Last week, when the US Federal Reserve raised interest rates, it was a sign for many investors that things were getting back to normal. For China, facing large-scale capital outflows and a declining currency, it was a sign of a serious problem. For the past decade, China has maintained a “soft peg” of the yuan, allowing it to rise …

  One of the least discussed challenges of the incoming Trump administration may also be among the most economically consequential: what to do with Fannie Mae and Freddie Mac, the government-controlled entities that own or guarantee about half of all U.S. home mortgages. Trump’s pick for Treasury Secretary, Steven Mnuchin, has said he wants to put housing finance back into …

  Japanese Prime Minister Shinzo Abe visited Hawaii’s Pearl Harbor yesterday. It is the site of surprise attack by Japanese that pulled America into World War II. The attack had been prepared in secret by Japan for months. But it was over within two hours. At least 2,300 Americans died on December 7, 1941, when more than 300 Japanese fighter …