Reuters blog archive
The European Central Bank meets today with emerging market disorder high on its agenda.
It’s probably too early to force a policy move – particularly since the next set of ECB economic and inflation forecasts are due in March – but it’s an unwelcome development at a time when inflation is already uncomfortably low, dropping further to just 0.7 percent in January, way below the ECB’s target of close to but below two percent.
If the market turbulence persists and a by-product is to drive the euro higher, which is quite possible, the downward pressure on prices could threaten a deflationary spiral which ECB policymakers have so far insisted will not come to pass.
But what to do? A small interest rate cut from 0.25 percent to somewhere just above zero is hardly going to be a game changer and the ECB has already said it won’t prime banks with long-term cheap money again unless they commit to lend into the real economy.
from India Insight:
By Abhiram Nandakumar and Ratnika Maruvada
Enthusiasm over bitcoins has dampened in India after the country's central bank cautioned investors to be wary of using virtual currency because of the associated security, financial and legal risks.
Bitcoin, which was introduced in 2009 by a developer known as Satoshi Nakamoto (the developer's real name or names is unknown), is an online currency created by users, also called miners, by solving complicated math problems on the Internet. The currency is designed in a way that will produce 21 million coins that can be traded or, increasingly, used to buy things. (For a detailed explanation, visit bitcoin.org)
from India Insight:
Companies that help in processing card payments look set to benefit from rising demand for portable card swipe machines after the Reserve Bank of India adopted new rules to prevent fraud and enhance security.
Merchants in India usually swipe cards through a reader to generate receipts that customers sign, but the new rule, effective Dec. 1, adds another layer of security by making debit card holders enter their personal identification numbers to validate transactions via these machines, also referred to as point-of-sale (POS) terminals.
from Stories I’d like to see:
According to this article in the Capitol Hill newspaper the Hill, the House is poised this week to pass legislation that relates to three controversial issues: the federal budget, airport security, and funds for the military. Yet the bill is co-sponsored by a bipartisan group of 43 House members.
Does this bipartisan breakthrough signal an end to Washington gridlock? Hardly. In fact, the bill seems more like it was drafted by Saturday Night Live scriptwriters looking for a new way to make fun of Congress.
from The Great Debate:
BlackBerry changed the world. It made wireless email a killer app that every salesperson and traveling executive absolutely needed to have to get their work done. It gave us devices with batteries that lasted a full week, connectivity that made email feel real-time even over very slow networks, and a user experience that everyone LOVED. And, for IT departments, BlackBerry established a standard of security that protected even the most sensitive information with comprehensive policy support from a central management console.
Great email and great security were the hallmarks of the BlackBerry solution and no one else in the first decade of this millennium even came close to matching them. The term “Crackberry” became so popular to describe the addictive nature of the service that it was selected as the 2006 Word-of-the-Year by Webster’s New World College Dictionary.
from Photographers' Blog:
Along the Croatia border
By Antonio Bronic
Two months ago, I started working on a story about Croatia's border police preparing for the country's EU accession and trying to prevent illegal migrants from crossing into Croatia. For a media person, it is indeed rare to hang out with the police for 24 hours and I was afraid they would be stiff and uncooperative. How wrong I was. They were friendly and nice and, in the end, even took pity on my efforts to capture something dramatic on camera.
I visited three border crossings, two in the south, with Bosnia and Montenegro, and one in the east, with Serbia. I was mostly interested in finding out who were the people trying to cross the border illegally. They were mostly poor and unemployed citizens of Afghanistan, Syria and Albania, who wanted to reach rich European countries through Croatia, in hopes of finding salvation there.
from Full Focus:
Photographer Ilya Naymushin spent time documenting life inside Siberian prisons, including high-security male prison camp number 17, a facility outside Russia's Siberian city of Krasnoyarsk for male inmates who are serving a sentence for the first time and have been convicted for serious crimes. The prisoners work in wood and metal processing shops, manufacture furniture, sew clothes and do other kinds of work. Naymushin also documented the end of 32-year-old Boris Kovalyov's time in high-security male prison camp number 5, for men who have multiple convictions for serious crimes. Kovalyov was sentenced to eight years in a high-security prison camp for drug trafficking, but was released two and a half years early for good behaviour and participation in sports and cultural activities. Read Ilya's personal account here.
from The Human Impact:
I have lived in the Indian capital for several years and, like many other women in this metropolis of 16 million, I soon learned how to deal with the lecherous stares and dirty comments, the drunken men in cars who follow my auto-rickshaw home from work at night.
I have learnt to be aggressive, to talk straight and serious when addressing male strangers, to not make eye contact, to not extend a handshake and to certainly not smile, share personal details or be friendly when dealing with men I do not know.
from Global Investing:
Asian equity markets tend to be casualties of weak yen. That has generally been the case this time too, especially for South Korea.
Data from our cousins at Lipper offers some evidence to ponder, with net outflows from Korean equity funds at close to $700 million in the first three months of the year. That's the equivalent of about 4 percent of the total assets held by those funds. The picture was more stark for Taiwan funds, for whom a similar net outflow equated to almost 10 percent of total AuM. Look more broadly though and the picture blurs; Asia ex-Japan equity funds have seen net inflows of more than $3 billion in the first three months of the year, according to Lipper data.
from David Rohde:
Amid the politicking, there's an overlooked cause of the Benghazi tragedy
For conservatives, the Benghazi scandal is a Watergate-like presidential cover-up. For liberals, it a fabricated Republican witch-hunt. For me, Benghazi is a call to act on an enduring problem that both parties ignore.
One major overlooked cause of the death of Ambassador Chris Stevens and three other Americans is we have underfunded the State Department and other civilian agencies that play a vital role in our national security. Instead of building up cadres of skilled diplomatic security guards, we have bought them from the lowest bidder, trying to acquire capacity and expertise on the cheap. Benghazi showed how vulnerable that makes us.