Australia recorded its first trade surplus in almost three years as Chinese demand stoked prices for its two biggest exports, iron ore and coal. Australia’s trade performance closely correlates with demand from China’s old growth drivers like infrastructure and apartment construction.
Category: World News
Oxy Reckitt Benckiser ex-chief get 7 years in prison
A South Korean court has sentenced the former head of Oxy Reckitt Benckiser to seven years in prison after the company’s disinfectant for humidifiers killed scores of people. Seoul Central District Court ruled Friday that Shin Hyun-woo, Oxy chief from 1991-2005, was guilty of accidental homicide and falsely advertising the deadly product as being safe even for children.
Fairfax Said in Talks With OMERS to Back $4.9 Billion Takeover
Prem Watsa’s Fairfax Financial Holdings Ltd. is in talks with the Ontario Municipal Employees Retirement System to see if the pension fund will help finance his $4.9 billion takeover of Allied World Assurance Co., according to a person familiar with the discussions. OMERS could take a minority stake in Zug, Switzerland-based Allied, and there have also been talks with other potential backers, said the person, who asked not to be identified discussing a confidential matter.
OPEC Oil Output Slides in December Amid Nigeria Disruptions
OPEC’s crude production fell by 310,000 barrels a day in December, as unplanned disruptions in Nigeria reduced the group’s supply before deliberate cuts take effect this month. Nigeria’s daily output dropped by 200,000 barrels to 1.45 million in December, ending three months of gains as the African nation struggled to restore capacity after a year of militant attacks on oil infrastructure.
Samsung Beats Estimates as Chips Shake Off Note 7 Problems
Samsung Electronics Co. posted profit that beat estimates as buoyant memory chip prices helped the world’s largest smartphone maker bounce back from the death of its fire-prone Galaxy Note 7. Operating income rose 50 percent to 9.2 trillion won in the quarter ended December, its biggest profit in three years, the Suwon, South Korea-based company said in preliminary results Friday.
US equity firm makes strongest bid to buy Portuguese bank
Portugal’s central bank says an offer from U.S. private equity firm Lone Star is the most promising bid to buy Novo Banco , the so-called good bank salvaged by the Portuguese government from the collapse of major lender Banco Espirito Santo. The Bank of Portugal says it has invited the fund, based in Dallas, Texas, to “deepen negotiations” over the possible purchase, though it said rival bidders have expressed a willingness to improve their offers and would not be excluded.
Toyota Will Take Trump’s Decisions Into Account on Mexico Plant
Toyota Motor Corp. President Akio Toyoda said he’ll take U.S. President-elect Donald Trump’s decisions into account when planning for the automaker’s Mexican operations, after Ford Motor Co. scrapped plans to build a new plant there.
Libya Oil-Export Terminal Said to Re-Open as Crude Output Rises
Libya is re-opening its last major oil-export terminal that was shut amid fighting that hobbled output in the country with Africa’s largest crude reserves. The Zawiya terminal is preparing to resume exports after the pipeline supplying it was re-opened, an official at the state-run National Oil Corp. said, asking not to be identified for lack of authorization to speak to news media.
American Drivers Seen Paying $52 Billion More to Fill Up in 2017
Americans may spend $52 billion more to fill their cars this year as OPEC output cuts boost oil prices and state tax hikes take a bigger bite, according to GasBuddy Organization Inc. The national yearly average will rise to $2.49 a gallon from $2.13 in 2016, analysts at GasBuddy, which tracks retail prices and availability,said in a 2017 outlook. The jump more than reverses the $39 billion decline last year.
JPMorgan Lashing by Indonesia Signals Global Threat to Analysts
The world is getting more hazardous for skeptical analysts, the banks that employ them and investors who rely on their published research. Even by the rough-and-tumble standards of emerging markets, Indonesia’s punishment of JPMorgan Chase & Co.
Venezuelan Jews have started migrating to Israel, but not all…
In the years since Hugo Chavez took office in 1999, well-off Venezuelans left the country, followed by educated professionals, and, most recently, the youth and middle class. Now another marginalized group has begun to head for the exits: Venezuelan Jews, who have in the past moved to the US or Panama but have struggled to do so as Venezuela’s economic drains more of the country’s wealth.
Univision wins FCC waiver to allow its Mexican partner, Televisa, to increase ownership stake
The Federal Communications Commission has approved a measure that relaxes foreign ownership rules to enable Grupo Televisa of Mexico to claim a larger stake of the U.S. Spanish-language broadcasting giant Univision Communications. Univision’s chairman, Haim Saban, has been lobbying the FCC for the waiver for more than three years.
Scuttled Ford plant has Mexico fearing more under Trump
A man walks past a nearly deserted construction site, as workers shut down operations and remove equipment on Wednesday, a day after Ford announced the cancellation of plans to build a $1.6 billion auto manufacturing plant on the site in Villa de Reyes, outside San Luis Potosi, Mexico. Ford Motor Company’s cancellation of plans to build a $1.6 billion US auto manufacturing plant in San Luis Potosi has sounded alarms throughout Mexico.
Oil Prices Rise on Tighter Supply Outlook
Oil rose on Wednesday, with top exporter Saudi Arabia expected to increase prices for its crude as part of planned supply cuts, although a strong dollar and moderate economic growth prospects restricted gains. U.S. West Texas Intermediate crude futures were trading at $52.50 per barrel at 0747 GMT, up 17 cents from the last settlement.
Hanjin Shares Surge on Report Asset Sale to Close Next Week
Hanjin Shipping Co. shares surged by their daily limit of 30 percent in Seoul after a local media report that the sale of the collapsed container mover’s U.S.-Asia assets to a unit of South Korea’s SM Group is approaching its completion.
Summers and Eurasia Start the New Year With Dire Global Warnings
Former U.S. Treasury Secretary Lawrence Summers said investors are far too sanguine about the risks of Donald Trump’s policies, which analysts at Eurasia Group say could contribute to a level of global instability not seen since World War II. The Harvard professor, a Democrat who was Treasury chief under Bill Clinton, on Tuesday cited the possibility of protectionist measures by the U.S. as well as changes to foreign policy and domestic social programs as issues that are creating “extraordinary uncertainty.”
Oil Turns Negative on Strong Dollar After Hitting 18-month Highs
Oil prices turned negative after earlier hitting 18-month highs on Tuesday, the first trading day of 2017, as the U.S. dollar rallied to its highest since 2002. Traders said crude prices were buoyed earlier in the day by hopes that a deal between OPEC and other big oil exporters to cut production, which kicked in on Sunday, will drain a global supply glut.
Mexico’s peso weakens after Ford says cancelling Mexican plant
Mexico’s peso slipped on Tuesday after Ford said it will cancel a planned $1.6 billion factory in Mexico’s central state of San Luis Potosi.
Dollar back on trend, hits two-week high vs. yen
The U.S. dollar racked up its biggest rise in more than two weeks in 2017’s first full day of European trading on Tuesday, as dealers and investors in London returned to push the greenback close to December’s long-term highs. One of January’s big question-marks, China’s yuan, was proving more stable in its more freely traded offshore markets, a bullish survey of manufacturing purchasing managers helping it 0.1 percent higher and also supporting the Australian dollar.
Dollar back on trend, hits two-week high vs. yen
The U.S. dollar racked up its biggest rise in more than two weeks in 2017’s first full day of European trading on Tuesday, as dealers and investors in London returned to push the greenback close to December’s long-term highs. One of January’s big question-marks, China’s yuan, was proving more stable in its more freely traded offshore markets, a bullish survey of manufacturing purchasing managers helping it 0.1 percent higher and also supporting the Australian dollar.
Stock Futures Rise Ahead of First Trading Day of 2017
S&P 500 futures were up 0.83%, Dow Jones Industrial Average futures gained 0.79%, and Nasdaq futures rose 0.86%. U.S. markets followed Asian markets higher after Chinese manufacturing activity expanded for the sixth consecutive month.
2 Russian Navy ships arrive in Manila for goodwill visit
Russian crewmen stand at attention on board the Russian Navy vessel Admiral Tributs, a large anti-submarine ship, as it docks at Manila’s pier, Philippines on Tuesday, Jan. 3, 2017. Two Russian Navy Vessels are in the country for a goodwill visit till Jan. 7. less Russian crewmen stand at attention on board the Russian Navy vessel Admiral Tributs, a large anti-submarine ship, as it docks at Manila’s pier, Philippines on Tuesday, Jan. 3, 2017.
Oil Starts New Year Higher as Kuwait Delivers on OPEC Output Cut
Oil advanced after the biggest annual gain since 2009 as output cuts by Kuwait signaled OPEC and other producing nations started trimming production to stabilize the market. Futures rose as much as 0.9 percent in New York after increasing 45 percent last year.
Singapore’s Economy Expands More Than Economists Estimated
Singapore’s economic growth quickened to the fastest pace in more than three years last quarter as manufacturing and services rebounded. Gross domestic product rose an annualized 9.1 percent in the three months to December from the previous quarter, when it declined a revised 1.9 percent, the trade ministry said in a statement on Tuesday GDP rose 1.8 percent in the fourth quarter from a year earlier, compared with the 0.3 percent median estimate in a Bloomberg survey Singapore, among Asia’s most-export dependent nations, is seeking new growth engines to boost incomes as its population ages and trade falters.
For Cheapest Power on Earth, Look Skyward as Coal Falls to Solar
Solar power is now cheaper than coal in some parts of the world. In less than a decade, it’s likely to be the lowest-cost option almost everywhere.
Hyundai, Kia Forecast Sales to Rebound on Capacity, Models
Hyundai Motor Co. and Kia Motors Corp., South Korea’s largest automakers, forecast sales to climb 4.7 percent this year as they count on new model introductions to counter intensifying competition amid global uncertainties.
Paschi Said Failing to Lure Investors as State Readies Aid
Banca Monte dei Paschi di Siena SpA will probably fail in its effort to raise 5 billion euros of funds from money managers and individuals as potential anchor investors balk and few bondholders agree to swap their notes into stock, said people with knowledge of the matter. Qatar’s sovereign-wealth fund, which had considered an investment, hasn’t yet committed to buying shares, while a second debt-for-equity swap has raised about 500 million euros through Tuesday, a day before it expires, said the people, who asked not to be identified because the matter is private.
Nigeria wants to close airport in capital for runway repairs
Nigeria’s government has proposed closing the airport in its capital, Abuja, for six weeks to repair runways that some airlines have described as dangerous. The government wants to close Nnamdi Azikiwe International Airport, the country’s second busiest, for most of February and March.
Korea Bans Sales of Some Nissan, BMW Models in Emissions Probe
South Korea banned the sale of 10 models built by Nissan Motor Co., BMW AG and Volkswagen AG’s Porsche after an investigation found the automakers fabricated documents related to emission tests. The three manufacturers were slapped with total fines of 7.17 billion won , which apply to 4,523 vehicles, and the certifications given for these models have been withdrawn, the Ministry of Environment said in a statement Monday.
Largest India Bank Sees Loan Growth Jumping From 25-Year Low
State Bank of India, the country’s largest lender, is predicting an acceleration in loan growth from a 25-year low after slashing borrowing costs to the lowest level in at least six years. The state-run lender cut lending rates based on the marginal costs of funds by 90 basis points across all tenures on Sunday.
Amazon or Netflix could now board the 10-part limited series on the life of Adolf Hitler.
Leading German commercial network RTL has dropped plans to back an ambitious 10-part limited series on the life of Adolf Hitler. The project, from Berlin-based UFA Fiction – producers of Deutschland 83 and Generation War – and Beta Film, whose credits include hit Italian mafia drama Gomorrah and Tom Tykwer’s upcoming period series Babylon Berlin , has been one of the most talked-about series since it was unveiled at TV market MIPCOM in 2015.
Spanish Clunkers Are Relics of Bust as Madrid Stems Fumes
Fumes belching from aging cars are part of the legacy of Spain’s economic slump, as Madrid steps up its efforts to contain traffic pollution. Madrid city council last week stopped cars with even-numbered license plates from entering the central city zone for a day and also imposed speed and parking restrictions as it acted to tackle to traffic pollution made worse by high-pressure weather conditions.
How Social Cash Made WeChat The App For Everything
A centuries-old tradition gave rise to China’s most valuable company and captured the attention of everyone from teens to Silicon Valley. A little over a year ago, my roommate Mike said something strange.
Spanish Clunkers Are Relics of Bust as Madrid Acts to Stem Fumes
Fumes belching from aging cars are part of the legacy of Spain’s economic slump, as Madrid steps up its efforts to contain traffic pollution. Madrid city council last week stopped cars with even-numbered license plates from entering the central city zone for a day and also imposed speed and parking restrictions as it acted to tackle to traffic pollution made worse by high-pressure weather conditions.
Police took down a Sydney crime syndicate and made ‘the…
Australian police dismantled a major cocaine smuggling ring after a two-and-a-half-year multi-agency operation undertaken with Tahiti, Australian authorities announced on Thursday. Operation Okesi, which began in July 2014, culminated in a Christmas-night seizure of 500 kilograms of cocaine in New South Wales in eastern Australia.
Oil Market Seen as Surprise Haven From Political Risk in 2017
With Donald Trump set to enter the White House in January and populists on the march across Europe, political risk will loom large in 2017. Cautious investors may find stability in an unfamiliar place: the oil market.
3 men decapitated, 2 more slain in Acapulco over New Year’s
A taxi driver lies dead in his car after being shot shortly before midnight in a busy street in Acapulco early Sunday, Jan. 1, 2017. At least five people were killed over the New Year’s weekend in the Mexican resort city of Acapulco, including three men found decapitated in a central neighborhood.
Taiwanese Leader Tsai Says Beijing Reverting to Coercive Tactics
Relations with China are becoming more fraught as Beijing increasingly reverts to threatening and intimidating its neighbor, Taiwan President Tsai Ing-wen said while vowing not to return to “the old path of confrontation.” Tsai’s frank comments during a New Year’s Eve address in Taipei come at a sensitive time, weeks after U.S. President-elect Donald Trump angered Beijing by accepting a protocol-breaking phone call from the Taiwanese president.
Guyana sugar producers scale down after missing 2016 target
Officials say Guyana’s sugar producers have missed this year’s projections by 56,000 metric tons as they prepare to sell off or shutter industry facilities. Agriculture Minister Noel Holder said Saturday that the state-owned Guyana Sugar Corporation’s production will total 183,000 metric tons.
Mexico’s Minimum Wage Set to Rise Nearly 10%
Mexico’s minimum wage will rise almost 10% on Sunday, in a jolt to the system meant to stoke the poorest workers’ buying power, which has been eroded by recessions and past bouts of high inflation. But the prospect of higher earnings is doing little to dent pessimism among consumers, who head into 2017 facing rising fuel costs, higher interest rates and a weakening peso that closed 2016 near record lows against the U.S. dollar.