LONDON (Reuters Breakingviews) - Britain’s vote to leave the Europe Union took just one day – but the divorce process is dragging on. In October, talks between the two sides are supposed to shift from the terms of exit to the terms of re-engagement. There’s little chance of that happening. Despite the positioning papers published and legislation initiated, progress is being slowed up by bickering – within the UK government and between London and Brussels – as well as technicalities and economic
HONG KONG (Reuters Breakingviews) - China gave the auto industry an electric shock by announcing ambitions to phase out the combustion engine in the world’s largest car market. Details and deadlines are scant, but draft regulations accelerating the development of electric vehicles offer a glimpse of Beijing’s strategy: foreign automakers will pay the price.
LONDON (Reuters Breakingviews) - Germany’s election is not short on colour. Angela Merkel is all but certain to secure a fourth term as chancellor, and the right-wing Alternative for Germany (AfD) will most probably win its first parliamentary seats. But otherwise the poll remains an open race. Breakingviews breaks down the possible combinations, and their consequences for Germany – and for Europe.
HONG KONG (Reuters Breakingviews) - China's drug companies could provide a boost to Big Pharma. This week’s New York initial public offering of Shanghai-based Zai Lab highlights a new breed of innovative eastern drug makers specializing in treatments made from living cells known as biologics. They are eyeing a slice of the $1 trillion-plus global medicine market.
LONDON (Reuters Breakingviews) - In Lake Wobegon, the fictional setting for Garrison Keillor’s “Prairie Home Companion”, all the children are famously above average. Such illogic is embraced by active asset managers, all of whom peddle the idea that they can consistently beat the market mean. The growth of lower-cost passive funds has exposed the flaws in that thinking – and lent new urgency to the search for cost savings.
HONG KONG (Reuters Breakingviews) - Artificial intelligence is the backseat driver of SoftBank’s move on Uber. Masayoshi Son’s tech and telecoms group is close to investing $10 billion in the U.S. ride-hailing giant, the Wall Street Journal says. That reflects the Japanese maverick’s belief in the disruptive power of self-driving cars.
NEW YORK (Reuters Breakingviews) - Bridgewater’s founder thinks his kindred spirit resides in China’s anti-corruption czar Wang Qishan. Both seek radical transparency – though Dalio’s hunt is tied to forging a business in the Middle Kingdom. Plus: Exxon’s salvation may lie in the oil fields of West Texas.
NEW YORK (Reuters Breakingviews) - The National Rifle Association isn't known for the subtlety of its messaging. But in recent months, the leading shill for America's gun industry is sounding shriller than ever. That’s despite unprecedented support from Donald Trump, the first U.S. president to speak at its annual meeting in a generation. "You came through for me, and I am going to come through for you," the commander-in-chief told the NRA's top brass and members in Atlanta in April. "The eight-
LONDON (Reuters Breakingviews) - Saudi Aramco’s initial public offering is an idea that deserves to be put back in the ground. The sale of a 5 percent stake in Saudi Arabia’s state-owned oil giant may be pushed back into 2019, according to Bloomberg. Achieving the desired $2 trillion valuation always looked a stretch. If Riyadh really wants the money it has better options.
HONG KONG (Reuters Breakingviews) - A Chinese online grocer's flotation may struggle to pique investor appetites. Food giant COFCO wants to raise up to $600 million in Hong Kong floating its supermarket website, IFR reported on Aug. 26. Ordering fresh food online is hot, with sales in China on track to top $36 billion by next year, estimates iResearch. But the group is loss-making and battling it out with rivals in a price war.
Reuters Breakingviews is the world's leading source of agenda-setting financial insight. As the Reuters brand for financial commentary, we dissect the big business and economic stories as they break around the world every day. A global team of about 30 correspondents in New York, London, Hong Kong and other major cities provides expert analysis in real time. Sign up for a free trial of our full service at http://www.breakingviews.com/trial and follow us on Twitter @Breakingviews and at www.breakingviews.com. All opinions expressed are those of the authors.