WASHINGTON (Reuters Breakingviews) - Economic nationalists still linger in the White House. The departure of Steve Bannon, the chief strategist who advocated protectionist, "America first" policies, represents a plus for the global economy. But other foes of open trade and immigration will continue to try to influence Donald Trump. The centrists’ economic fight waged by National Economic Council director Gary Cohn and others will get easier but it’s not over.
LONDON (Reuters Breakingviews) - Winning brings its own problems. Chancellor Angela Merkel is likely to land a fourth term in German elections on Sept. 24 yet may be forced to govern with a small majority in partnership with the Free Democrats (FDP). That would be bad news for Germany and the European Union.
MUMBAI (Reuters Breakingviews) - For Infosys, a new chief executive is not the answer. Vishal Sikka delivered outsize returns in three years at the helm of India's second largest outsourcer by market value. No wonder that the resignation of the company's first professional CEO amid an ugly spat with founder shareholders prompted a roughly 9 percent plunge in the share price.
WASHINGTON (Reuters Breakingviews) - Gary Cohn is facing the most difficult investment dilemma of his career. The former Goldman Sachs president helped steer the bank to safety during the financial crisis. Now he’s under pressure to abandon President Donald Trump, whom he serves as chief economic advisor. Remaining could hurt his reputation, but he’s been a moderating influence on trade and he’s also a point man on tax reform. Losing his Wall Street savvy would further damage the White House - a
LONDON (Reuters Breakingviews) - The UK government is trying to send a trade Trojan Horse to Ireland. The European Union wants Northern Ireland’s knotty border issue resolved before Britain’s wider exit terms from the bloc can be agreed. New proposals from London deftly advance the government’s trade agenda, couched in concern for the region’s peace process. It may not work, but it’s smart, because having Dublin onside raises the chances of Britain getting what it wants.
HONG KONG (Reuters Breakingviews) - The China Securities Regulatory Commission hasn't learned its lesson. This week the agency posted a self-congratulatory statement crediting its crackdown on financial risk for producing a stock market rally, smoothing out volatility and getting price-to-earnings ratios into line. As a result it said it has fully removed curbs on index futures trading in place since the brutal 2015 crash. Unfortunately, this suggests the CSRC has learned worrying little about m
NEW YORK (Reuters Breakingviews) - Amazon’s aggressive salesmanship now extends to its own debt. The e-commerce giant’s blowout $16 billion bond sale suggests almost unlimited potential for the retailing juggernaut to consider even more shopping. Yet in nearly tripling its financial obligations to buy brick-and-mortar Whole Foods Market, Jeff Bezos’ outfit is starting to look more traditional. The risk is that its stock will too.
LONDON (Reuters Breakingviews) - Britain’s wage mystery is deepening. The unemployment rate has fallen to its lowest in more than four decades, yet wage growth is still tepid. There are some homegrown reasons why pay is not rising faster as joblessness falls, but at least one explanation is non-British in its origin.
NEW YORK (Reuters Breakingviews) - Washington has infrastructure all wrong. There's a big funding gap, but cash isn't the problem. There's more than enough capital in search of long-term investments. What the federal government needs to do is remove hurdles to private financing, be willing to take good ideas from elsewhere and help change the mindset of states, localities and consumers.
HONG KONG (Reuters Breakingviews) - JD.com’s impressive quarter was flattered by some financial wizardry. The Chinese online retailer’s top line grew by some 44 percent, helping generate $144 million of earnings. Unless, that is, conventional American guidelines for calculating the numbers were applied, in which case it lost $42 million.
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