Jun 9, 2014 07:19 UTC

China-U.S. cyber spat risks corporate casualties

Photo

By Ethan Bilby

The author is a Reuters Breakingviews columnist. The opinions expressed are his own.

China’s security spat with the United States risks corporate casualties on both sides. The People’s Republic has responded to U.S. allegations of cyber spying by targeting American tech companies. A continuing dispute could lead to blocked deals in the United States and lost sales in China. Though companies can try to ease concerns, it’s hard for them to escape a political escalation.

COMMENT

Well if the Chinese start blocking their markets to certain companies these same companies should stop hiring in China and move to other countries instead especially America if they are in fact American companies. These companies should also put a halt on hiring Chinese nationals in other countries where they have offices.

Posted by CountryPride | Report as abusive
Jun 7, 2014 12:13 UTC

Future financiers condemned to repeat sins of past

Photo

By Jeffrey Goldfarb

The author is a Reuters Breakingviews columnist. The opinions expressed are his own.

Future financiers are condemned to repeat the mistakes of the past. Nearly 150,000 wannabe investment advisers, bankers, risk managers and analysts around the world will sit for the CFA exam this weekend. Success hinges on their understanding of the capital asset pricing model and return on equity. Knowledge of disasters like the South Sea Bubble and the Great Crash, though, are not required. Widespread ignorance of financial history is an overlooked systemic risk.

Jun 6, 2014 14:33 UTC

Three ways for FIFA to score on governance

Photo

By Robert Cole

The author is a Reuters Breakingviews columnist. The opinions expressed are his own.

Allegations of corruption have caught FIFA offside. Questions about the way Qatar won rights to the 2022 World Cup surfaced less than two weeks before the start of this year’s quadrennial tournament. There could scarcely be a worse time for embarrassment.

Jun 6, 2014 09:29 UTC

Review: China gives Africa handy investment lesson

Photo

By Stephanie Rogan

The author is a Reuters Breakingviews columnist. The opinions expressed are her own.

In the last decade nearly a million Chinese citizens have taken up residence in Africa. In his vivid new book, “China’s Second Continent,” Howard French tells stories of these migrants and the Africans whose lives they affect. The book weaves anecdotes and interviews with historical and geopolitical background to tell a larger tale of the PRC’s economic engagement in the continent. The result is an unflattering portrait of China’s involvement.

Jun 6, 2014 07:24 UTC

Jack Ma soccer buy does Alibaba investors a favour

Photo

By Peter Thal Larsen 

The author is a Reuters Breakingviews columnist. The opinions expressed are his own.

Jack Ma’s decision to buy half of China’s most popular soccer club has done prospective investors in Alibaba a favour. The $192 million investment in Guangzhou Evergrande which the internet giant’s founder hatched over a drinking session this week won’t affect Alibaba’s value when it goes public later this year. But it offers a priceless insight into how the company works.

Jun 5, 2014 06:25 UTC

Chinese hiccup temporarily deflates dairy bubble

Photo

By Ethan Bilby 

The author is a Reuters Breakingviews columnist. The opinions expressed are his own.

The world’s biggest milk importer is taking a break from its dairy diet. The price of milk-related products tracked by auction platform GlobalDairyTrade has fallen 25 percent since January. Though the decline is partly due to improving supply, demand from voracious buyer China has also fallen. That lull is unlikely to last.

Jun 4, 2014 13:20 UTC

Central banks abet the complacency they fret about

Photo

By Swaha Pattanaik

The author is a Reuters Breakingviews columnist. The opinions expressed are her own.

It is commonplace for central bankers to protest against violent price swings, but these days they are concerned that markets are too placid. New York Fed President William Dudley, European Central Bank Governing Council member Ignazio Visco, and Bank of England Deputy Governor Charlie Bean have all recently expressed disquiet about very low volatility. They are right to worry, but in casting blame, policymakers need to look in the mirror.

COMMENT

OK, Let me get this straight:

First the Fed creates a stable economy with slow growth (as opposed to no growth or negative growth).
Then, Traders and some investors get greedy and reach for yield via high risk investments.

Then, when those investments crash – which they invariable do — it is Fed’s fault???

That’s TeaParty logic if I ever heard it! Whenever bad things happen, it is ALWAYS the fault of government. Get rid of government! It’s no good!!!

ROFL…

Posted by GeorgeBMac | Report as abusive
Jun 4, 2014 07:55 UTC

China wrestles with repression of financial sort

Photo

By John Foley 

The author is a Reuters Breakingviews columnist. The opinions expressed are his own.

China is richer and more stable than when tanks rolled into Tiananmen Square 25 years ago. Then, incomplete political reforms led to chaos, violence and retrenchment. While there’s little risk of that now, a similar dynamic is playing out in the financial system.

Jun 3, 2014 14:54 UTC

Fed fundamentalists deserve fresh listen

Photo

By Rob Cox

The author is a Reuters Breakingviews columnist. The opinions expressed are his own.

A portrait of Milton Friedman hangs at the entrance to the Stauffer Auditorium at Stanford University’s Hoover Institution. It carries no identification, and doesn’t need any. All who enter here can be counted on to recognize the patron saint of contemporary free-market economics. And so it was two days last week, when the leaders of what might be dubbed monetary fundamentalism gathered under Friedman’s watchful gaze.

COMMENT

Trickery cannot replace a merit based society. When those with real capabilities are limited by those that manipulate you demotivate the capable. Fill their spots with your vacuous minions if you like but you lose in the long term. Things like justice and liberty and law are necessary for very practical reasons, not simply to placate the masses in a fake way. Without them (and we are without them) what is the point of endeavour? The central bank and their army of manipulators are simply tricksters.

Posted by brotherkenny4 | Report as abusive
Jun 3, 2014 06:08 UTC

China’s strikes not as bad as they seem

Photo

By Katrina Hamlin

The author is a Reuters Breakingviews columnist. The opinions expressed are her own.

China’s workers are asking for more. Luckily, many employers can justify the expense.