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When Sri Lanka’s economy collapsed in 2022, politicians and officials were accused of brazenly stealing the island’s assets.Three years later, the tide appears to be turning against the once-untouchable elite, with several members of the former ruling Rajapaksa family and other powerful figures jailed or appearing in court.The government is pursuing some of the country’s most powerful individuals — with a former president, several ex-ministers and the heads of the police, prisons and immigration all appearing in court.Ranga Dissanayake, director-general of the Commission to Investigate Allegations of Bribery or Corruption (CIABOC), was granted sweeping powers in May to recover stolen assets — even without criminal convictions.There is no official data of state corruption losses, but activists estimate it to be billions of dollars over several decades. Sri Lanka’s GDP per capita income stood at $4,515 in 2024.”Corruption is the main reason for this economic crisis,” Dissanayake, who took up the post in January, told AFP.The International Monetary Fund calls for the “prioritising” of anti-graft measures, and says recruitment to CIABOC “should be accelerated”.- ‘Crossing the Rubicon’ -Tackling entrenched corruption was a key pledge of leftist President Anura Kumara Dissanayake, who is not related to the CIABOC chief.”How can a file in the Criminal Investigation Department move up and down, or remain stuck for seven or eight years in a cupboard?” he asked during a speech marking anti-corruption day.CIABOC faces a backlog of tens of thousands of cases.”Power is meant to uphold justice,” the president added. “But instead, it is often used for injustice, personal gain and the accumulation of wealth.”Public anger over crippling shortages of food, fuel, and medicine sparked months of protests in 2022, toppling then-president Gotabaya Rajapaksa.Gotabaya denies corruption allegations, but the Supreme Court in 2023 said he and his politician brothers “demonstrably contributed to the economic crisis”, and “violated the public trust reposed in them”.Gotabaya was replaced by Ranil Wickremesinghe, who secured a $2.9 billion IMF bailout to steady the economy.But Wickremesinghe was arrested in August on charges of using state funds for personal travel.”There are certain moments in politics or governance which are the moments of ‘crossing the Rubicon’ — that point of no return,” Saliya Pieris, former head of the Bar Association, wrote on Facebook.Sri Lanka ranked 121 out of 180 countries in Transparency International’s 2024 Global Corruption Index — a stark reminder of the scale of the problem.”The politicians robbed the country,” said businessman Tissa Gamini, 68, adding there had been some change but not enough.”Ministers, members of parliament, they’re all the same — and government servants too.”Ishani Menaka, 37, said she struggled to feed and educate their five children during the crisis, while her husband quit the state railways after 20 years, and left for Romania, joining an exodus of Sri Lankans.”We could not manage,” Menaka said. “So he gave up his job and went abroad.”- ‘Economy collapsed’ -Sri Lanka’s police chief, accused of running a criminal network, was arrested and sacked earlier this year, while the prison commissioner was jailed for releasing convicts in exchange for cash.The immigration controller was sentenced to two years for contempt of court, and faces trial for an alleged multimillion-dollar visa fraud.The Rajapaksa clan is under pressure too.Former ministers Mahindananda Aluthgamage and Nalin Fernando received 20- and 25-year prison sentences respectively for misusing government funds to support ex-president Mahinda Rajapaksa’s failed election bid.In August, Mahinda’s nephew Shashindra Rajapaksa was arrested for fraudulently claiming riot damage compensation.Money laundering investigations have also been revived against Mahinda’s sons, lawmaker Namal and ex-navy officer Yoshitha — who claims he was given a bag of gems by an aunt. Both deny wrongdoing.Television executive Weerasinghe Jayasundara, 57, recalled how “lives went back a few years” in 2022, when inflation hit nearly 70 percent.”We’re unable to get anything done — there was no transport, gas prices went up sharply, the economy collapsed,” Jayasundara said. “The main cause is corruption.”

Global stocks mostly fell Tuesday as investors weighed the recent tech rally on Wall Street against growing fears of an AI bubble and concerns over the US interest-rate outlook.A flood of multibillion-dollar investment into artificial intelligence has been a key driver of the surge in mostly technology equities across the globe this year, sending valuations to record highs.But there is increasing speculation that tech-led gains may have gone too far and a painful correction could be on the way.”Wall Street CEOs have also put investors on notice for a correction in the next 1-2 years,” said Kathleen Brooks, research director at trading group XTB.”It seems like the investment community has taken heed of this message,” she added.Shares of Palantir slumped 8.0 percent despite the company reporting a 63 percent surge in revenues to $1.2 billion, enabling profits of more than three times the year-ago level.”We have very high expectations with respect to what the future has in store for AI stocks,” said Adam Sarhan of 50 Park Investments.”The second big concern is the fact that there’s lack of (momentum) in other areas in the market” besides AI, he said.US chipmaker Nvidia and Deutsche Telekom, meanwhile, said a one-billion-euro ($1.1 billion) industrial artificial intelligence hub would soon be launched in Germany, Europe’s latest bid to catch up in the global AI race.This came a day after ChatGPT-maker OpenAI signed a $38 billion deal with Amazon’s AWS cloud computing arm.Wall Street’s main indices retreated on Tuesday, with the tech-heavy Nasdaq Composite finishing down more than two percent.In Europe, the Paris and Frankfurt stock markets ended lower.The British pound retreated against the dollar after finance minister Rachel Reeves hinted at tax rises in a pre-budget speech.That helped London’s FTSE 100 index that includes many multinationals whose earnings are inflated by a weak pound, and which finished the day slightly higher. The weakness in North America and Europe tracked a lackluster day in Asia, with Tokyo, Hong Kong and Shanghai stocks falling.Cautious remarks from US Federal Reserve officials did little to provide support for further buying after the central bank’s chief, Jerome Powell, indicated last week that a third rate cut this year was not definite.Data on Monday indicated some further weakness in the US economy, with a key gauge of activity in the manufacturing sector contracting more than expected and for an eighth straight month in October as demand and output weakened.In company news, shares in British energy giant BP were flat after a drop in oil prices on Tuesday overshadowed its strong earnings report.Crude prices shed over half a percent as the market anticipated oversupply.”The oil price slid amid ongoing concerns about oversupply despite OPEC+’s decision to pause output increases early next year,” said analyst Axel Rudolph at IG trading platform.Shares of biotech company Metsera soared more than 20 percent after it disclosed that it received a fresh takeover bid from Novo Nordisk of about $10 billion that topped a raised bid from Pfizer to about $8.1 billion. Pfizer shed 1.4 percent.- Key figures at around 2120 GMT -New York – Dow: DOWN 0.5 percent at 47,085.24 (close)New York – S&P 500: DOWN 1.2 percent at 6,771.55 (close)New York – Nasdaq Composite: DOWN 2.0 percent at 23,348.64 (close)London – FTSE 100: UP 0.1 percent at 9,714.96 (close) Paris – CAC 40: DOWN 0.5 percent at 8,067.53 (close)Frankfurt – DAX: DOWN 0.8 percent at 23,949.11 (close)Tokyo – Nikkei 225: DOWN 1.7 percent at 51,497.20 (close)Hong Kong – Hang Seng Index: DOWN 0.8 percent at 25,952.40 (close)Shanghai – Composite: DOWN 0.4 percent at 3,960.19 (close)Euro/dollar: DOWN at $1.1479 from $1.1520 on MondayPound/dollar: DOWN at $1.3019 from $1.3140Dollar/yen: DOWN at 153.66 yen from 154.22 yenEuro/pound: UP at 88.17 pence from 87.66 penceWest Texas Intermediate: DOWN 0.8 percent at $60.56 per barrelBrent North Sea Crude: DOWN 0.7 percent at $64.44 per barrelburs-jmb/md

Stock markets fell Tuesday as investors weighed the recent tech rally on Wall Street against growing fears of an AI bubble and concerns over the US interest-rate outlook.A flood of multibillion-dollar investment into artificial intelligence has been a key driver of the surge in mostly technology equities across the globe this year, sending valuations to record highs.But there is increasing speculation that tech-led gains may have gone too far and a painful correction could be on the way.”Wall Street CEOs have also put investors on notice for a correction in the next 1-2 years,” said Kathleen Brooks, research director at trading group XTB.”It seems like the investment community has taken heed of this message,” she added.Briefing.com analyst Patrick O’Hare pointed to the more than seven percent drop in Palantir shares despite the US software firm beating expectations for its third quarter earnings and future guidance.”Palantir, trading at close to 100 times sales, has been a poster child for valuation concerns,” he said. “Accordingly, the weak price action after yet another terrific earnings report has taken some wind out of the market’s sails, acting as a sign to some that this stock and the market-cap-weighted market have gotten ahead of themselves,” he said.In the latest deals, Palantir launched a joint venture with the Dubai government’s investment arm on Tuesday.US chipmaker Nvidia and Deutsche Telekom, meanwhile, said a one-billion-euro ($1.1 billion) industrial artificial intelligence hub would soon be launched in Germany, Europe’s latest bid to catch up in the global AI race.This came a day after ChatGPT-maker OpenAI signed a $38 billion deal with Amazon’s AWS cloud computing arm.Wall Street’s main indices retreated on Tuesday, with the tech-heavy Nasdaq Composite down 1.2 percent in late morning trading.All the “Magnificent 7″ stocks — Alphabet, Amazon, Apple, Meta, Microsoft, Nvidia and Tesla — slid as trading got underway in New York, though Apple subsequently moved higher during morning trading.In Europe, the Paris and Frankfurt stock markets ended lower.The British pound retreated against the dollar after finance minister Rachel Reeves hinted at tax rises in a pre-budget speech.That helped London’s FTSE 100 index that includes many multinationals whose earnings are inflated by a weak pound, and which finished the day slightly higher. The weakness in North America and Europe tracked a weak day in Asia, with Tokyo, Hong Kong and Shanghai stocks falling.Cautious remarks from US Federal Reserve officials did little to provide support for further buying after the central bank’s chief, Jerome Powell, indicated last week that a third rate cut this year was not definite.Data on Monday indicated some further weakness in the US economy, with a key gauge of activity in the manufacturing sector contracting more than expected and for an eighth straight month in October as demand and output weakened.In company news, shares in British energy giant BP were flat after a drop in oil prices on Tuesday overshadowed its strong earnings report.Crude prices shed around half a percent as the market anticipated oversupply.”The oil price slid amid ongoing concerns about oversupply despite OPEC+’s decision to pause output increases early next year,” said analyst Axel Rudolph at IG trading platform.- Key figures at around 1630 GMT -New York – Dow: DOWN 0.4 percent at 47,171.57 pointsNew York – S&P 500: DOWN 0.7 percent at 6,801.32New York – Nasdaq Composite: DOWN 1.2 percent at 23,540.75London – FTSE 100: UP 0.1 percent at 9,714.96 (close) Paris – CAC 40: DOWN 0.5 percent at 8,067.53 (close)Frankfurt – DAX: DOWN 0.8 percent at 23,949.11 (close)Tokyo – Nikkei 225: DOWN 1.7 percent at 51,497.20 (close)Hong Kong – Hang Seng Index: DOWN 0.8 percent at 25,952.40 (close)Shanghai – Composite: DOWN 0.4 percent at 3,960.19 (close)Euro/dollar: DOWN at $1.1496 from $1.1518 on MondayPound/dollar: DOWN at $1.3045 from $1.3138Dollar/yen: DOWN at 153.43 yen from 154.20 yenEuro/pound: UP at 88.11 pence from 87.67 penceWest Texas Intermediate: DOWN 0.5 percent at $60.77 per barrelBrent North Sea Crude: DOWN 0.4 percent at $64.61 per barrelburs-rl/js

Wealth inequality is a global emergency that threatens democracy and social cohesion, experts warned Tuesday, urging G20 leaders meeting in South Africa this month to establish a panel to tackle the crisis.The “inequality emergency” is leaving billions hungry and could worsen under the Trump administration’s “law of the jungle” approach to trade, a committee led by Nobel Prize-winning economist Joseph Stiglitz said in a new report.The proposed panel on inequality was inspired by the UN’s expert Intergovernmental Panel on Climate Change (IPCC), which analyses the risks of global warming and proposes solutions.”Inequality is a choice. It is something we can do something about,” Stiglitz said at a briefing where he handed the report to President Cyril Ramaphosa.Representing 85 percent of global GDP, the Group of 20 (G20) leading economies is “very influential in setting the international rules of the game” that could tackle the problem, the professor said. South Africa — ranked by the World Bank as the most unequal country in the world — hosts G20 leaders on November 22 and 23 as it wraps up its year as president, a first for an African nation.”With this report, we have clear actions that we can take … to reduce inequality,” Ramaphosa said. “It is now up to us and as leaders of the G20 and the leaders of the world to demonstrate the necessary will and commitment,” he said.- Undermining cohesion -The report “correctly asserts that inequality is in many ways a betrayal of the dignity of people. It is an impediment to inclusive growth and a threat democracy itself”, the South African president said.The findings included that between 2000 and 2024, one percent of the world’s population captured 41 percent of all new wealth, of which just one percent went to the poorest 50 percent.”One in four people worldwide now regularly skip meals, whilst billionaire wealth has now hit the highest level in history,” according to the report.While income inequality between individuals declined in recent decades, largely due to economic development in China, there had been a major increase in inherited wealth, with $70 trillion expected to be handed down to heirs in the coming 10 years.”The world understands that we have a climate emergency; it’s time we recognise that we face an inequality emergency too,” Stiglitz said in a statement before the briefing.”It isn’t just unfair and undermining societal cohesion — it’s a problem for our economy and our politics too,” he said.The proposed International Panel on Inequality would analyse all aspects of inequality — from land ownership to tax avoidance — and inform policymaking.Measures to tackle the problem included fair taxation of multinational corporations and the very wealthy, breaking up monopolies, stabilising prices and restructuring the debt of highly indebted countries.- ‘Law of the jungle’ – The report warned that US policies, including the imposition of tariffs on trading partners, risked increasing inequality.”This new world, in which the powerful break rules with impunity and we move away from a rules-based international order towards a ‘law of the jungle’, could entrench unequal exchange, investment and technology patterns,” it said.”Inequality erodes trust in institutions, fuels political polarisation, can reduce participation among poorer citizens and residents, and creates social tensions of different kinds.”Stiglitz told reporters he did not expect Washington, the next G20 president, to back the proposal for an equality panel but “hopefully a majority of countries would eventually join in”.With relations between South Africa and the United States hitting new lows this year, Trump has indicated that he would not attend the Johannesburg summit.

Starbucks has announced it will sell a controlling stake in its Chinese retail operations as it seeks to revitalise performance in a fiercely competitive market it once dominated.Hong Kong-based investment firm Boyu Capital will hold up to 60 percent of a new joint venture operating 8,000 Starbucks stores across China, under a deal which values the business at around $4 billion.Seattle-based Starbucks said on Monday it will retain a 40-percent stake and continue to own the brand and intellectual property.The partnership marks a strategic shift for Starbucks after more than 26 years in China, where it has seen its market share fall to 14 percent in 2024 from a peak of 42 percent in 2017.China represents Starbucks’s second biggest market globally, though the company has faced increasing competition from local coffee chains like Luckin Coffee, which has won over customers with lower prices.Luckin, founded in 2017, has expanded rapidly to more than 26,000 stores by targeting young spendthrift consumers with aggressive discounts, a host of quirky drink flavours, and brand tie-ups with everything from anime to the traditional Chinese liquor baijiu.It opened its first US store in June.- ‘So much more’ -Dozens of other chains have emerged in China, many following Luckin’s model of handling orders through mobile apps and operating small stores with few staff and little or no seating, which helps to lower costs.Cotti Coffee, another competitor, targets smaller cities and towns with drinks starting at 9.9 yuan ($1.40), and already has more China stores than Starbucks despite being founded only three years ago.Starbucks has failed to meet customers’ rising demand for better value, said Yaling Jiang, founder of consultancy ApertureChina and author of a newsletter on Chinese consumers.”Consumers feel they can get so much more from domestic competitors,” she told AFP.Starbucks cut its prices in June, but its cheapest Americano still costs 27 yuan ($3.80).Luckin’s marketing, often focusing on viral online trends, has also given it an edge over Starbucks’ more traditional approach.Luckin also leverages its data-centric operation to analyse and anticipate trends for its product development, said Felipe Cabrera from Ad Astra Coffee Consulting, a specialist in the Chinese market.Boyu Capital will likely “manage the company in a very Chinese style, which will give some advantage to Starbucks China teams to react fast to trends in the local coffee industry”, he said, possibly even surpassing competitors in “creating ‘hot’ new” products.- Expansion -Starbucks reported last week that its latest quarterly same-store sales in China increased by two percent, fuelled by an increase in traffic, but added that average spending per ticket had dropped.The company said it expects the total value of its China retail business to exceed $13 billion, including proceeds from the sale, its retained interest, and future licensing fees over the next decade.”Boyu’s deep local knowledge and expertise will help accelerate our growth in China, especially as we expand into smaller cities and new regions,” said Starbucks CEO Brian Niccol.While local brands have embraced franchise models to expand rapidly, Starbucks continues to directly operate large traditional coffee stores concentrated mostly in large cities.Jiang said that “they need a new generation of local and young leaders to make changes, especially in terms of marketing”.”If they keep what they’re doing… Boyu is only going to waste their money,” she said.The companies said they aim to grow the store count to as many as 20,000 locations over time, with the business continuing to be headquartered in Shanghai.The deal is expected to close in the second quarter of fiscal year 2026, pending regulatory approvals.

Stock markets fell Tuesday as investors weighed the recent tech rally on Wall Street against growing fears of an AI bubble and concerns over the US interest-rate outlook.A flood of multi-billion-dollar investment into artificial intelligence has been a key driver of the surge in mostly technology equities across the globe this year, sending valuations to record highs.But there is increasing talk that tech-led gains may have gone too far and a painful correction could be on the way.”Wall Street CEOs have also put investors on notice for a correction in the next 1-2 years,” said Kathleen Brooks, research director at trading group XTB.”It seems like the investment community has taken heed of this message,” she added.Paris and Frankfurt stock markets shed more than one percent in midday trading Tuesday, while London slipped 0.7 percent.The British pound retreated against the dollar after finance minister Rachel Reeves hinted at tax rises in a pre-budget speech.That tracked a weak day in Asia, with Tokyo, Hong Kong and Shanghai stocks falling.Wall Street ended on a mixed note Monday, after tech stocks won a boost from ChatGPT-maker OpenAI signing a $38 billion deal with Amazon’s AWS cloud computing arm.”Some skeptics continued to raise their eyebrows, concerned by the circularity of these deals,” said Ipek Ozkardeskaya, senior analyst at Swissquote bank.Cautious remarks from US Federal Reserve officials did little to provide support for further buying after the central bank’s chief, Jerome Powell, indicated last week that a third rate cut this year was not definite.Data on Monday indicated some further weakness in the US economy, with a key gauge of activity in the manufacturing sector contracting more than expected and for an eighth straight month in October as demand and output weakened.On currency markets, India’s rupee rallied from close to a record low against the dollar after the Reserve Bank of India stepped in with support, according to Bloomberg News. The unit briefly jumped to 88.3925 against the greenback, after sitting close to its all-time low on Monday.India’s rupee has come under pressure of late owing to worries about exports as New Delhi struggles to strike a trade deal with the United States.In company news, shares in British energy giant BP were down 0.4 percent after a drop in oil prices on Tuesday overshadowed its strong earnings report.Crude prices shed around 1.5 percent as the market anticipated oversupply.- Key figures at around 1115 GMT -London – FTSE 100: DOWN 0.7 percent at 9,630.90 pointsParis – CAC 40: DOWN 1.2 percent at 8,009.26Frankfurt – DAX: DOWN 1.4 percent at 23,798.38Tokyo – Nikkei 225: DOWN 1.7 percent at 51,497.20 (close)Hong Kong – Hang Seng Index: DOWN 0.8 percent at 25,952.40 (close)Shanghai – Composite: DOWN 0.4 percent at 3,960.19 (close)New York – Dow: DOWN 0.5 percent at 47,336.68 (close)Euro/dollar: DOWN at $1.1504 from $1.1518 on MondayPound/dollar: DOWN at $1.3071 from $1.3138Dollar/yen: DOWN at 153.48 yen from 154.20 yenEuro/pound: UP at 88.02 pence from 87.67 penceWest Texas Intermediate: DOWN 1.6 percent at $60.07 per barrelBrent North Sea Crude: DOWN 1.4 percent at $64.00 per barrel

Asian e-commerce giant Shein Tuesday pledged to “cooperate fully” with French judicial authorities after an uproar over it selling childlike sex dolls, and said it was prepared to disclose the names of people who bought them.The controversy comes as the ultra-fast fashion giant is set to open its first bricks and mortar store in the world, in the prestigious BHV department store in central Paris on Wednesday.”We will cooperate fully with the judicial authorities,” Shein’s spokesman in France, Quentin Ruffat, told RMC radio, adding the company was prepared to share the names of those who have bought such dolls.”We will be completely transparent with the authorities,” he said.”We will put the necessary safeguards in place to ensure that this does not happen again,” Ruffat added.The Paris prosecutor’s office said it had opened investigations against Shein, and also rival online retailers AliExpress, Temu and Wish, over the sale of sex dolls.The probes were for distributing “messages that are violent, pornographic or improper, and accessible to minors”, the office told AFP.The investigations were launched after France’s anti-fraud unit reported on Saturday that Shein, a Singapore-based company which was originally founded in China, was selling childlike sex dolls.French media published a photo of one of the dolls sold on the platform, accompanied by an explicitly sexual caption.The pictured doll measured around 80 centimetres (30 inches) in height and held a teddy bear.Ruffat described what had happened as “serious, unacceptable, intolerable.”He chalked up the sale of the dolls to “a malfunction in our processes and governance”.- ‘Who can stop it?’ -On Monday, Shein announced it was imposing a “total ban on sex-doll-type products” and had deleted all listings and images linked to them.  Shein’s meteoric rise has been a bane for traditional retail fashion companies and, even before the uproar over the dolls, the arrival of Shein in the fashion capital had sparked a controversy.Critics fear that Shein will further hurt stores in France that have had to lay off staff or close.”Shein in France. Who can stop it?” left-leaning French daily Liberation said on its front page.Frederic Merlin, the 34-year-old director of the company that owns BHV, has been criticised for partnering up with Shein, which has been accused of unfair competition, environmental pollution and poor working conditions.Merlin admitted on Tuesday that he considered pulling the plug on the partnership with Shein after the latest uproar.”It’s despicable,” he told broadcaster RTL.”I find it sickening to know that we can freely sell this kind of stuff on the internet,” Merlin added.But he said he had reconsidered, saying Shein’s stance and readiness to cooperate with the French authorities “convinced me to continue”.He said he was confident about the Shein products that will be sold at the department store, and denounced a “general hypocrisy” surrounding Shein and its “25 million French customers”.He expressed hope that the Asian giant would help increase footfall at the department store.- ‘Shein has to pay’ -On Monday, France’s high commissioner for childhood, Sarah El Hairy, denounced the dolls which she called “paedophile objects that predators unfortunately sometimes use to practise before moving on to abusing children.”Ruffat said he and “the entire Shein brand” shared her concerns.”We will be delighted to discuss these issues with her, these issues of paedophile crime, which are too serious to be ignored,” he said.Finance Minister Roland Lescure had warned he would move to ban the company from the French market if the items returned online.On Monday, an association fighting to protect children from all forms of violence staged a protest in front of the department store.”Shame on Shein,” one of the signs read.”Shein has to pay, politically speaking,” said Arnaud Gallais, co-founder and president of the Mouv’Enfants association.

Asian e-commerce giant Shein Tuesday pledged to “cooperate fully” with French judicial authorities after an uproar over it selling childlike sex dolls, and said it was prepared to disclose the names of people who bought them.The controversy comes as the online fast-fashion seller is set to open its first bricks and mortar store in the world in the prestigious BHV department store in central Paris.”We will cooperate fully with the judicial authorities,” Shein’s spokesman in France, Quentin Ruffat, told RMC radio, adding the company was prepared to share names of those who have bought such dolls.”We will be completely transparent with the authorities. If they ask us to do so, we will comply,” he said.”We will put the necessary safeguards in place to ensure that this does not happen again,” Ruffat said.The Paris prosecutor’s office said it had opened investigations against Shein, and also rival online retailers AliExpress, Temu and Wish, over the sale of sex dolls.The probes were for distributing “messages that are violent, pornographic or improper, and accessible to minors”, the office told AFP.The investigations were launched after France’s anti-fraud unit reported on Saturday that Shein was selling childlike sex dolls.French media published a photo of one of the dolls sold on the platform, accompanied by an explicitly sexual caption.The pictured doll measured around 80 centimetres (30 inches) in height and held a teddy bear.Ruffat described what had happened as “serious, unacceptable, intolerable.”He chalked up the sale of the dolls to “an internal malfunction, a malfunction in our processes and governance”.”We assessed the situation and responded quickly,” he added.- ‘Despicable’ -On Monday, Shein announced it was imposing a “total ban on sex-doll-type products” and had deleted all listings and images linked to them. The uproar comes as Shein prepares on Wednesday to open its first physical store in the world, inside the BHV Marais department store in central Paris.The move has sparked outrage in France. “Shein in France. Who can stop it?” left-leaning French daily Liberation said on its front page.Frederic Merlin, the 34-year-old director of the company that owns BHV, admitted on Tuesday that he considered pulling the plug on the partnership with Shein after the uproar.”It’s despicable, it’s indecent, it’s abject,” he told broadcaster RTL on Tuesday, referring to the sale of the dolls.”I find it sickening to know that we can freely sell this kind of stuff on the internet,” Merlin added.But he said he had reconsidered, saying Shein’s stance and readiness to cooperate with the French authorities “convinced me to continue”.On Monday, France’s high commissioner for childhood, Sarah El Hairy, denounced the dolls which she called “paedophile objects that predators unfortunately sometimes use to practise before moving on to abusing children.”Ruffat said he and “the entire Shein brand” shared her concerns.”We will be delighted to discuss these issues with her, these issues of paedophile crime, which are too serious to be ignored,” he said.Finance Minister Roland Lescure had warned he would move to ban the company from the French market if the items returned online.Shein, a Singapore-based company which was originally founded in China, has faced criticism over working conditions at its factories and the environmental impact of its ultra-fast fashion business model.

Asian markets fell Tuesday as investors assessed the latest tech rally on Wall Street amid worries a bubble is forming in the sector, while mixed signals from Federal Reserve officials fed uncertainty over its next interest rate move.A flood of multi-billion-dollar investment into artificial intelligence has been a key driver of the surge in mostly technology equities across the globe this year, sending valuations to record highs.The rally has been helped by easing trade tensions since US President Donald Trump’s April tariff bombshell and expectations that the Fed will continue lowering borrowing costs.There is also a fear of missing out, in turn pushing prices up further, but there is increasing talk that the gains may have gone too far — with most of them coming from the tech sector — and a painful correction could be on the way.ChatGPT-maker OpenAI signed a $38 billion deal with Amazon’s AWS cloud computing arm, marking its latest huge tie-up following agreements with Oracle, Broadcom, AMD and chip titan Nvidia.”Even after the tariff-induced swoon in April, global equities have tacked on $17 trillion in market value, with the rally increasingly bottlenecked into the same handful of tech titans,” wrote SPI Asset Management’s Stephen Innes.”It’s as if the entire market has narrowed to a single crowded corridor, the walls lined with AI logos and venture dreams. “Amazon’s move simply adds another rocket to the booster stack — and traders are cheering the ignition, not asking how much fuel remains.”Wall Street ended on a mixed note, with the tech-rich Nasdaq rising along with the S&P 500 but the Dow in the red.Asia struggled, with Tokyo, Hong Kong, Shanghai, Sydney, Seoul, Singapore, Taipei, Mumbai and Bangkok falling, though there were gains in Wellington, Manila and Jakarta.London, Paris and Frankfurt dropped at the open.Remarks from Fed officials did little to provide support for further buying after boss Jerome Powell indicated last week that a third rate cut this year — after one in each of the past two meetings — was not definite.Governor Lisa Cook said she saw inflation remaining elevated in the coming year as tariffs bite, pointing out that some businesses had indicated they were running down inventories before passing on costs to consumers.”Looking ahead, policy is not on a predetermined path,” Cook said. “We are at a moment when risks to both sides of the dual mandate are elevated,” she added, referring to the bank’s target to support jobs while keeping rates at a level to put a cap on inflation. “Every meeting, including December’s, is a live meeting.”Meanwhile, Chicago Fed chief Austan Goolsbee said his main worry was inflation, while San Francisco boss Mary Daly was open to any options with regards to a cut in December. Governor Stephen Miran, a Trump nominee, wanted to see more cuts.”The divergence in opinions reinforces Fed Powell’s assessment that another fed funds rate in December is not a foregone conclusion, with the lack of data adding to the need to wait before making a decision (when driving in a fog, best to slow down),” wrote National Australia Bank’s Rodrigo Catril.Data on Monday indicated some further weakness in the US economy, with a key gauge of activity in the manufacturing sector contracting more than expected and for an eighth straight month in October as demand and output weakened.On currency markets, India’s rupee rallied from close to a record low against the dollar after the Reserve Bank of India stepped in with support, according to Bloomberg News. The unit briefly jumped to 88.3925 against the greenback, having sat around 88.80 on Monday, which was a whisker away from its all-time low of 88.8050 seen in September.The unit has come under pressure of late owing to worries about exports as New Delhi struggles to strike a trade deal with the United States.- Key figures at around 0820 GMT -Tokyo – Nikkei 225: DOWN 1.7 percent at 51,497.20 (close)Hong Kong – Hang Seng Index: DOWN 0.8 percent at 25,952.40 (close)Shanghai – Composite: DOWN 0.4 percent at 3,960.19 (close)London – FTSE 100: DOWN 0.7 percent at 9,633.74 Euro/dollar: UP at $1.1523 from $1.1518 on MondayPound/dollar: DOWN at $1.3108 from $1.3138Dollar/yen: DOWN at 153.51 yen from 154.20 yenEuro/pound: UP at 87.91 pence from 87.67 penceWest Texas Intermediate: DOWN 0.7 percent at $60.63 per barrelBrent North Sea Crude: DOWN 0.7 percent at $64.43 per barrelNew York – Dow: DOWN 0.5 percent at 47,336.68 (close)

Nintendo said Tuesday it aims to sell 19 million Switch 2 consoles within this financial year, up from its previous target 15 million for the smash-hit gadget.The Switch 2 became the world’s fastest-selling games console after launching in June to a frenzy of excitement from fans of “Super Mario” and other top titles.”The hardware has seen strong sales since its launch,” Nintendo said as it raised its annual net profit forecast to 350 billion yen ($2.3 billion) from 300 billion yen.Sales of the games “Mario Kart World” and “Donkey Kong Bananza” are growing steadily, the Japanese company said.”We will aim to keep the momentum of released titles and continuously introduce new titles to expand the platform’s user base,” it added.While Nintendo is diversifying into hit movies and theme parks, consoles remain at the core of its business.The original Switch soared in popularity during the pandemic with games such as “Animal Crossing” striking a chord during long lockdowns worldwide.The Switch 1 has sold 154 million units since its 2017 release, making it the third best-selling console of all time after Sony’s PlayStation 2 and the Nintendo DS.Nintendo said Tuesday it sold more than 10 million Switch 2 consoles in the first half of 2025-26.For the April to September period the company logged net profit of nearly 200 billion yen, up 83 percent year-on-year, forecasting record annual sales of 2.25 trillion yen.”The Switch 2’s demand will likely remain high, especially as the console ramps up sales in non-traditional markets such as China,” said Darang Candra, director for East Asia and Southeast Asia research at Niko Partners.”We remain cautious, however, about whether Switch 2 can replicate Switch 1’s 150-million-unit sales,” he told AFP ahead of Tuesday’s earnings release.”Switch 2’s long-term success will depend on Nintendo’s ability to sustain engagement with new titles and also penetrate emerging markets” such as in the Middle East and Asian countries apart from Japan, Candra added.Nintendo in September marked 40 years since the first “Super Mario Bros.” game — a colourful world of platforms, pipes and scowling enemies — was released.Market analysts at Jefferies noted that Nintendo’s brand was about to receive a “significant boost” when the red-capped Mario character features as a balloon in the Macy’s Thanksgiving Parade in New York City this year for the first time.The sequel to the megahit “Super Mario Bros. Movie” is also scheduled for release in April 2026.