Breakingviews

Review: Euro was the path of least embarrassment

By Edward Hadas
August 14, 2015

Valerie Caton’s history of French policy around the single currency could be read as a chronicle of meetings, position papers and fuzzy compromises. It is better to see a tale of European leaders grudgingly living up to their historic destiny. More of that, and the euro can survive.

Hugo Dixon: Euro zone doesn’t need political union

By Hugo Dixon
August 3, 2015

The Greek crisis has triggered renewed calls for a euro zone government, budget and parliament. But such a political union isn’t needed, desirable or achievable. Instead, the euro zone needs more market-based solutions to thrive.

BNP Paribas’ M&A machine spits out growth and risk

July 31, 2015

France’s top bank by assets cranked out resurgent second-quarter earnings of 2.6 bln euros. Three takeovers in 2014 are delivering results. Yet dealmaking sprawl has tripped up rivals in the past. It might be a good time for the Belgian state to trim its 10 pct stake.

Numbers add up to HSBC leaving London

July 31, 2015

The global bank is reviewing its head office location based on 11 criteria such as economic importance, transparency and tax. A ranking based on data compiled by Breakingviews shows Singapore, Hong Kong and even Toronto are more attractive than HSBC’s current home base.

Hugo Dixon: The optimist’s guide to Greece

By Hugo Dixon
July 27, 2015

There are so many ways things could go wrong in Greece that it’s easy to miss how things could also go right. The good scenario involves the ECB buying up Greek bonds, the lifting of capital controls and a deal on debt relief – all by year-end.

Hugo Dixon: Greek deal leaves bitter aftertaste

By Hugo Dixon
July 13, 2015

Berlin was right to point out that Athens had lost Europe’s trust. But by pushing the Greeks so hard, Germany is also losing Europe’s trust. The summit’s eventual outcome is reasonably fair if tough. But both leaders, Merkel and Tsipras, need to work hard to rebuild trust.

Hugo Dixon: Syriza split best outcome for Greece

By Hugo Dixon
July 11, 2015

PM Alexis Tsipras secured overwhelming parliamentary backing for his U-turn on austerity and reform, but his party has splintered. A new government, which is more serious about implementing whatever bailout programme is negotiated with creditors, will now probably be formed.

Tsipras U-turn only lowers short-term Grexit risks

July 10, 2015

Greece’s latest bailout plan accepts most of what its July 5 referendum rejected. Creditors will have to actively want a Greek exit from the single currency for it to happen now. Yet fresh austerity, capital controls and Athens’ weak reform record mean the truce may not last.

Rob Cox: Uber gets a pass on its Wall Street habit

June 30, 2015

Big banks break rules and pay fines. Traditionally it’s just a cost of doing business. Uber, meanwhile, pays fines when drivers violate regulations that stand in the way of its business model. Nowadays banks attract outrage, but Uber is often forgiven in the name of disruption.

Altice’s $9 bln U.S. foray shows controlled ambition

May 20, 2015

Patrick Drahi’s telecoms group is paying 10.1 times EBITDA to enter the U.S. cable market. But cost-cutting should reduce the multiple, and it could be a springboard for further consolidation. It’s a more conservative step than another mooted deal: a tilt at Time Warner Cable.