions on potential partnerships in business and technology [SOURCE - APP].

Domestically, Australia is grappling with workforce diversity issues, influenced by global political figures like Donald Trump [SOURCE - SBS News]. Additionally, the Reserve Bank of Australia has lowered interest rates for the first time in four years, responding to global economic uncertainties and aiming to stimulate growth while balancing disposable income [SOURCE - Malay Mail].

In New Zealand, the government is intensifying efforts to increase competition in the grocery market, while cautioning against potential changes to the KiwiSaver scheme that could impact retirement savings [SOURCE - Scoop]. However, critics argue that more decisive action is needed to address the grocery duopoly's dominance [SOURCE - Radio NZ].

New Zealand is also facing economic challenges, with Callaghan Innovation's decision to cut 63 roles drawing criticism for potentially driving essential skills out of the country [SOURCE - The Daily Blog]. The country is experiencing a brain drain, as hundreds of engineers leave due to infrastructure delays [SOURCE - Radio NZ].

In Fiji, the situation is dire as COVID-19 cases rise amidst a vaccine shortage, attributed to supply chain management issues [SOURCE - Fiji Broadcasting Corporation]. Additionally, heavy rainfall and flash floods have caused widespread disruption, leading to evacuations and school closures [SOURCE - Fiji Broadcasting Corporation].

Fiji's political landscape is also shifting, with an appeals court recently overturning a ten-year sentence for a political activist, reflecting ongoing tensions in the nation's governance [SOURCE - RNZ]. Despite these challenges, economic forecasts suggest growth, driven largely by tourism [SOURCE - Islands Business].

As the Pacific region grapples with climate change, Tuvalu faces severe threats from rising sea levels and coastal erosion, prompting the government to establish an early warning system to better prepare its citizens [SOURCE - ReliefWeb]. Meanwhile, Palau continues to lead in environmental conservation efforts, having implemented a ban on commercial fishing within its Exclusive Economic Zone, resulting in a significant increase in marine biodiversity [SOURCE - Wikipedia].

Carpe tomorrow!