(Bloomberg) -- Welcome to Bloomberg Opinion Today, an afternoon roundup of our opinions on business, politics, markets, technology and more. New subscribers can sign up here.
President Donald Trump has long said he was going to scrap the Iran nuclear deal signed by his predecessor, and today he did it.
It’s not clear anybody knows exactly what happens next. The U.S. will reimpose sanctions, but with a delay. Iran and the European countries in the deal say they’re sticking with it. But that seems problematic if the U.S. is penalizing Iran and its business partners.
Eli Lake says the U.S. should work to free the Iranian people – though in a supportive, not leading role. And Trump did end his remarks by declaring solidarity with Iranians, saying they’d been held hostage by a dictatorial regime for 40 years.
Markets reacted anxiously, with stocks selling off a bit and bond and gold prices jumping. Crude-oil prices, weirdly, fell on the news, despite the prospect of oil-supply constraint. It could just be a case of traders taking profits; higher oil prices seem inevitable -- though, as with everything else here, nothing is certain.
Israel's Birthday Present
Trump's move is a win for Israeli President Benjamin Netanyahu, who broke with his own military experts and the broader international community to push for ending the Iran deal. Now he and Trump must make their gambit work, writes Zev Chafets. That means destabilizing the Iranian regime and working out a new, longer-lasting peace deal.
This all comes just a week before Israel celebrates its 70th anniversary. A nuclear-free Iran is not the biggest item on its birthday wish list, write James Stavridis and Michael Makovsky.
The Bloomberg View
Europe’s new General Protection Data Regulation, which seeks to protect people’s private data online, has its heart in the right place. But it’s loaded with potentially negative unintended consequences, Bloomberg’s editors write.
Control of Congress is at stake in primary elections today, write Jonathan Bernstein and Al Hunt in separate columns. A particularly bad day for the GOP would include a primary victory by disgraced former coal executive Don Blankenship. He’s a bad candidate, a boon to Democratic Senator Joe Manchin. That explains why Trump has told West Virginians to shun him. We’re about to find out if they listened.
Corporate mergers are coming so hot and heavy they had to roll Merger Monday into Takeover Tuesday. Comcast Corp. is preparing a bid for some 21st Century Fox Inc. entertainment assets, for which Walt Disney Co. already bid about $52 billion. Tara Lachapelle says Comcast is emboldened by the likely failure of the Justice Department to stop AT&T Inc.’s takeover of Time Warner Inc. Looks like anything goes, Comcast figures, so let’s try this.
Japan’s Takeda Pharmaceutical Co. Ltd. is paying $62 billion to buy Shire PLC, launching itself into the pharma big leagues – and big-time risks, warns Max Nisen. There’s so much cash involved here, it moved the British pound this morning. And there’s still a chance Shire could get a better deal, writes Chris Hughes.
Aztecs Vs. Airports
Justin Fox takes a deep dive into the shaky prospects for Mexico City’s new airport – North America’s first “big-time” airport-construction project in 23 years (!).
It includes this great quote from a city planner: “Was it the best place to build an airport? Was Mexico City the best place to build a city? No, it wasn’t. The Aztecs made a huge mistake.”
Zynga Inc. is a cautionary tale about how hard it is to nurse an Internet company back to health, writes Shira Ovide.
- China should give in to Trump’s trade demands – for its own good – Michael Schuman
- One thing economists don’t know is kind of a big one: the Fed's effect on employment – Tyler Cowen
- Liberals shouldn’t be so squeamish about impeachment talk – Ramesh Ponnuru
- On his 200th birthday, let’s remember Karl Marx for what he got wrong – Noah Smith
- Sorry, Warren Buffett, but stock buybacks aren’t so simple – Joe Nocera
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