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Breakingviews Headlines

Breakingviews - Revamped U.S. deal reviews are skid risk for Tesla

Tesla Chief Executive Elon Musk's idea of taking the company private faces risks beyond the financial and disclosure-related kind. Saudi Arabia’s help in a buyout could spur national-security scrutiny under the newly expanded powers of the Committee on Foreign Investment in the United States.

Breakingviews - Viewsroom: Turkey’s financial crisis may spread

The feud between President Tayyip Erdogan and U.S. President Donald Trump over steel tariffs threatens to turn other emerging markets cold. Breakingviews columnists discuss the global impact of Turkey’s currency meltdown. Plus: A bad bank in China gets whacked by political risk.

Breakingviews - Italy bridge fallout will shape infrastructure fix

Italy’s deadly bridge disaster will shape the country’s infrastructure fix for better or worse. Shares in toll-road operator Atlantia have fallen as much as 30 percent since the Genoa viaduct collapsed on Tuesday. The tragedy reinforces the case for more investment. But the costs will depend on the government’s treatment of Benetton family-controlled group.

Breakingviews - Amazon Pentagon ties may receive greater scrutiny

President Donald Trump may not like Jeff Bezos, but his Department of Defense gets along great with Amazon. Consultants associated with the $927 billion Seattle juggernaut occupied top positions at the Pentagon ahead of the rollout of a massive cloud contract worth some $10 billion that Amazon looks poised to snag. Rivals complain the requirements were written to favor Bezos’s company. Either way, investors should be prepared for its government business to att

Breakingviews - Cox: When commemorating crises, think 20 not 10

The wedding-industrial complex tries to convince couples to celebrate their nuptials every year with a traditional gift. The quality of each present increases with longevity. In year one it’s just paper for the spouse. After 50 it’s glittering gold, and so on. The same could be said for commemorating financial crises: The further away from the anniversary, the more valuable the lesson to be learned.

Breakingviews - Fried chicken risks diverting Beijing state fund

Beijing's sovereign wealth fund could do without the fried chicken. China Investment Corporation may join a bid to take private Yum China, the $14 billion operator of KFC, Pizza Hut and Taco Bell outlets in the People’s Republic, Bloomberg reports. A takeout has merits, but is also a risky distraction for the $940 billion giant. Its mission is to invest the country’s vast foreign exchange holdings abroad – not to dabble in complicated buyouts at home. 

Breakingviews - Tesla is risky vehicle for Saudi reform drive

Saudi Arabia’s Crown Prince Mohammed bin Salman risks picking the wrong driver. The kingdom’s sovereign wealth fund already holds nearly 5 percent of Tesla and expressed interest in taking the electric-vehicle innovator private, according to boss Elon Musk. That’d be a dicey way to diversify away from oil.

Breakingviews - China’s stealth housing support is looking wobbly

China’s stealth support for housing is looking wobbly. Officials are tweaking a $470 billion program through which the People’s Bank of China effectively provides lenders with cheap loans to upgrade housing in smaller cities. Even a small change to the scheme could cause real estate and stock markets to shudder.

Breakingviews - Musk missive reveals more than he might like

Elon Musk has revealed a bit about his mooted buyout of Tesla, and a lot about himself. On Monday he explained why he thinks a $59 billion take-private deal is doable, and claimed that the Saudis want to finance it. But the way he has handled disclosures confirms how ill-suited he is for his public role.