FirstFT: Biden and Xi will postpone the conversation

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Joe Biden and Xi Jinping there will be a phone call todayamid escalating tensions over a planned visit to Taiwan by House Speaker Nancy Pelosi, a U.S. official said.

The scheduled call will be only the fifth conversation between the two leaders since Biden became US president 18 months ago. Biden and the Chinese president were expected to discuss a variety of contentious issues, from military objectives to technological competition. But those plans were complicated by Pelosi’s planned visit to Taiwan in August.

The Financial Times reported last week that the 82-year-old Democrat planned to travel to Taiwan to show support as he comes under increasing pressure from China, which claims sovereignty over the island. Beijing has privately issued scathing warnings, suggesting a possible military response if Pelosi continues the trip.

The White House is extremely concerned that her visit could provoke a crisis in the Taiwan Strait. Biden sent senior officials, including national security adviser Jake Sullivan, to explain the risks. But this was complicated by the fact that the Congress is independent and has no formal authority to block her visit.

  • opinion: The US and China are falling into a trap they themselves have created. The price of miscalculation by either side will be fatal, and the risks are only growing, writes Edward Luce.

1. The Fed raises rates by 0.75 points for the second month in a row At the end of its two-day policy meeting, the Federal Open Market Committee raised its target range for the federal funds rate to 2.25% to 2.50 percent. The decision, which received unanimous support, extended a string of interest rate hikes that began in March and increased in size as the Federal Reserve’s fight against inflation intensified.

2. South Korea is investigating cryptocurrency transactions in the Forex market Regulators are investigating cases worth $3.1 billion. “abnormal” currency transactions two of the largest commercial banks in the country for possible money laundering related to investments in cryptocurrency.

3. European gas prices are accelerating European gas prices jump as Russia follows suit due to the threat of a sharp reduction in gas supplies to the region. Prices rose 13% as flows through the Nord Stream 1 gas pipeline fell to one-fifth of normal capacity.

4. Parent platform Facebook Meta reports first revenue decline Meta reported on first decline in revenue in the second quarter, blaming macroeconomic pressures and offering investors a bleak outlook for the coming months. Meta, formerly known as Facebook, is the latest big online advertising player in need as advertisers cut costs.

5. Singapore GIC warns against a rough year The Singapore Public Fund is funneling money into real estate and other inflation-protective assets in preparation for several years of hiatus from rising prices. In an interview with the Financial Times, GIC management said that the rapid rise in inflation could negate the gains made in recent years.

The next day

French President Meets Crown Prince of Saudi Arabia Emmanuel Macron wants to meet Mohammed bin Salman in Paris today against the backdrop of the ongoing energy crisis in Europe. The trip is part of Crown Price’s first trip to Europe since the murder of Jamal Khashoggi. (EU politician)

Income The corporate earnings marathon continues. We will be following Amazon, Apple, Barclays, Nissan Motor, Panasonic, Pfizer and tomorrow. In particular, Europe’s largest companies – BP, Shell and TotalEnergies – are expected to report unprecedented profit over the next week.

What else do we read and listen to?

White elephants fuel fury over Sri Lanka’s debt crisis The Rajapakas spent money lavishly on vanity projects that rot in the heat. Today unpaid debts and rising maintenance the costs reflect the challenges Ranil Wickremesinghe faces as the new president prepares to implement painful reforms.

  • Listen: In this week’s issue For moneyAnthony Slodkowski of the FT shares what he saw after a week of reporting in Sri Lanka.

How serious will the global food crisis be? Food prices are falling, but experts say global production and hunger could fall. even worse in 2023. The war in Ukraine is just one of many problems that could keep hunger levels high for years to come.

Graphics of global food crisis

Shrimsley: Truss is the right choice for this conservative party Today’s conservative party doesn’t like hard choices. And that’s a problem for Rishi Sunak, because the former chancellor decided to make confrontation with them his key move to replace Johnson. confectioner candidate – Liz Truss and she’s willing to do anything if it takes her to the top.

To fight disease, look beyond Kardashian proteins If the famous protein hierarchy existed, P53 would be This is Kim Kardashian. The protein inhibits tumor growth: for example, a lack of P53 predisposes a person to cancer. While P53 is undeniably important for health, it is also a beneficiary of the “street light effect” in which an already lit phenomenon draws extra attention.

India’s rapid post-pandemic recovery risks inflation In a country that has traditionally maintained close ties with Moscow, the government of Narendra Modi purchase of Russian oil at a discount, despite US and European sanctions in connection with Vladimir Putin’s invasion of Ukraine. However, this was not enough to soften the energy shock.

Graphics in India

Books

Former Fed Chairman Ben Bernanke and historian Edward Chancellor offer conflicting views on the central bank crisis in two new books. review by Martin Wolf. “Chancellor wrote an overheated and unbalanced polemic,” writes Martin. “However, this does not fully justify Bernanke’s managerialist point of view.”

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