FirstFT (the new 6am Cut)

Greece has rejected a compromise with international creditors in the referendum held on Sunday, raising serious doubts about whether it will remain inside the eurozone. The No camp won 61.3 per cent of the vote and was victorious in every region of the country, a remarkable political exploit by Greek Prime Minister Alexis Tsipras.

However, the result is likely to plunge the country into deeper economic turmoilas it tries to prevent the collapse of a financial system that is rapidly running out of cash. The next key date in the crisis is now July 20, when Greece needs to repay EUR3.5bn on a bond held by the ECB. (FT)

In the news Read more

Further reading

Elsewhere on Friday,

- Facebook changes its logo.

- Galbraith via Yanis: Nine myths about the Greek crisis... and Only the no can save the euro.

- A reliable contrarian indicator.

- How Billy Mitchell became a video-game superstar and achieved Pac-Man bliss.  Read more

Camp Alphaville videos: Is GDP losing its relevance?

Cardiff Garcia chats with Diane Coyle, the head of the consultancy Enlightenment Economics about the diminishing relevance of GDP. They also touch on the risks of big data and the ethical issues surrounding it. Diane highlights what building strategies we should be adopting from the Victorians.

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Camp Alphaville videos: The dark net’s reluctant kings

In which FT Alphaville’s Izabella Kaminska and Henry Farrell, political economy professor at George Washington university discuss the process by which anarchic markets self-organise into governmental structures… whether they like it or not. Read more

First FT: A vote on the euro, Apple music launch, biosimilar drugs

Europe’s message to Greek citizens is simple: they are voting on membership of the eurozone. Read more

Further reading

Elsewhere on Tuesday,

- Reversible? Move along, nothing to see here.

- BIS drops Greece from the eurozone.

- Playboy debates the end of man.

- The anatomy of a manhunt.  Read more

What’s the true value of a vomiting camel?

Aesthetic delight, historical artefact or a top quality investment?

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Putting the ‘New Deal’ into climate R&D

At last week’s FT125 forum Bill Gates called for more investment in breakthrough clean technology research like high-altitude wind, which attempts to capture energy from the the fast flowing narrow air currents found in the earth’s atmosphere.

Gates also said he is planning to double his personal investment in transformational green tech to $2bn over the next five years in an attempt to “bend the curve” in combating climate change.

But another less expected message from Gates was that billionaire entrepreneurs like him operating in the private sector can’t be depended upon to change the energy paradigm alone — what some might describe as a slap in the face of those American tech entrepreneurs who favour fiercely laissez faire approaches to such challenges. Read more

Further reading

Elsewhere on Monday,

- Ten days in June.

- The long history of the fight against Uber.

- London house prices approaching £200 per brick.

- How long is the short run this time? Read more

Grexit further reading

Elsewhere on Greece:

- Time for a fresh start?

- How the recovery will look like when Greece leaves the euro.

- Europe’s moment of truth leads to Grisis.

- What might contagion look like?  Read more

Come along and throw the first stone

From: xxxxxx
Sent: Friday, 5 June 2015 16:01
To: Martin Wolf; Gillian Tett
Reply To: xxxxxx

Subject: Camp Alphaville

OMG! As the kids say. “Peace. Love. Higher Returns.” With the lead
speaker “Andrew Fastow, former CFO, Enron”!!! Higher returns through
fraud: great extension of the FT ‘s brand….

Dr. xxxxxxxxxx
xxxxxx xxxxxx
University of Cambridge

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What does Bilderberg have in common with Camp Alphaville?

What-used-to-be the world’s most secretive summer-retreat/talking shop, Bilderberg (less secret now they have a website) is convening in Austria over the next four days.

Promised topics include:

Artificial Intelligence
Cybersecurity
Chemical Weapons Threats
Current Economic Issues
European Strategy
Globalisation
Greece
Iran
Middle East
NATO
Russia
Terrorism
United Kingdom
USA
US Elections

 Read more

The Great Camp Alphaville Quiz — call for entries

Think you are smart and know stuff? Do you have two or three friends or colleagues who are similarly gifted?

Prove it.

Enter our fab quiz at 6pm on July 1 at Camp Alphaville, under canvas on the grounds of the Honourable Artillery Company, London. Read more

Guest post: The pitfalls of internal corporate investigations

Anil Rajani, Partner at law firm Fladgate, reckons the SFO should take a leaf out of the FCA’s book when it comes to the “self reporting” of wrong-doing within companies.

_______ Read more

Short Qatar stocks, long paper shredders

And so to the US Department of Justice’s indictment on Wednesday of nine Fifa officials, alleging a RICO conspiracy, wire fraud, money laundering, etc…

The indictment alleges that, between 1991 and the present, the defendants and their co-conspirators corrupted the enterprise by engaging in various criminal activities, including fraud, bribery and money laundering. Two generations of soccer officials abused their positions of trust for personal gain, frequently through an alliance with unscrupulous sports marketing executives who shut out competitors and kept highly lucrative contracts for themselves through the systematic payment of bribes and kickbacks. All told, the soccer officials are charged with conspiring to solicit and receive well over $150 million in bribes and kickbacks in exchange for their official support of the sports marketing executives who agreed to make the unlawful payments. Read more

The line-up for Camp Alphaville 2015

Yes, 80 speakers and panelists will be presenting at our annual finance festival in London on July 1. Click the image for full details.

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Calling all hoverboard manufacturers…

We have just a few spaces remaining for young fintech-focused firms wanting a bit of exhibition space at Camp Alphaville, our annual finance festival in London on July 1.

We’ve christened the exhibition Where’s my hoverboard?, not realising that some guy’s already raised $500,00 on Kickstarter to build a real one.

No matter, further details of the Alphaville hoverboard opportunity available here.  Read more

A glimpse inside the Court, IMF edition

With a big h/t to Faisal Islam, here’s what the Bank of England was thinking at the start of September and just before that IMF loan in 1976 (do click through for the full thing):

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The football club, the chemicals maker and the newspaper group. Or, Hong Kong’s $12bn of trapped capital

By Jennifer Hughes in Hong Kong

Seven weeks of silence. That’s what investors in Tianhe Chemicals have had since the short target said it needed to give its auditors more information and would delay publishing its 2014 results.

Thursday marks exactly seven weeks since it made the announcement and suspended its shares at the same time, highlighting one of the less fun aspects of the Hong Kong market – the risk of getting trapped.

A recap: Read more

Camptease

You’ll have July 1 in your diaries already. If not, book now. Places are limited.

The speaker list has now topped 60 first class names. Such as…

Mystery 2016 US presidential election candidate

 Read more

Bonds: an apology

Exclusive to All Newspapers

In the last few weeks, in common with all other financial media, we may have given the impression that inflation had died forever and that it was in some way entirely rational for an investor to purchase Austrian government bonds at €220 per €100 of value.

We may further have led readers to believe that Bund yields would never stop falling that there were, officially, no more sellers of bonds…

We now realise, in light of the past few day’s events, that this is bunkum and the market does, for the moment, in fact resemble a New York rooftop bar at closing time. Read more

Where did all the greater fools go?

Ladies and gentlemen, the 10 year Bund on an increasingly painful Thursday morning (click to enlarge).

With thanks to Bill Gross Murphy for calling the top in the race to zero.

The (potentially more painful) excitement in the Italian 30 year below the fold. Read more

The trouble with market-based financing… in China

The thing about market-based financing is that market-based financing isn’t always available the way you want it.

Which is why it’s big news in China on Friday, as the FT reports, that several Chinese provincial governments have been forced to postpone bond auctions as banks balk at the low yields on offer. The news comes by way of state media.

Now, the reason this is interesting is because last month when China’s finance ministry revealed its plan for provincial governments to refinance RMB1tn in debt, analysts were super cheery about its chances of lowering debt-servicing costs and extending maturities for provincial authorities. Read more

The CFTC’s alleged flash crasher

Though note the causal chain in the CFTC’s press release for its complaint against trader Navinder Singh Sarao — of the Hounslow suburb, Heston…

The CFTC Complaint Alleges that Defendants’ Manipulative Conduct Contributed to the Market Conditions that Led to the May 6, 2010 Flash Crash Read more

Of free floats and nutty markets in China

Today in sentences about China you might want to pay attention to, from Macquarie:

In our view, the real level of margin finance leverage in China’s markets is actually already much higher than all the historical examples that we can find (ie, for which the data is available to us).

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A disturbance in the financial force

This is the one thing we didn’t want to happen…

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Markets Live returns at 11am

The Markets Live server hamster is back from Spring Break, refreshed and ready to roll.

ML server

Join Bryce and Murphy at 11am BST for a stroll around Chinese trade data, big oil, phantom Irish corrugated packaging M&A and all the usual nonsense. For newcomers, here’s the explainerRead more

Guest post: Getting Ukraine’s bondholders from B to A

The English-law bonds in Ukraine’s debt restructuring are a bit more local-law than bondholders might realise. How can Ukraine use that to get a deal? Here’s an interesting idea… Read more

A simpler JPMorgan

We have meaningfully simplified the company…

– Jamie Dimon’s 38-page letter to JPMorgan shareholders, April 8 2015 Read more

China short goes long

By Jennifer Hughes in Hong Kong

Watchers of the Hong Kong market might have classified a China short seller going long as a pigs-might-fly situation. But Shenguan Holdings, a maker of sausage casings, is flying (well, up 7 per cent at pixel) after Anonymous Analytics published a positive report on the stock on Wednesday.

Anonymous, which claims links to the shadowy hacker collective, says it is not actually a short seller. True enough. But it is still the first time a group best-known for putting out damning reports has published detailed research praising a company that has already come under attack from other short sellers.

 Read more