Morning Brief – Mexico

Mexico

News that the Mexican market is now open to the UK’s pork industry is more symbolic than significant. Doing this trade deal may bolster the UK’s credentials for joining the trade pact CPTPP or to give it its full name, the Comprehensive and Progressive Agreement for Trans Pacific Partnership. In case you are wondering, the UK/Mexican pork market is estimated to be worth GBP 50 million over the first 5 years(!) so hardly earth shattering commercially. GBP/MEX at 27.49 unmoved by the prospective jump in demand for bacon sandwiches down Mexico way.

WhatsApp

For tax reasons rather than for its vibrant tech scene, WhatsApp is headquartered in Dublin. WhatsApp which is owned by Facebook has woken up to the downside of the Emerald Isle: the Irish Data Protection Commission has levied a fine of EUR 225 million following an investigation that started in 2018 as to whether WhatsApp has handled users’ data in a sufficiently transparent manner. While it may sound technical it boils down to the old chestnut of having policies and procedures up to date which is all important when it comes to GDPR. WhatsApp did not. With a share price of USD382, Facebook is worth just over USD 1 trillion, so while this fine is the second largest levied in the EU for data protection breaches ( Amazon in gold medal position) it falls into the category of an annoyance rather than presenting much of a problem.

Coca-Cola

Can shortages at Coca-Cola and logistics issues at Diageo, the spirits maker, both due to supply chain shortages means that in conjunction with a shortage of HGV drivers, UK fans of Vodka and Coke for example may have to switch to other alcoholic combinations: Malibu and pineapple anybody?

China

Further evidence of China exerting its powerful grip on things deemed to be in violation of core socialist values: this time China has ordered broadcasters to shun artists with “incorrect political positions” and “effeminate” styles. The Communist party can censor anything in this context that they deem unacceptable and likely to damage adolescents’ values; for good measure the authorities have also called for the cultivation of a patriotic atmosphere. This is the latest widening of a crackdown on the entertainment industry which also includes a drive against high earnings, tax evasion and other illegal or immoral behaviour. USD/CNY at 6.4570 rather more on a weaker USD than these measures.

Tainted Love

Synthpop duo Soft Cell came to prominence in the early 80’s and had no less than 12 Top 40 hits. This one was originally released in 1965 by Gloria Jones who keen readers will recall was the girlfriend of Marc Bolan when their Mini hit a tree on Putney Common in the early hours which was when the T.Rex star did not walk away. Tainted Love went to Number 1 in the UK and sold over 1 million copies. Here it is:

Sometimes I feel I’ve got to

Run away I’ve got to

Get away from the pain that you drive into the heart of me

The love we share

Seems to go nowhere

And I’ve lost my light

For I toss and turn I can’t sleep at night

Once I ran to you (I ran)

Now I’ll run from you

This tainted love you’ve given

I give you all a boy could give you

Take my tears and that’s not nearly all

Oh tainted love

Tainted love

Now I know I’ve got to

Run away I’ve got to

Get away

You don’t really want it any more from me

To make things right

You need someone to hold you tight

And you’ll think love is to pray

But I’m sorry I don’t pray that way

Once I ran to you (I ran)

Now I’ll run from you

This tainted love you’ve given

I give you all a boy could give you

Take my tears and that’s not nearly all

Oh tainted love

Tainted love

Don’t touch me please

I cannot stand the way you tease

I love you though you hurt me so

Now I’m going to pack my things and go

Tainted love, tainted love

Tainted love, tainted love

Touch me baby, tainted love

Touch me baby, tainted love

Have a Great Weekend!

Discussion and Analysis by Humphrey Percy, Chairman and Founder

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