May 26, 2014 07:16 UTC

U.S. firms get caught in China spying crossfire

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By Ethan Bilby

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

It’s almost a year since U.S. President Barack Obama and his Chinese counterpart Xi Jinping held a cordial “shirt-sleeves summit”. When it comes to the two countries’ internet rivalry, however, bare knuckles have replaced bare forearms. Last week’s indictment by the United States of five Chinese army officers as alleged cyber spies has prompted a backlash against American companies. China’s weapon is shutting them out from future growth.

May 21, 2014 06:50 UTC

Chinese real estate is in real trouble

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By John Foley

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

China’s property market is built on a vicious triangle. There are three ways the pressures building in the real estate industry could show: shrinking investment, disappearing funding for developers, and lower prices. Though they’re all related, the effects and remedies are different.

May 16, 2014 05:56 UTC

Asia can give the West a bubble-popping lecture

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By Peter Thal Larsen

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

It’s time for Asian regulators to give the West a lecture on popping financial bubbles. Policymakers in the United States and Europe have spent the past few years earnestly debating new methods to smooth out the ups and downs in economic cycles. They should pay more attention to Asia’s experience.

May 15, 2014 05:53 UTC

CITIC goes slowly on reform with $5.1 bln placing

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By Una Galani 

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

CITIC Pacific is going slow on reform with its $5.1 billion placing. The Chinese group’s Hong Kong subsidiary will sell new shares to 15 investors as part of a union with its state-owned conglomerate parent. The placing allows CITIC Pacific to keep its stock market listing. Yet most of the money is coming from buyers also backed by the Chinese government. A deeper overhaul of state firms looks a way off.

May 13, 2014 04:02 UTC

Japan index: Wages bigger worry than spending

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By Andy Mukherjee

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

With the sales tax rising from April 1, the shopping spree that pushed the Breakingviews Abenomics Index to a 12-year high in March has ended. But sluggish wages are a bigger threat than a consumption freeze. If pay disappoints, the spending gloom may become more persistent.

May 12, 2014 07:58 UTC

Australia’s mistimed austerity could boomerang

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By Andy Mukherjee 

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

Australians are bracing themselves for what is being billed as the toughest government budget in 20 years. But untimely austerity could boomerang on the country’s shaky economy.

May 9, 2014 14:01 UTC

ECB abets risky passion for peripheral debt

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By Swaha Pattanaik

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

The rally in peripheral euro zone debt seems unstoppable. Thank – or blame – the European Central Bank. Its talk about easing monetary policy, maybe as soon as June, is pushing bond yields to record lows in countries that faced borrowing costs of up to 17 percent a few years ago.

May 8, 2014 20:27 UTC

Stanford’s snub to coal typical of Silicon Valley

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By Christopher Swann

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

Stanford’s snub to coal is typical of Silicon Valley. The black rock is an easy target for the university’s $18.7 billion endowment, which is bigger than the top five U.S. coal firms combined. But shouldn’t the principle behind it, reversing global warming, also apply to oil companies, including Stanford donor Chevron? Like Valley tech tycoons, the Palo Alto school seems to shun some evils only so far.

May 6, 2014 07:49 UTC

India’s wobbly economy needs a factory revival

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By Andy Mukherjee

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

India needs a factory revival to boost its growth prospects. The country’s economy is unsteadily perched on software exports, hot money inflows and outsized fiscal transfers to villages. All three end up making the country’s exchange rate and labour uncompetitive. That shortens the fourth leg of the stool: manufacturing.

May 2, 2014 10:17 UTC
Guest Contributor

Review: The UK’s EU choice is safety or adventure

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By Eric Chaney

Eric Chaney is chief economist at AXA Group. The opinions expressed are his own.

Hugo Dixon has thrown his intellectual weight into the European Union membership debate. The founder of Breakingviews has written a compact and yet comprehensive little book, “The In/Out Question.” His answer is neat and clear: “it would be a historic error to pull out. Our economy would suffer if we quit. Our global influence would also be diminished.” In the war of ideas, he does not take any prisoners.