New York Stock Exchange changes plans to eliminate three Chinese companies
The New York Stock Exchange (NYSE) reported that it will not go ahead with plans to remove three Chinese telecommunications companies from the stock index in compliance with an executive order from President Donald Trump.
The exchange had said on its website on Monday that it had canceled its earlier decision after “additional consultations” with regulators.
The NYSE announced Thursday that it was removing China Telecom Corp Limited, China Mobile Limited, and China Unicom Hong Kong Limited, all owned by the Beijing government, under a November Trump order prohibiting US companies and individuals from investing in at least 31 firms believed to be linked to the Chinese military.
China’s Commerce Ministry warned on Saturday that Beijing would take “necessary countermeasures” to protect its companies.
Shares of the three companies gained more than 5% on Monday on the Hang Seng index of the Hong Kong Stock Exchange.
2. Macy’s to close 45 stores this year
Macy’s, the famous US department store, announced Tuesday the closure of about 45 stores this year as part of a three-year plan to reduce the number of stores in order to focus on its most productive outlets.
Even before the closings in the United States last year, Macy’s had announced a plan to close 125 of its least productive stores to cope with the drop in traffic at shopping centers. In 2020, Macy’s closed about 30 stores.
“Macy’s is committed to resizing our store fleet by concentrating our existing retail locations in desirable, high-traffic A and B shopping malls,” the company said in an emailed statement Tuesday.
The COVID-19 outbreak has made the plight of certain mall chains worse, forcing them to close stores and redouble their online business, while few chains are looking to open smaller stores in locations outside of shopping centers.
Macy’s, which operates more than 750 stores, including Bluemercury, Bloomingdale’s, and the stores of the same name, said it would post a list of stores expected to close this year on its website on Wednesday.