Connect with us

Economy

Hong Kong’s Q1 GDP shrinks 4% y/y

Published

on


© Reuters. FILE PHOTO: A general view of skyline buildings, in Hong Kong, China July 13, 2021. REUTERS/Tyrone Siu

HONG KONG (Reuters) – Hong Kong’s economy shrank 4% in the first quarter from the same period a year earlier, government data showed on Friday, ending four quarters of recovery as the city imposed its most stringent measures to curb an outbreak of COVID-19.

The data compares with a growth of 4.7% in the fourth quarter. On a quarterly basis, the economy contracted by a revised seasonally adjusted 3% for the January-March period.

(This story refiles to link to alerts, add dropped % in headline)

Economy

EU proposes to make seizing assets easier, including of sanctioned oligarchs -document

Published

on

2/2

© Reuters. FILE PHOTO: Russian oligarch Roman Abramovich’s super yacht Solaris is seen at Barcelona Port in Barcelona, Spain, March 3, 2022. REUTERS/ Albert Gea

2/2

By Francesco Guarascio and Jan Strupczewski

BRUSSELS (Reuters) – The European Commission wants to make it easier to confiscate assets linked to serious illegal activities and suspected criminals, including those evading European Union sanctions against the Kremlin, according to a draft document seen by Reuters.

The legislative proposal, due to be published on Wednesday and still subject to changes, is aimed at addressing a longstanding weakness in the EU where many states lack sufficiently robust legal frameworks to seize criminal assets, making it easier for criminals to hide their resources and benefit from illegal activities.

The war in Ukraine further exposed this weakness, as many states are struggling to freeze assets of people sanctioned by the EU for their ties to the Kremlin – and many more lack legal powers to confiscate frozen assets.

The legislative proposal would address these weaknesses by creating a common legal framework.

Crimes for which the new rules would apply are terrorism, participation in a criminal organisation, human trafficking, money laundering, and also the violation of EU sanctions, which under a separate proposal, also to be published on Wednesday, would become a crime across the EU.

Asset seizures would generally require a conviction, but under the draft law, they could be allowed pending trial in some cases for suspected criminals, and also when they are “transferred by a suspected or accused person to third parties,” including family members.

Authorities in EU states have said one of the main obstacles they faced in enforcing the sanctions against Moscow was that affected people had their assets registered under somebody else’s name, or transferred them before sanctions were implemented.

“We are working on a European tool to make confiscations possible everywhere in all EU states”, the EU justice commissioner Didier Reynders said while pre-announcing the incoming measures earlier in May. He said one of the ultimate aims was to redistribute proceeds from these confiscations to Ukraine.

To become law, the proposal needs the backing of EU governments, which have traditionally been cautious about reforms that require changes to their criminal laws.

Continue Reading

Economy

Oh Snap! Social media firms sink after bleak warning from Snapchat parent

Published

on


© Reuters. FILE PHOTO: A woman stands in front of the logo of Snap Inc on the floor of the New York Stock Exchange (NYSE) in New York City, NY, U.S. March 2, 2017. REUTERS/Lucas Jackson

By Nivedita Balu and Medha Singh

(Reuters) – Snap Inc (NYSE:SNAP)’s shares plunged nearly 40% on Tuesday after a profit warning from the Snapchat parent signaled tough times ahead for the once-booming digital ad industry, sparking a sector-wide selloff.

The company was on course to erase more than $14 billion in market value, while Meta Platforms, Pinterest (NYSE:PINS), Twitter (NYSE:TWTR) and Google-parent Alphabet (NASDAQ:GOOGL) were altogether set to lose nearly $140 billion if losses hold.

Snap said on Monday it expected to miss quarterly revenue and profits targets that it set just a month earlier and would have to slow hiring and lower spending.

The bleak view from one of the sector’s most known players underlines how the Russia-Ukraine war, surging inflation and rising interest rates are hobbling social media companies at a time when they had just started recovering the impact of changes to Apple (NASDAQ:AAPL)’s iOS operating system.

“Snap is a proxy for online advertising and when you see weakness there then you automatically think Facebook (NASDAQ:FB), Pinterest and Google,” said Dennis Dick, a trader at Bright Trading LLC in Las Vegas.

“Once you start thinking about Google, that’s when the markets starts to sell off.”

Tuesday’s selloff comes days after a Bank of America (NYSE:BAC) fund managers survey indicated investors are becoming increasingly bearish on tech stocks, a stark reversal to a bullish trend in the past 14 years.

Analysts also said Snap’s outlook for core profit suggested expenses will outpace its revenue growth, given headcount was up 52% in the prior quarter. The company also faces pressure from TikTok and a shift in ad budgets to Google and Facebook, they added.

“There’s a lot to deal with in the macro environment today,” Chief Executive Officer Evan Spiegel said at a tech conference on Monday.

Graphic: Digital advertising stocks this year – https://graphics.reuters.com/DIGITAL%20ADVERTISING-STOCKS/dwpkrnzogvm/Digital%20advertising%20stocks%20this%20year.png cb55bba9-860d-4771-9546-5eaef7b68cf01

Continue Reading

Economy

Taiwan overshadows Quad talks, Japan scrambles jets

Published

on

3/3

© Reuters. U.S. President Joe Biden attends an Indo-Pacific Economic Framework for Prosperity (IPEF) launch event at Izumi Garden Gallery in Tokyo, Japan, May 23, 2022. REUTERS/Jonathan Ernst

2/3

By Trevor Hunnicutt and Kiyoshi Takenaka

TOKYO (Reuters) -Japan scrambled jets after Russian and Chinese warplanes neared its airspace during a visit by U.S. President Joe Biden on Tuesday, with Tokyo conveying “grave concerns” about what it saw as a provocative move timed to coincide with the Quad summit.

The issues of Taiwan and Russia loomed over the meeting in Tokyo of leaders of the Quad grouping of the United States, Japan, Australia and India, who stressed their determination to ensure a free and open Indo-Pacific region in the face of an increasingly assertive China.

Japanese Prime Minister Fumio Kishida said the group was not aimed at any one country.

As the leaders met, Russian and Chinese warplanes conducted a joint patrol that lasted 13 hours in the region, in what Japanese Defence Minister Nobuo Kishi characterised as a likely provocation by both Beijing and Moscow.

The patrol took place after President Joe Biden angered China by saying a day earlier he would be willing to use force to defend the democratic island of Taiwan. On Tuesday, he said there was no change to a U.S. policy of “strategic ambiguity” on Taiwan.

“We believe the fact that this action was taken during the Quad summit makes it more provocative than in the past,” Kishi said of the Chinese and Russian exercises.

Japan scrambled jets and conveyed “grave concerns” to Russia and China through diplomatic channels, Kishi said at a news conference after Biden had departed Tokyo.

South Korea’s military also scrambled fighters, saying at least four Chinese and four Russian warplanes entered its air defence zone. The patrols, the first since Russia’s invasion of Ukraine, were part of an annual military exercise, China’s defence ministry said on its website. The two countries have conducted the exercises since 2019, but in the latter half of the year.

The leaders of the Quad grouping said in a joint statement issued after their talks that they “discussed their respective responses to the conflict in Ukraine and the ongoing tragic humanitarian crisis”.

QUAD CONCESSION TO INDIA?

In an apparent concession to India, which has long had close ties with Russia, the words “Russia” or “Russian” did not appear in the statement.

Following the Quad summit, Kishida said the leaders, including Prime Minister Narendra Modi of India, had shared their concerns about Ukraine and all four agreed on the importance of the rule of law, sovereignty and territorial integrity.

Biden’s comment on Taiwan, which was not even on the official agenda at the Quad meeting, was the focus of much of the attention of the delegations and media.

While Washington is required by law to provide self-ruled Taiwan with the means to defend itself, it has long followed the policy of “strategic ambiguity” on whether it would intervene militarily to protect it in the event of a Chinese attack – a convention Biden appeared to break on Monday.

On Tuesday, Biden, asked if there had been any change to the U.S. policy on Taiwan, responded: “No.”

“The policy has not changed at all. I stated that when I made my statement yesterday,” he said after the talks with his Quad counterparts.

China considers Taiwan an inalienable part of its territory and says it is the most sensitive and important issue in its relationship with Washington.

Biden’s comment on Monday, when he volunteered U.S. military support for Taiwan, was the latest in a series of apparently off-the-cuff assertions that suggest his personal inclination is to defend the island.

Some critics have said he has mis-spoken on the issue, or made a gaffe, but other analysts have suggested that given Biden’s extensive foreign policy experience and the context in which he made the remarks, next to Kishida and after the Russian invasion of Ukraine, he had not spoken in error.

Other analysts and advisers said Biden would be carrying a clear message to China during his trip – don’t try what Russia did in Ukraine anywhere in Asia, especially not Taiwan.

A Chinese foreign ministry spokesman said on Tuesday that the one-China principle could not be shaken and that no force in the world, including the United States, could stop China from achieving “complete reunification”.

Biden left Tokyo shortly after sunset on his way back home.

‘GLOBAL ISSUE’

Speaking to reporters, Biden condemned Russia’s invasion of Ukraine, saying it had global ramifications.

“Russia’s assault of Ukraine only heightens the importance of those goals of fundamental principles of international order, territorial integrity and sovereignty. International law, human rights must always be defended regardless of where they’re violated in the world,” he said.

Kishida echoed Biden’s condemnation of Russia, saying its invasion “shakes the foundation of international order” and was a direct challenge to the principles of the United Nations.

“We should not allow similar things to happen in the Indo-Pacific region,” he said.

Biden said the United States would stand with its “close democratic partners” to push for a free and open Indo-Pacific.

The United States has been frustrated with what it regards as India’s lack of support for U.S.-led sanctions on Russia and condemnation of the invasion. India has also abstained in U.N. Security Council votes on Russia’s invasion.

New Australian Prime Minister Anthony Albanese said that “strong views” were expressed in the talks about Russia but did not give details.

Albanese told his fellow leaders he wanted them all to lead on climate change.

“The region is looking to us to work with them and to lead by example,” he said.

China has been extending its influence in the Pacific where island nations face some of the most direct risks from rising seas. Top Chinese diplomat Wang Yi will in coming days visit the Solomon Islands, which recently signed a security pact with China despite U.S and Australian misgivings.

India says ‘substantive outcomes’ from Biden, Modi talks

Continue Reading

News

Stock Markets21 mins ago

Lattice Semiconductor Upgraded by Susquehanna on ‘Perfect Roadmap’

© Reuters. Lattice Semiconductor Upgraded By Susquehanna On ‘Perfect Roadmap’ By Sam Boughedda Lattice Semiconductor Corporation (NASDAQ:LSCC) was upgraded from...

Stock Markets21 mins ago

Tesla loses bid to move sexual harassment lawsuit to arbitration

© Reuters. FILE PHOTO: A Tesla vehicle drives past Tesla’s primary vehicle factory after CEO Elon Musk announced he was...

Cryptocurrency21 mins ago

Cardano Falls 10% In Selloff

Cardano Falls 10% In Selloff Investing.com – Cardano was trading at $0.4936 by 10:11 (14:11 GMT) on the Investing.com Index...

Stock Markets21 mins ago

Moderna CEO to Exercise Options, Donate Hundreds of Millions to Charity

© Reuters Moderna (MRNA) CEO to Exercise Options, Donate Hundreds of Millions to Charity By Senad Karaahmetovic Moderna (NASDAQ:MRNA) CEO...

Stock Markets21 mins ago

Saudi Arabia stocks higher at close of trade; Tadawul All Share up 0.53%

© Reuters. Saudi Arabia stocks higher at close of trade; Tadawul All Share up 0.53% Investing.com – Saudi Arabia stocks...

Economic Indicators27 mins ago

U.S. business activity slows in May, survey shows

© Reuters. FILE PHOTO: Stacked containers are shown as ships unload their cargo at the Port of Los Angeles in...

World27 mins ago

Analysis: Erdogan’s vow to expand Syria operations raises stakes in Turkey-NATO row

© Reuters. FILE PHOTO: A Turkish soldier waves a flag on Mount Barsaya, northeast of Afrin, Syria January 28 ,2018....

Stock Markets28 mins ago

U.S. Stocks Open Lower as Investors Worry About Recession Ahead

© Reuters. By Liz Moyer Investing.com — U.S. stocks opened lower on Tuesday, weighed down by a sharp decline in...

Cryptocurrency28 mins ago

Avalanche nears key breakdown level that could sink AVAX price by another 65%

Avalanche nears key breakdown level that could sink AVAX price by another 65% Avalanche (AVAX) gained 0.5% to reach over...

Cryptocurrency28 mins ago

Crypto Users Have Many Questions About Upcoming Cardano Hard Fork

Crypto Users Have Many Questions About Upcoming Cardano Hard Fork The Cardano Vasil Hard Fork will be the next upgrade...

Economy28 mins ago

EU proposes to make seizing assets easier, including of sanctioned oligarchs -document

2/2 © Reuters. FILE PHOTO: Russian oligarch Roman Abramovich’s super yacht Solaris is seen at Barcelona Port in Barcelona, Spain,...

Cryptocurrency28 mins ago

Investor Tries to Confront Do Kwon, Gets Arrested by Police

© Reuters. Investor Tries to Confront Do Kwon, Gets Arrested by Police An investor who lost millions in the Luna...

Economic Indicators28 mins ago

Workers at French window maker trade perks for pay hike to beat inflation

© Reuters. Herve Volochinoff, 24, works on the structure of a window at Fligitter, a window-maker company located in Ottmarsheim,...

Stock Markets28 mins ago

Exclusive-EU set to clear without conditions $28.3 billion Oracle, Cerner deal – sources

© Reuters. FILE PHOTO: The company logo for Oracle Corp. is displayed on a screen on the floor at the...

Stock Markets28 mins ago

Lufthansa aims for 20% stake in ITA Airways -source

2/2 © Reuters. FILE PHOTO: A new state-owned Italian carrier Italia Trasporto Aereo plane with the new blue livery is...

World51 mins ago

Russian and Chinese jets conduct patrol in East Asia, capping Biden trip

© Reuters. FILE PHOTO: Flags of China and Russia are displayed in this illustration picture taken March 24, 2022. REUTERS/Florence...

Cryptocurrency51 mins ago

Russia’s updated crypto mining bill cuts tax amnesty for Bitcoin miners

Russia’s updated crypto mining bill cuts tax amnesty for Bitcoin miners In less than a month, the draft of a...

Stock Markets51 mins ago

Wall Street opens lower on Snap shock, growth fears

2/2 © Reuters. FILE PHOTO: Snapchat app is seen on a smartphone in this illustration taken, July 13, 2021. REUTERS/Dado...

Economic Indicators51 mins ago

Full cost of rebuilding Ukraine impossible to quantify, says German Finance Minister

2/2 © Reuters. FILE PHOTO: Rescuers search for bodies under the rubble of a building destroyed by Russian shelling, amid...

Stock Markets51 mins ago

Police search McKinsey’s Paris office in tax fraud probe

© Reuters. FILE PHOTO: The logo of consulting firm McKinsey and Company is seen at the high profile startups and...

Economy51 mins ago

Oh Snap! Social media firms sink after bleak warning from Snapchat parent

© Reuters. FILE PHOTO: A woman stands in front of the logo of Snap Inc on the floor of the...

Stock Markets57 mins ago

Ralph Lauren expects margins to grow as the affluent shrug off inflation

© Reuters. FILE PHOTO: A man walks past Ralph Lauren Corp.’s flagship Polo store on Fifth Avenue in New York...

Stock Markets58 mins ago

Global digital tax deal might not be ready until early 2024 – France

© Reuters. FILE PHOTO: Finance Minister Bruno Le Maire arrives before a meeting with France’s President Emmanuel Macron and India’s...

Economy58 mins ago

Taiwan overshadows Quad talks, Japan scrambles jets

3/3 © Reuters. U.S. President Joe Biden attends an Indo-Pacific Economic Framework for Prosperity (IPEF) launch event at Izumi Garden...

Stock Markets58 mins ago

These 2 Catalysts Could Send Netflix Shares Over 50% Higher – Citi

© Reuters. These 2 Catalysts Could Send Netflix (NFLX) Shares Over 50% Higher – Citi By Senad Karaahmetovic Citi analyst...

Cryptocurrency58 mins ago

Japan’s Bitbank to set up a custody firm to facilitate institutional entry to local markets

Japan’s Bitbank to set up a custody firm to facilitate institutional entry to local markets In a new development for...

Stock Markets58 mins ago

Wall St’s relief rally set to fade on Snap shock, growth fears

2/2 © Reuters. FILE PHOTO: Snapchat app is seen on a smartphone in this illustration taken, July 13, 2021. REUTERS/Dado...

Stock Markets58 mins ago

Best Buy Stock Dips After Slashing Revenue Guidance

© Reuters. Best Buy (BBY) Stock Dips After Slashing Revenue Guidance By Senad Karaahmetovic Shares of Best Buy (NYSE:BBY) are...

Cryptocurrency58 mins ago

TRON Overtakes Shiba Inu in Terms Of Market Capitalization

TRON Overtakes Shiba Inu in Terms Of Market Capitalization According to data from CoinMarketCap, TRON (TRX) currently overtakes Shiba Inu...

Cryptocurrency58 mins ago

Crypto Mining Farm Exposed in Moscow’s Oldest Prison

Crypto Mining Farm Exposed in Moscow’s Oldest Prison A deputy warden has been digging up more than old bones in...

Trending