Frontrunning: July 13

Submitted by Tyler Durden on 07/13/2015 07:44 -0400

• Greece Capitulates to Creditors’ Demands to Cling to Euro (BBG)
• Euro zone strikes deal with Greece after all-night struggle (Reuters)
• Tsipras Moves From Predator to Prey at Euro 'Torture' Summit (BBG)
• Euro’s Greek Boost Evaporates as Analysts Predict Losses to Come (BBG)
• Greek Fury Meets Resignation at Demands for Concessions (BBG)
• Poland Blames ‘Carefree’ Greek Populists for Tough EU Aid Deal (BBG)
• Europeans Press for Iran Nuclear Deal on Monday (WSJ)
• Iran nuclear talks: Deal 'near completion' (BBC)
• In speech, Clinton to put wages at heart of economic policy (Reuters)
• China’s Incendiary Market Is Fanned by Borrowers and Manipulation (NYT)
• Flash Boys Welcome: World Exchanges Woo High-Frequency Traders (BBG)
• Mark Mobius quits the helm of Templeton Emerging Markets (Telegraph)
• Hacked in the U.S.A.: China’s Not-So-Hidden Infiltration Op (BBG)
• Ukraine Reportedly Brings in Armor as Right Sector Standoff Intensifies (Sputnik)
• Nintendo's Satoru Iwata dies at 55 (BBC)
• Why you’ll always lose with drones alone (Reuters)

Overnight Media Digest

WSJ

* China International Capital Corp, one of China's top investment banks, is planning to raise $1 billion in an initial public offering in Hong Kong as early as October, people familiar with the situation said, offering big shareholders KKR & Co LP and TPG Capital the chance to exit their investment, despite the recent turmoil in Chinese stock markets. (http://on.wsj.com/1HWlTZN)

* American International Group Inc won a federal-court ruling on a core claim in a lawsuit accusing a Philadelphia-area firm of cheating it of more than $150 million in amassing a portfolio of "life settlements." (http://on.wsj.com/1SipAJ0)

* Union officials and Detroit auto executives will begin contract talks with a largely ceremonial photo-op known as the "handshake" and a pledge not to speak publicly about the negotiations. (http://on.wsj.com/1HApJ4o)

* Nuclear negotiations between Iran and six world powers have reached the make-or-break point, European officials said, warning the diplomacy could fail if there is no final agreement by Monday night. (http://on.wsj.com/1DaTWGr)

FT

BP, which agreed to pay $18.7 billion to settle the Gulf of Mexico oil spill issue, is now facing threat from tens of thousands of companies who have filed claims seeking compensation.

Barclays plc, which needs an extra licence to separate its retail unit as per the new rules, says acquisition is now the fastest way to gain the licence.

The Financial Conduct Authority is set to face pressure at its annual meeting from a former private shareholder in the failed lender, HBOS, over the delay of its report. Meadowcraft will demand the regulator to commit to a date to publish the HBOS report.

NYT

* European leaders demanded that Greece make new concessions and quickly adopt a host of economic policy changes as they worked into Monday morning to overcome deep divisions and avert a historic fracture in the Continent's common currency. (http://nyti.ms/1HWgFNP)

* After a ban on weapons exports that the Japanese government had maintained for nearly 50 years, military contractors in this semipacifist country are cautiously but unmistakably telling the world they are open for business. (http://nyti.ms/1Hpp0pR)

* The prison break of Joaquin Guzman Loera, known as El Chapo, or "Shorty," humiliated the Mexican government, which had touted his capture as a crucial achievement in the drug war. (http://nyti.ms/1HppLPG)

* Last month, the nuclear power plant in Grafenrheinfeld came to a less dramatic but equally symbolic end. The shutdown is a milestone in Germany's push to establish a nuclear-free energy system by 2022. (http://nyti.ms/1CzI4ma)

* Having returned to his native Latin America, Pope Francis has renewed his left-leaning critiques on the inequalities of capitalism, describing it as an underlying cause of global injustice, and a prime cause of climate change. (http://nyti.ms/1HTT7Jg)

Canada

THE GLOBE AND MAIL

** A Quebec court has released further details about the investigation into widespread trading of Amaya Inc stock ahead of its takeover last summer of PokerStars. The updated warrant reveals that the Autorite des marches financiers seized a variety of computers, e-mail and phone records from three Amaya officials, including its Chief Executive David Baazov. (http://bit.ly/1SiZkhn)

** The Canadian Parks and Wilderness Society will release a new report on Monday that says the pace at which Canada is establishing protected areas is dismal and its promise to preserve at least 17 percent of its land and inland waters by 2020 will be impossible to achieve unless the rate of progress improves considerably. (http://bit.ly/1SiZWUl)

** Fire agency managers in Canadian provinces of Saskatchewan, Alberta and British Columbia are under strain to find the human and materiel resources to meet the need of suppression efforts on large fires, which are threatening communities. (http://bit.ly/1O5Lcb0)

NATIONAL POST

** Canada's embassy in Kiev was used as a haven for several days by anti-government protesters during the uprising that toppled the regime of former president Viktor Yanukovych. It began, according to multiple sources in Kiev and Ottawa, when one of the protesters being chased by riot police waved a Canadian passport at embassy security. Once the door was open, the individual was quickly followed by other demonstrators armed with sticks and paving stones. (http://bit.ly/1RtAf8n)

** Employment Minister Pierre Poilievre is touting the Conservative government's enhanced child care benefit as a boost for the economy, while warning that Canadians should take heed of offshore financial chaos. The enhanced benefit provides almost C$2,000 ($1,572.70) per child per year in families with kids under six years of age, and C$720 per year per child between the ages of six and 17. (http://bit.ly/1gwV5mE)

China

CHINA SECURITIES JOURNAL

- China's regulators should maintain a favourable investing environment and investors should avoid speculating, the newspaper said in a commentary.

- A total of 300 listed companies will resume trading on Monday after a recent rebound in China's stock marketthe newspaper calculated.

SECURITIES TIMES

- Eleven Chinese brokerages launched four financial products including return swap and structural financing that help listed companies' executives quickly add holdings in their own companies, accoring to industry sources.

- Dalian Wanda Group expects to set up a financial holding company after completing acquisitions across banking, brokerage and insurance sectors in the second half of 2015, company officials said.

SHANGHAI SECURITIES NEWS

- Over 350 companies listed in Shanghai and Shenzhen have requested to resume trading on Monday, accord to company filings to China's major stock exchanges. Reasons for trading resumption range from share buyback, employee stock ownership plan and company executives adding stakes in their own companies.

CHINA DAILY

- The U.S.' labelling of Uighurs deported to China last week from Thailand as "refugees" instead of "illegal immigrants" is intended "to smear mud on the face of China", said an editorial in the newspaper.

Britain

The Times

GREECE BAILOUT SUMMIT AXED AS MISTRUST INFECTS EUROPE

A summit of European Union leaders has been cancelled as Greece, hovering on the threshold of exiting Europe's single currency and the eurozone, desperately plays for extra time to reach a deal. (http://thetim.es/1HVNxpH)

HEDGE FUNDS TO POUR CASH INTO CO-OP BANK

The Co-op Bank has received interest from hedge funds that want to invest in the problem-hit lender. At least half a dozen funds, including existing investors in the bank, are understood to be keen either to increase their stakes or to buy into the business, according to sources. (http://thetim.es/1HVNASE)

The Guardian

NEW POLITICAL BATTLE OVER THE BBC'S FUTURE TO BEGIN NEXT WEEK

The government will publish a green paper this week setting out the details of a fundamental review of the BBC, signalling the next stage in the political battle over the broadcaster's future size and funding. (http://bit.ly/1JcrVA5)

TOURISTS IN GREECE REPORT PROBLEMS CHANGING CASH

Tourists enjoying the Greek sunshine while the country's fate hangs in the balance in Brussels say they are having to stock up on euros in cash before arriving and report some issues changing British pounds at banks. (http://bit.ly/1D9TlVa)

The Telegraph

UK SPACE INDUSTRY 'PUNCHING ABOVE ITS WEIGHT' IN THE GLOBAL MARKET

According to a new report, The Case for Space, Britain's space industry has more than doubled its turnover over the past decade to 11.8 billion stg a year and is "punching above its weight" in the international marketplace. (http://bit.ly/1MoOoNC)

Sky News

UNILEVER STEPS UP SEARCH FOR NEW CHAIRMAN

Unilever Plc is working with headhunter firm Russell Reynolds Associates to identify a successor to chairman Michael Treschow, sparking a scramble for one of the biggest jobs in British business. (http://bit.ly/1HXuw4r)

EUROZONE: GREECE MUST DO MORE TO GET BAILOUT

The Greek government has been told it will have to pass a series of sweeping reforms into law by Wednesday before talks with eurozone leaders on another bailout can begin. (http://bit.ly/1O4kkrC)

The Independent

LABOUR CALLS ON SNP MPS TO VOTE AGAINST CONTROVERSIAL CHANGES TO HUNTING BAN

The Labour Party is calling on the Scottish National Party to vote against plans to amend the law on fox hunting in England and Wales this week. (http://ind.pn/1M4QKnW)