Chinese President Xi Jinping welcomes Iran's President Ebrahim Raisi to Beijing on Tuesday. AFP
Chinese President Xi Jinping welcomes Iran's President Ebrahim Raisi to Beijing on Tuesday. AFP
Chinese President Xi Jinping welcomes Iran's President Ebrahim Raisi to Beijing on Tuesday. AFP
Chinese President Xi Jinping welcomes Iran's President Ebrahim Raisi to Beijing on Tuesday. AFP

Chinese leader Xi Jinping pledges support for Iran over nuclear issue


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Chinese President Xi Jinping has pledged to support Iran in its push to find a proper resolution to its nuclear issue.

Mr Xi told Iranian President Ebrahim Raisi on Tuesday that Beijing backed the protection of Tehran's rights and the early resolution of the issue as Mr Raisi began a three-day state visit to China.

It is the first state visit to the country by an Iranian president in more than 20 years.

“China will continue to constructively participate in the negotiations on resuming Iran's nuclear agreement,” Mr Xi said.

Mr Xi hailed Beijing's “solidarity” with Iran during the meeting.

“In the face of the current complex changes in the world, times, and history, China and Iran have supported each other [and] worked together in solidarity and co-operation,” state broadcaster CCTV quoted him as saying.

The Iranian leader received a red carpet greeting, with 21 cannons fired and the national anthems of Iran and China played during the welcoming ceremony, Iranian state media Irna reported.

Mr Raisi walks with Mr Xi during a welcoming ceremony in Beijing. Wana/Reuters
Mr Raisi walks with Mr Xi during a welcoming ceremony in Beijing. Wana/Reuters

The visit is designed to boost trade and economic ties between the two countries.

The Iranian delegation in Beijing included Mr Raisi's central bank chief and ministers for oil and mining.

He is expected to sign a number of “co-operation documents”, Tehran has said.

Iran and China have strong economic ties, particularly in energy, transit, agriculture, trade and investment.

In 2021, the countries signed a 25-year “strategic co-operation pact”.

Both countries face pressure from western nations over their positions on Russia's invasion of Ukraine, which started about a year ago, and Iran is already under strict US sanctions due to its nuclear programme.

Iran has emerged as one of Russia's few remaining allies as Moscow has been pushed deeper into international isolation over the invasion.

How Tesla’s price correction has hit fund managers

Investing in disruptive technology can be a bumpy ride, as investors in Tesla were reminded on Friday, when its stock dropped 7.5 per cent in early trading to $575.

It recovered slightly but still ended the week 15 per cent lower and is down a third from its all-time high of $883 on January 26. The electric car maker’s market cap fell from $834 billion to about $567bn in that time, a drop of an astonishing $267bn, and a blow for those who bought Tesla stock late.

The collapse also hit fund managers that have gone big on Tesla, notably the UK-based Scottish Mortgage Investment Trust and Cathie Wood’s ARK Innovation ETF.

Tesla is the top holding in both funds, making up a hefty 10 per cent of total assets under management. Both funds have fallen by a quarter in the past month.

Matt Weller, global head of market research at GAIN Capital, recently warned that Tesla founder Elon Musk had “flown a bit too close to the sun”, after getting carried away by investing $1.5bn of the company’s money in Bitcoin.

He also predicted Tesla’s sales could struggle as traditional auto manufacturers ramp up electric car production, destroying its first mover advantage.

AJ Bell’s Russ Mould warns that many investors buy tech stocks when earnings forecasts are rising, almost regardless of valuation. “When it works, it really works. But when it goes wrong, elevated valuations leave little or no downside protection.”

A Tesla correction was probably baked in after last year’s astonishing share price surge, and many investors will see this as an opportunity to load up at a reduced price.

Dramatic swings are to be expected when investing in disruptive technology, as Ms Wood at ARK makes clear.

Every week, she sends subscribers a commentary listing “stocks in our strategies that have appreciated or dropped more than 15 per cent in a day” during the week.

Her latest commentary, issued on Friday, showed seven stocks displaying extreme volatility, led by ExOne, a leader in binder jetting 3D printing technology. It jumped 24 per cent, boosted by news that fellow 3D printing specialist Stratasys had beaten fourth-quarter revenues and earnings expectations, seen as good news for the sector.

By contrast, computational drug and material discovery company Schrödinger fell 27 per cent after quarterly and full-year results showed its core software sales and drug development pipeline slowing.

Despite that setback, Ms Wood remains positive, arguing that its “medicinal chemistry platform offers a powerful and unique view into chemical space”.

In her weekly video view, she remains bullish, stating that: “We are on the right side of change, and disruptive innovation is going to deliver exponential growth trajectories for many of our companies, in fact, most of them.”

Ms Wood remains committed to Tesla as she expects global electric car sales to compound at an average annual rate of 82 per cent for the next five years.

She said these are so “enormous that some people find them unbelievable”, and argues that this scepticism, especially among institutional investors, “festers” and creates a great opportunity for ARK.

Only you can decide whether you are a believer or a festering sceptic. If it’s the former, then buckle up.

Electric scooters: some rules to remember
  • Riders must be 14-years-old or over
  • Wear a protective helmet
  • Park the electric scooter in designated parking lots (if any)
  • Do not leave electric scooter in locations that obstruct traffic or pedestrians
  • Solo riders only, no passengers allowed
  • Do not drive outside designated lanes
Meghan%20podcast
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First Person
Richard Flanagan
Chatto & Windus 

Student Of The Year 2

Director: Punit Malhotra

Stars: Tiger Shroff, Tara Sutaria, Ananya Pandey, Aditya Seal 

1.5 stars

MATCH INFO

Fixture: Ukraine v Portugal, Monday, 10.45pm (UAE)

TV: BeIN Sports

Updated: February 14, 2023, 12:46 PM