Tuesday, February 28, 2017

Today's Headlines

Bloomberg:
  • Xi Stresses Reining in Systemic Risks as China's Leaders Gather. President Xi Jinping said China will continue "seeking progress while maintaining stability" this year and that better supervision is needed to control financial risk, according to the official Xinhua News Agency. Leaders will strive to improve the quality and efficiency of the economy and deepen supply-side structural reform, Xi said at a meeting of the Central Leading Group on Finance and Economic Affairs, Xinhua reported Tuesday. Xi also called for keeping the property market stable and promoting cuts in excess industrial capacity.
  • China's Policy Balancing Act May Face Bumps as Bond Pain EnduresChina’s central bank faces a dilemma: Whether to raise borrowing costs and potentially undermine the nascent economic recovery, or hold firm and risk spurring capital outflows as Federal Reserve policy tightening cuts into the country’s interest-rate advantage. The People’s Bank of China is trying to take the middle road, boosting money-market rates as a way of containing company leverage, while allowing bank borrowing to largely continue unchecked. At the same time, authorities have ramped up capital controls to quell outflows after the yuan’s worst annual decline in more than 20 years.
  • ARM CEO Won't Rule Out Major Deal After Takeover by SoftBank. ARM’s new owner SoftBank is encouraging the British chip designer to think in “the broadest terms possible,” said Chief Executive Officer Simon Segars. That includes major deals and global expansion. Segars didn’t rule out the possibility of a large deal, citing backing from SoftBank Group Corp.’s Masayoshi Son. “He is constantly discussing what is going on the world among the group’s companies and the best way to build the business even more strongly,” said Segars in an interview at the Mobile World Congress in Barcelona Tuesday. “He’s thinking decades out in the future.”
  • The Top Hedge Funds of 2016 Share Their Best Bets for This Year.
  • Fidelity Slashes Commissions in the Latest Salvo of the Fee Wars. The new round of fee cuts includes a reduction in online trading commissions, to $4.95 from $7.95, for individual investors.
Wall Street Journal:

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