Climate specialists have warned for years about a “carbon bubble” in which markets ignore or massively undervalue the risks to companies from climate change. Two new studies suggest, however, that financial markets have started seriously pricing carbon risk, especially since the Paris Agreement of 2015. Whatever its other effects, that agreement may thus go down in history as the beginning ...

The Reserve Bank of India (RBI) is ending the year as it began: with a shock. Policymakers held their benchmark interest rate at 5.15% on December 5. Not a single economist among the 43 surveyed by Bloomberg News predicted this outcome. Central banks generally hate giving surprises. It makes people wonder what officials know that they don’t, and tends to sap ...

Next week, the European Union’s leaders will commit to cutting net greenhouse gas emissions to zero by 2050. This historic pledge will require the continent to radically overhaul its entire economy, including a revolution in the production of steel, cement and chemicals — whose carbon emissions are particularly difficult to abate. None of this will happen, however, unless European companies ...