■REAL ESTATE
US builders pessimistic
Homebuilders are feeling increasingly pessimistic about their industry, more evidence that the US economic recovery is slowing. The National Association of Home Builders said on Monday that its monthly reading of builders’ sentiment about the housing market sank to 14 — the lowest level since March last year. Readings below 50 indicate negative sentiment about the market. The weak job market and an increasing number of foreclosed properties have prompted builders to limit construction of new homes. A modest revival in sales over the past year ended in May after federal tax credits expired at the end of April. Reports this week on new home construction and previously owned home sales last month are expected to show the housing market remains deeply hobbled.
■FOREX
Tax could fight poverty
A global tax on foreign exchange trades could raise US$30 billion to fight poverty with development projects, said the Leading Group, an international group of finance experts. A report by the group, commissioned by 12 governments, said a tax on currency deals would mean an extra 0.005 percent on each trade and would be simple to implement as it could be collected under existing mechanisms. The proceeds could be paid into a central pool and shared out among poor nations, the report said.
■TELECOMS
TeliaSonera Q2 profit rises
Nordic telecommunications operator TeliaSonera AB said net profit rose about 17 percent in the second quarter, largely thanks to lower costs. A report yesterday showed a net profit of 5.2 billion kronor (US$706 million) for the April to June period, up from 4.5 billion kroner in the same period last year. Revenues slumped by about 2 percent, however, to 27 billion kroner. TeliaSonera said exchange rate fluctuations weighed on the result. In its outlook for the year, the Stockholm-based company said net sales in local currencies and excluding acquisitions were expected to be “in line” with the first half.
■SEMICONDUCTORS
TI’s Q2 profit fails to please
Texas Instruments Inc’s (TI) second-quarter income and revenue jumped as demand continued to recover after the recession, yet investors had wanted even better results after seeing strong reports recently from other technology companies. Shares fell more than 5 percent following the chipmaker’s report on Monday. TI said net income nearly tripled to US$769 million, or US$0.62 per share, for the quarter that ended June 30. TI earned US$260 million in the same period last year. Revenue rose 42 percent to US$3.5 billion, matching the average analyst forecast. It was US$2.46 billion in the same period last year. For the third quarter, TI forecasts net income of US$0.64 to US$0.74 per share. Analysts have been expecting US$0.64.
■INTERNET
Facebook disappoints
Facebook Inc scored in the bottom 5 percent of a customer-satisfaction survey, below Google Inc and Yahoo Inc, as its frequent changes rankled users. Facebook received 64 on a 100-point scale, while Google scored 80 and Yahoo got 76, said a report based on the American Customer Satisfaction Index, which was developed by the University of Michigan’s business school. Concerns about privacy, design changes and aggressive advertising hurt Facebook’s status, the report found. Facebook has grappled with user complaints this year, while still attracting advertisers and millions of new members.
NO-LIMITS PARTNERSHIP: ‘The bottom line’ is that if the US were to have a conflict with China or Russia it would likely open up a second front with the other, a US senator said Beijing and Moscow could cooperate in a conflict over Taiwan, the top US intelligence chief told the US Senate this week. “We see China and Russia, for the first time, exercising together in relation to Taiwan and recognizing that this is a place where China definitely wants Russia to be working with them, and we see no reason why they wouldn’t,” US Director of National Intelligence Avril Haines told a US Senate Committee on Armed Services hearing on Thursday. US Senator Mike Rounds asked Haines about such a potential scenario. He also asked US Defense Intelligence Agency Director Lieutenant General Jeffrey Kruse
INSPIRING: Taiwan has been a model in the Asia-Pacific region with its democratic transition, free and fair elections and open society, the vice president-elect said Taiwan can play a leadership role in the Asia-Pacific region, vice president-elect Hsiao Bi-khim (蕭美琴) told a forum in Taipei yesterday, highlighting the nation’s resilience in the face of geopolitical challenges. “Not only can Taiwan help, but Taiwan can lead ... not only can Taiwan play a leadership role, but Taiwan’s leadership is important to the world,” Hsiao told the annual forum hosted by the Center for Asia-Pacific Resilience and Innovation think tank. Hsiao thanked Taiwan’s international friends for their long-term support, citing the example of US President Joe Biden last month signing into law a bill to provide aid to Taiwan,
China’s intrusive and territorial claims in the Indo-Pacific region are “illegal, coercive, aggressive and deceptive,” new US Indo-Pacific Commander Admiral Samuel Paparo said on Friday, adding that he would continue working with allies and partners to keep the area free and open. Paparo made the remarks at a change-of-command ceremony at Joint Base Pearl Harbor-Hickam in Hawaii, where he took over the command from Admiral John Aquilino. “Our world faces a complex problem set in the troubling actions of the People’s Republic of China [PRC] and its rapid buildup of forces. We must be ready to answer the PRC’s increasingly intrusive and
STATE OF THE NATION: The legislature should invite the president to deliver an address every year, the TPP said, adding that Lai should also have to answer legislators’ questions The Chinese Nationalist Party (KMT) yesterday proposed inviting president-elect William Lai (賴清德) to make a historic first state of the nation address at the legislature following his inauguration on May 20. Lai is expected to face many domestic and international challenges, and should clarify his intended policies with the public’s representatives, KMT caucus secretary-general Hung Meng-kai (洪孟楷) said when making the proposal at a meeting of the legislature’s Procedure Committee. The committee voted to add the item to the agenda for Friday, along with another similar proposal put forward by the Taiwan People’s Party (TPP). The invitation is in line with Article 15-2