Saudi Arabia cuts ties with Iran, economists back Cameron on EU, and robots in the workplace

The daily briefing “FirstFT” from the Financial Times.

This article is published in collaboration with FirstFT.

Saudi Arabia has severed ties with Iran in the escalating dispute over the execution of a Shia cleric by Riyadh and the consequent storming of the Saudi embassy in Tehran. Adel al-Jubeir, Saudi foreign minister, said Iran would not be allowed to undermine the Sunni kingdom’s security.

Saudi Arabia executed 47 people on Saturday for planning and carrying out terrorist attacks, including the prominent Shia cleric and activist Sheikh Nimr al-Nimr, triggering riots at Riyadh’s embassy in Tehran. (FT)

In the news

Equities: And then there were nine 2015 would have entered the history books as a terrible year for the US stock market — had it not been for a small group of nifty companies. US bonds and equities had their second-worst collective 12 months since 1995 — outstripped only by the disaster year of 2008. (FT)

Isis claims killing of ‘UK spies’ The militant group has released a video purporting to show the killing of five men they claim were spying for Britain, accompanied by a message taunting UK Prime Minister David Cameron for challenging the “might” of Isis. (FT)

The case of the missing bookseller Hong Kong police are investigating the disappearance of a publisher who sold books critical of China’s top leaders. The case has sparked further protests about mainland interference in the affairs of the semi-autonomous territory. (FT)

Economists back Cameron on EU An overwhelming majority of economists have backed the claim by David Cameron that British membership of a reformed EU is vital to the country’s economic security, in an annual Financial Times survey. (FT)

Shake-up for US mutual funds A new entrant in the US mutual fund industry pulled in more money in 2015 than powerhouse brands including Fidelity, BlackRock and American Funds. The Bridge Builder fund family, created by the Edward Jones chain of financial advisers, attracted more than $15bn within months of launching seven bond and equity vehicles. (FT)

It’s a big day for

US gun control President Barack Obama is to meet with Attorney-general Loretta Lynch to finalise a series of new gun control measures. One of the main proposals would require some unlicensed gun dealers to get licences and conduct background checks on potential buyers. (WaPo)

Tech enthusiasts, who are flocking to Las Vegas this week for the annual showcase of hot technology — the Consumer Electronics Show. (FT)

Food for thought

The world in 2016 Will Britain vote to leave the EU? Will Russian athletes compete in the Olympics? Will Jeremy Corbyn still be Labour leader a year from now? The FT’s experts and commentators set caution to one side and predict how the big events of the coming year will play out. (FT)

Obama’s high stakes final year Barack Obama’s original vow was to heal divisions in an increasingly polarised and embittered society. He now has 12 months to make good on that promise or risk leaving office with the US even less governable than when he found it. (FT)

Corporate guff — Lucy Kellaway’s Golden Flannel Awards Last year was a ripping one for corporate jargon, writes the FT’s Lucy Kellaway. “What stood out was the number of entries that offend not only the eye and ear but make the flesh creep too.” And the soaraway winner?“Executive brownout”. (FT)

The problem with craft beer The industry is addicted to hops. So addicted, in fact, it doesn’t even notice. Hops only make up a small proportion of the ingredients used in beer, yet a lot of people conflate its bitter aftertaste with the taste of craft beer itself. (Slate)

Can you hold back the tears? Watching a Thai TV commercial can be a heart-wrenching, harrowing experience for even the thickest of skins. Life insurance ads are produced like silver screen tear-jerkers, with scenes of intense emotional torment and profound tragedy. Now, online viewers are daring each other not to cry and the challenge has become something of adigital spectator sport. (WSJ)

Video of the day

Robots in the workplace Will the rise of the robots usher in a jobless, machine-dominated dystopia or a productive partnership with sophisticated computer-helpers? Andrew Hill, management editor, considers what the automated future holds for white-collar workers. (FT)

Publication does not imply endorsement of views by the World Economic Forum.

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Author: FirstFT is the Financial Times’ editors curated free daily email of the top global stories from the FT and the best of the rest of the web.

Image: A huge euro logo is pictured next to the headquarters of the European Central Bank (ECB). REUTERS/Ralph Orlowski.