Taiwan, Italy, Germany, YouTube, Michigan, Centibillionaires, Hermes

Taiwan, Italy, Germany, YouTube, Michigan, Centibillionaires, Hermes

Caracal Global Daily
March 20, 2019
Curation and commentary from Marc A. Ross

Reporting from Alexandria, Virginia 

Caracal Global Daily  = News + Analysis at the Intersection of Globalization + Disruption + Politics

TOP FIVE

✔️ Taiwan president to visit US despite Chinese opposition

✔️ YouTube’s struggles to shut down video of the New Zealand shooting

✔️ Can Terry McAuliffe sell himself to leftward-leaning Democrats in 2020?

✔️ Disney-Fox deal is complete

✔️ Barclays unveiled as Women’s Super League sponsor in groundbreaking deal
 

GLOBALIZATION

Taiwan president to visit US despite Chinese opposition: FT reports, Taiwan president Tsai Ing-wen will make a one-day stopover in the US next week in a move that underscores warming ties with the US despite criticism from China. Ms Tsai will travel to Hawaii during a week-long tour of three of Taiwan’s formal diplomatic allies in the Pacific, in a trip aimed at shoring up support in the face of pressure from Beijing which opposes recognition of the government in Taipei.

China to invite European diplomats to Xinjiang in new diplomatic push: Reuters reports, China will invite Beijing-based European diplomats to visit its far western region of Xinjiang, the foreign ministry told Reuters, furthering its outreach to fend off criticism about a de-radicalization program.

CNBC: Trade talks are in final stages, but there is still fear China may walk back concessions

USTR Robert Lighthizer and Treasury Secretary Steven Mnuchin will travel to Beijing the week of March 25 for high-level talks to try to hammer out a deal.

The US agriculture secretary is suggesting that China could treble its imports of US farm products under a deal.

WSJ: US chip makers fear trap in a trade deal with China

Proposed stepped-up purchases would give Beijing more control, semiconductor industry says.

US-China trade dispute likely to morph into technology war, says the president of the US-China Business Council: Speaking at Shorenstien APARC on March 11, US and Chinese trade negotiators remain engaged in intensive talks, although it is yet to be seen whether and when they can strike a final deal. But even if they are able to reach an agreement, in the confrontation between Washington and Beijing “the trade part is incidental: it’s a technology war, not a trade war,” said Ambassador Craig Allen, president of the US-China Business Council (USCBC).

Adam Minter: China’s electric cars hit some potholes: The government is doing everything it can to spur sales of new-energy vehicles. First, it should stop them from spontaneously combusting. 

European foreign policy: a new realism on China: The European Council will use a summit this week to focus once more on China — and decide whether it is time to get tough again. Mounting concerns over Chinese industrial policy, cybersecurity and trade wars have all combined to put Beijing firmly back on the European agenda. https://on.ft.com/2TXhzoj

Rattled by Beijing’s economic clout, the EU is finally trying to devise a tougher strategy.

Xi says China-Italy pact offers closer ties in strategic sectors: Bloomberg reports, Xi Jinping, brushing aside US and European concerns ahead of his visit to Rome, offered Italy a “global strategic partnership” stretching from building the new Silk Road together to boosting ties in sensitive sectors including telecoms and ports. Writing in daily Corriere della Sera, Xi invoked a “new era” in relations between China and Italy.

Germany to create fund to foil foreign takeovers after China moves: Reuters reports, Germany plans to pass legislation by the end of 2019 to create a state-owned fund that can protect key companies from takeovers by Chinese and other foreign firms, government sources said, in a marked shift from its "hands-off" approach to business.

UK is to start issuing official threat-level warnings for far-right terrorism, just as it does for jihadist and N. Ireland related groups.

UK unemployment rate dipped below 4% for the first time since the 1970s.

British government in chaos over Brexit delay: NYT reports, retreating in the face of a bitterly divided cabinet, Prime Minister Theresa May is now said to be requesting only a short extension in the process.

UK heads for cliff-edge showdown on Brexit: FT reports, May seeks short delay to EU divorce but Juncker warns no extension likely to be granted this week.

The Times: Theresa May pleads for delay to Brexit as EU stands firm

It is 1,000 days since the UK voted to leave the European Union, and the biggest question remains when will the country actually exit the union.

FT: EU hardens stance on Brexit delay as May’s cabinet splits over its demands

Barnier lays down conditions ahead of a summit where PM will seek an extension. 

DISRUPTION

Inside YouTube’s struggles to shut down video of the New Zealand shooting — and the humans who outsmarted its systems: WP reports, Pedro Domingos, a professor of computer science at the University of Washington, said that artificial intelligence is much less sophisticated than many people believe, and Silicon Valley companies often portray their systems as more powerful than they actually are as they compete for business. In fact, even the most advanced artificial intelligence systems still are fooled in ways that a human would easily detect.

Amazing these sites don't add a 30-second, 60-second delay when someone posts live video - I have to believe this will happen soon.

Also, once again, the sunshine of California warps SV computer engineers from seeing the possibility that social media can and will be used for evil.

Farmers Markets: The number of farmers markets in the US rose from 2,000 in 1994 to 8,600 markets in 2019.

POLITICS

Tracking Trump: Trump’s standing across America: On a daily basis, Morning Consult is surveying over 5,000 registered voters across the United States on President Trump. Below is the current data.

Since Trump took office:

His net approval in Michigan has decreased by 23 percentage points.

His net approval in Ohio has decreased by 19 percentage points.
 
His net approval in Pennsylvania has decreased by 17 percentage points.
 
His net approval in Wisconsin has decreased by 20 percentage points.

His net approval in Florida has decreased by 24 percentage points.

85% of GOP primary voters approve of Trump. 14% don't.

76% of GOP primary voters support Trump's nomination. 20% support another candidate.

Joe Biden tells supporters he plans 2020 bid - he'll announce in early April after the end of Q1 reporting.

Politico: World leaders tell Biden: We need you

"At the Munich Security Conference, Biden heard a repeated refrain, according to a conference attendee familiar with the conversations: The world needs you."

Can Terry McAuliffe sell himself to leftward-leaning Democrats in 2020? WP reports, the former Virginia governor once appeared to be well positioned for a White House run as a socially liberal, business-friendly Democrat. But now it’s unclear if there is room for McAuliffe in a party that seems to be pulling leftward.

BTW - The answer is no.

Candidates reach for the ticket to Democratic debates: 65,000 donors: WP reports, the new criteria have proved to be a boon to lesser-known candidates seeking a national stage and could create challenges for more-established politicians seeking to break away from the pack.

COMMERCE

Google hit with a $1.7 billion fine over EU ad blocking: WSJ reports, the European Union fined Alphabet’s Google $1.7 billion for abusing the dominance of its search engine to block competitors in the niche market of selling text ads on the search results that appear on third-party websites. 

Disney closed its acquisition of the major entertainment assets of 21st Century Fox, combining some of Hollywood’s best-known studios, characters, and franchises to better compete against Netflix.

LAT: Disney-Fox deal is complete; CEO Bob Iger's big swing could change media industry

Ban on cashless stores: New Jersey Governor signs law making it the second state to ban cashless shops and restaurants, with some exceptions. The new law takes aim at Amazon Go and others. 

Peloton is being sued for using music without permission in its video fitness classes: The Verge reports, several members of the National Music Publishers Association (NMPA) have collectively filed a lawsuit against fitness startup Peloton today, seeking over $150 million in damages. The complaint, filed by Downtown Music Publishing, Ultra Music, and eight other publishing groups, says that Peloton has been using their musical works for years in its workout videos without proper licensing, resulting in income lost for songwriters.

Bayer shares slide after latest Roundup cancer ruling: Reuters reports, shares in Germany's Bayer's fell more than 12 percent on Wednesday after a second US jury ruled its Roundup weed killer caused cancer.

CULTURE

Centibillionaires: Bill Gates joins Jeff Bezos as the only two members of the $100 Billion Club. Gates’s fortune, now $100 billion on the nose, hasn’t reached such heights since the dot-com boom, when Bezos was only beginning his march up the world’s wealth rankings. The Amazon founder is now worth $145.6 billion.

Bloomberg tracks the fortunes of some 2,800 billionaires. Of those, 145 are worth at least $10 billion, making them decabillionaires. 

Hermes has become the latest fashion industry victim of men’s casual dress: Signaling weakness in its silk business as neckties lose their allure. Revenue from silk and textiles rose 3 percent in 2018, the slowest growth of the French luxury-goods maker’s business units. Chief Executive Officer Axel Dumas said Wednesday the company has been shifting production to adjust to men’s new preferences. “There’s a structural decline” in neckties, Dumas said on a call with reporters. “We have a lot of novelties coming. We’re launching more scarves for men.”

SPORT

ESPN + UFC have orchestrated a knockout deal allowing the world-wide-leader to stream 12 UFC fights per year for the next 7 years.

WSJ: Mike Trout, Los Angeles Angels near record $430 million deal

I've never seen Mike Trout play baseball.

Barclays unveiled as Women’s Super League sponsor in groundbreaking deal: Guardian reports, the Football Association has unveiled Barclays as the first sponsor of the newly professional Women’s Super League in what has been described as a groundbreaking multimillion-pound deal. The Guardian understands it is worth more than £10m over the next three seasons. According to the analytics firm Nielsen, the sponsorship is a record for women’s sport in the UK. First the first time there will be prize money in WSL, with £500,000 divided according to league position each season.

Chinese Investment, Brexit, Harley-Davidson, Uber, Amazon, Iceland, Italy

Chinese Investment, Brexit, Harley-Davidson, Uber, Amazon, Iceland, Italy

Marc Ross Daily
June 25, 2018
Curation and commentary from Marc A. Ross

Reporting from Alexandria, Virginia

Marc Ross Daily  = Business News at the Intersection of Global Politics + Policy + Profits

Subscribe here: https://goo.gl/bSQKwA

TOP FIVE

✔️ US plans curbs on Chinese investment, citing security risk

✔️ Erdogan claims victory in Turkey elections

✔️ 2 years on, Brexit vote has taken a toll on UK economy

✔️ Harley-Davidson to shift some production of motorcycles

✔️ Uber is appealing a ban in London

ROSS RANT

What global business needs to know about Xi

Earlier this year, Chinese Communist Party big boss Xi Jinping broke with a 25-year tradition by unveiling a new senior leadership group that includes no clear potential heirs, raising the chances bigly that he will stay in office beyond 2022. 

His lengthy stay in office was ensured as the rubber-stamp legislative body in March passed a set of constitutional amendments removing term limits for the office of president.

The consolidation of power in the hands of one man is a departure from the collective leadership that guided China through decades of historical and impressive economic growth and consumer stability. Today's top leadership reveal is a return to China's cultural code of imperial command.

He's now seen as so powerful that Forbes ranked Xi as the most powerful and influential person in the world, dethroning Vladimir Putin who held the record for 5 consecutive years.

What does it mean for global business? How will he use this power? Does the C-Suite commit or retreat?

As always, global business and the Davos crowd hopes a stronger Xi will now be able to push through bold economic and financial reforms.

I don't see it.

Xi is beholden to China and not the shareholders of the world's Western-based blue chip companies.

Xi and his party ideologues coined the phrase "Chinese Dream" to describe his overarching plans for China as its leader.

Xi's plans and leadership enhancement does little to change the ethos that to invest and manage a business in China you need fortitude, patience, and need to think in China for China. Capital controls and other investment barriers remain, while debt soars.  

If you sell a commodity and consumer packaged good and service, all is well, and there will be continued access and success in the Middle Kingdom.

If you are a bank, a tech company, an oil exploration concern, a biotech startup, a developer of new energy vehicles, you best buckle-up. Your business model is seen as a challenge to where Xi wants to take China, and the Great Wall just got higher.

GEOECONOMICS

US plans curbs on Chinese investment, citing security risk: Bloomberg reports, under the plan, the White House would use one of the most significant legal measures available to declare China’s investment in US companies involved in technologies such as new-energy vehicles, robotics and aerospace a threat to economic and national security, according to eight people familiar with the plans. Treasury Secretary Steven Mnuchin, in a report scheduled to be released on June 29, will suggest administering that law through an inter-agency government panel called the Committee on Foreign Investments in the US, or CFIUS, the people said, requesting anonymity to discuss the plans.

FT: Trump targets China investments as trade war heats up

WSJ: Trump plans new curbs on Chinese investment, tech exports to China

Politico: Trump gets ready to slap China with investment restrictions, export controls

FT - Editorial: US tariffs pose a danger to the global economy: Innovation and productivity will be casualties from a trade war.

Draft legislation may increase pressure on small Chinese e-commerce firms to fight fakes: SCMP reports, China’s draft e-commerce law may increase pressure on small online retail companies to fight the sale of counterfeit products on their platforms, as lawmakers aim to make internet retail site operators directly liable for such online transactions.

Ozone pollution: Scientists say new production of a banned industrial chemical is damaging the ozone layer. Investigations by the NYT and an independent environmental group led to factories in China.

Expect Xi to aim charm offensive at Abe next: Nikkei reports, China seeks to build 'network of global partnerships' to expand influence.

China cut its required reserve ratio by half a percentage point for some banks, unlocking about 700 billion yuan ($108 billion) of liquidity. 

China is trying to turn itself into a country of 19 super-regions: The planned city clusters are far larger than any others around the world. https://econ.st/2tCtoB8

Japan Times: Japan considers crime prediction system using big data and AI

Nikkei: Trump car tariff threat sends Japan on search for escape route

A 25% levy could mean $21bn in lost earnings for Toyota, Nissan and peers

Saudi Arabia ended a driving ban for women.

FT: Erdogan claims victory in Turkey elections

The Times: Erdogan tightens grip on power as opposition routed

WP: If they needed to fend off war with Russia, U.S. military leaders worry they might not get there in time

"Humvees could snarl behind plodding semis on narrow roads as they made their way east across Europe. U.S. tanks could crush rusting bridges too weak to hold their weight. Troops could be held up by officious passport-checkers and stubborn railway companies."

Salvini’s League makes gains in Italy’s local polls: FT reports, the capture of leftwing strongholds by far-right populists unsettles financial markets.

Bloomberg: Italy wants to put a million electric cars on the road. Price: $10 billion

Policing for Trump visit to Britain will cost £5m: The Times reports, protecting Trump, whose visit is expected to draw mass protests, is expected to require between 5,000 and 10,000 officers working overtime for the visit, due to start on July 12. Riot vans, search dogs for firearms and explosives, helicopters, mounted officers, public order units, protest removal units and evidence-gathering units will join counterterrorism and specialist protection officers to guarantee the US president’s safety. They will need support from civilian staff in control rooms, analysts, researchers and police community support officers to man road closures.

Brexit’s big short: How pollsters helped hedge funds beat the crash: Private polls—and a timely ‘concession’ from the face of Leave—allowed the funds to make millions off the pound’s collapse. https://bloom.bg/2tCm34y

Two years after Brexit vote, British leaders still tied in knots over how to leave Europe https://wapo.st/2ysGcQe

2 years on, Brexit vote has taken a toll on UK economy: AP reports, while it’s still unclear what Brexit will look like when it happens next year, the decision to leave has already had a clear effect on the economy: households are poorer, companies are more cautious about investing, and the property market has cooled.

Nigel Farage’s last laugh: Politico reports, two years after the Brexit vote, the British Euroskeptic and Trump enthusiast is building a second career on social media.

Iceland: From crisis to hotspot, 10 years on from the financial crisis http://bit.ly/2tAwjdB

Mexico’s leftist ‘Amlo’ weighs up Trump challenge: FT reports, would-be president and foreign policy neophyte faces test north of the border.

LAT: Andres Manuel Lopez Obrador, the front-runner in Mexico's presidential race, greats supporters before speaking at a campaign rally in Chihuahua. 

Mexico goes to the polls on July 1.

AMERICAN POLITICS

A trade war with China could hit these communities hardest: WP reports, the latest tariffs announced by China on June 15 would tax goods that accounted for about $45 billion in US exports last year. It’s a tiny speck of the nation’s thriving overall economy. But those tariffs are no broadside threat. They’re targeted with laserlike precision at farmers, ranchers and certain manufacturing workers, as well as at the local economies of rural and small-town America.

“If export markets get shut off, I could see us getting to the point where we’re dumping our milk in the fields. It’ll be a big ripple effect through the state.” -- Jeff Schwager, president of a longtime cheese producer in Wisconsin.

Bloomberg: Harley-Davidson to shift some production of motorcycles out of US after EU tariffs

‘We’re riding a tiger’: The Iowa GOP bets it all on Trump: Politico reports, the president’s trade war could cripple the state, but Republicans trust in him as negotiator-in-chief.

Mattis is out of the loop and Trump doesn't listen to him, say officials: NBC News, on Iran, North Korea and other major issues, the defense secretary has been out of the loop

Impeach Trump? Even Democrats who despise the president can't agree on a strategy for the midterm election: LAT reports, advocates like Tom Steyer see it as the only way to rouse Democratic voters who might otherwise sit out the midterm elections. But many Democrats fear it will antagonize Republicans and spur them to the polls.

The power of Nancy Pelosi: Can the Democrats' polarizing leader chart a path to victory in the 2018 midterm elections? https://rol.st/2tFFzgS

No. She's got to go.

RCP Generic Houe Ballot: DEM +6

ENTERPRISE

Uber is appealing a ban in London.

Tesla may be profitable in the second half of this year partly because of tax credits sold to Nevada casinos. 

General Electric may soon sell its distributed power business division to private-equity outfit Advent International.

ZTE is expected to deposit $400M in an escrow account in a U.S. bank in the "next couple of days," the last step it must take before a ban on US suppliers can be lifted. 

Bitcoin fell below the $6,000 mark on Friday for the first time since February.

Amazon’s private label business is booming.

Apple will fix your broken MacBook and MacBook Pro keyboards for free.

TRENDS

18 wheelers: The trucking industry is about 50,000 drivers short.

CULTURE

HBD: Ricky Gervais, comedian, actor, The Office (2001-03), and writer, 57

LAT: Full vending machines. Pot on the pillow. What some California hotels are doing to attract marijuana smokers. 

SOTD

A Tribe Called Quest - Check The Rhime https://goo.gl/GPwnbB

SPORT

Can the Lakers land LeBron James?

Politics Ensnare Salah and Switzerland at World Cup: NYT reports, Mohamed Salah was said to be considering retiring from Egypt over interactions with a Chechen politician, and two Swiss players caused a firestorm by displaying an Albanian symbol.

Switzerland's Xhaka and Shaqiri charged by FIFA over Serbia goal celebrations: Guardian reports, FIFA has opened disciplinary proceedings against Switzerland’s Granit Xhaka and Xherdan Shaqiri after they celebrated their goals during a 2-1 World Cup win over Serbia in Kaliningrad by performing an Albanian nationalist symbol.

LAT: Argentina's lack of talent and philosophy are making it nearly impossible for Lionel Messi to succeed

World Cup matches today - Matchday 3 of 3:

Saudi Arabia v Egypt @ 10:00 a ET

Uruguay v Russia @ 10:00 am ET

Iran v Portugal @ 2:00 pm ET

Spain v Morocco @ 2:00 pm ET

World Cup teams qualified for the knockout stage (Sweet Sixteen) so far:

Russia
Uruguay
France
Croatia
England
Belgium

World Cup teams that will not advance to the knockout stage so far:

Egypt
Saudi Arabia
Morocco
Peru
Costa Rica
Tunisia
Panama
Poland

World Cup 2018, leading goal scorers:

Harry Kane: 5
Cristiano Ronaldo: 4
Romelu Lukaku: 4
Denis Cheryshev: 3
Diego Costa: 3
Ahmed Musa: 2
Artem Dzyuba: 2
Mile Jedinak: 2
Luka Modric: 2
Eden Hazard: 2
Philippe Coutinho: 2
John Stones: 2

US-China, EU-US, Italy, Facebook, Cincinnati, Martin Sorrell, EVs, K-Pop

US-China, EU-US, Italy, Facebook, Cincinnati, Martin Sorrell, EVs, K-Pop

Marc Ross Daily
May 30, 2018
Curation and commentary from Marc A. Ross

Reporting from Alexandria, Virginia

Marc Ross Daily  = Business News at the Intersection of Global Politics + Policy + Profits

Subscribe here: https://goo.gl/bSQKwA

TOP FIVE

✔️ US imposing 25% tariff of Chinese goods, apply investment restrictions in June

✔️ China has a $43,000 wealth gap problem

✔️ Italian deadlock sets stage for fierce battle over the EU

✔️ Facebook's new political ad rules could upend June 5th primaries

✔️ De Beers has introduced a new brand that includes synthetic diamonds

ROSS RANT

Trump announces new tariffs and investment restrictions on Chinese technology

A lot can happen in 9 days.

“We are putting the trade war on hold,” Mnuchin said on the political news show, “Fox News Sunday” on May 20.

Mnuchin made the statement that the US and China were stepping back from a possible trade war after two days of talks that produced “meaningful progress.”

It appears that progress has stalled and the hold is off.

Yesterday, the Trump White House announced new tariffs and investment restrictions would be placed on Chinese technology as "China has consistently taken advantage of the American economy with practices that undermine fair and reciprocal trade."

The statement announces the US will impose a 25 percent tariff on $50 billion worth of Chinese goods containing “industrially significant technology.”

The White House said the tariff would cover goods related to the “Made in China 2025” program. The full list of imports that to receive the duties will be announced by June 15.

The White House also says the US is planning new investment restrictions and export controls.

The announcement comes as the administration negotiates with China on a broad range of issues - from North Korea to commercial relations, plus Commerce Secretary Wilbur Ross is expected to travel to China on June 2-4.

GEOECONOMICS

US imposing 25% tariff of Chinese goods, apply investment restrictions in June: Fox Business, despite cooling tensions between the world’s two largest economies, the White House said Tuesday it will impose a 25% tariff on $50 billion of imported goods from China that “contain industrially significant technology" next month. This includes products related to the “Made in China 2025” program. The final list will be announced by June 15 with tariffs imposed shortly after.

WSJ: US moves to finalize tariffs, investment restrictions on China

"US will release final list of tariffs on $50 billion in imports from China by June 15."

AP: China says Trump hurts credibility with tariffs

Bloomberg: China slams Trump's ‘flip-flop’ on tariffs as trade spat worsens

White House move raises trade tensions with China: The Hill reports, the White House announced Tuesday it will move forward with plans to punish China with hefty tariffs and investment restrictions, steps that ramped up tensions between Washington and Beijing on trade. US-China Business Council President John Frisbie said he would prefer if the US and China put the threat of tariffs on hold while the nations engage in trade talks. “We need solutions that will put the trade relationship on a sounder path for mutual prosperity, not sanctions that will do more harm than good. We encourage both sides to use the coming weeks to achieve that goal,” Frisbie.

FT: White House tariff move reignites US trade war with China

WSJ reports the White House’s surprise decision to move forward with tariffs and other sanctions against China threatens to derail trade talks scheduled for this weekend.

China has a $43,000 wealth gap problem: Bloomberg reports, China is no monolith. While residents in Shanghai and Beijing are almost as well off as those in Switzerland by some income measures, parts of the country live more like they were in Guatemala. The wide disparity puts some residents at the cutting edge of the developed world, stepping into battery-powered cars that silently ease down city streets, or as consumers facing advertising choices generated by image-recognition technology. Across China, close to 1 billion consumers shop or pay for purchases using apps on their smartphones. At the other extreme are rural towns where water still needs to be carried on foot from a well.

China’s carbon emissions set for fastest growth in 7 years: FT reports, a blow for global climate change effort as Greenpeace data show 4% rise in the first quarter.

WP - John Pomfret and Peter Fuhrman OpEd: China aims for independence as the rift with America and Europe widens. Will it work? Amid shifting noises and conflicting signals from the United States, confusion in Beijing over President Trump’s policies is giving way to a realization that China is now operating in a different, less welcoming world. By choice as much as duress, China will move toward greater economic and technological self-reliance. Can China become equal in those spheres? Few questions loom larger in China’s future, or ours. https://wapo.st/2shS2Hp

Why a Trump trade war is more likely with the EU than China: The signs are that it is going to be a long hot summer for transatlantic relations. https://on.ft.com/2Jk5Evs

EU-US trade relations: European Trade Commissioner Cecilia Malmstrom is set to meet US counterparts Wilbur Ross and Robert Lighthizer in Paris, two days before a temporary reprieve from U.S. metal tariffs is due to expire.

The Telegraph: Tories must reform capitalism to win back young voters, Philip Hammond to argue

Soros wants a second: George Soros has set out the case for Best for Britain’s campaign to force a second referendum on Brexit. The billionaire had already put £400,00 of his own money into the project and has now added another £100,000 to defy his critics.

British Prime Minister Theresa May will urge Trump to avoid protesters in central London during his UK visit in July and instead meet her at her country residence.

Italy: The Five Star Movement is renewing its attempt to form a coalition government, while the League said it hoped to return to an election as soon as possible. 

Italian deadlock sets stage for fierce battle over the EU: Populists will fight a snap election on the choice between local control and the ECB.
FT - Tony Barber

Today’s cartoon for The Daily Telegraph by Blower.

Plastic ban: The European Commission has proposed the world's biggest ban on single-use plastic products, from straws to cutlery, in order to save the environment from excessive plastic pollution.

Colombia is headed for its most divisive presidential race in decades that could upset a historic peace deal or see a reversal of business-friendly policies.

Top 10 paid politicians in the OECD:

Malcolm Turnbull - Prime Minister Australia $527,854

Alain Berset - President Switzerland $482,958

Donald Trump - President United States $400,000

Angela Merkel - Chancellor Germany $369,727

Jacinda Ardern - Prime Minister New Zealand $339,862

Sebastian Kurz - Chancellor Austria $328,584

Xavier Bettel - Prime Minister Luxembourg $278,035

Justin Trudeau - Prime Minister Canada $267,041

Charles Michel - Prime Minister Belgium $262,964

Lars Løkke Rasmussen - Prime Minister Denmark $249,774

AMERICAN POLITICS

NYT: Trump asked Sessions to retain control of Russia inquiry after his recusal

Ross goes from Trump ‘killer’ to ‘past his prime’: Politico reports, the commerce secretary has been increasingly marginalized in the administration in recent months amid jockeying over protectionism.

The Hill: Election fears recede for House Republicans

"House Republicans left town for the Memorial Day recess feeling more optimistic about their chances in the midterm elections, putting a spring in their step as they head toward the heat of the campaign season."

Independent voters now outnumber Republicans in California

62 + 42: VA freshman Rep. Tom Garrett (R-Scottsville/Charlottesville) announced he would not seek a second term. CD VA-5 now becomes the 62nd House open seat and the 42nd that the Republicans must defend.

NYT: Trump’s summer campaign priority: Target red-state Democratic senators

"In the coming weeks, the strategy will also take Mr. Trump to North Dakota, Montana, Missouri, Indiana and West Virginia — all deeply red states he won handily in 2016 with endangered Democratic senators."

"Mexico is going to pay for the wall and they are going to enjoy it," President Trump said at a rally in Nashville.

Today: Trump hosts White House Sports and Fitness Day

Facebook's new political ad rules could upend June 5th primaries: The Verge reports, Facebook introduced new disclosure rules for political advertisements this week designed to block bad actors from meddling in elections. But in the meantime, the rules are blocking legitimate candidates from buying Facebook ads - and at least one congressional candidate in Mississippi says it could tip the election toward his opponent.

Harvard study estimates thousands died in Puerto Rico due to Hurricane Maria: WP reports, at least 4,645 people died as a result of Hurricane Maria and its devastation across Puerto Rico last year, according to a new Harvard study released Tuesday, an estimate that far exceeds the official government death toll, which stands at 64.

TMZ Goes MAGA: How Harvey Levin’s gossip empire became Trump’s best friend: The president and the king of gossip have a relationship that’s paid off for them both. Never more so than when Trump almost lost the election. https://thebea.st/2kyTVeP

Kim Kardashian is reportedly expected at the White House today to discuss prison policy with Trump and Jared Kushner. 

ENTERPRISE

Google is set to host its first Asian Demo Day in Shanghai this September: Google’s Demo Day involves the tech giant identifying exceptional startups and working with them in over several weeks in order to perfect a pitch to investors on the day itself. To date, startups that have pitched successfully at previous Demo Days have raised over $259m between them. So far, all Demo Days have taken place in either North America or Europe, making the Asian Demo Day a clear sign that Google believes the east - and especially China - is where future innovation will flow from. In recent months, Google has signed a deal with Tencent, acquired HTC’s design team, and confirmed plans for an AI lab in Beijing.

Google has partnered with Xiaomi in an effort to bring its AR and VR technology to China.

The $1 trillion club: Apple, Amazon, Alphabet, and Microsoft are all vying to be the first company to join the four comma club.

BTW -  ZTE enjoys a market share of less than 1 percent of the Asian smartphone market.

Coca-Cola Co.'s new product, Lemon-Do, is a citrus-tinged alcoholic drink in a can - you can only find it in Japan.

Oceanalpha’s autonomous boat is going after the cargo shipping industry. 

Daimler led a $175 million fund-raising round for Taxify, a European rival to Uber.

Bird, an electric scooter sharing start-up, is reportedly raising money at a $1 billion valuation.

The Big Four: The accounting firms of Deloitte, PricewaterhouseCoopers, Ernst & Young,  and KPMG audit 97 percent of US companies, and every one of the top 100 corporations in the UK. 

Fortune: Why Nordstrom is betting on high-touch tech: No department-store chain has embraced technology more aggressively. But will that strategy help Nordstrom avoid the slump in higher-end retail? https://for.tn/2kBDHRP

Martin Sorrell is staging a comeback just six weeks after being ousted from WPP, using his same 1980s formula that transformed a shell company into the world’s biggest advertising group. The ad guru is investing £40M of his own money into London-listed Derriston Capital.

De Beers has introduced a new brand that includes synthetic diamonds. It takes about 500 hours to produce a diamond in a lab.

Fortune: Bayer wins US antitrust approval for its $66 billion takeover of Monsanto

TRENDS

35: Percentage of graduates in China and India who hold a science, tech or engineering degree.

Trade creates losers. Here’s how to help them: Addressing hardships requires both redistribution and regulation.
Economist - Swati Dhingra

EVs: The global fleet of electric vehicles is likely to more than triple to 13 million by the end of the decade from 3.7 million last year, according to a report released by the International Energy Agency.

CULTURE

K-Pop: The South Korean boy band BTS' album, "Love Yourself: Tear," just hit No. 1 in the United States. 

Richard Nixon's Western White House is back up for sale at $63.5 million: LAT reports, dubbed La Casa Pacifica by the 37th US president, the walled estate sits in a gated enclave on an isolated bluff that overlooks the ocean and a popular surfing spot. Panoramic views can extend 60 miles to San Clemente Island.

SOTD

Calvin Harris + Dua Lipa - One Kiss (Lyric Video)http://bit.ly/2kAHNdd

SPORT

Cincinnati awarded MLS expansion club, will start play in 2019: MLS reports, on the strength of record-breaking soccer attendances and the completion of an innovative plan to build a new, state-of-the-art soccer stadium, Cincinnati has been awarded a Major League Soccer expansion team, Commissioner Don Garber announced on Tuesday. The club will begin MLS play in the 2019 season. The expansion side, which will continue as FC Cincinnati when it joins MLS, plans to play at Nippert Stadium until 2021, when a new 21,000-seat soccer stadium in Cincinnati’s West End neighborhood is expected to be completed.

NBA Finals: Vegas is bullish on the Golden State Warriors winning the NBA Finals over the Cavs. The Land open as 12-point favorites in Game 1 over The Land.

The Cleveland Cavaliers and the Golden State Warriors will face each other in the NBA Finals for a fourth consecutive year. 

Nigeria says Nike has had record-breaking pre-orders for its World Cup jersey: Quartz reports, the team’s World Cup jersey has already received three million pre-orders. 

Major League Baseball attendance is headed to its lowest average in 15 years. 

@SportsCenter: Serena Williams has won her first grand slam match since giving birth to her daughter, defeating Kristyna Pliskova, 7-6, 6-4

Spellers finals: The Scripps National Spelling Bee began this week with a record 516 spellers, aged 8 to 15.