Society

Election leaves Italy with only radical options

5 Mar 2018

An anti-establishment surge has crushed the chances of another moderate government. The maverick 5-Star Movement or the hard-right League are best placed to lead a coalition. The winners share some goals. But personal rivalry will make it hard for them to work together.

Euro zone reform faces green and red lights

5 Mar 2018

Germany’s new ruling coalition has cleared the way for reforms to strengthen the single currency area. Yet proposals to backstop banks and governments remain contentious. Italy’s new government adds uncertainty. With the ECB’s firepower waning, delay may prove costly.

Protest vote is big winner in Italy’s election

5 Mar 2018

The anti-establishment 5-Star Movement is set to win a third of votes in a poll that delivered a hung parliament. The radical League also surged. Together, they may have the seats to govern. But whatever coalition emerges, voters have clearly rejected traditional, pro-EU parties.

Cox: How to rid your portfolio of assault weapons

1 Mar 2018

Since Breakingviews first highlighted the role of BlackRock, Vanguard and other fund managers in financing manufacturers of AR-15 rifles after the Parkland school shooting, readers have asked how they can be sure they're not complicit. Here's a handy tear sheet to guide them.

Hadas: Billy Graham’s great missed economic chance

26 Feb 2018

The evangelist, who died last week, lived through a global debate over the Christian responsibility to help society. He put preaching before activism. If he had spoken out – as many European Catholics did – America might have a stronger welfare system now, and less populism.

Hadas: Put stock markets in their modest place

21 Feb 2018

Share price movements garner headlines and excite politicians, but not for good reasons. Equity markets play a minor and easily replaceable role in funding investment, and the effect of current values on wealth is almost entirely psychological. They deserve less attention.

Congress holds its nose over U.S. fiscal restraint

8 Feb 2018

The legislature passed a deal early on Friday to raise spending by several hundred billion dollars, just two months after a $1.5 trln tax cut. The strain on government coffers during a roaring economy will leave politicians with far less ammo when the next downturn arrives.

Hadas: Brexit trial could go worse than expected

9 Feb 2018

Are economists biased against Brexit? If anything, their estimates, which rely on imperfect precedents, are too optimistic. Leaving the EU will impair UK growth by hitting long-term confidence, institutional strength and workforce quality – all hard to capture in a spreadsheet.

Tesco pay showdown contains a wider warning

8 Feb 2018

A claim that female shop workers should get the same wage as male warehouse staff could cost the UK grocer up to 4 billion pounds. It’s a lesser-known twist on equal pay. While retailers Asda and Sainsbury’s face similar legal challenges, all sectors may be exposed.

Equity #MeToo risk is more than a crapshoot

6 Feb 2018

Allegations like those made against founders of Guess jeans and Wynn Resorts are impossible to predict. But some industries may be more at risk of sharp, reactive share declines when claims surface. A filter might show gambling and fashion as vulnerable - but finance, too.

Wynn Resorts slide shows house can lose in new era

26 Jan 2018

Boss Steve Wynn says sexual-misconduct accusations leveled at him are “preposterous”. The $2 bln wiped off the company's shares suggests investors nonetheless fear boardroom disruption. It’s a warning to all firms that even alleged misbehavior has become a financial risk.

City’s #MeToo moment is tipping point and catalyst

25 Jan 2018

The charity behind a men-only London dinner where female hostesses were groped has closed down. The scale of justified public censure means such events have no future. But the furore may also give new impetus to appoint more women to boards and redress gender pay inequality.

Weed giants share a deserved peace pipe

24 Jan 2018

Canada’s Aurora and rival CanniMed have agreed a friendly merger after months of acrimony. CanniMed’s shareholders only get a small stake in the $6.2 bln combination, but a big uplift in value. The world’s biggest listed weedmaker is now well positioned for regulatory changes.

Davos gathering gets #MeToo balance mostly right

22 Jan 2018

This year’s summit in the Swiss ski resort is chaired entirely by women, with gender a big theme at panels and parties. But the summit's low female attendance reflects the global imbalance of power. Tighter quotas would make Davos more politically correct but less formidable.

Viewsroom: Donald Trump goes to Davos

19 Jan 2018

The U.S. president heads to the Swiss Alps confab that’s the antithesis of his “America First” ideology. He’ll have competition: keynote speaker Narendra Modi, with his “Make in India” policy. Plus: BlackRock’s Larry Fink pushes social activism. And why Ford is stalling.

Insurance M&A benefits from thin U.S. safety net

19 Jan 2018

Lincoln National is paying $1.4 bln for Liberty Mutual’s employer-based insurance business. It gives the buyer added heft in a growing field as more Americans top up life, health and disability coverage through the workplace. Cost cuts give this deal an added bit of assurance.

Tax cuts are looking like rare Trump win

19 Jan 2018

The U.S. president’s first anniversary coincides with a possible federal funding hiatus. Slashing corporate taxes last month was a GOP success and the administration now wants infrastructure investment. But the shutdown wrangling is indicative of the partisan deadlock to come.

BlackRock’s social activism stick is big and pointy

16 Jan 2018

Larry Fink’s investment firm is demanding companies make a positive contribution to society for the long term. Having $4.1 trln of passively managed assets gives a big bully pulpit. BlackRock may have self-interest at heart, but if the private sector bucks up, that’s just fine.

Facebook discovers cost of factory-farming users

12 Jan 2018

The $550 bln social network’s success harvesting ad dollars from mass-appeal content made it very profitable. The snag is that users are increasingly unhappy. Mark Zuckerberg’s return to focusing more on their welfare may limit short-run profits but should improve sustainability.

Review: “The Post” gets more relevant by the hour

12 Jan 2018

Steven Spielberg's cinematic retelling of the publication of the Pentagon Papers feels rushed at times, and the nostalgia for a bygone newspaper business is maudlin. But such flaws are easy to forgive as current events emphasize the necessity of a free – and profitable – press.