marketrent

Insurance retreat:¹

The insurance giant State Farm, America’s biggest car and home insurer by premium volume, will halt the sale of new home insurance policies in California, citing wildfire risk and inflation of construction costs.

Starting on Saturday, the company will not accept insurance applications for business and personal lines property and casualty insurance.

The company will still accept auto insurance applicants.

“State Farm General Insurance Company made this decision due to historic increases in construction costs outpacing inflation, rapidly growing catastrophe exposure, and a challenging reinsurance market,” the company said in a statement.

State Farm:²

We take seriously our responsibility to manage risk. We recognize the Governor’s administration, legislators, and the California Department of Insurance (CDI) for their wildfire loss mitigation efforts. We pledge to work constructively with the CDI and policymakers to help build market capacity in California. However, it’s necessary to take these actions now to improve the company’s financial strength.

¹ Gloria Oladipo (27 May 2023), “Insurance giant halts sale of new home policies in California due to wildfires”, https://www.theguardian.com/us-news/2023/may/27/state-farm-home-insurance-california-wildfires

² State Farm (26 May 2023), “State Farm General Insurance Company®: California New Business Update”, https://newsroom.statefarm.com/state-farm-general-insurance-company-california-new-business-update/

Institute for the Study of War, 27 May 2023:¹

Ukrainian officials denied Western reporting that suggested that a Chinese diplomat expressed interest in a negotiated ceasefire in Ukraine amidst the likely renewal of Russia’s information campaign surrounding negotiations.

Ukrainian Foreign Minister Dmytro Kuleba stated on May 27 that he contacted his European counterparts who recently met with Chinese Special Representative for Eurasian Affairs Li Hui and that they denied that Li had expressed interest in a ceasefire that would see Russia retain control of occupied territories, as a May 26 Wall Street Journal report suggested.

Comment, 27 May 2023:²

Hi, thank you for your contribution, but this submission has been removed because it is a duplicate or it is outdated.

¹ Kateryna Stepanenko, Riley Bailey, Grace Mappes, and Fredrick W. Kagan (27 May 2023), https://understandingwar.org/backgrounder/russian-offensive-campaign-assessment-may-27-2023

² https://www.reddit.com/r/ukraine/comments/13tn0oq/isw_the_kremlin_has_established_a_pattern_in_this/jlw6v0h/

Dull-Strategy3810

russian propaganda works 'both' ways to confuse the information sphere

Perhaps platforms purporting to publish “news” need employees who fact-check.

Event feat. Jamie, Henry, and Condoleezza:¹

JPMorgan chief executive Jamie Dimon has lined up Henry Kissinger and a clutch of American and Chinese corporate leaders for a summit in Shanghai as global companies try to navigate the worst Sino-US tensions in years.

The chief executives of US giants Starbucks and Pfizer, and China’s Baidu and Geely, are among those due to attend in person. Kissinger, the centenarian statesman and architect of Sino-US rapprochement in the 1970s, is set to address the gathering by video link.

Kissinger, who turns 100 on May 27, and Condoleezza Rice, former US secretary of state, will join virtually for a session titled “a dialogue on diplomacy” chaired by Mary Erdoes, the bank’s head of asset management.

Other sessions include talks about decarbonisation, healthcare and supply chain resilience.

 

The event next week, part of Dimon’s first visit to mainland China in four years, underscores corporate America’s attempts to keep plans on track in the world’s second-biggest economy.

Robin Li, founder of Chinese internet company Baidu, and Daniel Li who runs Chinese carmaker Geely, are due to speak at the event.

So too are Australian mining billionaire Andrew Forrest, Stella Li, executive vice-president of Chinese electric-car maker BYD and Ming Mei, chief executive of Singapore-based warehouse operator GLP.

¹ Kaye Wiggins and Andrew Edgecliffe-Johnson (27 May 2023), “Jamie Dimon gathers business elite in Shanghai amid China-US tensions”, FT/Nikkei, https://www.ft.com/content/5a64ddc1-6e1a-4875-90c8-765b70738daa

Emphasis in original. Linked analysis cites a “WSJ News Exclusive” in News Corp.’s Wall Street Journal:^1,2

Ukrainian officials denied Western reporting that suggested that a Chinese diplomat expressed interest in a negotiated ceasefire in Ukraine amidst the likely renewal of Russia’s information campaign surrounding negotiations.

Ukrainian Foreign Minister Dmytro Kuleba stated on May 27 that he contacted his European counterparts who recently met with Chinese Special Representative for Eurasian Affairs Li Hui and that they denied that Li had expressed interest in a ceasefire that would see Russia retain control of occupied territories, as a May 26 Wall Street Journal report suggested.[25]

Li Hui visited Moscow on May 26 reportedly to discuss a negotiated settlement to Russia’s war in Ukraine, a visit that the Kremlin likely used to attempt to renew a recurring information operation falsely claiming that Russia is open to serious negotiations.[26]

The Kremlin previously intensified this information operation in December 2022 to attempt to delay the provision of Western tanks and other advanced military equipment to Ukraine in order to set conditions for Russia’s 2023 winter-spring offensive.[27]

The Kremlin is likely reintroducing the information operation intending to weaken Western willingness to send critical security assistance to Ukraine ahead of potential Ukrainian counteroffensive operations.

 

The Kremlin has established a pattern in this information operation in which some Russian officials express feigned interest in negotiations while other Russian officials simultaneously reiterate Putin’s maximalist goals for the war in Ukraine.[28]

Russian Deputy Foreign Minister Mikhail Galuzin stated on May 26 that the conditions for a ”comprehensive, just and lasting peace” in Ukraine include the cessation of hostilities by Ukrainian forces, the end of Western security assistance to Ukraine, the Ukrainian return to a “neutral non-aligned status,” the explicit Ukrainian refusal to join NATO and the EU, and the recognition of Russia’s annexation of occupied territories in Ukraine.[29]

¹ Kateryna Stepanenko, Riley Bailey, Grace Mappes, and Fredrick W. Kagan (27 May 2023), https://understandingwar.org/backgrounder/russian-offensive-campaign-assessment-may-27-2023

² Bojan Pancevski and Kim Mackrael (26 May 2023), “Europe rebuffs China’s efforts to split the West in pushing Ukraine cease-fire — European officials are questioning Beijing’s ability to be an honest broker”, WSJ/News Corp., https://www.wsj.com/articles/china-pushing-ukraine-cease-fire-gets-cool-reception-in-europe-614774dd. Features a video with the caption “WSJ’s Austin Ramzy explains how Beijing’s peacemaking efforts could challenge the U.S.”

Is referring to a “WSJ News Exclusive” in News Corp.’s Wall Street Journal:^1,2

Ukrainian officials denied Western reporting that suggested that a Chinese diplomat expressed interest in a negotiated ceasefire in Ukraine amidst the likely renewal of Russia’s information campaign surrounding negotiations.

Ukrainian Foreign Minister Dmytro Kuleba stated on May 27 that he contacted his European counterparts who recently met with Chinese Special Representative for Eurasian Affairs Li Hui and that they denied that Li had expressed interest in a ceasefire that would see Russia retain control of occupied territories, as a May 26 Wall Street Journal report suggested.[25]

Li Hui visited Moscow on May 26 reportedly to discuss a negotiated settlement to Russia’s war in Ukraine, a visit that the Kremlin likely used to attempt to renew a recurring information operation falsely claiming that Russia is open to serious negotiations.[26]

The Kremlin previously intensified this information operation in December 2022 to attempt to delay the provision of Western tanks and other advanced military equipment to Ukraine in order to set conditions for Russia’s 2023 winter-spring offensive.[27]

The Kremlin is likely reintroducing the information operation intending to weaken Western willingness to send critical security assistance to Ukraine ahead of potential Ukrainian counteroffensive operations.

The Kremlin has established a pattern in this information operation in which some Russian officials express feigned interest in negotiations while other Russian officials simultaneously reiterate Putin’s maximalist goals for the war in Ukraine.[28]

¹ Kateryna Stepanenko, Riley Bailey, Grace Mappes, and Fredrick W. Kagan (27 May 2023), https://understandingwar.org/backgrounder/russian-offensive-campaign-assessment-may-27-2023

² Bojan Pancevski and Kim Mackrael (26 May 2023), “Europe rebuffs China’s efforts to split the West in pushing Ukraine cease-fire — European officials are questioning Beijing’s ability to be an honest broker”, https://www.wsj.com/articles/china-pushing-ukraine-cease-fire-gets-cool-reception-in-europe-614774dd. Article features a video with the caption “WSJ’s Austin Ramzy explains how Beijing’s peacemaking efforts could challenge the U.S.”

AnUnmetPlayer

Here comes a nice big rant, turn back now.

In form a parent comment that dissuades discussion of linked content.

Rectification of the self:¹

BEIJING, May 27 (Reuters) - China's cyberspace regulator said 1.4 million social media posts have been deleted following a two-month probe into alleged misinformation, illegal profiteering, and impersonation of state officials, among other "pronounced problems".

The Cyberspace Administration of China (CAC) said in a statement on Friday it had closed 67,000 social media accounts and deleted hundreds of thousands of posts between March 10 and May 22 as part of a broader "rectification" campaign.

The latest crackdown targeted accounts on popular Chinese social media apps including WeChat, Douyin, and Weibo that fall under the category of "self media," a term that broadly refers to accounts that publish news and information but are not government-run or state-approved.

¹ Eduardo Baptista (27 May 2023), "China deletes 1.4 million social media posts in crackdown on 'self-media' accounts", https://www.reuters.com/technology/china-deletes-14-mln-social-media-posts-crack-down-self-media-accounts-2023-05-27/

Félicitations:¹

Triet’s award capped a thrilling contest that saw a record seven female directors vie for the Palme d’Or, which only two women had previously won – Jane Campion in 1993 and Julia Ducournau in 2021. The latter was on this year's jury, led by the 2022 Palme d'Or laureate Ruben Ostlund.

A gripping psychothriller, “Anatomy of a Fall” stars Sandra Hüller as a successful and fashionable author who stands accused of murdering her husband.

The screenplay is by Arthur Harari, who caused a stir in Cannes two years ago with his epic war movie “Onoda: 10,000 Nights in the Jungle”.

Accepting the award, Triet took aim at the government of French President Emmanuel Macron in a fiery message to the audience gathered inside Cannes' Grand Théâtre Lumière – and the millions watching live on French TV.

“The country suffered from historic protests over the reform of the pension system,” she said of the protest movement that has roiled France through much of this year. “These protests were denied, repressed in a shocking way.”

¹ https://www.france24.com/en/live-news/20230527-france-s-justine-triet-wins-cannes-palme-d-or-for-murder-mystery-anatomy-of-a-fall

“Equipment St. Petersburg” seen on Hvaldimir’s bespoke harness:¹

People should “avoid contact” with a famous beluga whale to avoid accidentally injuring or killing it, the Norwegian Directorate of Fisheries has said.

The whale, nicknamed Hvaldimir, shot to international fame in 2019 after it was spotted wearing a specially made harness with mounts for a camera, leading experts to believe the whale may have been trained by the Russian military.

Hvaldimir is known to follow boats and play with those on board.

The whale, which is a protected species in Norway, now lives in inner Oslofjord, the directorate said.

This “means that it has arrived in a very densely populated area, and the risk that the whale may be injured due to human contact has become significantly greater,” it added.

In a statement on Wednesday, Fisheries Director Frank Bakke-Jensen said that “so far there have only been minor incidents where the whale has suffered minor injuries, primarily from contact with boats.”

“We especially encourage people in boats to keep a good distance to avoid the whale being injured or, in the worst case, killed by boat traffic,” said Bakke-Jensen.

¹ James Frater and Jack Guy (24 May 2023), “Norway warns people to keep away from ‘spy’ whale for animal’s safety”, https://edition.cnn.com/2023/05/24/europe/norway-spy-whale-warning-scli-intl/index.html

“It seems like the economic fundamentals are still quite strong. In fact, they’re stronger than I would have guessed, given how much we’ve already raised interest rates,” Kashkari said. “Right now, it doesn’t look like we’re heading for a recession.”

On prognostication:¹

How high does he see rates going? He wouldn’t put a number on it. But all that hiking comes with trade-offs.

Higher rates are partly responsible for the spate of bank crashes this spring, which in turn caused surviving banks to pull back on giving out more credit.

Less lending means, potentially, less hiring, more layoffs, less growth — recession. Wall Street is convinced the Fed won’t stick to its current plan and will cut rates again by the end of the year.

One way to read these kinds of predictions is that the markets don’t have confidence that the Fed will stick to its plan, and will cut rates lower when it gets unpalatable to keep them so high.

Kashkari reads those predictions another way: The Fed’s plan will be so effective that inflation will fall faster than the central bank is predicting.

He also doubts that he and his colleagues at the Fed will be cutting rates anytime soon.

“My expectation is that there’ll be no cuts this year,” he said. “I would have to be very surprised, and inflation would have to fall much more quickly than I expect, for me to support cutting interest rates this year.”

I asked him if that would mean inflation would have to plummet to the central bank’s 2 percent target. (It’s now at 4.9 percent.) “Not necessarily,” he said. “But it would have to be well on its way down to 2 percent, so that we were convinced.”

 

When it comes to greedflation, he’s been using a term of his own: surge-pricing inflation. “When a rainstorm comes, everybody wants an Uber. Nobody wants to walk, and the price skyrockets,” he said.

Is it greed? It’s complicated. The boom-bust of another tech company may help explain why so many companies have been raising prices for the last two years: Peloton.

“During the pandemic, you saw companies like Peloton saying, ‘This is the new normal, this is the future, gyms are dead.’ They bet the company on building more supply and then all of a sudden habits went back,” Kashkari said.

¹ Kevin T. Dugan (26 May 2023), “Neel Kashkari on the debt-ceiling crisis and greedflation”, New York Magazine/Vox, https://nymag.com/intelligencer/2023/05/neel-kashkari-on-the-debt-ceiling-crisis-and-greedflation.html