"Alea iacta est"
"Alea iacta est"
Caracal Global Daily
January 10, 2019
Curation and commentary from Marc A. Ross
Reporting from Alexandria, Virginia
Caracal Global Daily = News + Analysis at the Intersection of Globalization + Disruption + Politics
TOP FIVE
✔️ Julius Caesar and crossing the Rubicon
✔️ US Navy in the Arctic
✔️ China offers Elon Musk permanent residency
✔️ 2.6 million fewer cancer deaths
✔️ OTD: In 1982 49ers Dwight Clark makes 'The Catch'
ROSS RANT
What are you doing this year to get to where you want to go?
GLOBALIZATION
Venezuela: President Nicolás Maduro will be inaugurated for a further six-year term today. “I am fulfilling the will of the people,” he said in advance of the ceremony. In fact 80% of Venezuelans oppose him, a polling firm suggests. Just three heads of state are confirmed attendees: the presidents of Bolivia, Cuba and Nicaragua
OTD: In 49 BC, Julius Caesar and his troops famously crossed the Rubicon, the river marking the boundary between the province of Cisalpine Gaul and Italy. Taking the 13th Legion over this forbidden frontier constituted an act of treason and triggered civil war in Rome. According to the historian Suetonius, Caesar uttered the famous phrase ālea iacta est (“the die is cast”).
Vietnam has accused Facebook of failing to take down anti-government comments on its platform, days after controversial cybersecurity legislation took effect.
Which country will be the next to ban Facebook?
US Navy in the Arctic: The US Navy says it is considering sending surface ships into the Arctic this summer and could establish a new strategic port facility in the Bering Sea to support more of those patrols in the future. The service needs to expand its footprint in the far north as the ice continues to recede, exposing new opportunities and potential for conflict.
'White supremacy' a factor in detainees cases, Chinese ambassador charges: CBC reports, China's envoy in Ottawa suggests Canada and its Western allies are white supremacists for calling for the release of two Canadians imprisoned last month by his country's communist government. Ambassador Lu Shaye's accusation in an op-ed in the Hill Times Wednesday indicates the raw nerve that the Trudeau government has touched in China in recruiting key allies to pressure China to release Michael Kovrig and Michael Spavor.
125: China has authorized $125 billion of new rail projects since early December. Plans for 6,800 kilometers of new railways, including 3,200 kilometers of new high-speed rail, news reports will cover this as part of a broader effort to stem the effects of an economic slowdown.
BTW = The United States 2017 total infrastructure investment was $1 trillion with spending from federal, state and local governments and the private sector.
US-China trade talks - next steps unclear: The US and China gave no indication of their next step after wrapping up talks aimed at resolving a tariff fight that threatens to chill global growth. The two sides will "maintain close contact," China's Ministry of Commerce said. But they announced no agreements or date for meeting again during the 90-day truce declared on December 1.
Reuters: China says trade talks with US made progress on forced tech transfers, IP rights
David Fickling: A US-China trade deal is only half the fight: Getting to an agreement is the easy part. Enforcing Chinese compliance will be a much bigger challenge.
Shang-jin Wei: Why American firms and households need China: Bilateral trade statistics tell only part of the story of the Chinese market’s importance to the US economy. In particular, the availability of cheap imported goods from China lowers prices not only for US consumers, especially low- and middle-income families but also for US businesses, supporting job creation.
Jim O'Neill: Whither the Chinese consumer? Between 2010 and 2017, consumer spending in China increased by almost $3 trillion dollars, and global brands came to rely on the Chinese market for a growing share of sales. But now that Apple has revised downward its expected revenues, citing slowing Chinese growth, the outlook for such firms – and for the world economy – has dimmed. http://bit.ly/2D2x2dD
China offers Elon Musk permanent residency: AFP reports, Tesla boss Elon Musk has been offered a "green card", China said Thursday, a privilege enjoyed by an elite group of foreigners, including several Nobel laureates and a former NBA star. Musk was in China for the ground-breaking of Tesla's first overseas factory, which will allow it to sell vehicles directly in the world's largest market for electric vehicles. The high-profile entrepreneur met with Premier Li Keqiang on Wednesday in Beijing, where they discussed Tesla's China ambitions, said the State Council -- the country's cabinet. "I hope to build Tesla's Shanghai factory into a global example," Musk told Li, according to a readout. "I really love China, I'm willing to visit here more often."
Xi's US strategy recalls Mao's 'protracted war': Nikkei reports, Chinese leader calls on people to unite for an extended battle.
Kim Jong-un: The North Korean leader Kim Jong-un has arrived in Beijing for an unannounced visit, at the invitation of Chinese President Xi Jinping.
OTD: In 1984 the US and the Vatican reestablished diplomatic relations after a 117-year break.
UK-Japan: UK PM Theresa May holds talks with Shinzo Abe, prime minister of Japan, at Downing Street.
Harold James: Italy’s writing on the wall: It is often said that Italy’s divergence from the rest of Europe, in terms of per capita income, started either with the ratification of the Maastricht Treaty in 1993 or with the adoption of the euro in 1999. But this chronology masks a more profound transformation in modern Italy. http://bit.ly/2D2hEhp
DISRUPTION
Drone alert: Departures at London Heathrow—one of the world's busiest airports—were temporarily suspended yesterday following a drone sighting. Last month a drone sighting caused much longer-lasting disruption at Gatwick, one of Southeast England's other big airports.
119 million: The total number of smart speakers in circulation in the US.
EVs: 29 global automakers found that they are investing at least $300 billion in electric vehicles, with more than 45 percent of that earmarked for China.
POLITICS
One big happy US government family: A meeting between Trump and senior Democrats, aimed at ending America’s partial government shutdown, was curt. By Trump’s account, when Schumlosi said they would not approve funding for his border wall, he said “bye-bye”. Schumer accused the president of having a tantrum. Pence told reporters Trump passed out candy at the start of the meeting.
LAT: 'Nancy said no. I said bye-bye.' Trump walks out of shutdown talks when he can't get border-wall funds
Texas landowners prepare wall fight; Trump to visit border: AP reports, rather than surrender their land, some property owners are digging in, vowing to reject buyout offers and preparing to fight the administration in court.
Edward Luce: Trump has become entrapped by his phantom wall: The re-election battle is creeping up while the president’s power to honor his pledge slips away.
Over half of Team Trump is headed to Switzerland: Eight members of Trump's Cabinet, including Trump himself, are currently scheduled to attend the World Economic Forum in Davos.
I guess it is the end of Detroit being more important than Davos.
Are we leaving Syria or not? Military Times reports, the US military’s three-year mission in Syria shows no signs of ending or significantly changing anytime soon, US officials now say, despite President Donald Trump’s announcement in December that the Islamic State was defeated and all troops would be withdrawn immediately.
35 percent self-described as conservative: According to new Gallup polling, 35 percent of Americans describe themselves as conservative, 35 percent as moderate and 26 percent as liberal.
Election 2020: Billionaire investor and Democratic activist Tom Steyer said Wednesday that he will not run for the White House in 2020 and will instead focus on calling for President Donald Trump's impeachment.
Democrats find a foil for 2020 primary: Billionaires (even liberal ones): NYT reports, with populism making a strong comeback on the left, candidates like Elizabeth Warren are decrying billionaires who might self-finance campaigns, like Michael R. Bloomberg.
HBD: Jared Kushner, Trump’s son-in-law and adviser, 38
COMMERCE
OTD: In 1870 John D. Rockefeller incorporates Standard Oil
Apple is reportedly decimating iPhone production over the next three months. According to, the firm asked its suppliers to cut production by 10% last month, marking the second such reduction in two months.
WeWork also announced it's rebranding as The We Company: The move is intended to reflect the company's ambitions beyond just co-working spaces.
WeWork is on pace to be the lifestyle company for entrepreneurs and the new knowledge economy.
Porsche sales in China climbed 12% to a record 80,108 last year, making it the automaker's largest market. Worldwide the company 256,255 sports cars, up 4% on 2017.
GM sold more than 3.64 million vehicles in China in 2018.
Ford is to cut thousands of jobs in Europe, as it launches a $14bn cost-cutting drive. The carmaker employs 53,000 workers on the continent but doesn’t turn a profit there.
Ford is in talks with Volkswagen about forming a global alliance, which could reduce production costs.
VW will spend $34 billion on e-mobility initiatives and $57 billion on battery procurement through 2025.
Daimler plans to unveil 130 electrified vehicles, including hybrids and fuel cells, by 2030, and has budgeted $30 billion for batteries.
Sky News: Worst Christmas for a decade for retailers says the British Retail Consortium
Selling drugs: Spending on medical marketing hit an estimated $30 billion in 2016, up from $18 billion in 1997. Only the U.S. and New Zealand allow prescription drug ads.
CULTURE
2.6 million fewer cancer deaths: Cancer deaths have declined 27 percent over 25 years, resulting in 2.6 million fewer cancer deaths, according to the American Cancer Society.
Carbon emissions: Following three years of declines, US carbon emissions rose 3.4% in 2018, as the effects of a strong economy, like diesel and jet-fuel use in transportation, outstripped a sharp decline in the number of power plants burning coal to generate electricity.
8 Frank Lloyd Wright buildings vying for UNESCO world heritage status http://bit.ly/2CYKLC6
The death of Venice? City’s battles with tourism and flooding reach crisis level: A tax on daytrippers has hit the headlines, but La Serenissima’s mounting problems also include rising waters, angry locals and a potential black mark from UNESCO.
SPORT
Breaking: Spanish police make 83 arrests including 28 professional players in tennis fixing investigation.
Australian Open starts Monday, January 14.
Serena Williams has been handed a challenging draw in her quest for a record-equalling 24th Grand Slam title at the Australian Open, starting with Germany's Tatjana Maria in the first round. The American, seeded 16, is gunning to match Margaret Court's record of singles majors and claim an eighth Australian Open crown.
Novak Djokovic will start his bid to win a record seventh Australian Open title next week against a qualifier following Thursday's draw. The Serb had a magnificent 2018, making an astonishing climb back from outside the world's top 20 in June, winning Wimbledon and the US Open on the way to reclaiming the number one ranking in November.
HBD: George Foreman, two-time world heavyweight boxing champion (1973, 1994), 70
Guingamp stun PSG with 2-1 League Cup win in Paris.
OTD: In 1982 49ers Dwight Clark makes 'The Catch'
Brexit, Yellow Vests, Leonardo, Clemson, IBM, BAFTAs, Columbus
Brexit, Yellow Vests, Leonardo, Clemson, IBM, BAFTAs, Columbus
Caracal Global Daily
January 9, 2019
Curation and commentary from Marc A. Ross
Reporting from Alexandria, Virginia
Caracal Global Daily = News + Analysis at the Intersection of Globalization + Disruption + Politics
TOP FIVE
✔️ Business wants a second Brexit vote
✔️ Ongoing Yellow Vest protests in France
✔️ Italians block Leonardo loan
✔️ How Clemson emulated Silicon Valley
✔️ IBM kept the US patent crown for the 26th straight year
GLOBALIZATION
Anger as Bercow allows vote to force PM’s hand on Brexit: The Times reports, John Bercow is embroiled in another bitter row with Downing Street after he allowed MPs to try to force Theresa May to come up with an alternative plan rapidly if her Brexit deal is defeated next week.
Business for a second Brexit vote: London First, a business group with leaders from Starbucks, Virgin Group, Deloitte and Legal & General on its board, has withdrawn support for May’s Brexit deal and is prepared to advocate for a second referendum, the Times reports.
$1 trillion: Banks and other financiers have moved at least $1 trillion out of Britain and into other countries in the European Union in anticipation of Brexit,
That's like the economy of Florida departing the United States.
50,000: Ongoing Yellow Vest protests in France saw some 50,000 people take to the streets across the country last Saturday, up from 29,000 the week before.
Italians block Leonardo loan in worsening France feud: The Times reports, Italy is refusing to lend France key artworks for a Leonardo da Vinci exhibition at the Louvre billed as this year’s “greatest cultural event”. The Eurosceptic coalition in Rome escalated its dispute with Paris.
US-China trade talks conclude as hopes of progress rise: FT reports, analysts warn that complicated questions remain despite desire on both sides to do a deal.
Renminbi climbs to 5-week high and oil rises as trade negotiations gain traction.
David Fickling: Belt and Road is more chaos than conspiracy: China’s flagship foreign-policy initiative is closer to a branding exercise than a master plan for geopolitical domination.
India and Japan awaken to risks of superpower space race: Nikkei reports, fears for satellite security grow as US and China take confrontation into orbit.
Maduro to begin second term as Venezuela goes into meltdown: FT reports, president oversees a country with expected 10m% inflation and a flood of people leaving.
DISRUPTION
Mastercard's logo no longer features the company's name - the new logo looks more like an app icon.
You're so high, you don't even know it: Global funding to cannabis companies hit $2.2B across 300 deals in 2018 — a record high.
How Clemson emulated Silicon Valley to win a national title: WSJ reports, just as the technology business became known for the relative youth of its executives—valuing skill over experience—Clemson typifies college football’s growing embrace of freshman quarterbacks.
POLITICS
About last night: Trump pushes for a wall and Schumlosi pushes for a recording contract.
Mexico will pay? Trump has publicly promised at least 212 times that Mexico would pay for the wall.
Bloomberg: Trump’s prime-time bid to end border wall impasse falls flat
Manafort shared 2016 polling data with Russian employee, filing says: WP reports, the apparently inadvertent revelation indicates a pathway by which the Russians could have had access to Trump campaign data.
Business lobby gains sway in bid for US-China trade peace: WSJ reports, US business groups, who were unheeded by President Trump as he began a tariff fight with China, are now starting to exert some influence as pressure increases on the White House to resolve the monthslong dispute.
“It would be nice to figure out what the endgame is for the administration,” said Jonathan Gold, vice president of supply chain and customs policy at the National Retail Federation. “Folks are going to be realistic and plan for more tariffs.”
12: Democrats have announced plans to hold 12 primary debates ahead of the 2020 presidential election.
Stephen Grosz: The real reason Trump lies: Because he’s in no one’s heart, he wants to be in all our minds. More and more, I’m convinced that his greatest ambitions are neither financial nor political — they’re psychological. He wants us never to take our eyes off him. A psychic imperialist, he aims to colonize our minds. He wants to dominate the external and internal landscape.
LAT: If Democrats are looking for fresh, new faces, why are these septuagenarian white guys so popular?
COMMERCE
IBM kept the US patent crown for the 26th straight year in 2018, receiving 9,100 patents in areas like artificial intelligence, cloud computing and cybersecurity.
Nikkei: Samsung falls victim to China slowdown, following Apple
Note, this has more to do with competition with Chinese brands and customers not wanting to purchase more expensive devices.
Also, WeChat is more important than any operating system and the app can operate on any device.
China's approval of DowDuPont soy poses challenge to Bayer: Reuters reports, China's approval of imports of a DowDuPont Inc genetically modified soybean puts rival Bayer AG on the defensive, investors and analysts said, as US farmers will have a new choice when planting their most valuable agricultural export.
Google’s battle against French proponents of a worldwide “right to be forgotten” enters a decisive phase at the European Union’s top court on Thursday, in a case that highlights the growing tensions between privacy, freedom of speech and state censorship.
The race to become the next Stripe, PayPal or Square heats up: Bloomberg reports, upstarts with names like Bolt, Toast, and Due are muscling into the payments market and could become acquisition targets.
Best-selling cars in the US, 2018 (units sold):
Ford F-Series: 909,330
RAM Pickup: 536,980
Chevrolet Silverado: 531,158
Toyota RAV4: 427,168
Nissan Rogue: 412,110
Honda CR-V: 379,021
Toyota Camry: 343,439
Honda Civic: 325,760
Toyota Corolla: 303,732
Chevrolet Equinox: 299,449
CULTURE
52 places to go in 2019: https://nyti.ms/2TFaqFI
Columbus makes the list!
The Favourite leads BAFTA nominations.
Exceptional film.