Xi’s visit to Russia, bank collapse fallout: Weekend Reads

Chinese leader Xi Jinping will travel to Russia Monday on his first state visit since the invasion of Ukraine, just days after the Internati [View in browser]( [Bloomberg]( Chinese leader Xi Jinping will travel to Russia Monday on his first state [visit]( since the invasion of Ukraine, just days after the International Criminal Court issued an arrest warrant for President Vladimir Putin for war crimes. Beijing called the trip “a journey of friendship.”  Turkey and Hungary both signaled they plan to ratify Finland’s entry into NATO, bringing the [military alliance]( a step closer to welcoming its 31st member. While two brutal weeks for banks have mostly scuttled hopes in markets that a US recession can be avoided, investors appear [unconvinced]( the stress portends a genuine financial crisis. President Emmanuel Macron bypassed a parliamentary vote to push through his [unpopular pension reform]( that will raise the French retirement age and has sparked nationwide protests. Delve into these and more of our best stories in this edition of Weekend Reads. — [Karl Maier]( A woman passes a burning building following Russian shelling in Kostyantynivka, Ukraine, on Wednesday. Photographer: Sergey Shestak/Getty Images Coming Soon: Understand power in Washington through the lens of business, government and the economy. [Sign up now for the new Bloomberg Washington Edition newsletter](, delivered Mondays, Wednesdays and Fridays. Click [here]( for this week’s most compelling political images. And if you are enjoying this newsletter, sign up [here](. Xi Reboots Statesman Image in Push to Counter US on World Stage Xi is rebooting his image as a [global statesman]( with a significant win under his belt. His government hosted the signing of a landmark deal between Saudi Arabia and Iran to restore diplomatic ties, and now he’s due to visit Putin and hold his first-ever call with Ukrainian President Volodymyr Zelenskiy. - The ICC’s arrest warrant for Putin for war crimes related to the alleged abduction of children from Ukraine is a largely [symbolic move]( for now that the Kremlin has shrugged off. - Slovakia and Poland said they are [sending fighter jets]( to Ukraine to boost its defense against Russian forces. US Says Video of Drone Encounter Shows Russia ‘Flat-Out Lying’  The Joe Biden administration released [dramatic footage]( of an encounter between Russian fighter jets and an American surveillance drone. As [Jordan Fabian]( and [Peter Martin]( report, the decision to declassify and show the footage was meant to rebut Russia’s claims that its warplane never hit the US aircraft. WATCH: Air force video shows two Russian fighter jets intercepting a US surveillance drone in international airspace above the Black Sea. Secret Chip Deals Allegedly Help US Tech Flow to Russia Artem Uss appeared in Russian media for years as the owner of fancy real estate and luxury cars. Now US prosecutors allege the son of a Siberian governor is at the center of a suspected [secret supply chain]( that used American technology to support Putin’s war in Ukraine. Uss denies wrongdoing. The Arctic Is Where NATO and Russia Are Flexing Military Muscle As Putin’s war in Ukraine rages thousands of kilometers to the south, in the remote Arctic there is a close watch on Russia’s military activities. [Natalia Drozdiak]( and [Danielle Bochove]( report from an increasingly important region for energy, trade and security — one where Russia, the US, China and others [are vying]( for greater control. Arrogance, Incompetence or Both: What SVB’s Failure Really Means The [spectacular failure]( of Silicon Valley Bank was easy to foresee in hindsight, [Erik Schatzker]( writes. As deposits poured in during the pandemic, the bank bought tens of billions of dollars in bonds just before the Federal Reserve began raising rates to fight inflation. As rates shot up, the value of those holdings suffered huge losses. - Biden urged Congress to approve measures enacting [tougher punishments]( on banking executives if mismanagement contributed to the failure of their institutions. On Trump Force One, KFC Is On The Menu and 45 Is Still President Donald Trump’s yearning to return to the White House was evident from the recreation of Air Force One protocols on his recent trip to Iowa, the key Republican early-voting primary state. Traveling with the US former president in his Boeing 757 dubbed “Trump Force One,” featuring campaign music and fried chicken, [Mario Parker](writes, showed [how badly]( he wants to win the 2024 election. Macron’s Pension Push May Herald the End of His Domestic Agenda Macron used an executive fiat to force through his unpopular plan to raise the French retirement age. But as [Samy Adghirni]( and [Alan Katz]( write, that only [underscores]( the difficulty he’ll have enacting any other domestic policies during his remaining time in office. A protest against pension reform in Paris on Thursday. Photographer: Benjamin Girette/Bloomberg Work Just Doesn’t Pay for Thousands of People in Sunak’s Britain Thousands of people up and down the UK considering returning to work have calculated how much more their families would have after benefits were withdrawn and childcare costs added. [Philip Aldrick]( explores why many decide getting a job just [isn’t worth]( it.  - Chancellor of the Exchequer Jeremy Hunt stretched his fiscal rules to the limit to focus on [economic growth]( in his UK budget, with a general election less than two years away and support for his Conservative Party lagging. Hedge Funders Drive Protests in Battle Over Israeli High Court The sight of Israeli hedge fund managers joining thousands of protesters waving an Israeli flag, shouting “Shame!” and “De-mo-cra-cy!” highlight the waning investor confidence in the country sparked by the government’s plan to [slash the power]( of the judiciary. [Ethan Bronner]( and [Marissa Newman]( explain the fight that is tearing Israel apart. A rally in Tel Aviv on March 11. Photographer: Anadolu Agency/Anadolu Threats to Grand Plans Sent Saudi Prince to Seek Iran Deal As he fixes relations with Iran or reaches out to Israel, Crown Prince Mohammed bin Salman has [a key goal](: ensuring his multi-trillion-dollar vision to transform Saudi Arabia stays on track. As [Sam Dagher]( explains, the desire for stability is behind the drive to shield his country from any possible escalation in Israel’s confrontation with Iran. Imran Khan Vows to Appear in Pakistan Court After Street Battles Former Pakistan Prime Minister Imran Khan vowed to turn up in court Saturday after skipping prior hearings, potentially setting the scene for further [political unrest]( in a country that’s at risk of default. “The government, I’m afraid, wants to put me in jail,” Khan told Bloomberg Television. WATCH: Khan speaking in the Bloomberg interview. Best of Bloomberg Opinion this week - [Another Chaotic Week Signals End of Economic Era: Authers & Lee]( - [Britain Is Rapidly Becoming a Sick Society: Adrian Wooldridge]( - [Resentment Is the Key to Reading Putin’s Mind: Andreas Kluth]( - [Nord Stream Attacks Need Facts, Not Theories: Leonid Bershidsky]( - [Protecting the Food Supply Means Thinking Smaller: Amanda Little]( Argentina’s 100% Inflation Opens the Way to a Presidential Upset As presidential elections in October approach, neither of the established blocs, populist or pro-market, have been able to fix an economy lurching deeper into the abyss. [Patrick Gillespie]( and [Ignacio Olivera Doll]( explain that [voter disaffection]( with the government and the main opposition may open the door to a libertarian candidate known for his rage-filled rhetoric. South Korea, Japan Leaders Meet to End Feud and Heal Trade Rift The leaders of South Korea and Japan pledged at a [rare summit]( in Tokyo their readiness to end a long-simmering dispute that had hurt security and trade ties. As [Isabel Reynolds]( and [Jeong-Ho Lee]( report, they’re also ready to work with their US ally to counter threats from the likes of North Korea. Best of Bloomberg Explainers this week - [Bank Runs in the Digital Age Are Speedier, More Viral]( - [How Military Has a Thumb on Scales in Thai Election]( - [Why UK Tories Resent Europe’s Human Rights Court]( - [What Would Happen if South Africa’s Electricity Grid Collapsed]( - [Why South Korea-Japan Ties Are Plagued by History]( US Demands TikTok’s Chinese Owners Sell Stakes or Face Ban The US has told the owners in China of popular video-sharing app TikTok to sell up or face a ban, sources say. The Treasury Department’s Committee on Foreign Investment made the demand recently to ByteDance, in an escalation in the [standoff]( over privacy concerns around Chinese control of its data and algorithm. - TikTok’s leadership is considering [drastic measures]( to keep operating in the US, including separating from its parent, sources say. - The UK [banned]( TikTok from government phones with immediate effect over security fears, following similar moves by the US and European Union. And finally … An agreement this month on the language of a landmark United Nations treaty to preserve marine biodiversity [will transform]( how countries, corporations and scientific organizations do business on the high seas. If the accord is ratified as expected, [Todd Woody]( explains, a once essentially lawless ocean will be managed to protect ecosystems that maintain life on Earth at a time when climate impacts are intensifying. Plastic that washed ashore from a sunken container ship in Sri Lanka. 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