China

After big gains in the past few days, Citigroup is entering negative territory for the first time in a while. After gaining 6% last week and nearly reaching another 3% earlier this week, the stock has dropped 2.1% within the first hour of trading. Despite some good news for the bank, international news may continue to move shares lower. A look aroundThe banking sector as a whole is not in the best shape this morning, following the overall market in a slump: The KBW Bank Index is down 0.87%. Bank of America is also sliding, with a loss of 1.01%. JPMorgan Chase  is down 0.76% in trading this morning. Wells Fargo is the beacon of light this morning, with only a 0.04% drop. International newsJapanese markets fell sharply following increased bond yields. The Nikkei 225 fell 7.3% in trading, with help from weak manufacturing data from China. With Citigroup, Bank of America, and JPMorgan all heavily invested in international markets, it makes sense that the falling markets overseas would drive shares down this morning. The three banks are also in the top five that control the U.S. market for swaps, which may also be affected by this morning's nosedive. Citigroup is the most international bank of the three, and was recently named the top foreign exchange bank in Latin America, as well as the top bank for corporates in Latin America. With its operations focusing on the emerging markets, Latin America has been a great opportunity for Citi. The improvements in LA have recently offset some of the weakness in Japan and other Asian countries for Citi, as seen in their first-quarter earnings when a 6% increase in Latin American consumer banking offset the 1% drop in Asia. If Citi continues to pursue the developments in Latin American countries, it may be able to contain its losses from slowing Asian economies. Closer to homeCiti was recently reiterated as "Outperform" by Credit Suisse, with analysts increasing the bank's price target to $60 from $53. This continued confidence in the bank may some added salt to the wounds of hedge funds that exited their positions with the bank during the first quarter. Since then, the bank has already gained 15.6% and proved that there's more room to grow. Though today's drop may be disappointing for the bank and its investors, especially after such a great run over the past eight trading days, it's a reminder that outside forces can cause quite a stir for stocks on any given day. But as depicted by Citi's developments in Latin America, some of the forces can be offset, leaving long-term investors with the knowledge that their stock is on the right track. With a Foolish approach to investing, this gives you the confidence to ride out any ups and downs the market can throw at you.Citigroup's stock looks tantalizingly cheap. Yet the bank's balance sheet is still in need of more repair, and there's a considerable amount of uncertainty after a shocking management shakeup. Should investors be treading carefully, or jumping on an opportunity to buy? To help figure out whether Citigroup deserves a spot on your watchlist, I invite you to read our premium research report on the bank today. We'll fill you in on both reasons to buy and reasons to sell Citigroup, and what areas Citigroup investors need to watch going forward. Click here now for instant access to our best expert's take on Citigroup.

Affixing giant fake eyelashes to your car's headlights may soon be a trend, as in this picture of an amorous-eyed Porsche that was taken in Hong Kong. [ more › ]

Anyone who's attempted to text someone a Chinese address or phrase knows what a bad mix autocorrect and pinyin are. Reuters discovered this the hard way after references to the hukou system in an article about increasing urbanisation in China were changed to "hookup system". [ more › ]

Softbank Corp. has raised the stakes in its bid for Sprint Nextel Corp. (NYSE:S). The Japanese company announced it would give the U.S. government the right to approve one of the directors of Sprint’s board in a move to ease security concerns over the foreign company’s takeover of Sprint. The director named by the government would be responsible for overseeing national security concerns and making sure Sprint complies with agreements on network security. The move would give the U.S. government an unusual amount of influence over Sprint’s board. The U.S. government frequently imposes restrictions on telecom companies with foreign investors, but it would have a much higher amount of influence on the company than usual if the SoftBank-Sprint deal goes through. NEW! Discover a new stock idea each week for less than the cost of 1 trade. CLICK HERE for your Weekly Stock Cheat Sheets NOW! One of the government’s main concerns about the deal is Sprint’s Chinese equipment purchases. The government would like to approve Sprint’s future equipment buys and to remove the use of Chinese gear in Sprint’s affiliates. Of biggest concern is Chinese supplier Huawei Technologies Co., which has been accused of being a security risk. Last fall Congress recommended telephone companies not do business with the company, due to fear of spying. Huawei responded, saying that it does not cooperate with spying. Huawei founder Ren Zhengfei gave his first ever interview in New Zealand earlier this month in an attempt to dispel the rumors surrounding the company. Huawei has suffered losses in the U.S. and Australia in response to the accusations. Ren said he is confident that no member of Huawei’s staff would engage in spying, even if asked to do so by the Chinese government. He went on to say that Huawei’s relationship with China is no different than any other company’s relationship with their home country’s government. Still on the table for Sprint is a $25.5 billion offer from Dish Network Corp. (NASDAQ:DISH). Part of Dish’s campaign to purchase Sprint has involved trying to convince the government that the foreign SoftBank poses a security risk. But while SoftBank has promised to only use equipment approved by the government and to avoid Huawei Technologies, Dish has made no such promise. NEW! Discover a new stock idea each week for less than the cost of 1 trade. CLICK HERE for your Weekly Stock Cheat Sheets NOW! Bound up in the fight between SoftBank and Dish is Sprint’s recent bid to purchase wireless service provider Clearwire (NASDAQ:CLWR), a company Dish had also been bidding on. Clearwire said that rival bids from Dish and Verizon (NYSE:VZ) were “not actionable.” Clearwire is set to vote on the offer May 30. Sprint’s purchase of Clearwire will only increase Dish’s desire to buy Sprint As negotiations between SoftBank and the U.S. government continue, Sprint is set to vote on the $20 billion takeover on June 12. Don’t Miss: You Should Listen to Warren Buffett On Economic Moats. Read the original article from Wall St. Cheat Sheet

Some rather significant financial news came out of South Korea yesterday: Samsung Electronics has decided to buy a 10 percent stake in smartphone rival Pantech, which cost the tech giant 53 billion South Korean Won (KRW). Pantech is currently South Korea’s third largest handset manufacturer, but the company has been facing financial troubles recently and has been struggling with debt issues for many years, which is probably the reason for this extra capitalization from Samsung. Of course there’s nothing wrong with owning shares in your competitors, but why has Samsung suddenly decided to assist a struggling company when surely it would benefit from the demise of one of its domestic rivals? Preventing accusations of monopoly Well that might actually be one of the biggest arguments for saving Pantech, so as to avoid the appearance of market monopolisation. Samsung Electronics currently makes up about 60% of the domestic market in South Korea, whilst by comparison Pantech holds just over a 10% share of the market. If Pantech was to disappear, or be completely bought out by Samsung, then it could give rise to a wave of concerns about Samsung’s market dominance, which could turn into a legal matter that Samsung would obviously like to avoid. On the other hand, Samsung wouldn’t like to lose a controllable rival to another large company or a foreign investor, so it makes sense for Samsung to prop-up the company rather than risk having an outside buyer come in and stir up the market. In particular, Samsung could be fearful that a low-cost Chinese company could come in and start undercutting its prices, especially if the company was to begin offering mid-range smartphones in the Korean market, which is typically dominated by more premium products. Protecting business interests Perhaps even more importantly than that, Samsung would no doubt like to avoid a foreign company from owning shares in Pantech as Samsung currently sells a lot of technology and hardware parts to its rival. If another company was to buy a stake in Pantech then it would be privy to the technology bought from Samsung, which could be a threat to the smartphone giant’s dominance. Speaking of deals between the two companies, it’s also likely that Samsung would like to continue selling parts to its rival company as well. If Pantech was to go out of business, Samsung SID and Electro-Mechanics divisions would lose out on over 200 billion KRW worth of parts that they sell to Pantech on an annual basis. In other words, a 53 billion KRW investment is a price worth paying to maintain a 200 billion KRW business. It’s always possible that Samsung might simply want to own a stake in a company that it thinks will produce a decent return on its investment. But in business, things tend to be a little more complicated than face value would suggest.

Last night's bad PMI number seems to have been the tipping point in a recent build up of bad Chinese data that came in last month. This morning, the Nikkei fell by 7.3%, and markets around Europe are down as well. News from Goldman Sachs earlier this week probably didn't help either. The bank exited the massive investment it made in the Industrial and Commercial Bank of China back in 2006. It was made even before ICBC became the 2nd biggest IPO in history. The stock, though volatile to say the least, is up 57.1% since that year. So, even though Goldman has sold off pieces of its stake in ICBC five times since it 2010, with all this bad news coming out about China, it's hard not to ask — why now? Does Goldman buy the China bear argument that the increasing cost of credit in the country will cripple growth? Goldman Sachs CEO Lloyd Blankfein was on Bloomberg TV this morning giving a firm answer amidst all the chaos. Here's what he told anchor Erik Schatzker: "Well, first of all, catch the wave when it comes-- I don't know if you've been watching but there has been a wave and it's been going on for quite some time. It may be interrupted. ICBC, again, is not the key to our interest in China or the big reflection of it. ICBC was an investment we made at a time when China was taking its banking system public and was looking for partners-- really, kind of quasi-strategic partner-- to help-- not only provide investment capital but also expertise. And so they wanted firms like ourselves. And there were other financial institutions that partnered with other banks. And so we ended up holding that investment for a while. But through that investment we became very close with important people in the banking system. And we maintain that relationship today. We're investing in China because China-- I was going to say it's the future-- but it's a big part of the present as well." Blankfein went on to say that Goldman would be happy to make an ICBC sized investment again, but the time would have to be right. Does that calm anyone's nerves? Watch the full interview below: Please follow Clusterstock on Twitter and Facebook.Join the conversation about this story »

~ I popped by the former Giuseppe Italian restaurant space on the second floor in China View yesterday and found a sign that says it will soon reemerge into the...

Is the PC market shrinking? Not if you’re Lenovo Over the past few quarters, Lenovo’s PC sales have remained steady, even as the larger PC market itself has declined. Its latest quarter is no exception: The company’s net income increased to $126.9 million from $66.8 million last year. Those numbers come as Lenovo’s share of the PC market increased to 15.3 percent, according to an April report from IDC. In fact, Lenovo was the only top PC company to post a gain in PC shipments rather than a decline, says IDC. Lenovo’s PC sales contrast strongly with those of industry leader HP, which last quarter saw its PC and notebook shipments decrease 18 percent and 24 percent, respectively. At 15.7 percent, HP’s share of the PC market is just barely higher than that of Lenovo — though not for much longer this rate. Lenovo’s numbers were also boosted by sales of its smartphones, which are sold in countries like India, Russia, and Indonesia. Lenovo is the second-largest smartphone vendor in China behind Samsung, and it expects its global smartphone shipments to increase to 50 million this year. Lenovo may be mostly a PC company, but it’s pretty clearly showing it wants to be so much more. Filed under: Business

Photography on-the-go has never been easier with this convenient travel companion. UPPER SADDLE RIVER, N.J., May 23, 2013 /PRNewswire/ — Manfrotto, world leader in the equipment and accessories industry for photography and imaging, is proud to announce an innovative tripod dedicated to photographers who love to travel. BeFree is a light, compact, intuitive to use, stable option for capturing stunningly precise and sharp images. BeFree offers a stylish, functional option for traveling photographers, making it easy to capture memories without the hassle of bulky photography equipment. Its compact size and lightweight design make it an effortless tool to pack. BeFree also comes with a dedicated shoulder bag, protecting it from accidental damage, making it convenient to store in luggage. No longer will photographers have to compromise on picture quality because they weren't able to bring their heavy tripod along with them on trips. BeFree's size and portability doesn't detract from its sturdiness. This reliable tripod keeps your camera steadily locked into place in any desired position, delivering the sharpest of images. Key Features: Lightweight aluminum construction makes the tripod easy to carry. It weighs only 3lbs, less than the average laptop. Legs fold perfectly around the head and quick release plate attachment. It folds to only 15.7″. New aluminum ball head is solid, quick and simple to operate. It has a maximum payload of 8.8lbs, guaranteeing stability and sturdiness even with longer zoom lenses. The new patented leg angle selectors quickly allow you to select between two inclinations, offering maximum versatility for camera positioning. Key Consumer Benefits: Compact size and lightweight design, an easy tool to pack. Comes with a dedicated shoulder bag to protect it while you are on-the-go. The rubberized carrying strap makes it comfortable to carry. Eye catching premium Italian design and finishing makes it stand out from the crowd. Sturdy and reliable, keeping cameras steadily locked into place in any desired position, delivering the sharpest of images. BeFree (Order Code MKBFRA4-BH) is available for purchase through select Manfrotto retailers at a street price of approximately $199.99. For more information, visit www.manfrotto.us. About Manfrotto Distribution Manfrotto Distribution, Inc. is a leading distributor of key accessories brands for the photographic, video, cine and lighting production markets. Manfrotto Distribution is an international company within the Imaging Division of the Vitec Group, which owns the following leading international brands: Manfrotto, Gitzo, Kata, Avenger and Lastolite. As the U.S. distributor of National Geographic, Metz, Gossen, Elinchrom and Rotatrim, which are available nationwide through an extensive network of authorized dealers, Manfrotto Distribution offers the most complete range of exceptional camera and lighting accessories in the business. The Manfrotto Distribution international network covers the U.S., Germany, France, Italy, U.K., Hong Kong, China and Japan. www.manfrottodistribution.us. ImagingInsider.com #befreetripod #manfrotto #imaginginsider

Posted by science intern Madeline Paddington Today, science is using dogs to study an endangered animal, investigating the bioweaponry of ladybugs, developing printable astronaut food, and learning the ins and outs of the bathroom on the Solar Impulse. A local dog is helping scientists save Orca whales—by smelling their poopIt's not too unusual for a dog to have a penchant for poop, but the abilities of this eight-year-old black lab called Tucker are extraordinary—Tucker can detect Orca feces from up to a mile away, and with his help, the UW Center for Conservation Biology has been able to pin down what’s been harming local killer whales. Using body language, Tucker indicates the direction the smell is coming from so that researchers can drive the boat to the sample and collect the poop, which usually floats on the surface of the water. (A recent poop analysis revealed that a dearth of Chinook Salmon is behind the Orca population decline.) Through sample analysis researchers can learn about the sex, diet, hormones, diseases, and habitat of the whale in question. This allows scientists to keep tabs on endangered animals without hunting, trapping, and tagging them. Tucker, and other gifted sniffers like him, are trained at Seattle’s Conservation Canines. Asian lady beetles (aka ladybugs) are proliferating uncontrollably in the US and UKOriginally from native to China and Japan, these ladybugs were introduced to greenhouses in the 1990s to keep aphid populations in check. But their population has since boomed beyond the greenhouse and they are beginning to displace native beetles. A new study shows these ladybugs carry a fungus to which they are immune, but is deadly to other beetle species. NASA grants company $125,000 to developing 3D-printable foodsThe grant goes to a research corporation that hopes to arm a 3D printer with proteins, carbohydrates, and other raw materials to create “tasty” synthetic foods that astronauts can print on-demand. While astronauts are the focus right now, the company ultimately believes printable food will play a role in everyday diet and nutrition for the world population. That idea comes with a healthy dose of skepticism for many. Either way, you’re probably a long way from using “ctrl+p” to make yourself dinner. The art of the in-flight restroomBertrand Piccard and Andre Borschberg have been taking turns in the cockpit of the Swiss-made Solar Impulse as it makes a record-breaking odyssey across America this month. They’ve fielded a lot of questions about their adventure along the way, but obviously the one we’re all secretly thinking about is this: [ Comment on this story ] [ Subscribe to the comments on this story ]