Nov 8, 2013 18:12 UTC

Review: Frackers needed long view to make history

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

The revolution in U.S. energy came from an unlikely source, as Gregory Zuckerman recounts in “The Frackers: the Outrageous Inside Story of the New Billionaire Wildcatters.” Tiny drillers like George Mitchell and Harold Hamm persisted with shale while deep-pocketed giants such as Chevron gave up. It was a triumph of leadership over short-term shareholder value.

Nov 8, 2013 12:47 UTC

ECB adds to bubbly markets’ risky lack of fear

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By Ian Campbell

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

The European Central Bank rate cut on Thursday is yet another bit of monetary policy loosening. The aim is not to make markets frothy – but that is the result. There may seem no catalyst for bubbles to burst. But the absence of fear is itself a warning.

Nov 8, 2013 02:07 UTC

Suntech casts shadow over China capital raisings

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By John Foley 

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

Suntech has gone from solar panel maker to financial black hole. The stricken company is fighting with creditors who want to see it liquidated after it defaulted on interest payments in March. Proposals to sell assets and take Chinese government cash seem unlikely to help investors avoid huge losses. For investors it’s a lesson in what happens when things really go wrong with Chinese companies.

Nov 7, 2013 13:24 UTC

Settling is hard to refuse in EU rates probes

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By George Hay

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

Brussels has handed banks a tactical quandary. The European Commission’s antitrust arm is preparing to hand some 5 billion euros of fines to the industry for its now-infamous attempts to manipulate interbank lending rates like Euribor and yen Libor. But some banks aren’t willing to settle. They face a tricky choice: buy peace now, or risk the ire of a powerful regulator – and a possibly larger fine later.

Nov 7, 2013 07:35 UTC

China’s Singles’ Day shows market power of one

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By John Foley

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

China’s retail sector is about to be plunged into collective madness. On Nov. 11, online shoppers are likely to snap up over $4 billion of goods when prices halve in celebration of “Singles’ Day”. Billed as a celebration of unmarried people, the event is actually a cue for massive online discounting. Consumers benefit, but the best deal goes to Alibaba, which reinforces the dominance of its Tmall and Taobao online marketplaces while leaving sellers to do the heavy lifting.

Nov 7, 2013 00:01 UTC

Lael Brainard isn’t the only Fed no-brainer

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

Lael Brainard isn’t the only Federal Reserve no-brainer. As Undersecretary of the Treasury for International Affairs, she has acquitted herself nobly helping the world understand Washington’s profligate and quixotic ways. The Senate would be as daft to block her potential nomination to the Fed board of governors as it would Janet Yellen’s to the chairmanship. Filling other central banking vacancies quickly is the president’s other obvious task.

Nov 6, 2013 09:37 UTC

France won’t meet its deficit target. No problem

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By Pierre Briançon

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

The French government will not meet its target of shrinking the budget deficit to 3 percent of GDP by 2015, according to the European Commission’s latest forecasts. Some voices will again call for the Commission to show some nerve, and dare to discipline one of the EU’s big powers for once. This won’t happen, for political reasons. But it shouldn’t – for economic ones. The only sensible response to the projected higher deficit should be: “so what?”

Nov 6, 2013 06:20 UTC

U.S. investors’ love of tech defeats fear of China

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By Peter Thal Larsen

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

For U.S. investors, love of technology has conquered a fear of China. Shareholders are snapping up shares of Chinese internet companies going public stateside. It’s a striking contrast with the recent past, when accounting scams and poor governance prompted many to shun mainland stocks.

Nov 5, 2013 08:15 UTC

China enters era of enlightened numerology

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By John Foley 

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

China has revealed the symbolic number that drives its economic policy: 7.2 percent. That’s the minimum growth rate Premier Li Keqiang says is needed to ensure a stable job market. Fetishising numbers sounds unhealthy for a country raised on central planning, but for China it may be a useful indication of how leaders will balance reform with stability.

Nov 4, 2013 08:38 UTC

Hong Kong’s new marketing ruse: business trusts

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By Una Galani

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

Business trusts are a new marketing ruse for Hong Kong bankers. Injecting whole companies into special-purpose vehicles sounds innovative: even tycoon Li Ka-shing has embraced the idea for the listing of his electricity assets in the territory which could raise $5 billion. But for all the hype, business trusts offer no benefits over a regular initial public offering. They’re mostly a tool for luring in yield-hungry investors.