Author: Christina Comben

  • Larry Kudlow Says US-China Trade War Shows No Signs of Slowing Down

    Larry Kudlow Says US-China Trade War Shows No Signs of Slowing Down

    The US-China trade war shows no signs of slowing down as Trump’s top economic advisor Larry Kudlow accuses China of refusing to engage in trade talks. He went on to say that Beijing was doing “nothing” to defuse the tensions between the two countries.

    This comes just ahead of a likely meeting between the Chinese President Xi Jinping and US President Donald Trump in November at the G20 in Argentina. It also dampens hopes of a possible trade war truce between the two superpowers.

    The US-China Trade War

    The White House’s top economic advisor and director of the National Economic Council Kudlow told the Financial Times that China had shown no signs that it was willing to meet US demands, halting hopes of a breakthrough in the ongoing tariffs feud.

    Earlier this year, the US imposed heavy tariffs on some $250 billion of Chinese imports (almost half of all imports), and the Chinese naturally retaliated, slapping tariffs on $110 billion of US goods. This has led to an escalating conflict between the two countries and a worsening global economic outlook.

    us-china trade war
    Source: Shutterstock

    Among the demands from the White House are changes to the Chinese economic policy, including a clampdown on industrial subsidies and a reduction in its bilateral trade deficit. Yet Trump’s demands have so far been met with nothing but resistance from Chinese officials, who believe that the demands are unrealistic and go against China’s interests.

    Mr. Kudlow told the Financial Times:

    “We gave them a detailed list of asks, regarding technology for example, [which] basically hasn’t changed for five or six months. The problem with the story is that they don’t respond. Nothing. Nada… I’ve never seen anything like it.”

    As the US-China Trade war rages on, Chinese officials have signaled their complaints over unpredictability and a lack of flexibility from the US, as well as no clear single voice from the White House. The Trump administration, it says, is sending out mixed messages.

    The Outlook

    If no progress is made over the next few weeks, the trade US-China war could reach drastic heights. In fact, the US is expected to increase the tariff on $200 billion of Chinese imports from 10% to 25% early next year, adding more fuel to the fire. Trump has even threatened to impose duties on all imports from China, which would certainly lead to a backlash from the Asian giant.

    Despite a bullish start to the stock market this week, the trade war has been blamed for a slower-than-expected Q3 growth in China and weakening investor confidence in the stock markets. Unless an agreement is reached, both countries stand to lose from this ongoing feud.

    Featured image by Gage Skidmore, Wikimedia.

  • Love Your Cat? Snapchat Introduces Filters Especially for Felines

    Love Your Cat? Snapchat Introduces Filters Especially for Felines

    From the banal to the downright bizarre, if you hadn’t had enough of picturing yourself with Disney eyes and rabbit ears on Snapchat, you can now do the same with your cat.

    In a desperate bid to claw back users (literally) Snapchat now comes complete with special filters just for cats. Which means you can now add glasses, hats, and a host of accessories to your favorite pet as well.

    Of course, one could be forgiven for wondering what’s so interesting about that. But then, if you’re an aging millennial short on time and patience, and you’ve never owned a cat, you’re clearly not part of Snapchat’s vacuous target.

    Yet it seems that there are tribes of people with too much time on their hands and a penchant for wasting it. Snapchat announced the new feature on their official Twitter account:

     

    Snapchat Appeals to Cat Lovers with Time on Their Hands

    The new filters from Snapchat don’t just stop at rabbit ears and glasses. Oh no, you can even “snap” your cat sporting unicorn horns, devil wings, and flower crowns.

    “Didn’t this feature exist already?” You may be asking yourself. Well, kind of, although it was previously only available for dogs, and never worked on cats.

    This latest update to the photo messaging app has been met with jubilation from its cat loving fans. Considering that cat lovers were found to ‘like’ an average of 398 cat-related posts and watch some 725 cat videos and pictures a year, it seems that the struggling social media giant is catching onto something here.

    Not Enough to Rescue Falling Stock or Make Up for Botched Design

    While cat fans are all aflutter, these feline filters won’t do anything about the company’s freefalling stock price. Cat lovers are presumably not powerful enough to boost that, make up for a botched redesign, or cash burn problem.

    Snapchat is hoping that its new Snap Originals will help to do that and recover ground against rival Instagram. Yet, it’s another expense that’s worrying investors and the outlook is looking decidedly uphill for the young company right now.

    But hey, who cares about that when you can decorate fluffy with a flower crown?

    Featured image by jestPic.com.

  • Chinese Stocks Look to Hit Biggest One-Day Gain in 3 Years

    Chinese Stocks Look to Hit Biggest One-Day Gain in 3 Years

    After a troublesome Q3 growth report on Friday and analysts signaling to the trade war between the US and rising interest rates, Chinese stocks rallied this Monday. In fact, not only rallied but are actually on track to make it one of their biggest gaining days since 2015.

    This remarkable rebound on Monday came shortly after Beijing made significant efforts to buoy markets by reassuring investor confidence following the steep selloffs of recent weeks. By noon, the CSI 300 index of companies on both the Shanghai and Shenzhen stock exchanges was up by 4.4%. This makes for its largest gaining day in three years.

    china stocks

    The trend was echoed in Hong Kong, with the Hang Seng China Enterprises Index of Chinese companies also jumping by 3.3%. This would make it its best day since October 2017. Even the technology company Tencent that’s seen its profits affected by tight Chinese gaming regulations also saw a jump of 4%.

    China Stocks Rally but No End to Volatility

    The crippling selloffs, particularly in tech, over the past couple of weeks, look to be over, at least for today. After a dismal period that saw 23% fall from the MSCI Asia ex-Japan index, the markets are rallying back. Global Market Strategist at JPMorgan Asset Management Kerry Craig said:

    “After what has been a tense and terse month for Asia equities as a whole, they’re taking a breather, but that’s not to say volatility is going away… If China sneezes, the rest of the region catches a cold. The A-shares market has suffered a significant sell-off this year, so the rebound is expected after it’s been so volatile.”

    Intervention from Authorities

    Monday’s bounce-back happened after an intervention from China’s central bank, the securities watchdog, and China’s banking and insurance regulator, who told state media last Friday that the authorities would take the necessary measures to help markets, and that the slump in equities was no reflection on China’s domestic economic health.

    Among these measures, the central bank pledged to ensure liquidity in the banking system and the Chinese authorities revealed temporary changes to individual income tax law including special deductions.

    This attempt at bolstering confidence came on the back of a weaker-than-expected third quarter growth report of 6.5%.

    China’s equity market takes the lead as the worst performing major global market this year, falling 25% from its peak earlier this year, and taking a toll on its national currency. Technology stocks have fared worse recently in the region, with Tencent shares dropping by almost 40% since their height in January.

    Featured image from Shutterstock.

  • Dating App Bumble to Expand into India with Help from Local Actress

    Dating App Bumble to Expand into India with Help from Local Actress

    Dating is stressful enough. No matter how well you know a person through a chatting app, there’s plenty of room for disappointment. What if they aren’t as interesting in person? What if they have a facial tick or halitosis? Or, worse still, what if you get left staring at an empty place setting in a restaurant watching the minutes tick by?

    If that’s dating in the western world imagine what it’s like dating’s a country like India, where there are over 100 rapes a day and Indian men think stalking is normal. It’s only natural that women there are nervous when it comes to romance–and why, according to actress and investor in the company, Priyanka Chopra:

    “Indian women needed Bumble”

    What Is Bumble?

    Just in case you haven’t stumbled across Bumble, it’s the latest online dating app looking to branch into the Indian market–with women in its sights.

    Bumble
    Featured image from Bumble

    One of the app’s main features that should particularly appeal to women is that it requires them to make the move first. This gives them the option to speak with whom they wish without the fear of receiving a barrage of unwanted messages.

    Chopra, a celebrity in India, will be advising the app’s team over the expansion.

    Localizing for the Target Market

    Bumble announced the news last Wednesday, just under a week after the app’s main rival Tinder launched a “My Move” feature in the Indian market, allowing women to select the option of always initiating the conversation first.

    Despite the timing of the announcement, the female-friendly dating app has been planning its move to India for some time, and Chopra was part of a high-profile group of women who kickstarted Bumble Bizz, Bumble’s networking app, in October of last year.

    Bumble CEO and Founder Wolfe Herd told CNN that the biggest challenge of entering the Indian market was:

    “localizing the experience and attracting women”

    This will be the main job for Chopra, as a household name in the country. The app will be localized in Hindi and “Hinglish,” and available on both Android and iOS. The company will also be rolling out additional safety features before entering the market, although these have yet to be revealed.

    India Named the Most Dangerous Country to Be a Woman

    Safety is an absolute priority for Indian women, living in a country with a global reputation for violence against women. In fact, in June of this year, India was ranked as the most dangerous country in the world for women, which sort of puts the halitosis thing into perspective.

    Dating can be a literal suicide mission with the wrong person.

    To protect their privacy, women will not be asked for their full details by the app (something incredibly refreshing to say, Facebook). They will not need to provide a first or last name, but just a photo and an initial. There are also several ways of reporting bad behavior to ensure that bad actors are kept out of the app. There is a photo verification service as well.

    Ongoing Feud

    Before starting Bumble, Wolfe Herd was one of Tinder’s first employees, leaving back in 2014 after suing for discrimination and (ironically) sexual harassment. While the case was settled outside of court, it’s hardly surprising that the rivalry continues between these two companies.

    In fact, Tinder’s parent company Match is currently suing Bumble for theft of trade secrets, while Bumble is counter-suing Match for using the litigation as a revenge attempt after failing to acquire the popular app.

    India will be a key market for Bumble thanks to its sheer size and fame for sexual harassment. India has some 390 million internet users, second only to China in numbers.

    Whether they make like their name and ‘bumble’ their attempt into the South Asian market remains to be seen. Although throwing another lifeline to young females in a dangerous dating market can only be a good thing.

    Featured image from Wikimedia.

  • Trump Will Pull US Out of Nuclear Treaty with Russia

    Trump Will Pull US Out of Nuclear Treaty with Russia

    Just in case you’d started breathing easier over the world’s nuclear fate since the US and North Korea buried the hatchet, there’s another, potentially far more potent, player to contend with–Russia. Trump yesterday announced that he will be pulling the US out of a longstanding Cold War nuclear treaty with the superpower. Great.

    The Terms of the Cold War Nuclear Treaty

    The treaty in place bans both countries from using land-based missiles that can place either country within range of the other. On Saturday, Trump revealed to reporters that:

    “We’re going to terminate the agreement and we’re going to pull out.”

    The treaty goes back to 1987 and covers missiles with a range of up to 3,420 miles, otherwise known as intermediate-range. Trump said the withdrawal from the Cold War nuclear treaty was a move forward for the US, meaning they could develop more weapons. He added that Russia had been violating the terms of the treaty for years anyway. While he gave no timeline for the withdrawal, he said:

    “We’re not going to let them violate a nuclear agreement and go out and do weapons and we’re not allowed to.”

    Star Wars the Sequal?

    Sounding ever-so-slightly like a petulant child who’s had his favorite toy snatched away, the president did concede that the US would “consider” capping its nuclear weapon development efforts. But this would only happen if a new arrangement could be agreed upon with both Russia and China, who is not a part of the existing deal. He said:

    “If Russia is doing it and if China is doing it, and we’re adhering to the agreement, that’s unacceptable.”

    In what seems reminiscent of a playground fight, Moscow has staunchly denied breaking the terms of the Cold War nuclear treaty. In turn, they accuse the US of breaking the terms.

    Cold War Nuclear Treaty
    Trump talking to reporters on Saturday / Reuters

    Trump’s national security adviser on Russia will meet with senior officials in Moscow on Monday to discuss coming to new terms for the treaty, as well as several other pending issues affecting the two nations.

    The two powerhouse countries also look set to discuss the terms of the New Start Treaty of 2010 (set for renewal in 2021) that caps the number of nuclear warheads that each country can own. This will either involve a complete renegotiation or extension.

    Backlash from Russia

    A Russian senator Alexei Pushkov claimed that Trump’s statement would lead to a:

    “returning the world to the Cold War… Such an exit would be the second most powerful blow inflicted on the world’s entire system of strategic stability.”

    Pushkov considered the first major blow to have been the US’ withdrawal from the 2001 anti-ballistic missile treaty, a process initiated by the US. Trump’s comments on Saturday sparked further criticism from the Kremlin, with a prominent member of the Defense and Security Committee of the Russian upper house of parliament saying that the US was:

    “trying to drag Russia into an arms race… Not only Russia but the whole world has been given a new and dangerous challenge. They want, like the Soviet Union at one time, to be drawn into an arms race. It will not work. I have no doubt that our country will be able to guarantee its security under any circumstances.”

    International Response

    US lapdog, Great Britain, was quick to support president Trump, with the UK defense secretary Gavin Williamson blaming Russia for the breakdown of the treaty, signed by presidents Reagan and Gorbachev.

    He insisted that the UK stood “resolute” behind their “close and long-term ally” the US. He also said that the Kremlin was making a “mockery” out of the agreement.

    This will come as a surprise to exactly no one, particularly with the bad blood surrounding the UK and Russia at the moment after the poisoning of the Russian spy Novichok on UK soil.

    Featured image from Shutterstock.

  • Are You Ready for More Chinese Social Media Apps?

    Are You Ready for More Chinese Social Media Apps?

    Are you ready for more Chinese social media apps? Beijing-based startup ByteDance thinks you are. The Chinese company is decided to conquer Western social media fans, after reaching 500 million monthly active users worldwide with one single app.

    The TikTok app (in Chinese, Douyin) is a mobile-only social video platform that allows users to watch music videos, as well as record their own 15-second videos, edit them, and add special effects.

    The app everyone’s eye this spring, when it became the most downloaded app in the Apple store for Q1 of 2018, with 45 million downloads (more than WhatsApp, Facebook, or Instagram).

    China’s ByteDance is looking to increase the number of users for all its apps across Asia, South America, North America, and Europe.

    TikTok Is Doing Everything to Win over New Subscribers

    Musical.ly was the first Chinese app that made it in the US, racking up over 20 million users in North America and over 100 million users worldwide. Thanks to its lip syncing feature and its funny faces, it was very popular among internet users.

    ByteDance bought Musical.ly for $800 million and merged it with TikTok so that anyone who had an account on Musical.ly was automatically on TikTok as well. This strategic move increased the number of TikTok users significantly.

    Now TikTok seems to be ready to take over the US market at all costs. Last week, they took advantage of YouTube’s crash to lure more subscribers:

     

    ByteDance Is Going Global with AI Technology

    ByteDance uses artificial intelligence and machine learning to gain insights on consumers’ preferences and develop popular products for both Chinese and foreign audiences.

    The company started its international expansion in 2015, with TopBuzz, a separate English version of the Chinese Toutiao–an app that uses AI to provide its users with customized news feeds, and has 700 million users consuming content for an average of 76 minutes per day.

    ByteDance also bought the video startup Flipagram, now promoted under the name Vigo Video.

    Last year, investors valued ByteDance at $20 billion. This year, the Chinese tech giant is looking to hit the jackpot as it raises money at a valuation of up to $75 billion. This would make it one of the world’s most valuable tech unicorns, next to Uber (worth $76 billion).

    ByteDance presently owns eight products that are available in over 40 countries including China, South America, North America, Europe, and Southeast Asia.

    Featured image from Shutterstock.

  • Tesla Removes the Self-Driving Feature It Didn’t Actually Have

    Tesla Removes the Self-Driving Feature It Didn’t Actually Have

    No one can argue that Tesla doesn’t have ambitious plans. Cars that park themselves and drive along sideroads and freeways with no human help, for example. What Elon Musk’s electronic car manufacturer does lack, however, is an ability to follow through.

    Ever since plans were announced of its autonomous features, Tesla cars have had a “Full Self-Driving Capability” option on the car order page. Simply add a few thousand to your purchase and your car will soon be able to drive itself.

    However, exactly when that will happen appears to be shrouded in doubt. And, in fact, the option has now been removed completely.

    Tesla Cuts the Autonomous Driving Option You Couldn’t Use Anyway

    For those of you who wanted to buy into the car of the future, the option is no longer on the order page. If you’re still staunchly determined to buy into Musk’s uncompleted vision, you can order it “off menu” for another week.

    According to Elon in a tweet, the option was:

    “causing too much confusion.”

    elon musk tweet 1

     

    elon musk tweet 2

     

    Filling out a checkbox to purchase capabilities a car doesn’t have yet? What could be confusing about that?

    Things have been going from bad to worse for Mr. Musk lately, after losing his seat as Tesla’s chair and landing a fine from the SEC. Smoking marijuana in public, making outlandish claims on social media and lowering Telsa stock price.

    And it appears the next bump in the road isn’t just over the confusion of offering technology that isn’t available yet. It’s the several lawsuits piling up against Tesla calling out the  “phantom nature” of the self-driving feature and claiming the name Autopilot is misleading customers.

    Rather than face more and more outcry from dazed and confused customers, the company decided it would be easier to take the feature off the site for the time being.

    True Autonomy Is Close at Hand

    Many of Tesla’s shareholders buy into Telsa for its innovation and visionary leader Elon Musk with his futuristic plans of heading to space and producing driverless cars. And to be fair, it’s not all just hot air and daydreams. The SpaceX Falcon 9 lit up the sky earlier this month, and last week and Tesla’s beta self-driving system is already being tested by staff.

    Don’t get too excited just yet, though. Whether the technology is ready or not is just the start of the battle. Legislation in most states hasn’t yet approved full autonomy of cars beyond testing. Still, you might not be able to use it, but it’s better than paying for something that doesn’t exist.

    Featured image from Tesla.

  • Apple’s Cheaper iPhone XR Is Available for Pre-Order Now

    Apple’s Cheaper iPhone XR Is Available for Pre-Order Now

    For those of you lusting after the iPhone XS or XS Max but haven’t quite been able to justify the XS (get it?) price tag, the cheaper version is available for order now. The iPhone XR is available on pre-order at the starting price of $749. That’s the 64GB version. You’ll need to cough up more for the 128GB and 256GB versions, of course.

    Is the iPhone XR a Poorman’s Version of the XS?

    It’s no secret that the Apple iPhone XS’s price tag has been a sticking point for many would-be buyers. Although sales for the XS and XS Max hit record highs for Apple, it’s not within everyone’s reach. The phone’s improved battery life, faster performance, and sharper camera have all been highly reviewed, however.

    The iPhone XR offers a similar experience to both of Apple’s existing phones, with a design that looks almost exactly the same (how Apple of them). It runs the same processor and includes the fingerprint sensor needed for Apple’s Facial Recognition.

    The XR also provides consumers with the same 6.1-inch HD display, a 12-megapixel rear camera that lets you take portrait photos, and–something no other iPhone has offered so far–a veritable rainbow of color options, coming in black, white, yellow, blue, coral, and red.

    So what does the XR drop to lower the price tag? The OLED display, improved water resistance, and dual-rear cameras.

    Don’t be too alarmed if you accidentally splash your coffee on it though. It still comes with a level of water resistance similar to that of the iPhone 8 and iPhone X.

    Unlike the massive build-up to the iPhone X release, the pre-order period on the XR is relatively short and you should get your phone fairly quickly, before the month is out, depending on your carrier and color choice.

    The official sale date for the iPhone XR is Friday, October 26.

    Featured image from Apple.

  • Is Starbucks a Buy? Depends on How Much You like Coffee

    Is Starbucks a Buy? Depends on How Much You like Coffee

    Starbucks shares are approaching a 52-week high after activist investor Bill Ackman announced a $900 million investment for accumulating 15.2 million of the company’s shares.

    Starbucks has a market value of $29.2 billion and is the third-largest restaurant chain in the world. The company has 28,218 locations in over 75 markets, and more than 238,000 employees worldwide.

    Ackman Says Starbucks Is a Good Bet

    Ackman believes Starbucks shares could double in value in the next three years. According to the investor, the company has many business opportunities ahead, both in the US and in the Chinese market.

    Moreover, Ackman didn’t forget to mention Starbucks’ plans for some serious share buybacks of $14 billion in the next few years. Doing the simple math, earnings per share have a growth potential of between $3.70 and $4.35 by 2021, from $2.40 in 2018.

    Such a performance would push the Starbucks stock to a value of $93 to $117, by 2021. The company has already started with a $5 billion accelerated share repurchase agreement.

    Besides, coffee is still a strong business worldwide. Despite its domestic performances, Starbucks has seen significant revenue growth, and has a financial position widely-recognized as reliable; its earnings per share have a notable record.

    Starbucks earnings per share
    Starbucks earnings per share / Nasdaq

    Starbucks has 3,300 stores in China and continues to open about 50 new ones each month. The company’s market share in China reached 80% last year, in a coffee shop market estimated at $3.4 billion.

    Things aren’t all smooth for the company, though. As the Chinese market is expected to grow, more competitors are looking to overtake Starbucks, the most important being the Chinese chain Luckin Coffee and Coca-Cola’s Costa Coffee.

    Starbucks Is Making Significant Changes in Europe

    With so many events ahead, Starbucks is planning a revolution across its business operations. CEO Kevin Johnson announced changes starting next week, as the company enters a new era of challenges due to the inactive domestic market, a mammoth expansion into the Chinese market, and harsher competition. CEO Kevin Johnson said:

    “Starting next week and into mid-November, there will be leadership shifts and non-retail partner impacts as we evolve the direction of teams across the organization in size, scope, and goals.”

    The first strategic move will happen in Europe as Starbucks sells 83 stores to Alsea, its South American partner. The Mexico City-based company that already owns 900 stores across Central and South America will add coffee shops in Belgium, Luxembourg, France, and the Netherlands to its portfolio. However, the roasting plant in the Netherlands will continue to be owned by Starbucks.

    The company is planning to close outlets in Amsterdam and focus on its presence in London instead. The management encourages its 186 employees who will suffer from this move to apply for jobs available in London. If Brexit doesn’t stop them in their tracks.

    Is Starbucks a Buy?

    Starbucks has enough room for growth, despite competitors, the restructuring in Europe, and a possible slow down in the Chinese market. So, even if Ackman’s predictions don’t come true, the company is probably still a good bet for long-term investors who don’t get scared off by temporary downward trends.

    Featured image from Shutterstock. 

  • These Are the 2 Most Recognizable Women in Tech

    These Are the 2 Most Recognizable Women in Tech

    With the nation’s growing tech addiction and people spending upwards of 10 hours a day looking at screens, you would think America would be pretty good at pointing out the tech celebrities behind the apps we use. However, according to a survey by Signs, most people failed to recognize many prominent tech personalities. When it comes to women in tech, the figure was just two.

    Signs showed 500 people faces of celebrities from different industries and simply asked: “who is this?” Politicians were by far the most recognized sector. Domestic ones, that is. Just 27% of those asked knew who Theresa May was, with the majority confusing her with Angela Merkel.

    When it comes to silver screen actors, the American public was pretty good at recognizing celebrities. Dwayne “The Rock” Johnson and Emma Watson were among the most recognized. But when it comes to sports and technology, the public struggled to put a name to a face.

    Unsprusinly Gen Xers and millennials were better at identifying tech millionaires than the boomers. There was also a tendency for females to recognize their female counterparts more easily, with the same pattern emerging with men.

    Age Is Just a Number in Tech, Survey Proves

    Despite the rise of apps like Instagram and Snapchat, their creators were not among the list of recognized tech personalities. Mark Zuckerberg took first place, with some 85% of respondents able to identify him, followed by Steve Jobs, Bill Gates, and Elon Musk. At the bottom of the top 10 list were two women in tech, Sheryl Sandberg and Susan Wojcicki, the two most recognized of all.

    leaders in tech
    Source: Signs

    And while Google may be ubiquitous, only 5.3% of all participants knew who CEO, Sundar Pichai, was. With the constant inequality in Silicon Valley and well-known male domination, it probably wasn’t a surprise that women in tech got next to zero recognition. Less than 5% identified Sheryl Sandberg and Susan Wojcicki, and no other tech females made the top 10 list.

    Featured image by Wikipedia.