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Frontrunning: October 14

  • Democratic rivals back Clinton on emails, but little else in scrappy debate (Reuters)
  • Hillary Clinton Shows Relentless Efficiency in First Democratic Debate (WSJ)
  • U.S. Examines Goldman Sachs Role in 1MDB Transactions (WSJ)
  • JPMorgan Says Trading Pain Isn't Over After Third-Quarter Slump (BBG)
  • Islamic State battles insurgents near Aleppo as army prepares assault (Reuters)
  • Oil Slide Means `Almost Everything' for Sale as Deals Accelerate (BBG)
  • $50 Oil for 15 Years Isn't What Scares Bank of Russia Governor (BBG)
  • Brazil's Next Big Crisis Is Scaring Bankers and Wiping Out Jobs (BBG)
  • Revealed at last - Berlusconi's notorious 'bunga bunga' room (Telegraph)
  • Hope Is a Traffic Jam as Detroit Shakes Off Record Bankruptcy (BBG)
  • Israel Deploys Troops to Help Police in New Security Push (WSJ)
  • Chicagoans' Cost to Exit Swap Agreements Approaches $300 Million (BBG)
  • AB InBev Wins Over SABMiller With Proposal of $104.2 Billion (WSJ)
  • U.S. to raise Iranian missile test at U.N. Security Council (Reuters)

 

Overnight Media Digest

WSJ

- As part of a broad probe into allegations of money laundering and corruption, investigators at the Federal Bureau of Investigation and the Justice Department have begun examining Goldman Sachs's role in a series of transactions at 1Malaysia Development Bhd, people familiar with the matter said.(http://on.wsj.com/1GcwoHP)

- Investigators probing the downing of Malaysia Airlines Flight 17 have concluded that a Russian-made missile struck the Boeing 777 jetliner. (http://on.wsj.com/1QnLjzm)

- The SEC is readying civil charges against snack maker Mondelez for alleged accounting violations under the Foreign Corrupt Practices Act in connection with a probe of payments its Cadbury unit made in India.(http://on.wsj.com/1jmvK0L)

- Singapore's central bank put the local currency on a slower pace of appreciation, easing its currency policy for the second time this year, to support its sputtering economy as China's slowdown casts an increasingly large shadow on growth prospects in the region.(http://on.wsj.com/1NFKPan)

- JPMorgan reported third-quarter results Tuesday that disappointed some investors as revenue fell 7 percent. But some of the bank's shrinkage was by design, an effort to become simpler and less sprawling as new capital regulations are set to roll out in coming years. (http://on.wsj.com/1OvACgx)

- Twitter will slash up to 336 jobs, or 8 percent of its global workforce, marking the first mass layoff in the company's nine-year history as it tries to refocus its priorities under its new chief executive. (http://on.wsj.com/1VPKBSb)

- BHP Billiton is planning to sell around $3 billion of U.S. dollar hybrid bonds this week, according to a deal notice and a person familiar with the deal. The plan is the latest test of reviving demand for commodity-related investments. (http://on.wsj.com/1NFMw7H)

 

FT

Water companies in the UK have been allowed to retain excess profits of at least 800 million pounds during the past five years rather than pass the windfall cost savings on to customers, according to a report by the UK's National Audit Office.

China is set to issue government debt in renminbi in London, a move that would make London the first financial centre outside China to offer its sovereign debt, officials familiar with the issue said.

Jamaica's Marlon James has won this year's Man Booker Prize for his novel "A Brief History of Seven Killings," which focuses on the events surrounding the shooting of the singer Bob Marley at his Kingston home in 1976.

The British government has pulled out of a controversial 5.9 million pounds prisons training contract with Saudi Arabia that would have involved British civil servants training their Saudi counterparts, after signs of a cabinet split began to emerge.

 

NYT

- Volkswagen said it would revamp the technology it uses for controlling diesel exhaust in future models as it struggles to overcome an emissions cheating scandal that has battered its reputation and threatened its financial stability. (http://nyti.ms/1jxuRSo)

- Daniel Tarullo is the second Fed governor to suggest the U.S. Fed should wait until next year to raise interest rates, coming after Lael Brainard on Monday.(http://nyti.ms/1LMNChD)

- Twitter Inc announced that it was laying off as many as 336 employees, or 8 percent of its work force, to streamline and refocus as it tries to find ways to attract new users to its social network.(http://nyti.ms/1Ovkz2j)

- JPMorgan Chase, the nation's largest bank by assets, said that revenue fell in all its major business lines in the quarter from both the previous quarter and the quarter a year earlier. That left overall revenue down 6 percent, to $23.5 billion, from a year ago - a sharper decline than analysts had expected.(http://nyti.ms/1NFPBED)

- In another sign of tension between Tribune Publishing and its two California newspapers, executives at the papers have disputed the company's decision last month to adjust its revenue projections downward for the final quarter of 2015, and cite the papers' performance as the reason for the revision.(http://nyti.ms/1k3NmhI)

 

Canada

THE GLOBE AND MAIL

** Uber has received a hand from Canadian insurers as it attempts to gain full legitimacy in the country. The Insurance Bureau of Canada says it is pushing some provinces for rule changes that would allow drivers working with the ride-sharing service to obtain a new type of coverage. (http://bit.ly/1jynzhf)

** British Columbia's fledgling liquefied natural gas industry will overcome the slump in energy markets while addressing aboriginal concerns, the province's Finance Minister, Mike de Jong, says. (http://bit.ly/1jynPN2)

** Deals continue to trickle into Canada's bruised oil and gas sector as Poland's state-controlled oil company announced on Tuesday it wants to acquire Calgary-based junior producer Kicking Horse Energy Inc. (http://bit.ly/1jynY37)

** Liberal Leader Justin Trudeau is targeting New Democrats in the final days of the campaign, hoping to persuade voters in key Ontario ridings that he has the momentum to win Oct. 19 while laying bare the intense battle between the two parties for progressive voters. (http://bit.ly/1jyob6n)

NATIONAL POST

** Just when some economists were starting to see a little bit of light, Canada's business leaders are casting some dark shadows over their growth outlook. In fact, about 40 percent of senior company managers say they have become less hopeful of a strong economic performance over the next 12 months, according to a third-quarter survey conducted for Chartered Professional Accountants of Canada. (http://bit.ly/1jyouOH)

** A new report from the Conference Board of Canada is raising alarm bells about the country's office market which the Ottawa-based group says has become saturated with vacancies. (http://bit.ly/1jyoBcX)

** Scott Perry is going to have his hands full. Perry, 38, has been named the next Chief Executive of Centerra Gold Inc . He will take over on Nov 1 from Ian Atkinson, a veteran mining executive who is retiring. (http://bit.ly/1jyoKgw)

** A Montreal father, mother and son convicted nearly four years ago of murdering four other family members in an honor killing argue, in an appeal to Ontario's top court, that they were victims of "cultural stereotyping" and "overwhelmingly prejudicial evidence" that should not have been admitted at their murder trial. (http://bit.ly/1jyoUod)

 

China

SECURITIES TIMES

- China Insurance Regulatory Commission said it has approved Taikang Life Insurance Co. Ltd's (IPO-TKLI.HK) change of shareholders. This is the fifth time the company has changed its shareholders in two years.

CHINA BUSINESS NEWS

- Chinese cities will be required to complete investigations into water pollution by the end of this year, the Ministry of Environmental Protection said. It said the proportion of polluted water should be controlled below 10 percent by the end of 2020 and cleaned up by 2030.

CHINA SECURITIES JOURNAL

- More than 400 suspended listed companies have not resumed trading at Oct. 13, according to calculations made by the newspaper. About 91 of the firms have been suspended since July after China's stock market slump, it said.

- The local government of Xinjiang Autonomous Region on Tuesday said during a meeting that it plans to reduce limitations on the economy to improve the development of the private sector.

CHINA DAILY

- Competition for white-collar jobs heated up in the third quarter with more than 35 job seekers on average vying for the same position, compared to 29 percent in the previous quarter, Chinese human resources website Zhaopin.com said.

 

Britain

The Times

- Employees of SABMiller PLC are bracing themselves for thousands of job losses around the world after the brewer agreed to a 68 billion pound ($103.69 billion) takeover by Anheuser-Busch InBev SA. Anheuser-Busch InBev is renowned for cost-cutting, and analysts said that shrinking SABMiller's 69,000-strong workforce would be central to extracting estimated synergies of as much as $2 billion. (http://thetim.es/1NbIP6o)

- The privatised water industry has been allowed to soak consumers for more than 800 million pounds in the past five years, an average of nearly 30 pounds a household, an investigation into the water market by the National Audit Office estimated. (http://thetim.es/1La1vTE)

The Guardian

- Volkswagen AG has announced 750 million pounds in spending cuts at its core division to help pay for a product overhaul following the emissions testing scandal that has rocked Europe's biggest carmaker. (http://bit.ly/1X174J60)

- Inflation in Britain has dipped below zero for the second time this year, easing pressure on the Bank of England to raise interest rates from their record low. Official figures showed inflation was down from zero in August to -0.1 percent in September, helped by cheaper fuel prices. (http://bit.ly/1ZyvE6p)

The Telegraph

- House prices for first-time buyers surged to a record high in August, with the typical first-time buyer paying 3.8 percent more than they would have done a year earlier. The average price paid for a starter home in the United Kingdom is now 215,000 pounds. (http://bit.ly/1L96e7X)

Sky News

- The prospect of the biggest foreign takeover of a British firm has taken a leap forward, with Anheuser-Busch InBev SA agreeing terms with SABMiller PLC. The deal would value SABMiller at almost 70 billion pounds - making it the fourth highest-value takeover of all time. (http://bit.ly/1LJkq4G)

- Diageo PLC is to accelerate its restructuring by agreeing a sale of a major chunk of its wine division to the Australian owner of Lindemans. Sky News has learnt that Diageo, which owns brands such as Blossom Hill and Piat d'Or, was poised to sign a deal to offload parts of its United Kingdom and United States wine operations to Treasury Wine Estates. (http://bit.ly/1jx2kMN)

The Independent

- Yodel, the UK parcel carrier group, is seeking to hire 7,000 temporary drivers to handle Christmas deliveries, include 3,000 flexible or part-time workers to deliver parcels in their local area. The 7,000 new hires amount to a 70 percent boost to Yodel's employee numbers, adding significantly to its current army of between 8,000 and 10,000 drivers. (http://ind.pn/1R8ED8e)