DINNER PARTY INTEL: Tencent takes on the world
Topics to impress this week.
1. China’s Tencent takes on the world
Tencent, the operator of networking app WeChat, has surpassed Facebook in market value, and so become the first Chinese technology firm to join the ranks of the world’s five largest corporations.
Tencent’s share is up 127% this year, according to Bloomberg, and the company is now valued at US$523bn, just above Facebook’s $522bn. Apple, Alphabet, Microsoft and Amazon are ahead of it.
Tencent is trading at more than 50 times forward earnings, higher than the average of about 30 over the past two years.
2. A messenger from outer space
Astronomers have determined that the mysterious object detected hurtling past the sun last month is from a different solar system. They have named it 1I/2017 U1, or ‘Oumuamua, and they believe it could be one of 10,000 others. Its name comes from the Hawaiian word for messenger or scout.
The Guardian reports that the certainty of ‘Oumuamua’s origin comes from an analysis that shows its orbit is almost impossible to achieve from within our solar system.
3. Britons begin to feel the Brexit pinch
UK households are more than £400/year worse off as a result of Brexit-induced inflation. A report by the Centre for Economic Performance says that even before Brexit occurs, the increase in inflation caused by the 2016 vote to leave the EU has already hurt households. The largest inflationary effects have been on products that are typically imported.
An alternative calculation of the loss suggests higher inflation has reduced the real wage of the average worker by about £448, the equivalent of one week’s pay.