FirstFT: Rift between Canada and India deepens

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We begin right now with a deepening rift between Canada and India after Justin Trudeau mentioned there have been “credible allegations” that the New Delhi authorities was concerned within the deadly capturing of a distinguished Sikh chief in British Columbia earlier this yr.

Citing intelligence from nationwide safety providers, Trudeau advised members of parliament yesterday that Canadian authorities had been investigating whether or not “brokers” of New Delhi had been behind the June killing of Hardeep Singh Nijjar in a suburb of Vancouver.

Canada additionally expelled a high Indian diplomat, in response to the nation’s international minister Mélanie Joly.

India right now dismissed Trudeau’s claims as “absurd” and retaliated by asking a senior Canadian diplomat to go away the nation within the newest signal of pressure between the G20 allies.

Canada is dwelling to almost 800,000 Sikhs, a lot of whom dwell in Surrey, a suburb of Vancouver, and Brampton, outdoors Toronto. Some Sikh Canadians assist the Khalistan independence motion, which seeks to create a sovereign state in India’s northern Punjab state.

India’s authorities condemns the motion and has lengthy accused Canada of harbouring Sikh separatists, whom it describes as “Khalistani terrorists and extremists”. Learn the complete story.

Right here’s what else I’m holding tabs on right now:

• United Nations: US president Joe Biden and Ukraine’s Volodymyr Zelenskyy will handle the UN Basic Meeting right now in New York. Nonetheless, the organisation’s relevance is being questioned as key leaders skip the annual occasion.

• Instacart begins buying and selling: Shares within the on-line grocery supply service will debut at $30 a share on Nasdaq, within the newest victory for the inventory trade over its nice rival the New York Inventory Alternate.

• FTX’s SBF: A federal appeals court docket is scheduled to listen to FTX founder Sam Bankman-Fried’s request to be free of jail, as he appeals the ruling of Choose Lewis Kaplan to put him in custody after discovering that the cryptocurrency entrepreneur in all probability tried to tamper with witnesses.

• Financial information: Building of latest US residences is anticipated to have fallen in August in contrast with July. Canada publishes its annualised inflation studying for August.

Among the greatest names in retail will collect right now for the FT’s Way forward for Retail summit. Be part of the chief executives of Harvey Nichols and luxurious items group Tapestry. The occasion can be broadcast dwell and you’ll be able to register right here.

5 extra high tales

1. The chief of the United Auto Employees union threatened to increase strike motion at three Detroit automotive crops from Friday if “critical progress” was not made in pay talks with leaders of the carmakers within the coming days. The specter of escalation got here as 5,700 automotive staff threatened to stroll out of a Ford automotive manufacturing unit in Canada. Right here’s the newest on the dispute.

2. Central banks ought to maintain rates of interest at their present excessive ranges or increase them additional to defeat inflation, the OECD mentioned right now because it downgraded its 2024 progress forecast. The recommendation comes forward of essential selections this week by the US Federal Reserve, Financial institution of England and Financial institution of Japan. Chris Giles unpicks the OECD’s newest financial outlook.

3. Oil costs hit their highest stage of the yr earlier right now as the choice by Saudi Arabia and Russia to increase manufacturing cuts pushes the price of a barrel of oil close to to $100. The rise in oil costs has led to fears central banks could must push rates of interest larger to comprise inflation threatening the resilience of the worldwide economic system. Right here’s an explainer on why oil costs are at yr highs.

4. US monetary watchdogs are pushing forward with a crackdown on misleading fund names, regardless of business warnings that it’ll discourage inventory choosing, violate free speech protections and pressure funds to promote property at a loss when markets are unstable. The overhaul would require funds to show that 80 per cent of their holdings match their names.

• Hedge funds: A build-up of leveraged bets has the potential to “dislocate” buying and selling within the $25tn US Treasuries market, mentioned the umbrella group for central banks.

5. The US has launched a co-operation pact with dozens of nations touching the Atlantic Ocean in Europe, Africa and the Americas, as Washington seeks to strengthen financial, environmental and scientific ties throughout the area. The “Partnership for Atlantic Cooperation” was agreed on the eve of the UN Basic Meeting conferences in New York right now. Learn extra on the brand new pact.

The Large Learn

The latest Microsoft/Activision saga has pointed to the UK competitors regulator’s newfound clout on the worldwide regulatory stage and raised questions on its decision-making. Critics say the Competitors and Markets Authority is taking large swings as it really works out its place on the earth, however supporters say its extra resolute stance on policing giant takeovers comes at a time when competitors authorities within the US are additionally adopting a extra assertive method.

We’re additionally studying . . . 

Chart of the day

Germany’s central financial institution warned corporations yesterday to scale back their dependence on China. The Bundesbank mentioned 29 per cent of German corporations imported important supplies and elements from China, exposing their operations to “vital” harm if this commerce route had been to be disrupted because of “rising geopolitical tensions”.

Take a break from the information

Iranians have discovered few causes to rejoice of late, with the economic system on its knees and the nation below worldwide sanctions. The arrival of celebrity footballer Cristiano Ronaldo, whose Saudi membership performs in Tehran this night, has offered moments of pleasure and humour, although his go to has not been with common acceptance.

Extra contributions from Tee Zhuo and Benjamin Wilhelm