financializer news A weblog highlighting financial topics making news in the international media.

chinese demand: Nowhere is Chinese demand greater than in the United States, which has taken in at least 7.7 billion and issued more than 40,000 visas to Chinese investors and their families in the past decade, the AP found, according to The Japan Times. The Chinese investors flocking to these programs are people like Jenny Liu, a doctoral student in the eastern city of Nanjing, who sold her apartment two years ago and moved in with her parents. More than 100,000 Chinese have poured at least 24 billion in the last decade into golden visa programs across the world that offer residence in exchange for investment, an Associated Press analysis has found. She used the money from the sale to invest 500,000 in a hotel project in the United States. My son has a lot of homework to do every day, but I don't think he has learned a lot from school, Liu said. If the project creates enough jobs in two years, she'll get a prized green card and a pathway for a less stressful education for her 9-year-old son. (news.financializer.com). As reported in the news.

infection rates: In the first clues of the origin of the massive ransomware attacks, Google researcher Neel Mehta posted computer code that showed similarities between the Wanna Cry malware and a vast hacking effort widely attributed to Pyongyang, according to The Japan Times. Other experts quickly jumped on this as a sign although an inconclusive one that North Korea may have been behind the outbreak. After days of disruptions affecting networks worldwide, a top U.S. official said the number of computers affected had reached 300,000, but that infection rates had slowed. We believe this might hold the key to solve some of the mysteries around this attack, said researchers at the Russian-based security firm Kaspersky, adding that further research was needed. The group's chief executive Itai Tevet said in a tweet Intezer Labs confirms attribution to North Korea for Wanna Cry, not only because of the function from Lazarus. Israeli-based security firm Intezer Labs said it agreed with the North Korea attribution. (news.financializer.com). As reported in the news.

york-based insurer: He is stepping down as CEO of Hamilton Insurance Group and succeeds Peter Hancock, who said in March he would depart AIG amid insufficient support from investors, according to The Japan Times. The new CEO will seek to bring stability to AIG, which has endured the departure of top executives, higher than expected claims costs and four losses in seven quarters. Duperreault, who spent time at AIG earlier in his career, will begin his role immediately, the New York-based insurer said Monday in a statement. Before joining Hamilton, he was CEO of insurance broker Marsh & McLennan Cos., where he helped revive confidence of investors and clients. What Duperreault brings is not only a background in restructuring within property-and-casualty, but stature within the industry and a proven track record for being able to attract talent, Ryan Tunis, an analyst at Credit Suisse Group AG said last week. He also led Ace Ltd., which is now known as Chubb Ltd. and is one of AIG's largest rivals. (news.financializer.com). As reported in the news.

market gauge: On Friday, the key market gauge lost 77.65 points, according to The Japan Times. The Topix index of all first-section issues finished down 0.71 point, or 0.04 percent, at 1,580.00, after shedding 6.15 points the previous trading day. The 225-issue Nikkei average fell 14.05 points, or 0.07 percent, to end at 19,869.85. Stocks opened weaker after the Dow Jones industrial average continued to fall in New York on Friday and the dollar dropped against the yen, mainly on the back of weaker-than-expected U.S. retail sales in April. After the Nikkei average lost more than 140 points, however, the market recouped much of the losses by the middle of the morning session. Also, investor sentiment was somewhat dampened by the global cyberattack that began late last week and a missile launch by North Korea on Sunday, brokers said. (news.financializer.com). As reported in the news.

network box: Most of the attacks are arriving via email, so there are many land mines' waiting in people's in-boxes, said Michael Gazeley, managing director of Network Box, a Hong Kong-based cybersecurity company, according to The Japan Times. Japan's National Police Agency reported two breaches of computers in the country on Sunday one at a hospital and the other case involving a private person but no loss of funds. The ransomware that has locked up more than 200,000 computers in more than 150 countries has been mainly spread by email, hitting factories, hospitals, shops and schools worldwide. In both cases, data on the affected PCs were encrypted and the users received demands to pay the bitcoin equivalent of some 300 to decrypt them. The Japan Computer Emergency Response Team Coordination Center said 2,000 computers in Japan were reported affected so far, citing an affiliate foreign security organization that it cannot identify. But a Japanese nonprofit said computers at 600 locations had been hit in the cyberattack. (news.financializer.com). As reported in the news.

security agency: Microsoft's president and chief legal officer Brad Smith said the U.S. National Security Agency developed the original code used in the attack, which later leaked in a document dump, according to The Japan Times. The admission was leaped on by Putin. The indiscriminate attack struck hundreds of thousands of computers worldwide Friday by exploiting known vulnerabilities in older Microsoft computer operating systems. Microsoft's leadership stated this directly, they said the source of the virus was the special services of the United States, the Russian leader said on the sidelines of a summit in Beijing. Russia has recently been accused of cybermeddling in several countries, but Putin said they had nothing to do with the attack. A genie let out of a bottle of this kind, especially created by secret services, can then cause damage to its authors and creators. (news.financializer.com). As reported in the news.

image xi: Xi repeated his call to uphold multilateral trade, calling his initiative a force for peace in a world fraught with challenges, according to The Japan Times. He called for countries to uphold and grow an open world economy. Xi described the Belt and Road initiative as a project of the century before pledging an additional 100 billion yuan 14.5 billion for China's Silk Road Fund, 380 billion yuan in new lending for participating nations, and 60 billion yuan in coming years to developing countries and international organizations that join the program. The speech built on an image Xi has sought to hone since U.S. President Donald Trump's election as a champion of global free trade, most notably in a January speech in Davos, in the Philippines. Addressing concerns that the initiative will become a bonanza for Chinese companies or a strategic play for regional domination, Xi declared that the initiative will be open to all countries and complementary with their development goals. It set the tone for a major two-day forum which started Sunday to discuss the Belt and Road plan, which aims to connect China with Europe, Asia and Africa through infrastructure and investment. (news.financializer.com). As reported in the news.

mitsubishi: Tokyo, which comes from a predecessor of the financial group, Bank of Tokyo, will also disappear from Bank of Tokyo-Mitsubishi UFJ's Japanese name, while Mitsubishi and UFJ will remain, according to The Japan Times. Bank of Tokyo, which had long been internationally known as Japan's only foreign exchange bank, merged with Mitsubishi Bank to create Bank of Tokyo-Mitsubishi in 1996 as part of industry realignments sparked by the collapse of the asset bubble early in the 1990s. The core unit of Japanese industry leader Mitsubishi UFJ Financial Group Inc. is likely to be renamed MUFG Bank as early as next spring. In 2006, the bank merged with UFJ Bank and assumed its current name. (news.financializer.com). As reported in the news.

percent: Meanwhile, the FTA with Japan, if realized, is expected to boost the United States' real GDP by 0.38 percent, which is about half the effect of the TPP. Even if the United States lowers Japan's tariff and nontariff barriers to levels equivalent to those under the TPP, the world's largest economy cannot enjoy the same positive effects as from the TPP and its 10 other trading partners, according to The Japan Times. The economic impact on Japan's real GDP is estimated to rise 1.37 percent for the 12-member TPP grouping and 1.07 percent for an FTA with the United States. The activation of the original 12-member TPP, including the United States, would lift the country's real gross domestic product by 0.77 percent, according to an estimate by Kenichi Kawasaki, a professor at the National Graduate Institute for Policy Studies in Tokyo. The gap is not as wide as that for the American economy because the United States is the largest export destination for Japan. The estimates are based on an economic model similar to the one used by the Japanese and U.S. governments to forecast the economic impact of the TPP deal reached in 2015. Meanwhile, if the TPP takes effect with the participation of 11 signatory countries, without the United States, Japan is still expected to enjoy economic effects of 1.11 percent, thanks to the opening of member countries' markets. (news.financializer.com). As reported in the news.

address inequality: Many of us told Mr, according to The Japan Times. Mnuchin that it is unthinkable that in the weeks and months to come, we can allow the established framework to be debated, French Finance Minister Michel Sapin told reporters. During a two-day G-7 financial meeting that ran through Saturday in Bari, Italy, the finance chiefs sought to draw Mnuchin toward their previous consensus on free trade, despite a formal agenda that avoided pursuing that too explicitly by focusing on inclusive growth to address inequality. It is unthinkable, and it will not happen, that we destroy the framework that has given us stability and economic growth. Referring to his remarks at Friday's session, Finance Minister Taro Aso told reporters, We should not oppose free trade on the pretext of achieving inclusiveness or addressing inequality. Italy, which presides over the G-7 this year, is poised to send a message of unity in a joint statement after the meeting on fighting inequality an issue that apparently propelled an anti-globalism candidate into the French presidential runoff vote on May 7, fueled Donald Trump's ascent to the U.S. presidency and played a role in Britain's decision to exit the European Union. (news.financializer.com). As reported in the news.

group: Prime Minister Shinzo Abe and Russian President Vladimir Putin agreed at their summit in April to send the group over in May, according to The Japan Times. Abe said at the time that conducting joint activities and nurturing mutual trust will help the two countries sign a peace treaty to formally end World War II, which the territorial row has prevented. The group about 50 to 60 people, including government officials and business people will conduct research for about five days to make a list of potential projects involving the Tokyo-claimed islands off Hokkaido, the sources said Friday. Since the group intends to go to the disputed islands by chartered ship, the schedule will be determined by the weather, the sources said. In particular, Japan and Russia have to sort out issues such as jurisdiction when Japanese are involved in accidents or incidents while participating in joint projects, and rules over investment and financing. The two countries need a system for the joint activities that avoids judicial problems because their stances on the sovereignty of the isles remain far apart. (news.financializer.com). As reported in the news.

people need: Essentially they relied on a domain not being registered and by registering it, we stopped their malware spreading, Malware Tech Blog said in a private message on Twitter, according to The Japan Times. The researcher warned however that people need to update their systems ASAP to avoid attack. The researcher, tweeting as Malware Tech Blog, said the discovery was accidental, but that registering a domain name used by the malware stops it from spreading. The crisis isn't over, they can always change the code and try again, Malware Tech Blog said. The attacks used a technique known as ransomware that locks users' files unless they pay the attackers a designated sum in the virtual currency Bitcoin. Friday's wave of cyberattacks, which affected dozens of countries, apparently exploited a flaw exposed in documents leaked from the U.S. National Security Agency. (news.financializer.com). As reported in the news.

market gauge: On Thursday, the key market gauge advanced 61.46 points, marking its highest finish since Dec. 1, 2015, according to The Japan Times. The Topix index of all first-section issues ended down 6.15 points, or 0.39 percent, to finish at 1,580.71, after gaining 1.67 points the previous day. The 225-issue Nikkei average lost 77.65 points, or 0.39 percent, to close at 19,883.90. Stocks got off to a slightly weaker start due to profit-taking prompted by weaker U.S. equities overnight and the dollar's fallback below 114, brokers said. The market resisted further falls in the afternoon but remained in negative territory for the rest of the day, with a wide range of issues suffering losses. Weighed down by losses in mainstay issues, such as automakers, electronics producers and banks, the Nikkei average briefly retreated more than 150 points late in the morning session. (news.financializer.com). As reported in the news.

portfolio manager: Emmanuel Macron's victory in Sunday's presidential election has removed the major political risk factor and yields are attractive, they say, according to The Japan Times. With the key risk factor in Europe out of the way, it will be easier for investors like ourselves to consider overweighting France, said Eiichiro Miura, chief portfolio manager at Nissay in Tokyo. Having sold French sovereign debt for the fifth month in a row in March, Japanese investors may start to rekindle their interest, according to fund managers interviewed by Bloomberg including Nissay Asset Management and Amundi Asset Management. Life insurers and pension funds could start directing more money into European bond and credit markets, he said. Japanese investors sold a net 942.8 billion 8.3 billion of French sovereign bonds in March, after dumping a record amount in February. The firm, with 80 billion under management, is a unit of life insurer Nippon Life Insurance. (news.financializer.com). As reported in the news.

shopping boulevard: In Tokyo's Ginza district, a mugger managed to take 40 million from a man walking along a popular shopping boulevard, according to The Japan Times. Both crimes happened in broad daylight. Thieves got away with 384 million after attacking a merchant in a Fukuoka parking lot. Some will say these two unrelated incidents prove that Japan isn't as safe as it's thought to be, but what they mainly show is how cavalier people in Japan can be with cash. Partly, this tendency has to do with a general mistrust of credit cards and debt, as well as with small businesses wishing to avoid the added cost and trouble of bank remittances and other forms of non-cash payment. In Japan, many monetary transactions, including ones involving huge sums of money, are done in cash. (news.financializer.com). As reported in the news.

block sale: The potential delay in the process of the sale of the chip operation could derail its turnaround efforts, as the sale is crucial to raise cash to make up for huge losses from its U.S. nuclear business, according to The Japan Times. Western Digital, a joint operator of Toshiba's Yokkaichi flash memory plant in Japan, has claimed it has the right to block the sale of the spun-off unit Toshiba Memory and has demanded it be allowed to take the initiative in operating the chip unit. Toshiba initially planned to close the bidding on May 19 but is now considering extending the schedule to the end of the month or later, the sources said. Toshiba officials and Western Digital Chief Executive Officer Steve Milligan held talks recently on the sale but failed to reach an agreement. Toshiba said after the filing it could post a group net loss of 1.01 trillion 8.9 billion for the fiscal year that ended March 31, the largest ever for a Japanese manufacturer, and fall into a negative net worth of 620 billion. The embattled Japanese conglomerate is reeling from massive losses related to Westinghouse Electric, which filed for Chapter 11 bankruptcy protection in March. (news.financializer.com). As reported in the news.

business year: It also said operating profit would drop 7.7 percent to 685 billion, despite a 0.7 percent rise in sales, according to The Japan Times. The automaker said the forecasts are due to an expected increase in material costs and negative impacts from fluctuations in foreign exchange rates. Nissan said it estimates a 535 billion net profit for the business year running from April 1, down 19.4 percent on year. The company also announced its annual net profit for the 2016 fiscal year that ended in March, which came to 663 billion, up 26.7 percent on year. Sales for the business year also declined 3.9 percent to 11.72 trillion the first decline since the 2009 business year. Operating profit fell 6.4 percent to 742 billion. (news.financializer.com). As reported in the news.

market gauge: On Wednesday, the key market gauge went up 57.09 points, according to The Japan Times. The Topix index of all first-section issues gained 1.67 points, or 0.11 percent, to end at 1,586.86, after rising 3.42 points the previous day. The 225-issue Nikkei finished up 61.46 points, or 0.31 percent, at 19,961.55, marking its highest finish since 20,012.40 on Dec. 1, 2015. Stocks opened slightly firmer on the back of the dollar's rise above 114, but lost some of their momentum later in the morning due partly to profit-taking. Still, its topside was capped for the rest of the day, reflecting investor concerns over high prices, brokers said. The market regained steam in midafternoon trading as companies that announced brisk earnings attracted purchases, with the Nikkei average briefly climbing to as high as 19,989.94. (news.financializer.com). As reported in the news.

market gauge: On Tuesday, the key market gauge lost 52.70 points, according to The Japan Times. The Topix index of all first-section issues closed up 3.42 points, or 0.22 percent, at 1,585.19, after falling 4.09 points the previous day. The 225-issue Nikkei average gained 57.09 points, or 0.29 percent, to end at 19,900.09, marking its highest finish since Dec. 3, 2015. Buying took the upper hand from the outset of Wednesday's trading after the dollar briefly topped 114 in overseas trading for the first time in about two months. Although the Dow Jones industrial average lost ground on Tuesday, the tech-heavy Nasdaq composite index's record-breaking advance helped improve investor sentiment in the Tokyo market. Export-oriented issues attracted purchases, temporarily pushing up the Nikkei average nearly 100 points in the morning session. (news.financializer.com). As reported in the news.

official agenda: However, many participants will be looking to Treasury Secretary Steven Mnuchin to gauge U.S. intentions on issues where Trump has threatened to upset the group's consensus protectionism and climate change, according to The Japan Times. It will be another chance to learn what the U.S. government is thinking and planning, said a G-7 official at one of several briefings by national delegations this week. The official agenda for Group of Seven finance ministers and central bankers in the city of Bari from Thursday to Saturday focuses on inequality, international tax rules, cybersecurity and blocking the funding of terrorism. At a meeting of the larger Group of 20 financial chiefs in Germany in March, ministers dropped their traditional pledge to keep global free trade open, acquiescing to an increasingly protectionist United States. The important thing is that Mnuchin will be there, with a clearer picture of U.S. policies than was available in previous weeks and months, said another G-7 official who also asked not to be named. Trump will decide whether to quit the global Paris agreement on climate change a campaign promise after meeting leaders at a G-7 summit on May 26-27, the White House has said. (news.financializer.com). As reported in the news.

japanese company: One from Toshiba's lawyers asserts the Japanese company's right to sell its part of the semiconductor joint venture, despite objections from the U.S. hard disk maker, according to The Japan Times. The second, sent by Toshiba to Western Digital's chief legal officer, says the U.S. company failed to ratify a proposal to formalize their relationship after a merger, and that Toshiba would bar Western Digital employees from its facilities and networks unless it complies by May 15. Toshiba sent two letters to Western Digital on May 3 that were obtained by Bloomberg. Western Digital became Toshiba's manufacturing partner in the flash memory business when it acquired San Disk Corp. for 15.8 billion last year. Toshiba has narrowed the list of potential buyers to a group that includes Western Digital rivals, including Taiwan's Hon Hai Precision Industry Co., South Korea's SK Hynix Inc. and chipmaker Broadcom Ltd. That unit may now pass into the hands of a new owner after Toshiba decided to put it up for sale to shore up its balance sheet following multibillion-dollar losses in its nuclear business. (news.financializer.com). As reported in the news.

market gauge: On Monday, the key market gauge surged 450.00 points to mark its best finish since Dec. 3, 2015, according to The Japan Times. The Topix, covering all first-section issues, ended 4.09 points, or 0.26 percent, lower at 1,581.77 after rising 35.56 points Monday. The Nikkei 225 average lost 52.70 points, or 0.26 percent, to end at 19,843.00, falling for the first time in four trading days. It also suffered the first drop in four sessions. Investors were cautious about the market's recent rapid advance, brokers said. Soon after opening slightly higher, the Nikkei gave up its gains and sank into negative territory as the market succumbed to selling to lock in profits, even though the dollar rose above 113. (news.financializer.com). As reported in the news.

peace prosperity: If we cooperate, we can further contribute to the peace and prosperity in the region, Abe said in a statement, according to The Japan Times. South Korea is the most important neighbor with which Japan shares strategic interests. Japan and South Korea face common challenges such as the issue of North Korea. I look forward to working with incoming President Moon Jae-in from now on, he said. The two leaders could meet for the first time on the margins of a summit of the Group of 20 major economies to be held in July in Germany. While offering his congratulations on the election victory, Abe said he hopes to meet with Moon at the earliest possible date to frankly exchange views of mutual interest. (news.financializer.com). As reported in the news.

labor ministry: In an interview Friday in Taipei, Lin laid out the vision for invigorating the economy he and President Tsai Ing-wen have sought to implement since Tsai won power in a landslide victory in early 2016, according to The Japan Times. While economists expect growth to accelerate to 2 percent this year from 1.5 percent in 2016, expansion has slowed significantly from 6.52 percent in 2007. He'll also tell you one way to achieve those goals is by welcoming more immigrants. The reforms Lin and Tsai promote touch on areas from trade to taxes to infrastructure. That exodus, which the labor ministry in 2015 put at 20,000 to 30,000 professionals annually over the past decade, has been primarily because of Taiwan's lower wages, according to Lin, who holds a doctorate in economics from the University of Illinois at Urbana-Champaign. Immigration stands out for being where Lin believes action can be taken soonest and for being what he says is the most immediate countermeasure for one of Taiwan's most-pressing ailments talent leaving for Shanghai, Hong Kong, Singapore and beyond. (news.financializer.com). As reported in the news.

support municipalities: Under the project, the government and the LDP are considering sending specialists to regions where Olympic legacy plans with specific regional revitalization measures are to be drawn up, the sources said, according to The Japan Times. In a proposal to be compiled by the end of this month, the LDP's Headquarters for the Action Committee for the Tokyo 2020 Olympic and Paralympic Games is likely to call for such a council to be set up. The central government and the ruling Liberal Democratic Party hope to use the council, to comprise the central and local governments and private sector, to support municipalities and local businesses trying to revive regional economies by taking advantage of the 2020 Games, said the sources familiar with the situation. The proposal is likely to be reflected in economic and fiscal policy guidelines that the government plans to craft in June, the sources said. Representatives from the central and municipal governments and companies are slated to discuss regional economic revitalization measures topic by topic, such as sports tourism promotion and joint events by municipalities. The council is expected to consolidate information about Olympics and Paralympics-related policy measures from various government agencies, including the Cabinet Secretariat, the industry ministry and the education and sports ministry. (news.financializer.com). As reported in the news.

topix index: On Tuesday, it gained 135.18 points, according to The Japan Times. The Tokyo market was closed Wednesday through Friday for national holidays. The 225-issue Nikkei closed up 450.00 points, or 2.31 percent, from last Tuesday at 19,895.70, its highest finish since 19,939.90 on Dec. 3, 2015. The Topix index of all first-section issues ended up 35.56 points, or 2.29 percent, at 1,585.86, after climbing 10.53 points the previous trading day. Stocks attracted hefty purchases from the beginning of Monday's trading since investor worries about European politics eased after Macron beat his far-right, anti-EU rival Marine Le Pen in the French election, brokers said. Both indexes rose for the third consecutive market day. (news.financializer.com). As reported in the news.