Britain’s defence secretary has warned that Afghanistan risks descending into civil war and becoming a failed state as the Taliban captures large cities and gains ground in the wake of the hasty US troop withdrawal. The Islamist militia is now in control of Kandahar, Afghanistan’s second-biggest city, and Lashkar Gah in Helmand province after weeks
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The Federal Reserve could start dialling back its ultra-accommodative monetary stimulus by the end of the year, given the strength of the economic rebound, according to a top official at the US central bank. In an interview with the Financial Times, Mary Daly, president of the San Francisco Fed, expressed confidence that the robust recovery
A British man working at the UK embassy in Berlin has been arrested on suspicion of passing information to the Russian intelligence services, German prosecutors said on Wednesday. The 57-year-old UK national, named only as David S, was arrested on Tuesday in Potsdam, a town to the south-west of Berlin, following a joint investigation by
SoftBank’s bets on an increasingly uncertain Chinese technology market have become the prime focus for shareholders as Masayoshi Son’s investment conglomerate reported a sharp drop in quarterly net profits. While listings of its portfolio companies helped the Japanese group’s flagship Vision Fund post a profit, the $100bn vehicle took a $6.3bn hit on nine of
The world is likely to temporarily reach 1.5C of warming within 20 years even in a best-case scenario of deep cuts in greenhouse gas emissions, a landmark report on climate change signed off by 234 scientists from more than 60 countries has concluded. Even with rapid emissions cuts, temperatures would continue to rise until “at
ByteDance, the owner of short-video app TikTok, has revived a plan to go public despite a widening regulatory assault targeting Chinese technology companies, aiming for a Hong Kong listing by early next year. The Chinese group, which raised about $5bn in December at a $180bn valuation, is planning to list in either the fourth quarter
WhatsApp has condemned Apple’s new child safety tools as a “very concerning . . . surveillance system”, even as governments around the world have cheered the decision to proactively search for illegal photos of child sexual abuse. The stand-off sets up a battle between other tech platforms and officials calling for them to adopt similar tools. An Indian government
Retail investors are scooping up funds that track Chinese stocks after sharp falls in recent weeks, marking a contrast to institutions that have remained more cautious as Beijing cracks down on key sectors. A US listed exchange traded fund, which holds big names such as Alibaba, Tencent, JD.com and Meituan, has attracted more than $2bn
Joe Biden will catapult his climate change agenda on Thursday by signing an executive order calling for half of all new vehicles sold in the US to be electric by 2030 as part of plans to slash transport emissions. The US president will announce the target as he lays out plans to reinstate and toughen
Employees of Archegos Capital Management face losses of about half a billion dollars after the value of a deferred pay plan set up by the firm crashed along with its other investments. The family office run by Bill Hwang is yet to release money it owes to former employees, who saw the value of their
Tencent has announced new restrictions limiting how long minors can play its online games after the Chinese internet group came under intense pressure from state media, which labelled the gaming industry a “spiritual opium”. In a social media post, the company said it was introducing the measures after “relevant authorities” requested greater protection of minors
House prices are booming in almost every major economy in the wake of the coronavirus pandemic, forging the broadest rally for more than two decades, and reviving economists’ concerns over potential threats to financial stability. Of the 40 countries covered by OECD data, just three experienced real-terms house price falls in the first three months
A leading US bond manager has warned of inflationary pressure from housing rental costs that could push interest rates higher and overturn a sense of complacency among investors. The comments by Dan Ivascyn, chief investment officer at Pimco, which has $2.2tn under management, comes after US 10-year interest rates eased in recent months to about
China-based companies will have to disclose more about their structure and contacts with the Chinese government before listing in the US, the Securities and Exchange Commission said on Friday. Gary Gensler, the chair of the US corporate and markets regulator, has asked staff to ensure greater transparency from Chinese companies following the controversy surrounding the
Chinese technology stocks listed in the US are set for their worst month since the global financial crisis after global investors dumped shares following a regulatory crackdown by Beijing. The Nasdaq Golden Dragon China index, which tracks Chinese tech stocks listed in New York, has fallen 22 per cent in July, putting it on course
China’s securities regulator has sought to ease concerns among international investors and banks after tough new restrictions on private education companies sent shockwaves through markets. Regulators in Beijing held a call with executives from global investors, Wall Street banks and Chinese financial groups on Wednesday night, according to three people familiar with the matter. One
Apple, Microsoft and Alphabet said on Tuesday that their latest revenues and earnings had surged above the stock market’s already optimistic expectations, confirming that demand for their digital services and gadgets continued to soar as some countries began to emerge from the pandemic. Apple Apple’s profits almost doubled in its latest quarter to $21.7bn, as
Multimillion-euro fines can force Big Tech companies to change their behaviour, despite their deep pockets, the president of the French Competition Authority has argued. Isabelle de Silva said she did not believe sanctions could be played down as merely “the cost of doing business”, breaking away from the consensus in the EU, where competition officials
The British government is exploring ways to remove China’s state-owned nuclear energy company from all future power projects in the UK, including the consortium planning to build the new £20bn Sizewell nuclear power station in Suffolk, according to people close to the discussions. The change in mood at the top of government also affects proposals
The lending businesses of large US banks are doubling down on wealthier customers, as well-to-do Americans borrow to buy second homes, invest in the stock market and potentially lighten their tax bills. The combined value of loans made by the wealth management arms of JPMorgan Chase, Bank of America, Citigroup and Morgan Stanley surpassed $600bn
US stocks ended Friday at a new high, reversing steep losses at the start of the week, as fears about the Delta variant of coronavirus were soothed by strong corporate earnings and continued central bank support for financial markets. The S&P 500 climbed 1 per cent, lifting the index’s weekly gain to 2 per cent
Supply disruptions, a drought in China and rebounding electricity demand have fired up the market for thermal coal, making the world’s least liked commodity one of this year’s best-performing assets. Since the start of the year, the price of high energy Australia coal — the benchmark for the vast Asian market — has climbed 80
Global investment banks are racing to redirect Chinese groups’ initial public offerings towards Hong Kong after new cyber security rules instituted by Beijing halted lucrative tech listings previously heading for New York. About 20 Chinese companies had publicly disclosed plans to raise $1.4bn from share sales in New York this year, Dealogic data showed. But
Google and Mukesh Ambani’s Jio are hoping to crack one of the world’s largest untapped smartphone markets, launching a device they hope will be cheap enough to convert 450m Indians on “dumb” handsets into smartphone users. The JioPhone Next, a successor to Ambani’s earlier-generation JioPhone, has been designed by the companies to run a custom version of
The European Commission is set to warn of increasing threats to judicial independence and to the fight against official corruption in Hungary and Poland, underscoring deep concerns within Brussels as the two countries seek EU approval for their recovery plans. A report from the commission into the maintenance of the rule of law, due on
Tokyo’s dreams of a trouble-free run-up to Friday’s Olympic opening ceremony have been shattered by a tally of Covid-19 infections, an alleged rape, a bullying scandal and a vanished weightlifter. Just four days before the start of what the head of the International Olympic Committee has described as “the most complex” games ever held, organisers
Costs at the top US banks jumped more than $6.6bn, or 10 per cent, in the most recent quarter compared with the same period of last year as executives paid up for talent and technology to fortify their businesses against increasing competition from nearly every angle. The increase in spending at JPMorgan Chase, Goldman Sachs,
The US is experiencing a “pandemic of the unvaccinated”, the head of the country’s top public health agency warned, as new coronavirus cases have jumped 70 per cent in the past week. More than 33,000 infections were reported across the US on Thursday, Rochelle Walensky, director of the Centers for Disease Control and Prevention, said
Beijing has snubbed the US by refusing to grant Wendy Sherman, deputy secretary of state, a meeting with her counterpart during a proposed visit to China that would have been the first top-level engagement since acrimonious talks in Alaska. The US halted plans for Sherman to travel to Tianjin after China refused to agree to
The pace of China’s economic recovery rose modestly in the second quarter after signs of sluggishness in the world’s second-biggest economy stoked expectations of greater policy support. On a quarter-on-quarter basis, China’s gross domestic product expanded 1.3 per cent in the three months to the end of June, up from a 0.4 per cent expansion