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Canada’s lack of Indo-Pacific strategy leaves business in the dark: book

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OTTAWA — Business leaders and former diplomats are pushing the Trudeau government to finally release its long-awaited strategy for the Indo-Pacific region.

“We can’t afford to leave it too late, because the world is moving, and it’s moving quickly,” said Business Council of Canada head Goldy Hyder.

He co-edited a book released Wednesday that urges the Liberals to outline Canada’s friends, foes and priorities in a region spanning India to British Columbia.

Foreign Affairs Minister Mélanie Joly said this spring that a strategy was imminent, but her office still has no timeline for when it will be released.

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The book urges Canada to be clear about how it plans to relate with China and to get serious about a military, corporate and cultural presence across the region.

“Canadian firms have made little progress in penetrating new markets while losing market share in traditional ones,” reads one essay by Canada’s former U.S. ambassador Derek Burney and senior Carleton University professor Fen Hampson.

The pair argue for China to be frozen out of investing in critical infrastructure and digital technology, and for Canada to explain its balance between human rights and trade.

Another part of the book calls out Canada’s “unwillingness to make substantial investments in building political and business relations” and overreliance on the U.S.

Hampson and Hyder along with analyst Tina Park suggest inking long-term deals to export liquefied natural gas to South Korea and Japan. Both are stable countries trying to wean themselves off fuels from the Middle East that arrive via marine zones China is increasingly seeking to control.

Hyder said in an interview that means long-term thinking to be ready for economic opportunities. He used the example of Germany tapping into LNG from Australia and Gulf states because Canada still does not have the capacity to export the fuel.

He said the businesses who make up his council would rather invest in countries Ottawa is trying to grow close to, so they can collaborate and have some certainty in a turbulent world.

“You need to know where your government is putting the emphasis on, so you can make strategic decisions as a business,” Hyder said.

Many of the 15 essays in the book titled “The Indo-Pacific: New Strategies for Canadian Engagement with a Critical Region,” argue that Canada is falling behind its peers.

For example, Australia has set targets for corporate boards to have knowledge of Asian countries and languages.

In a statement, Joly’s office welcomed the book but gave no hint of when she would launch the Indo-Pacific strategy.

“The prosperity and security of Canadians will increasingly be tied to developments in the region,” wrote spokesman Adrien Blanchard.

“This strategy will leverage Canadian strengths and expertise to advance our goals, such as trade diversification, inclusive growth, effective action on climate change and enhanced regional security.”

He noted that a multi-partisan, independent advisory committee is sharing information on everything from military issues to trade law.

“Reinforcing Canada’s engagement in the Indo-Pacific presents a historical opportunity; we will seize it,” Blanchard said.

Yet Conservative foreign-affairs critic Michael Chong noted that the Liberals have promised some form of a regional strategy multiple times in recent years.

“It has gone through so many iterations now that it leaves one’s head spinning,” he said, noting that there have been five foreign-affairs ministers in the government’s seven years in office.

“It’s reflective of a government that doesn’t have a coherent foreign policy.”

This report by The Canadian Press was first published Sept. 28, 2022.

 

Dylan Robertson, The Canadian Press

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Dow Jones Rises But S&P, Nasdaq Fall; Nvidia, SMCI Flash Sell Signals As Bitcoin's Fourth Halving Arrives – Investor's Business Daily

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[unable to retrieve full-text content]

  1. Dow Jones Rises But S&P, Nasdaq Fall; Nvidia, SMCI Flash Sell Signals As Bitcoin’s Fourth Halving Arrives  Investor’s Business Daily
  2. Iran fires at apparent Israeli attack drones: Mideast tensions  The Associated Press
  3. S&P 500 extends losing streak to sixth day, Dow up 210 points  Yahoo Canada Finance
  4. Stock Market Today: Dow, S&P Live Updates for April 19  Bloomberg
  5. Stock market today: Wall Street limps toward its longest weekly losing streak since September  CityNews Kitchener

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Netflix stock sinks on disappointing revenue forecast, move to scrap membership metrics – Yahoo Canada Finance

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Netflix (NFLX) stock slid as much as 9.6% Friday after the company gave a second quarter revenue forecast that missed estimates and announced it would stop reporting quarterly subscriber metrics closely watched by Wall Street.

On Thursday, Netflix guided to second quarter revenue of $9.49 billion, a miss compared to consensus estimates of $9.51 billion.

The company said it will stop reporting quarterly membership numbers starting next year, along with average revenue per member, or ARM.

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“As we’ve evolved our pricing and plans from a single to multiple tiers with different price points depending on the country, each incremental paid membership has a very different business impact,” the company said.

Netflix reported first quarter earnings that beat across the board on Thursday, with another 9 million-plus subscribers added in the quarter.

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Subscriber additions of 9.3 million beat expectations of 4.8 million and followed the 13 million net additions the streamer added in the fourth quarter. The company added 1.7 million paying users in Q1 2023.

Revenue beat Bloomberg consensus estimates of $9.27 billion to hit $9.37 billion in the quarter, an increase of 14.8% compared to the same period last year as the streamer leaned on revenue initiatives like its crackdown on password-sharing and ad-supported tier, in addition to the recent price hikes on certain subscription plans.

Netflix’s stock has been on a tear in recent months, with shares currently trading near the high end of its 52-week range. Wall Street analysts had warned that high expectations heading into the print could serve as an inherent risk to the stock price.

Earnings per share (EPS) beat estimates in the quarter, with the company reporting EPS of $5.28, well above consensus expectations of $4.52 and nearly double the $2.88 EPS figure it reported in the year-ago period. Netflix guided to second quarter EPS of $4.68, ahead of consensus calls for $4.54.

Profitability metrics also came in strong, with operating margins sitting at 28.1% for the first quarter compared to 21% in the same period last year.

The company previously guided to full-year 2024 operating margins of 24% after the metric grew to 21% from 18% in 2023. Netflix expects margins to tick down slightly in Q2 to 26.6%.

Free cash flow came in at $2.14 billion in the quarter, above consensus calls of $1.9 billion.

Meanwhile, ARM ticked up 1% year over year — matching the fourth quarter results. Wall Street analysts expect ARM to pick up later this year as both the ad-tier impact and price hike effects take hold.

On the ads front, ad-tier memberships increased 65% quarter over quarter after rising nearly 70% sequentially in Q3 2023 and Q4 2023. The ads plan now accounts for over 40% of all Netflix sign-ups in the markets it’s offered in.

FILE PHOTO: Netflix reported first quarter earnings after the bell on Thursday. REUTERS/Dado Ruvic/File PhotoFILE PHOTO: Netflix reported first quarter earnings after the bell on Thursday. REUTERS/Dado Ruvic/File Photo

Netflix reported first quarter earnings after the bell on Thursday. REUTERS/Dado Ruvic/File Photo (REUTERS / Reuters)

Alexandra Canal is a Senior Reporter at Yahoo Finance. Follow her on X @allie_canal, LinkedIn, and email her at alexandra.canal@yahoofinance.com.

For the latest earnings reports and analysis, earnings whispers and expectations, and company earnings news, click here

Read the latest financial and business news from Yahoo Finance

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Oil Prices Erase Gains as Iran Downplays Reports of Israeli Missile Attack – OilPrice.com

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Oil Prices Erase Gains as Iran Downplays Reports of Israeli Missile Attack | OilPrice.com



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Tsvetana Paraskova

Tsvetana Paraskova

Tsvetana is a writer for Oilprice.com with over a decade of experience writing for news outlets such as iNVEZZ and SeeNews. 

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  • Oil prices initially spiked on Friday due to unconfirmed reports of an Israeli missile strike on Iran.
  • Prices briefly reached above $90 per barrel before falling back as Iran denied the attack.
  • Iranian media reported activating their air defense systems, not an Israeli strike.

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Oil prices gave up nearly all of early Friday’s gains after an Iranian official told Reuters that there hadn’t been a missile attack against Iran.

Oil surged by as much as $3 per barrel in Asian trade early on Friday after a U.S. official told ABC News today that Israel launched missile strikes against Iran in the early morning hours today. After briefly spiking to above $90 per barrel early on Friday in Asian trade, Brent fell back to $87.10 per barrel in the morning in Europe.

The news was later confirmed by Iranian media, which said the country’s air defense system took down three drones over the city of Isfahan, according to Al Jazeera. Flights to three cities including Tehran and Isfahan were suspended, Iranian media also reported.

Israel’s retaliation for Iran’s missile strikes last week was seen by most as a guarantee of escalation of the Middle East conflict since Iran had warned Tel Aviv that if it retaliates, so will Tehran in its turn and that retaliation would be on a greater scale than the missile strikes from last week. These developments were naturally seen as strongly bullish for oil prices.

However, hours after unconfirmed reports of an Israeli attack first emerged, Reuters quoted an Iranian official as saying that there was no missile strike carried out against Iran. The explosions that were heard in the large Iranian city of Isfahan were the result of the activation of the air defense systems of Iran, the official told Reuters.

Overall, Iran appears to downplay the event, with most official comments and news reports not mentioning Israel, Reuters notes.

The International Atomic Energy Agency (IAEA) said that “there is no damage to Iran’s nuclear sites,” confirming Iranian reports on the matter.

The Isfahan province is home to Iran’s nuclear site for uranium enrichment.

“Brent briefly soared back above $90 before reversing lower after Iranian media downplayed a retaliatory strike by Israel,” Saxo Bank said in a Friday note.

The $5 a barrel trading range in oil prices over the past week has been driven by traders attempting to “quantify the level of risk premium needed to reflect heightened tensions but with no impact on supply,” the bank said, adding “Expect prices to bid ahead of the weekend.”

At the time of writing Brent was trading at $87.34 and WTI at $83.14.

By Tsvetana Paraskova for Oilprice.com

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