Three news to start your week: May 1
Foreign investment in the world fell by 24% in 2022
(Portafolio)
Last year, foreign investment fell 24% to $1.286 trillion due to massive capital withdrawals at a Luxembourg-based telecommunications operator and lower flows to China.
The OECD reported that excluding Luxembourg, which had a negative investment balance of $322 billion versus a positive one of $25 billion in 2021, the global drop would have been 5%.
Corporate takeovers and mergers "possibly" declined due to tightening financial conditions (rising interest rates), geopolitical tensions (Ukraine war), and recession fears, according to the study.
Coinbase files legal challenge to push SEC to write rules on crypto
(Reuters)
Coinbase Global Inc. filed a case with the U.S. Securities and Exchange Commission (SEC) to force it to make new rules for digital assets. This is the latest step in the cryptocurrency exchange's tension with the SEC.
Last year, Coinbase sent the SEC a petition for rulemaking. It asked the government agency to clarify when a digital asset is a security and to make a new market structure framework that works with cryptocurrency.
The SEC hasn't given a public answer to that plea. Instead, the crypto industry argues it works in a regulatory gray area unregulated by U.S. securities rules and needs new legislation.
First Republic shares plunge again as survival plan fails to materialize
(Financial Times)
First Republic shares fell over 50% on Friday as the troubled California bank prepared to complete another week without a long-term survival plan.
According to sources, First Republic and its advisers are working on a private-sector solution to prevent the FDIC from taking over the bank. They have yet to create a proposal that can win over big U.S. banks and skeptical government officials.
Investors lost faith in First Republic's advisers' "open bank" solution, halting the bank's shares for volatility. Shareholders would likely lose everything in receivership.
