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Despite trailing hotter rivals, Baidu's core strengths shouldn't be underestimated

Baidu's core strengthening exercise has been underappreciated. The Chinese search giant delivered 45 percent earnings growth last quarter, having shed distractions like financial services and food delivery. Founder Robin Li's big artificial intelligence plans will take time to mature, and economic headwinds are looming. But applying machine learning to fine-tune its mainstay content business should pay off sooner.
Source: Global Times | 2018/8/2 20:53:40

US companies can't afford to leave Chinese market

As the trade frictions between China and the US escalate, US companies in China and Chinese companies in the US are all feeling unease. One major concern is that companies will be the ones to absorb the negative impact from the ongoing trade tensions. As the one with fewer cards to play in this game, it is necessary for China to assess the position of US companies and their likelihood of leaving China for the US or other countries.
Source: Global Times | 2018/8/2 20:53:40

Beijing should be vigilant against US efforts to disturb cooperation with Pakistan

China and the new Pakistan government need to keep vigilant against a deliberate provocation aimed at undermining economic cooperation regarding the China-Pakistan Economic Corridor (CPEC).
Source: Global Times | 2018/8/1 22:08:40

Joining B&R can open up new opportunities for Japan

Recently, more and more Japanese companies have taken actions that show their positive attitude about participating in the Belt and Road (B&R) initiative, and Japanese leaders have also made some positive gestures.
Source: Global Times | 2018/8/1 21:53:40

Saudi's Aramco plan B is too clever by half, but lacks the ambition of original strategy

Mohammed bin Salman's financial engineers are earning their fees. Plans for the Saudi crown prince to spearhead a triumphant listing of domestic oil titan Aramco are on ice, but his advisers have a workaround – Aramco may now create the cash itself by borrowing money and buying a stake in chemicals group SABIC. It's a clever idea, but no substitute for plan A.
Source: Global Times | 2018/8/1 19:08:40

China's deleveraging gives leeway for possible easing

The Chinese economy is facing a rough road in the second half of this year. The debt risk needs to be tamed, the pain of structural adjustment will be stronger, and the trade frictions triggered by the US are likely to continue. These have added uncertainties to the future of the Chinese economy. Ensuring the right macroeconomic policy to be adopted is a great challenge for the policymakers
Source: Global Times | 2018/8/1 19:03:39

Outcome of Brexit process vital for China-UK relations

The visit to China by Jeremy Hunt, the British Foreign Secretary, has raised hopes that the 'golden age' of China-UK relations, established under former UK Prime Minister David Cameron, will be maintained. During that period Britain sought excellent economic relations with China, took independent steps in foreign policy such as joining the Asian Infrastructure Investment Bank despite US opposition, and minimized provocative attempts to interfere in China's domestic affairs in Hong Kong and elsewhere.
Source: Global Times | 2018/7/31 22:18:40

US should not engage in power games with massive investment in Indo-Pacific region

Any nation, the US included, is welcome to invest in infrastructure projects in the Indo-Pacific region, but development programs should be vigilant to mounting strategic confrontation among Indo-Pacific nations.
Source: Global Times | 2018/7/31 22:18:39

BP deal ticks risky boxes and bucks investor trends, but the logic behind it is sound

BP is bucking the trend. Oil investors nowadays are skeptical of pricey deals that double down on hydrocarbons. The UK oil major's $10.5 billion acquisition of BHP's US shale assets, announced on Friday, superficially ticks those problematic boxes, but is still worthwhile.
Source: Global Times | 2018/7/31 20:08:40

US must fight low savings rate with legislation

The US needs new policies to raise the household savings rate. From 1960 to 1980, the household savings rate ranged between 10-13 percent of after-tax income, providing funds for investment in plants and equipment. Since then, household saving levels have declined sharply. The comparable average savings rate in the past decade averaged only 5.5 percent and is now just 3.4 percent.
Source: Global Times | 2018/7/31 20:08:39

As Amazon relies less on online stores, new areas of business will drive profit growth

Amazon's growth is leaving the shop behind. Jeff Bezos's outfit now gets just over half its revenue from its online stores, down from two-thirds two years ago. E-commerce is still growing at a healthy clip, but the businesses Amazon has built around it are expanding far faster and producing much more profit. That makes its valuation a little less crazy.
Source: Global Times | 2018/7/30 22:58:39

Financial reform a boon for China-UK cooperation

The UK's new foreign secretary is making his first overseas visit to China on Monday to seek discussions on post-Brexit trade relations with Beijing. This year also marks a decade of the City of London Corporation's direct presence in Beijing and Shanghai. Sherry Madera (Madera), the City of London Corporation's special adviser for Asia, talked with Global Times London Correspondent Sun Wei (GT) about the half year review of the City of London Asia Next Decade campaign, which launched on Jan 25 this year to create partnership opportunities for Asia and London, with green finance, fintech, and the opening of capital markets as three key trends. The interview may offer insights on the future of China-UK bilateral cooperation.
Source: Global Times | 2018/7/30 22:53:39

China won't wage a currency war against the US despite rising tariff tensions

The yuan softened to a fresh 13-month low against the US dollar on Monday. Amid escalating trade friction with the US, negative news could easily result in the yuan's depreciation under a managed floating exchange rate regime based on market supply and demand.
Source: Global Times | 2018/7/30 22:48:39

Collaboration can increase understanding of B&R

The Belt and Road (B&R) initiative was proposed by China almost five years ago. After some cultural and economic conflicts, some foreign media and the public have begun to raise concerns, some of which may be misinterpretations.
Source: Global Times | 2018/7/30 22:43:39

China needs to stimulate economy amid US pressure

Facing a relentless trade assault from the US, China's policymakers must keep cool and be ready to replenish their toolbox so they can inject sufficient stimulus to bolster the economy, if it displays any sign of faltering.
Source: Global Times | 2018/7/29 22:03:40

Manufacturing can help Pakistan's new government realize economic potential, create jobs

The victory of Imran Khan as Pakistan's new prime minister is drawing attention to how the new government will take corrective measures to stop the economy from deteriorating.
Source: Global Times | 2018/7/29 22:03:39

'Triple punch' policies to bring years of trade tensions

US President Donald Trump has adopted a hard-line trade policy and recklessly instigated the trade conflict with China. This is the result of a combination of adjustments to his trade, foreign, and fiscal policies. These intertwined policies will likely stretch China-US trade frictions throughout Trump's presidency.
Source: Global Times | 2018/7/29 20:18:39

Deutsche Bank will struggle to clear low bar following better-than-feared Q2 results

Deutsche Bank's actual second-quarter numbers are a reminder that it has a semi-permanent residency in the doghouse. Chief Executive Christian Sewing's surprise July 16 pre-release of the German bank's numbers briefly gave the impression of a halt to its decay. The difficulty Deutsche Bank will face in hitting even its lowball 4 percent return on tangible equity by the end of next year is a reality check.
Source: Global Times | 2018/7/29 20:13:40