America’s puzzling yen intervention

Key takeaways

Novo Nordisk is actively pursuing mergers and acquisitions of varying sizes to strengthen its drug pipeline amidst patent challenges and fierce competition.
Russia is quietly circumventing EU sanctions on LNG by using a shadow fleet of ships owned by shell companies, ensuring continued energy exports despite official bans.
The US and Japan’s rare coordinated currency intervention to support the yen is driven both by economic stabilization motives and geopolitical signaling, marking a notable shift in international monetary cooperation.

Summary

Novo Nordisk's Strategic Outlook and Industry Challenges

This section discusses Novo Nordisk's CEO, Mike Duster, and his plans for potential mergers and acquisitions, emphasizing that the company is open to deals of all sizes to replenish and expand its drug pipeline. The focus is on how Novo Nordisk is navigating patent cliffs and competitive pressure, particularly from Eli Lilly, with the successful launch of their weight loss drug, Wegovy. The discussion also covers investor expectations and concerns about the company's diversification strategy.

Russia’s Shadow Fleet and EU Sanctions Evasion

Here, the podcast explores Russia's efforts to evade EU sanctions by developing a 'shadow fleet' of liquefied natural gas (LNG) ships using secondhand tankers and shell companies in offshore territories. This covert shipping method aims to bypass the EU's ban on Russian LNG imports set to begin in 2027, highlighting Russia's adaptability and ongoing efforts to sustain its energy exports despite international restrictions.

US-Japan Coordinated Yen Intervention

The focus shifts to Japan's unprecedented joint currency intervention with the US to stem the yen’s decline against the dollar, which reached levels unseen in 40 years. The episode explains the geopolitical and economic motivations behind this rare multilateral move, such as supporting Japan’s economy and stabilizing financial markets. The discussion also delves into the US's strategic reasons for supporting this intervention, including managing US dollar and treasury bond stability, and the implications for global currency markets.

Show notes

Novo Nordisk’s CEO checks in on his first year at the helm, and Russia is quietly assembling a "shadow fleet" of ships to circumvent EU sanctions. Plus, we take a deep dive into a historic joint intervention in Japan’s currency.

Mentioned in this podcast:

‘Arrogance kills’: Novo chief injects risk-taking into Ozempic-maker

AstraZeneca investors raise concerns over mega-merger talks

Russia expands shadow LNG fleet ahead of EU ban

Team America: Yen police

Japan vows further yen intervention with US if needed

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The FT News Briefing is produced by Victoria Craig, Sonja Hutson, Saffeya Ahmed and Katya Kumkova. Our editor is Marc Filippino. Our show is mixed by Sam Giovinco and Alex Higgins. Additional help from Gavin Kallmann, Michael Lello, Peter Barber and David da Silva. Our intern is Cole van Miltenburg. Special thanks to Nisha Patel. Our executive producer is Topher Forhecz. Flo Phillips is the FT’s global head of audio. The show’s theme music is by Metaphor Music.

Read a transcript of this episode on FT.com

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