Trump protectionism double-down faces harsh reality 20 Jan 2017 The new U.S. president echoed his campaign rhetoric by presenting a dark picture of "American carnage" and decay at his inauguration. Ending overseas assistance to focus on growth at home is his remedy. But he also needs to boost exports, which requires other countries' help.
Snap makes any good-governance pretense disappear 20 Jan 2017 The messaging app whose photos vanish wants to sell only non-voting stock in its upcoming IPO. Facebook and Alphabet waited years to move from dual-class feudalism to such derisive treatment of shareholders. What should be designed to fade away instead is these share structures.
Review: Jack of many trades masters nearly all 20 Jan 2017 Edward Thorp, the card-counter who bewildered Las Vegas before conquering Wall Street, flaunts his storytelling skills in "A Man for All Markets." His connection to so many defining moments in finance makes for a compelling memoir. Only the investment tips are out of place.
Heineken’s Dutch courage on Brazil looks merited 20 Jan 2017 The brewer may buy Kirin's Brazil unit for a mooted $872 million. The deal would give the company a 20 percent share of a difficult market, still well behind dominant AB InBev. The target is loss-making, but Heineken has reason to believe it can do a better job.
Trump takes office more as middle manager than CEO 19 Jan 2017 The president-elect has weighed in on place settings for his inauguration, among other insignificant matters. Trump also has been meeting with game-show hosts and municipal officials while picking fights with TV and film stars. Here's hoping he grows into the big promotion soon.
Guest view: Fixing finance to repair U.S. roads 19 Jan 2017 Plenty of federal programs exist to help leverage private funds eager to invest in infrastructure and make President-elect Donald Trump's $1 trln plan work, argues lobbyist James Courtovich. What's missing is cooperation in Washington to hold municipal bond issuers accountable.
Mnuchin has his work cut out on art of persuasion 19 Jan 2017 The U.S. Treasury nominee was grilled at a Senate hearing about using offshore havens and his chairmanship of a bank that Democrats called a foreclosure machine. He parried critics well enough on the day but to sell a tax overhaul to lawmakers will demand a much stronger pitch.
Viewsroom: Davos goes topsy-turvy 19 Jan 2017 Team Trump is AWOL at the World Economic Forum's annual alpine shindig while Theresa May's Brexit plan has people on edge. That left it to China's Xi Jinping to defend globalization. Elsewhere, U.S. bank earnings disappoint. And Snapchat considers making investor rights disappear.
Activist gets CSX train to run early 19 Jan 2017 Ex-Pershing Square partner Paul Hilal wants departing Canadian Pacific CEO Hunter Harrison to work his cost-cutting magic at the rival railroad firm. Grinding CSX's expenses down to a similar level could be worth more than $7 bln. Much of that value has already left the station.
Bank fines offer exercise in time value of remorse 19 Jan 2017 Credit Suisse and Deutsche Bank both have settled with U.S. lawmakers over mortgage practices. The $12.5 billion combined amount is substantial and makes for bold headlines. It is a less effective deterrent, however, than the other lasting marks from many years of rule bending.
Alibaba crafts an archetypal Davos deal 19 Jan 2017 The Chinese e-commerce giant unveiled a 12-year tie-up with the Olympics. This is more about status than financial returns. The blend of Chinese ambition, tech optimism and deal-doing among international elites is gold-standard Davos.
Netflix finances keep producing stranger things 18 Jan 2017 The $57 bln video-streaming service blew past quarterly subscriber expectations, quickly approaching 100 mln as it celebrated a decade online. After burning through still more cash, its share price soared to a new high. Apparently growth can come at almost any cost for Netflix.
Student-loan case throws down regulatory gauntlet 18 Jan 2017 In a page from the crisis playbook, the CFPB accused Navient of cheating borrowers paying for college. Suing days before Donald Trump becomes president is a bold gambit for the same agency that nailed Wells Fargo for fake accounts. It's fighting as much for survival as consumers.
U.S. mega-banks look longingly to Minneapolis 18 Jan 2017 Citi's 6.2 pct return on equity leaves it at the bottom of the banking heap, below BofA. JPMorgan and Wells Fargo at least covered the cost of capital. Meanwhile, U.S. Bancorp CEO Richard Davis is retiring after beating them on most major metrics. Simplicity has its advantages.
Wilbur Ross helpfully plays Trump trade translator 18 Jan 2017 The commerce secretary nominee played down the possibility of a trade war. Instead, Ross, a billionaire investor, focused on practices like steel dumping by China. That's the broadly preferred path in Congress. NAFTA talks will reveal if everyone is speaking the same language.
Talking down dollar makes policy mix trickier 18 Jan 2017 President-elect Donald Trump wants to boost growth by cutting corporate taxes, but also shrink the U.S. import-export gap. Now he says the currency is so robust it hurts competition with China. Reconciling it all will be hard without a trade war or a full assault on the Fed.
A Trump FAQ for American business leaders in Davos 18 Jan 2017 The virtual absence of senior Republicans and top dogs from the soon-to-be Trump administration at the World Economic Forum leaves U.S. executives to field queries about the country's direction from their worried global counterparts. Breakingviews offers a helpful cheat sheet.
Goldman Sachs and Trump scratch each other’s backs 18 Jan 2017 The president-elect hired the bank's president, Gary Cohn, and impact-investing head Dina Powell. The Q4 trading boost after Trump's election boosted Goldman's earnings and bonus pool. Fold in layoffs and the average Goldmanite will barely notice the firm's 9 pct revenue drop.
Pearson chief Fallon gets an F 18 Jan 2017 The education publisher's shares fell almost 30 pct after a profit warning from boss John Fallon - not his first. A hit to textbook sales through retailers should have been foreseen, and Fallon's tenure has been bad for investors. This latest shocker puts him on the naughty step.
GM rolls Trump-friendly buzzword off factory floor 17 Jan 2017 The automaker recently harangued by the president-elect for building cars in Mexico is bragging about "insourcing" 6,500 jobs to America. CEO Mary Barra isn't the first to use the term, but is ahead of the curve as more firms try to curry favor with the next commander-in-chief.