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The Morning Ledger: U.S.-China Trade War Seen as Biggest Threat in 2019 |
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President Trump, second from right, met with China's president, Xi Jinping, second from left, during the G-20 Summit in Buenos Aires on Dec. 1. PHOTO: ASSOCIATED PRESS
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Good day. Most economists in a recent survey view a trade war between the U.S. and China as the biggest threat to the U.S. economy in 2019, a sign that forecasters consider political uncertainty and the potential for new tariff barriers as greater risks than macroeconomic or financial disruptions, The Wall Street Journal reports.
Risks on the horizon: Nearly half of economists who responded to a survey by the Journal, 47.3%, said they viewed the U.S. dispute with Beijing as the No. 1 risk for 2019. Some 20% cited financial market disruptions, and 12.7% pointed to a slowdown in business investment.
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You say tomato: President Trump, in contrast, recently told WSJ the U.S. Federal Reserve was the biggest risk to the economy because of its rate rises. Central bank officials say the increases are needed to prevent the economy from overheating.
Recession? More than half of economists polled by WSJ expected the next recession to start in 2020, and just over a quarter expected it to start in 2021. Just 10% of economists forecast a recession starting next year.
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Volkswagen CFO: Cautious About Trade, Optimistic About China |
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Volkswagen CFO Frank Witter said tariffs imposed on Chinese exports “did leave a mark on the Chinese economy.” PHOTO: JOHN MACDOUGALL/AGENCE FRANCE-PRESSE/GETTY IMAGES
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Germany’s Volkswagen AG , like many companies, is grappling with global uncertainties ranging from trade tensions to Britain’s exit from the European Union to slowing demand in China, CFO Journal's Nina Trentmann reports.
The car manufacturer, one of the world’s biggest by sales, returned to the U.S. bond market in November following a yearslong absence after its diesel emissions test scandal—a move that was orchestrated by finance chief Frank Witter. CFO Journal's Nina Trentmann spoke with Mr. Witter about the challenges facing his company.
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The Belmond Grand Hotel Europe in St Petersburg, Russia. PHOTO: SERGEI KONKOV/TASS/ZUMA PRESS
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French luxury-goods company LVMH Moët Hennessy Louis Vuitton SE said Friday it has agreed to acquire Belmond Ltd., a London-based owner and operator of high-end hotels around the world.
Starbucks Corp. plans to expand coffee delivery across the U.S. with UberEats as part of a broader strategy to try to reach more customers.
General Electric Co. said it reached a deal to sell off part of its GE Digital business and set aside the rest in a separate company, as the conglomerate narrows its focus and scales back its software ambitions.
Virgin Galactic LLC, Richard Branson’s space-tourism venture, reached the edge of space in a test flight Thursday, four years after a fatal accident set back the project, in a feat expected to accelerate commercial efforts to send tourists and small satellites aloft using low-cost rockets.
Whole Foods is severing ties with delivery service Instacart Inc., as the natural supermarket chain’s owner Amazon.com Inc. expands its own delivery efforts.
Caterpillar Inc. Chief Executive Jim Umpleby has been named chairman of the machinery giant’s board as well, cementing his leadership nearly two year into his tenure.
Renault SA’s board said Carlos Ghosn, under arrest in Japan for allegedly understating his compensation, will remain chairman and chief executive of the auto maker after it found no financial wrongdoing in France.
Global revenue at the Big Four accounting firms rose more than 10% in 2018, their strongest annual growth in at least a decade, as they continued a long shift toward consulting over their core auditing businesses.
Toys “R” Us Inc. and some foreign subsidiaries got approval Thursday for their joint chapter 11 bankruptcy plan, which includes the $760 million sale of the Asian business.
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German federal officers raided Deutsche Bank offices in Frankfurt in late November. PHOTO: ARMANDO BABANI/EPA-EFE/REX/SHUTTERSTOCK
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Scrutiny of Deutsche Bank AG on Capitol Hill looks to be intensifying as Germany’s largest lender deals with multiple investigations into its ability to prevent illicit money flows.
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British Prime Minister Theresa May is seeking concessions from European Union leaders that would help sell her Brexit plan to a recalcitrant Parliament at home. But her EU counterparts aren’t likely to offer much, meaning her political reprieve could be short lived.
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Johnson & Johnson Inc. is being drawn into a battle over how much freedom shareholders have to sue companies, in a bid by lawsuit opponents to force regulators to pick sides over investors’ access to the courts.
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The U.S. Treasury Department is releasing rules Thursday to implement a crucial piece of the tax law.
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U.S. flag flying over Chinese shipping containers that were unloaded at the Port of Long Beach, in Los Angeles County. PHOTO: MARK RALSTON/AGENCE FRANCE-PRESSE/GETTY IMAGES
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Seaborne exports at the biggest U.S. trans-Pacific trade gateway plunged last month, in an apparent sign of the impact of China’s retaliatory tariffs.
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The number of Americans filing applications for new unemployment benefits fell last week by the most in 3½ years, likely easing concerns that a recent run-up in jobless claims signaled cracks forming in the strong labor market.
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Many key commodities are on track to notch declines this year, underlining how fears of slowing growth, global-trade tensions and a persistently strong U.S. dollar have hammered prices for raw materials.
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Saudi Arabia’s government has been spending billions of dollars to quietly prop up its stock market and counter selloffs that have followed repeated political crises in recent months.
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Avon Products Inc., a London,-based cosmetic company, named Gustavo Arnal financial chief, effective in spring 2019. Mr. Arnal succeeds Jamie Wilson, who is leaving the company to pursue outside opportunities.
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Previously, Mr. Arnal was CFO of Walgreens Boots Aliance Inc.'s international divisions and global functions. Prior to WBA, Mr. Arnal worked for more than 20 years with Procter & Gamble Co. in serveral executive roles. Mr. Arnal is slated to collect an annual base salary of £500,000 ($632,000) among other compensation, according to a filing.
Thyssenkrupp AG, the German industrial conglomerate, said it plans to name Johannes Dietsch as chief financial officer, effective February. Mr. Dietsch, a former CFO of Bayer AG, will be offered a three-year contract, the company said. Thyssenkrupp's CFO role was previously held by Guido Kerkhoff until he was made chief executive in the summer. Compensation details weren't available.
Bang & Olufsen A/S, a Danish consumer electronics company, appointed Nikolaj Wendelboe as CFO and executive vice president, effective no later than July 2019. Mr. Wendelboe replaces Anders Aakær Jensen, who left the company in November. He joins from Arriva Danmark A/S, where he served as CEO and prior to that as CFO. Compensation details were not available.
Salvatore Ferragamo SpA, a Florence, Italy-based luxury goods company, appointed Alessandro Corsi as chief financial officer, effective Jan. 11. Mr. Corsi succeeds Ugo Giorcelli, who resigned to pursue other opportunities. He has been with Salvatore Ferragamo since 2003 and served as chief strategy officer prior to his appointment as CFO. Compensation details weren't disclosed.
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Every weekend we select a handful of in-depth articles we think are worth a bit of your time, either because they peel back the layers on a compelling business story, or somehow make us look at business in a different light.
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How do you coach a leader whom others think is a hopeless case? Sometimes you can’t. But, often, the leader who everyone thinks is hopeless is simply being misunderstood and his or her behavior misdiagnosed, writes Harvard Business Review.
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As negotiators at United Nations climate talks in Poland this week hammer out a rulebook to curb greenhouse-gas emissions, some of the biggest boosters of the 2015 Paris accord are undermining efforts back home to curb global warming.
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