Fed expects rate rises
The Federal Reserve on Friday said it expects that low unemployment and rising inflation will keep it on track to raise interest rates at a gradual pace over the next two years. By late next year, its key policy rate should be at a level that will be slightly restrictive for growth, the Fed said. The projection came with release of the central bank’s semi-annual monetary report to Congress.
EU to meet Asian leaders
The EU’s top officials are next week to meet the leaders of China and Japan to boost ties in the face of fears that US President Donald Trump will spark an all-out global trade war. The trip by EU Council President Donald Tusk and European Commission President Jean-Claude Juncker includes the signing of a free-trade deal with Japan, as well as the discussion of trade tensions and climate change in China.
Fortis settlement approved
A Dutch court on Friday ended a long-running saga over the 2008 dismantling of the Fortis bank insurance group, approving a record 1.3 billion euro (US$1.5 billion) settlement deal for out-of-pocket shareholders. The Amsterdam appeals court ruled that the deal, initially brokered in March 2016 between Belgian insurer Ageas and lawyers representing the shareholders, was “binding.” The decision over a seven-year legal battle overturned an earlier court decision in June last year, which had ruled the decision was “non-binding.”
Air bag action urged
The US government’s road safety agency is urging automakers to speed up replacement of potentially dangerous Takata Corp air bag inflators. The US National Highway Traffic Safety Administration said in a statement on Friday that Heidi King, its top official, has met with 19 affected companies urging them to accelerate the recalls and to post recall plans on their Web sites. The statement did not say whether automakers agreed to the request.
Facebook hires chip head
Facebook Inc has sent another signal that it is serious about building its own semiconductors, joining Apple Inc, Alphabet Inc’s Google and Amazon.com Inc in trying to make its own custom chips. The company this month hired Shahriar Rabii to be a vice president and its head of silicon. Rabii previously worked at Google, where he helped lead the team in charge of building chips for the company’s devices, including the Pixel smartphone’s custom Visual Core chip, according to his LinkedIn profile.
Advisers favor Disney
Walt Disney Co’s US$71 billion deal with 21st Century Fox Inc won the endorsement of influential proxy advisers Institutional Shareholder Services Inc and Glass Lewis & Co, giving the entertainment giant another edge over rival suitor Comcast Corp. Both firms recommended that Fox shareholders vote in favor of the transaction at an investors’ meeting on July 27, with Glass Lewis saying that Disney offered “a unique, prospectively far-reaching opportunity” to capitalize on the acquisition.
Softbank Group Corp plans to keep a stake in the chip designer Arm Ltd, even if it sells a partial interest to Nvidia Corp, the Nikkei reported. The companies are negotiating terms, the newspaper reported, citing sources. Softbank might take a stake in Nvidia after it buys Arm, the report said. Nvidia and Arm might also merge through a share swap, and Softbank would become a major shareholder in the combined company, it said. The two parties aim to reach a deal in the next few weeks, the sources said, asking not to be identified because the information is private. Nvidia is the
END TO SPECULATION: The hotel’s management contract has been extended, despite reports that it wanted to end its alliance with Hyatt Hotels over a deal with Riant Capital Singapore-based Hong Leong Hotel Development Ltd (豐隆大飯店股份) yesterday said it has extended a management contract to ensure the continued presence of the Grand Hyatt brand in Taipei, ending rumors that the two sides were parting ways. “We are pleased Hyatt is able to come to terms on the extension of the management contract of Grand Hyatt Taipei,” said Kwek Leng Beng (郭令明), executive chairman of City Developments Ltd (城市發展) and Millennium & Copthorne Hotels Ltd (千禧國敦酒店). Hong Leong Hotel Development is a subsidiary of Millennium, and both fall under the Hong Leong Group (豐隆集團). The Grand Hyatt Taipei (台北君悅大飯店), owned and built by
Gold surged to a fresh record on Friday, fueled by US dollar weakness and low interest rates, while silver headed for its best month since 1979. Spot bullion is up more than 10 percent this month, as US real yields lingered near record lows. While the ferocity of rallies in gold and silver cooled in the middle of the week, most market watchers predict there might be more gains ahead. Both metals have added about 30 percent this year, with gold and silver exchange-traded funds boosting holdings to a record, as concern about the fallout from the COVID-19 pandemic fuels demand for
MOVING FROM CHINA? The article did not name the company, but Foxconn, Wistron and Pegatron were among firms chosen for a production-linked incentive plan in India An Apple Inc vendor is looking at shifting six production lines to India from China, which could result in US$5 billion of iPhone exports from the South Asian nation, the Times of India reported, citing people familiar with the matter who it did not identify. The establishment of the facility would create about 55,000 jobs over about a year, the newspaper reported, not naming the Apple vendor. It would also cater to the domestic market and expand operations to include tablets and laptops, the newspaper reported. Samsung Electronics Co and Apple’s assembly partners are among 22 companies that have pledged 110 billion