June, 2018

• 19 June

  China’s pipeline champion misses an opportunity

  

  China’s plans to create a pipeline giant to aid development of its natural gas market are overdue, and welcome. Unfortunately, they don’t go far enough. The state-owned champion, provisionally dubbed China Pipelines Corp., will combine the pipeline divisions of state-owned PetroChina Co., China Petroleum & Chemical Corp. or Sinopec, and Cnooc Ltd. A mooted market capitalization of as much as ...

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• 19 June

  Norwegian takes to the skies again

  

  Just when the excitement about a potential takeover of Norwegian Air Shuttle AS was beginning to flag, here comes another pocket of air to keep it aloft. British Airways owner IAG SA has sounded more circumspect lately about its stated interest in the transatlantic budget airline. So shareholders in the target will have been delighted by comments from Lufthansa AG’s ...

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• 19 June

  Maybe big banks are giving back too much

  

  During the next couple of weeks, the Federal Reserve will generate a data point of great interest to investors: After subjecting the nation’s biggest banks to so-called stress tests, it will decide how much money they can pay out to their shareholders. Fed officials should keep in mind that if the number gets much bigger, it could start chipping away ...

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• 19 June

  How Europe can end Greece’s debt ordeal

  As if Italy and Brexit weren’t challenging enough, the European Union will soon have to deal once more with Greece and its debts. The country is due to leave its third economic adjustment program this summer. After nearly a decade of support from its euro-zone partners and the International Monetary Fund, Greece and its creditors are hoping that it will ...

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• 19 June

  FCA dents Brexiteer dreams of Singapore-on-Thames

  

  Britain’s Financial Conduct Authority (FCA) is reviewing how the finance industry is implementing Europe Union rules on how research gets paid for. It’s evidence that even with Brexit looming, the UK regulator will seek to maintain the highest governance standards. But that hardline stance risks leaving a blot on FCA Chief Executive Officer Andrew Bailey’s resume if he applies for ...

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• 19 June

  Bitcoin breaking the internet is a cry for help

  

  The Swiss-based Bank for International Settlements – often described as “the bank for central banks” – likes order, technocracy and not rocking the boat. Given Bitcoin’s tumbling price and evaporating trading volumes, its 24-page report on the digital currency was always going to be withering. But amid all the righteous indignation, there was something missing: What exactly does BIS suggest ...

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• 19 June

  The climate litigation threat is getting credible

  

  Last month, a group of 10 families filed an action against the European Union (EU) at the European General Court, the EU’s second highest court. All claim to have suffered loss from climate change. Specifically, they argue that greenhouse gas (GHG) emissions from the EU have violated their fundamental rights to health, occupation, property and equal treatment. The plaintiffs want ...

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• 19 June

  Stocks decline, bonds rally as trade fears build

  

  Bloomberg Investors dumped riskier assets as a trade dispute between the world’s two largest economies showed signs of deepening and accelerating. Stocks dropped, Treasuries rallied and the dollar climbed with the yen. The S&P 500 sank the most in three weeks with industrial companies getting hit hardest after President Donald Trump threatened tariffs on another $200 billion of Chinese goods, ...

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• 19 June

  Commodities slide as US-China spat hits soy to steelmakers

  

  Bloomberg A rout in commodities deepened as the threat of a trade war between the world’s two biggest economies intensified, hitting markets from steelmakers to soybeans. As the tit-for-tat trade dispute between the US and China stepped up, a Bloomberg gauge of commodities fell to the lowest since early April, with agriculture being the worst hit. Almost all raw materials ...

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• 19 June

  US banks set to boost payouts by $30bn

  

  Bloomberg Harsher Federal Reserve stress tests this year won’t stop US banks from increasing their payouts to shareholders. As the annual review gets underway this week, the 25 largest lenders are gearing up to announce dividends and buybacks totaling roughly $30 billion more than last year, representing a 25 percent increase, according to analysts’ estimates compiled by Bloomberg. JPMorgan Chase ...

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