New York morning espresso

** FT News **

* G7 warns Kremlin over Ukraine | Industrial nations meeting without Russia for first time in 17 years set no new triggers for sanctions

* Alibaba buys 50% of Chinese football club | Deal worth $192m is the latest in a string by Chinese ecommerce giant aimed at bolstering its appeal ahead of keenly anticipated US IPO

* Goldman Sachs beefs up Asia M&A team | Richard Campbell-Breeden becomes vice-chairman of investment banking for Asia Pacific ex-Japan, a newly created position at the US bank

* Miners’ dividends at risk, says report | The level of dividends paid by the world’s largest miners is increasingly at risk amid weaker commodity prices, according to a PwC report

* Newmont halts Indonesia mining operations | Group stops gold and copper mining and puts 3,200 workers on leave after failing to reacha compromise with the Indonesian government over export bans

* Indonesia media barons in poll fight | With the race to replace President Susilo Bambang Yudhoyono becoming tighter, Indonesia’s media moguls could play a decisive role in the election

* Pemex focuses closer to home | Chief said Mexico oil company had sold 7.8% stake in Repsol at €20.10 per share, and planned to sell rest of its 1.4% holding in August

* Vodafone’s M-Pesa hold in Africa tested | Millicom’s Tigo, Emirati Etisalat’s Zantel and India’s Bharti Airtel team to allow mobile money payments between their customers for the first time

* Demand falls for expat talent | Economic and cultural factors lead multinationals in emerging markets to recruit locally

* Emerging markets growth slows as costs rise | Labour costs in many crisis-hit developed economies are falling but capital inflows are also shrinking

* Indian insurance shares rise on Modi hopes | Investors expect new PM will allow greater foreign investment in the sector which would give global groups the chance to lift stakes in joint ventures

* China denounces US tech ‘pawns’ | Chinese state media accusations against Google and other internet companies coincide with the anniversary of the Tiananmen Square massacre

* Copper retreats on China financing fears | Chinese probe halts shipments of copper and aluminium after a trading company in Qingdao allegedly used same red metal stocks as collateral for deals

** FT Opinion **

- Tiananmen split the workers of the world | The opening of China through economic reform and foreign investment driven a wedge into the global proletariat

* Angola: Gulfs apart | Vast oil reserves and the prospect of more to come have created rapid growth but the wealth remains stubbornly concentrated among the elite

- Thailand, the land of the inverted smile | Much of the electorate has now tasted the fruits of democracy. For the elites that is precisely the problem

** BB recent & required reading **

- Lots of circuses, not enough bread: EM’s failure to reform and invest | Last week, Alexander Lukashenko, president of Belarus, bafflingly announced he would sign a decree that would return to the status quo in 1861 and reinstate serfdom. Yet other emerging markets, while not actually going backwards, have shown little enthusiasm in recent years for bold policy moves to streamline regulation, tackle corruption, improve the legal environment and, most particularly, build the infrastructure needed for a modern economy.

- Cunning defies control in China’s Tiananmen censorship | The ingenuity of Chinese netizens seeking to commemorate the 1989 Tiananmen massacre in defiance of the country’s “Great Firewall” of censorship is reaching new heights. Armed with little but the remarkable flexibility of Chinese characters, the more daring among 618m internet users are finding an endless string of linguistic ruses to outfox – at least temporarily – the world’s most formidable forces of online control to get their messages out.

- Renminbi use surges in home of US dollar | It is the monetary equivalent of what Chairman Mao called “bombarding the headquarters”. China’s renminbi is rapidly displacing the US dollar as a trading currency not only in Asia and Europe but now also in the US home market. The value of renminbi payments between the US and the rest of the world rose by 327 per cent in April this year from the same month a year ago (see chart) as more US corporations switched to using the Chinese currency to pay for imports from China, according to data from SWIFT, the international currency settlement firm.

** From elsewhere **

Murder, Misery and Minors in Albania’s mining industry (Vice)

Alibaba bets that Chinese soccer will evolve beyond corrupt mediocrity (Quartz)

** Markets: mostly up **

Emerging Markets
MSCI Emerging Market Index up +0.33% at 1,035

FTSE down -0.31% at 6,797
RTS up +0.51% at 1,332
Warsaw Wig up +0.78% at 52,939
FTSE 300 Eurotop up +0.05% at 1,375

DJIA up +0.09% at 16,738
S&P 500 up +0.19% at 1,928
Bovespa down -0.38% at 51,833

Nikkei 225 up +0.08% at 15,079
Topix down -0.10% at 1,233
Hang Seng down -0.18% at 23,110
Shanghai Composite up +0.79% at 2,041
MSCI Asia ex-Japan up +0.17% at 487.94
CNX Nifty up +0.97% at 7,474

€/$ 1.36 (1.36)
$/¥ 102.50 (102.73)

Brent Crude (ICE) down -0.33 at 108.07
Light Crude (Nymex) down -0.28 at 102.36
100 Oz Gold (Comex) down -0.80 at 1,243