Whistleblowers lose a shield, but so do employers 22 Feb 2018 Those who suspect U.S. securities breaches must tell regulators or lose some protection from vengeful employers, the Supreme Court says. Major misconduct should still get reported. But small stuff might fall through the cracks – depriving companies of a chance to tackle it early.
Uber’s Waymo deal recasts existential question 9 Feb 2018 The ride-hailing service is paying Alphabet’s self-driving unit $245 mln in equity, ending a legal fight over trade secrets. Uber says it didn’t use its rival’s know-how. But if driverless cars are its only road to profitability, it needs to be a technology leader, not a laggard.
Congress holds its nose over U.S. fiscal restraint 8 Feb 2018 The legislature passed a deal early on Friday to raise spending by several hundred billion dollars, just two months after a $1.5 trln tax cut. The strain on government coffers during a roaring economy will leave politicians with far less ammo when the next downturn arrives.
Holding: Mickey Mouse is due trip out of copyright 30 Jan 2018 The valuable rodent will follow other creations into the public domain if Congress allows 95 years of legal protection to expire after 2018. Disney would squeak, but artists, internet users and, yes, Google should cheer. Another extension would leave lawmakers looking like rats.
Boeing needs Embraer deal to fly after tariff crash 26 Jan 2018 A U.S. trade agency surprisingly rejected calls by the aerospace giant and the Trump administration to slap duties on Bombardier’s C Series jet. It shifts the regional-airplane dogfight back to the marketplace, upping the pressure on Boeing to seal a tricky merger with Embraer.
Weed giants share a deserved peace pipe 24 Jan 2018 Canada’s Aurora and rival CanniMed have agreed a friendly merger after months of acrimony. CanniMed’s shareholders only get a small stake in the $6.2 bln combination, but a big uplift in value. The world’s biggest listed weedmaker is now well positioned for regulatory changes.
U.S. shutdown is expensive in more ways than one 22 Jan 2018 Lawmakers agreed Monday to reopen the federal government after a brief closure. Spending halts have only a modest impact on the economy and financial markets, but they cost taxpayers and risk deepening partisan divides. It’s a pricey tool that perpetuates Washington dysfunction.
Amex is a rare real victim of U.S. tax cuts 18 Jan 2018 The $86 bln charge-card group took a big hit from December’s tax revamp. Unlike at other financial firms, its capital ratios fell below acceptable levels. Suspending buybacks to rebuild the cushion makes sense, but it will delay the benefits of the new low-tax regime.
Wall Street dethrones its wealth managers 18 Jan 2018 Citi, Morgan Stanley and UBS all pulled out of a ceasefire that reduces scope for lawsuits when brokers got poached. BofA says it will stay. The rules were already being interpreted liberally. Still, scrapping them sends a grim message to wealth-management staff about who’s boss.
Review: “The Post” gets more relevant by the hour 12 Jan 2018 Steven Spielberg's cinematic retelling of the publication of the Pentagon Papers feels rushed at times, and the nostalgia for a bygone newspaper business is maudlin. But such flaws are easy to forgive as current events emphasize the necessity of a free – and profitable – press.
Walmart pay hike is less than largesse 11 Jan 2018 The $300 bln U.S. supermarket chain is raising hourly wages by $300 mln. That’s just a sliver of what it could save through tax cuts, but that may not be the biggest driver anyway. In fact, with super-low unemployment, it’s a wonder Walmart can get away with so little.
Ant’s MoneyGram fail becomes America First symbol 2 Jan 2018 Jack Ma’s financial offshoot has scrapped its $1.2 bln purchase of the U.S. cash-transfer company. The Alibaba boss made nice with Donald Trump early on, but his pledge to spark 1 mln American jobs wasn’t enough to get the deal past a new, and bipartisan, prickliness with China.
Our 2018 predictions on Reuters TV 31 Dec 2017 From the CEOs who should run for U.S. president, to the banks that ought to be sizing up mergers, our writers give their take on the coming year in a series of Reuters video reports.
U.S. buyback surge will incinerate wealth in 2018 28 Dec 2017 Companies will get a windfall from Republican tax cuts and repatriated profits. The White House claims the money will spur jobs and wages, but a similar Bush policy mostly fueled share repurchases. If GE’s experience is any guide, the largesse will burn value on a grand scale.
Britain will take the high road out of the EU 22 Dec 2017 Leaving the European Union will hurt manufacturing and financial services and make the government more willing to explore controversial ideas to help the economy. Legalising cannabis would help employment, lift tax revenues and reduce law enforcement costs.
Cox: Is Wall Street more democratic than America? 20 Dec 2017 Taxpayers in the most productive U.S. states would be forgiven for asking the question after the way Congress treated them with a slapdash tax bill skewed to corporations, not people. The big risk is that while capitalism becomes more representative, America goes the other way.
How to know if America’s big tax bet pays off 20 Dec 2017 Republican lawmakers have passed revised tax cuts that give even more breaks to companies and the wealthy. They are banking on those benefits trickling down to average workers. It could come back to haunt them. Breakingviews notes a few ways to measure the policy’s success.
Latam’s turn from populism will be put to the test 15 Dec 2017 Demagogues of right and left will test the region's recent embrace of pro-business pragmatism in 2018. Presidential elections in Mexico and Brazil will feature firebrands keen to exploit voter anger at corrupt elites and lawlessness. The center, if it holds, will emerge stronger.
Holding: Roy Moore loss could be Wall Street gain 15 Dec 2017 The GOP candidate’s flop put Democrats near a Senate majority able to block Trump's Supreme Court picks. That may prompt Justice Kennedy to bow out for a more conservative successor. Business benefits when the court leans right, making it a potential winner of Tuesday’s vote.
U.S. hands HSBC CEO perfect going-away gift 11 Dec 2017 The end of a five-year agreement over money-laundering lapses removes the threat of authorities yanking the bank’s U.S. licence. HSBC devoted 8 pct of its operating expenses to compliance last year. Though those costs will stay, departing boss Stuart Gulliver can leave on a high.