Politics

India’s new central bank boss starts on back foot

12 December 2018

Ex-finance ministry official Shaktikanta Das was chosen to run the RBI, a day after Urjit Patel quit. Top marks for a fast pick. There’s little to suggest, however, that a bureaucrat who backed the prime minister’s fateful demonetisation plan will resist pressure from New Delhi.

China-U.S. trade war will get a lot more personal

12 December 2018

Washington and Beijing’s tariff truce is looking fragile. The arrest of tech giant Huawei's CFO on U.S. behest complicates matters. Detention is a common business negotiation tactic in China, as a Canadian ex-diplomat just found out. U.S. executives have good cause to worry.

“Pere Noel” Macron won’t cheer marchers or markets

11 December 2018

France’s president pivoted from Teutonic austerity to Matteo Salvini-ish populism in response to violent protests over inequality. He pledged state cash to help the underpaid and pensioners. That may push up French borrowing costs without pleasing those in yellow vests.

Apple case underscores Chinese tech ties that bind

11 December 2018

A mainland court banned the sale of older iPhone models just days after Huawei’s CFO was detained in Canada. Meanwhile, U.S. regulators have revived old concerns about Chinese audits. Trade-war-related or not, the decisions allude to how many connection points there are to sever.

China’s export mystery may grant economy reprieve

11 December 2018

Shipments manage to keep rising despite U.S. tariffs. Many assume it’s due to “front-loading” orders to get ahead of duties, yet evidence is thin. If foreign demand has been a genuine driver up to now, Beijing will have a far easier time coping with the looming slowdown.

Holding: Supreme Court due for a dose of activism

10 December 2018

Like a dozy board, the U.S. tribunal has left confusing financial-fraud laws largely untouched for years. Yet a case argued last week - and a new justice - offer the chance to set the rules and Wall Street watchdogs straight. Shaking up the status quo would add value in the law.

Governor’s exit kills myth of India’s central bank

10 December 2018

Urjit Patel's resignation after a spat with New Delhi makes him the second chief to leave in almost as many years. That removes the illusion of independence. Finding a successor will be tough too. Investors will now significantly reprice risk as India hurtles into elections.

OPEC condition upgraded from terminal to ailing

7 December 2018

The oil producers’ club agreed a 1.2 million bpd cut with allies like Russia, hiking prices. After Qatar’s exit, failure to do so would have destroyed the cartel’s credibility. But the details imply OPEC leader Saudi’s wishes are subordinate to those of Russia and the U.S.

Review: The uncertain new world of labour

7 December 2018

The number of worried and desperate workers seems to be increasing. Some cultural critics see a symptom of modern social decay. “Precarious Lives” looks at the numbers and finds mild damage. Its main finding: a strong welfare state is welcome, but this problem is hard to solve.

Swiss spat offers Britain glimpse of Brexit future

7 December 2018

While UK politicians argue among themselves, the European Union is threatening to restrict share-trading with the Alpine nation over stalled treaty talks. It’s a stark reminder of the limits of sovereignty - and of the EU’s readiness to use regulation as a political weapon.

Mike Bloomberg can learn from Thomson Reuters

6 December 2018

The former New York mayor says he’ll try to sell his financial-data empire if he wins the 2020 presidential race. Lucky for him, money is plentiful for a buyout that could be valued at $40 bln. And there’s a blueprint he can use: Thomson Reuters’ sale of Refinitiv to Blackstone.

Viewsroom: Trade war pause may only delay fight

6 December 2018

U.S. President Donald Trump and China’s leader Xi Jinping agreed to a cooling-off period in an escalating tariff spat. Will the ceasefire yield results or is it a stalling tactic? The markets are spooked. Breakingviews columnists discuss the issue from both sides of the Pacific.

U.S. markets could be Huawei’s best ally

6 December 2018

Stocks fell after the CFO of the Chinese telecoms group was arrested for U.S. sanctions violations, jeopardizing a U.S.-China trade truce. President Trump helped Huawei rival ZTE when it was in a similar boat. His keen interest in buoyant markets may lead him to act again.

China moves a touch closer to EV driving seat

5 December 2018

Beijing has signed a new cobalt deal with Congo. The U.S. should already be antsy that its main strategic rival controls a third of what is a key component in electric vehicle batteries. Yet a scenario whereby China also acquires market leader Glencore’s share isn’t impossible.

Cox: Why I’m relocating to Paris in the year ahead

4 December 2018

Riots on the Champs-Elysées are not the best advertisement for President Emmanuel Macron’s fight against illiberalism at home and abroad. But homegrown protests like those of the “gilets jaunes” come with the territory in the global centre of the resistance – my new home.

Ghosn’s jail time risks poisoning alliance talks

4 December 2018

Nissan's former boss, accused of understating his pay, could see out the year behind bars, a local paper says - without being charged. His harsh treatment widens the gulf between Paris and Tokyo, making a deal on future ties between the Japanese carmaker and Renault even tougher.

U.S.-China talks depend on speaking same language

3 December 2018

The two countries’ trade-ceasefire spin reflects different interpretations and priorities. Whether on auto tariffs or Chinese students in America, negotiators may struggle to restore norms before hostilities began, let alone go further – especially if starting points are garbled.

Swiss have no easy way out of EU deadlock

3 December 2018

The government delayed by a week a decision on an EU treaty that would simplify a maze of bilateral deals. Accepting Brussels’ demands to further open up labour markets would risk defeat in a referendum. But failure to agree means putting barriers around the Swiss stock market.

French riots present Macron with stiffer test

3 December 2018

Previous presidents faced protests like the “yellow vests” who rampaged through Paris. As before, the supposed cause - fuel taxes - masks other grievances. But Emmanuel Macron lacks heavyweight ministers or credible opponents. That makes him a lightning rod for public discontent.

Xi deftly practices the diplomacy of buying time

3 December 2018

Beijing came away from the G20 summit with a welcome ceasefire. Now for the hard part: structural change. China's leader has opportunities in coming weeks to offer a little more - for example, on intellectual property. That will test the minimum required to please Washington.