Australian dollar smashed by Huawei arrest

Via the ABC:

Canada has arrested Huawei’s global chief financial officer in Vancouver, where she is facing extradition to the United States on suspicion she violated US sanctions against Iran, reports say.

Meng Wanzhou, who is one of the vice chairs on the Chinese technology company’s board and the daughter of company founder Ren Zhengfei, was arrested on December 1 and a court hearing has been set for Friday, a Canadian Justice Department spokesman said, according to media reports.

Representatives of Huawei, one of the world’s largest makers of telecommunications network equipment, could not immediately be reached for comment.

Battler bashed as risk turns off:

Bonds have broken out:

XJO is at two year closing lows:

Dalian soft:

Big Iron down:

Big Gas down:

Big Gold OK:

Big Banks headed for retest and free fall:

Big Realty deluded:

Not what markets needed.

Comments

    • What nonsense. The USA is just a Bully nation. None of their F&**() business – Nor Canada’s for that matter.

      The USA is deliberately casting Iran as a threat – It’s the other way around.
      The USA is a threat to the whole World.
      Arrogant useless clowns – destroyers of nations & killers of millions. Friends to worlds worst despots. F%$ them.

    • Impunity What?
      this action by the US makes Extraordinary Rendition look like a fun parlor game, this is Political and intentional.
      Back in the Cold war days the CIA and KGB had a policy of never targetting each others employees because they both fully understood that any steps down that path would open Pandora’s box.
      From that perspective we have a new player but it’s the same game so the scope of unacceptable engagement rules simply needs to be expanded to include the newest player.
      Any other behavior is just plain disrespectful.

      • Nope: opposite -Chinese corruption, theft & immorality is still primitive & naive – they find it easier to just pay the bribes, bent lobbyists & always push it to the limit until action is forced. Why OBR is now failing. Why Chinese imperialism fails. Why Chinese in every country end up hated and mistrusted across Asia and the world.
        Not like our far more sophisticated western corruption and collusion that is ‘within the law’ or ‘makes the laws it needs’. The Chinese just can’t get to that level.
        And you can bet the spyware / sleeper surveillance in the chips & firmware along with the stolen IP in what Huwai sells is also monitoring the Iranians as well as everyone else.

        How the Chinese think about our laws & rules.
        Case in point.
        “Meng spoke of different types of external regulatory compliance, dividing them into “red” and “yellow” lines. The former referred to rules where there is “no bargaining and must be strictly complied with,” she said. The latter is where strict compliance is not operationally feasible and the company can build in the costs of flouting the rules as “sunk costs,” she said, citing examples such as labour risks.

        “Of course, beyond the yellow and red lines, there may still be another scenario, and that is where the external rules are clear-cut and there’s no contention, but the company is totally unable to comply with in actual operations. In such cases, after a reasonable decision-making process, one may accept the risk of temporary non-compliance,” she said.

        Plenty of warnings:
        But typical of the Chinese arrogance to keep pushing the boundaries.

        The Wall Street Journal reported in April that US Department of Justice had opened an investigation into suspected violations of Iran sanctions by Huawei.

        The New York Times said the company had been subpoenaed by the Commerce and Treasury Departments over alleged violations of Iran and North Korea sanctions.

      • @ES
        when Stern got arrested my evacuation Insurance plan kicked in and I along with my family was scooped up and whisked away to places of greater security, so yeah I know of Stern Hu!

      • @mike
        goodness she’s been a bad bad girl….maybe you should spank her
        maybe that’s what gets you off
        for me life is like a good game of Chess, best played at least 10 moves in advance. there are always opportunities to get a little on the side as long as you keep your eye on the real long term goal.

      • Nope Fisho, she’s just another Chinese – all corrupt & corrupting.
        Like I said plenty of warnings, she is a just a nobody patsy example – as the US force the wider issue of China sanctions on Iran.

      • Obviously there’s a lot more going on than what is in the media. They must have evidence of serious wrong doings, technology theft or maybe her family is on Xi’s execution list as they’re too powerful so she’s defecting.

      • Wino ShinyfaceMEMBER

        “US authorities have been probing Huawei since at least 2016 for allegedly shipping US-origin products to Iran and other countries in violation of US export and sanctions laws, sources said in April.”

      • I’m sure Huawei uses US dollars. There is your nexus, legally speaking. Did they issue Eurobonds in USD? Which were then used to finance any aspect of Iranian business? We’re any of the execs US citizen or US resident? US sanctions apply to almost all international business because of the dollar

      • In light of the current argey bargey about trade between the US and China this arrest takes on a certian hu(e). No doubt a breach of the trade war ceasefire with barely plausible deniability. Dumb for Canada to buy into it as they now become a ready target for China’s retaliation.

  1. Ronin8317MEMBER

    Is this what Trump and Xi has agreed to at the G20?

    On a more serious note, she will be a very valuable asset for the US intelligence agency once they get their hands on her.

      • The Traveling Wilbur

        LOL. Yes. But it’s only today and yesterday, so less than a percent. That said…

        Save us Santa-Pol-e. You’re our only hope. ; )

    • Almost forgotten about a rudolf rally now. The real concern is how long can it hold support at 5600, coz it’s daylight below to the next support, which is down at the bear market threshold.

  2. Russell 2000 futures 1465. 1460 biggest line in the sand for years. Thin markets. Global recession. IG markets clients massively long. All shorts cleared out through to Monday. Naaaaaaasty. Unless you own puts.

  3. “was arrested on December 1” It’s the 6th today.
    I know she had name suppression etc, and maybe part of the 800 down was inside knowledge getting out. But, the 1st….

    • Janet – one person who would have known about it pretty much as soon as it happened was Prez Xi. So the 2 December G20 dinner date between Trump and Xi was held under the cloud of the Americans having kidnapped a Chinese princeling. Nah, I’m pretty sure that the Chinese won’t be fussed about getting revenge.

  4. so many cheapo flights to boring polluted China, desperate for some fresh cash injection, the slaves of the CCP are not giving enough back to the mother#land.. going to enjoy watching them crash, at least they will have some military bases on hello kitty island!

  5. I’m entirely hostile to the awful Chinese tyranny and their dangerous imperialism, but arresting a Chinese citizen in a third country because she may have violated US trade laws? That’s pretty damn outrageous. Imagine the uproar if the Chinese arranged for the arrest of a US citizen in a third country.

      • China could arrest the head of every major US tech sector there is and the CIA wouldn’t give a toss. They seriously would not care.

        This is the difference between the US and China – China is working as a government to better its people- the US is run by the CIA and corporations for private profit – do not give a shizen.

        China NEVER reacts – they are the Elephant. The long memory.

        Watch in 6 months time – someone important will die on holidays in Vietnam in a boating accident or another plane goes down.

    • The point I made on that other thread is that this is not just any Chinese citizen, her Dad has serious political pull and if there’s anything to the rumors he’s also a vengeful so’n’so.
      The US is intentionally picking a fight that is guaranteed to get real nasty real quick, from everything I’ve heard nobody bites this big dog and gets a free pass.

      • A couple of decades ago some particularly out-of-control baddies kidnapped one of the sons of Li Ka Shing, one of the wealthiest blokes in the world. It just happens that Li had long been linked to the Chinese Communist Party and had donated a high rise building in Central, HK for use by the Chinese government after the handover. The CCP leader at the time, Jiang Zemin, reportedly personally intervened with the instruction that the baddies had to be hunted down. Which they were, from memory all were killed by Chinese authorities.

      • In the real world there are some mistakes that you can only ever make once.
        It doesn’t matter who you think you are, nor does it matter where you are, the consequences of your actions follow you: I suspect this is one of those sorts of mistakes….sure glad I’m not in any way involved.

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