FT News Briefing

Small and medium-sized US companies suffered a wipeout in profits in the second quarter amid the Covid-19 crisis, Lyft reported a 61 per cent drop in revenue in the same quarter but says it is seeing signs of a recovery, and Cisco warned of an even bigger drop-off in sales than it has experienced so far during the crisis. Plus, the FT’s Gavin Jackson reports on the UK’s latest GDP data. Then, we look back at the life of media mogul Sumner Redstone. Lyft clings to signs of recovery after pandemic dents revenue https://www.ft.com/content/938ea146-2699-4c2d-8511-e634d2d003f8?edit=true Cisco sales warning raises spectre of broad IT spending decline https://www.ft.com/content/f737c60e-d632-4eda-9e41-b181c3b5ca04? Coronavirus makes for a brutal quarter for smaller US companies https://www.ft.com/content/83d0c41f-be54-48e3-89fe-e78cda5f319c UK economy suffers worst slump in Europe in second quarter https://www.ft.com/content/c8b172e2-8f70-4118-9e81-423e9a4b6839 Sumner Redstone, media mogul, 1923-2020 https://www.ft.com/content/2414b9e4-5ef3-4e46-a760-9592f162e914  See acast.com/privacy for privacy and opt-out information.

Democrat Joe Biden has named Kamala Harris as his vice-presidential running mate, an Eastman Kodak board member donated $116m in company shares to an Orthodox Jewish congregation just before the stock price collapsed, and McDonald’s is suing its former chief executive, Steve Easterbrook, over sexual conduct allegations. Plus, Russia has become the first country to grant regulatory approval to a vaccine against Covid-19. The FT’s Henry Foy explains what this means for the global race to treat coronavirus.  Joe Biden names Kamala Harris as his running mate https://www.ft.com/content/6b975742-3200-4a5c-902c-e6303f55da03 McDonald’s gets tough with former chief over fresh sexual conduct claims https://www.ft.com/content/99718ee2-152f-4749-b8d7-db8065a20a39 Kodak board member donated $116m in shares to charity https://www.ft.com/content/6e7494c4-56cd-4121-8027-ecfc9586958c Russia to start mass use of its Covid-19 vaccine in coming weeks https://www.ft.com/content/219b973f-c50a-4071-994f-cc4592d43e1b  See acast.com/privacy for privacy and opt-out information.

A judge in California has ordered Uber and Lyft to reclassify their drivers as employees, and the Federal Reserve has turned down Goldman Sachs’ request for less onerous treatment after the results of its annual stress test. Plus, the FT’s Richard Milne explains why any labelling of Sweden’s approach to coronavirus might be an oversimplification.  Uber and Lyft told to treat drivers as employees in California https://www.ft.com/content/051a319c-e599-4975-90ea-40211b6a1417 Fed denies Goldman’s appeal against stress test results https://www.ft.com/content/ba208f8d-a388-4fe5-a01b-2cb030bb9a03 Sweden’s pandemic no longer stands out https://www.ft.com/content/7acfc5b8-d96f-455b-9f36-b70dc850428f?  See acast.com/privacy for privacy and opt-out information.

A series of blockbuster deals has led a resurgence in M&A activity since the start of July, and international donors agreed to fund €250m in emergency aid for Beirut after a chemical explosion devastated Lebanon’s capital. Plus, the FT’s US sports business correspondent, Sara Germano, explains why a group of employees at Nike have asked management to publicly acknowledge the company’s own internal shortcomings on equality before promoting the ideal to consumers.  Megadeals lead M&A revival as big companies bulk up ft.com/content/59378fea-79a9-4684-ae03-a41798a6245c? Future of Lebanon and entire region at stake, warns Macron https://www.ft.com/content/c44ff8e3-1715-499f-8d0e-6774a3d6b8aa Black employees at Nike object to company’s new ad https://www.ft.com/content/e8b4a2e3-e0cf-467a-890b-b64db664778a  See acast.com/privacy for privacy and opt-out information.

A surge in Uber’s food delivery business was unable to offset a 75 per cent drop in global ride-sharing, Quicken Loans stock jumped 20 per cent in its first day of trading on Thursday, and an FT analysis of data made public by  the Trump administration makes it difficult to discern whether the US Paycheck Protection Program was effective at saving jobs. Plus, the FT’s deputy Beijing bureau chief, Yuan Yang, explains why Microsoft’s position in China might give it an advantage in its takeover talks for TikTok.  Appetite for Uber Eats fails to offset ride-sharing collapse https://www.ft.com/content/0f0cd5f1-f88d-44e1-8b6a-7b50e48118aa Quicken Loans IPO: mortgage pioneer cashes in a big win https://www.ft.com/content/4f7e583a-3327-42fd-80cc-81bde2339a9b How many jobs were saved by the US small business bailout? https://www.ft.com/content/fd288b21-3391-4881-95a3-6b860c007ec0 TikTok deal tests Microsoft’s decades of China experience https://www.ft.com/content/b02d5324-07e6-48ac-b658-b8c400d9b4fc  See acast.com/privacy for privacy and opt-out information.

US lawmakers have launched an investigation into a $765m loan by the US government to Eastman Kodak, and two companies, Zynga and Etsy, reported strong quarterly earnings amid the pandemic. Plus, the FT’s Washington correspondent, Lauren Fedor, has some updates on how the campaign of presumptive Democratic presidential nominee Joe Biden is doing.  House Democrats probe $765m government loan to Kodak ft.com/content/e4ab02ba-f8f7-4ca9-b881-9400ee612e18? Zynga earnings boosted by lockdown gaming habits https://www.ft.com/content/dfee19e3-1084-4d53-b522-99b6595281e7? Joe Biden aims to outspend Donald Trump on TV ads ahead of US election https://www.ft.com/content/012896c0-71ee-4081-a3a5-8b1ca864b214  See acast.com/privacy for privacy and opt-out information.

Dozens are dead and thousands injured after an explosion rocked Beirut, an income hit at Disney’s theme park has caused a knock on the company’s profits in the latest quarter, and an exchange traded fund holds more gold than some central banks. Plus, the FT’s Tabby Kinder explains why the UK tax authority, HM Revenue & Customs, is going after General Electric on fraud allegations. Beirut rocked by massive explosion https://www.ft.com/content/efb1426f-a80f-4b38-99c1-67a7a0823c4a ETF becomes one of world’s biggest gold owners as investors flock in ft.com/content/5316a714-6aa9-4919-ab29-96fab47cf2d4 Disney plans a digital debut for ‘Mulan’ https://www.ft.com/content/e39b07a9-edde-4dd3-9356-31bb11cd39e2 Why the UK tax authority is accusing General Electric of a $1bn fraud https://www.ft.com/content/02a6fa1b-8b62-4e1e-9100-fe620c8ec96c  See acast.com/privacy for privacy and opt-out information.

US President Donald Trump reversed course and dropped his opposition to Microsoft’s bid for TikTok, two leading candidates to head the World Trade Organization say US legal criticisms over dispute resolution are valid, and foreign aid groups combatting the coronavirus pandemic in North Korea have been forced to borrow money from its government. Plus, the FT's senior energy correspondent, Anjli Raval, tells us how oil companies are surviving the pandemic shock.  Register for the Energy Source talk, “Profit and Power in the Energy Industry”  https://live.ft.com/Events/2020/Profit-and-Power-in-the-Energy-Industry?segmentId=b52e1504-1d03-48a4-76bc-38fb50ada64b&utm_us=JJYAAP Trump drops opposition to Microsoft bid for TikTok http://ft.com/content/a1162b60-977d-400c-9758-edc4aa006f72? Leading WTO candidates back US bid for dispute system reforms   ft.com/content/f4830e2b-df7b-474a-8104-6336992ca193 Aid groups borrow money from N. Korea in coronavirus fight ft.com/content/057ec3d5-77ba-4db3-a1cc-1b2e60617094?edit=true Shell and Total escape underlying losses on strong oil trading https://www.ft.com/content/5df3596c-6b42-4270-85c4-c10834e80975  See acast.com/privacy for privacy and opt-out information.

The Trump administration has vowed to “take action” against Chinese software companies that it perceives as a risk to security. Plus, William Spriggs, a professor of economics at Howard University and chief economist of the AFL-CIO, explains how the pandemic is changing the US labour market.  US to widen action against Chinese tech groups beyond TikTok https://www.ft.com/content/2eb1859f-ea08-4c7e-9bdd-a6712389a389 The Rachman Review: US economist William Spriggs on scars of the pandemic https://www.ft.com/content/f80f8629-a84f-4ed8-abc2-bcf12cc92095  See acast.com/privacy for privacy and opt-out information.

Facebook, Amazon, and Apple all reported stellar revenue increases in the latest quarter. The FT’s Richard Waters will explain what that means in the context of Wednesday’s US congressional big tech antitrust hearings. Then, FT US markets reporter Colby Smith will explain investor reaction to the worst contraction in the US economy in postwar history. Plus, corporate America is still clinging on to share buybacks despite the global recession.   Register for the Energy Source talk, “Profit and Power in the Energy Industry”  https://live.ft.com/Events/2020/Profit-and-Power-in-the-Energy-Industry?segmentId=b52e1504-1d03-48a4-76bc-38fb50ada64b&utm_us=JJYAAP Apple revenues defy expectations despite store closures https://www.ft.com/content/20d1ef26-2bf4-4900-85b2-08ef7c6d1ae1 US economy suffers sharpest postwar contraction in second quarter https://www.ft.com/content/3ff15dc7-be90-4676-8121-5a868016c4bb US companies cling to share buybacks despite collapse in profits ft.com/content/1c924be0-5bc0-4eba-a088-b98b13080c04?  See acast.com/privacy for privacy and opt-out information.

American lawmakers grill the chief executives of four US tech groups over unfair competition accusations, Qualcomm shares soared to a record high after the California chipmaker announced a royalty deal with Huawei on Wednesday, and the Federal Reserve extends measures to deal with the risk of an international shortage of dollars. Plus the FT’s opinion and analysis editor, Brooke Masters, explains how Goldman Sachs walked away from the 1MDB scandal relatively unscathed.  Big Tech bosses told they have ‘too much power’ https://www.ft.com/content/7c291a12-b87c-42a6-bd35-be961693c3e7 Qualcomm shares surge on Huawei deal and 5G progress https://www.ft.com/content/0d266436-3377-49bb-867b-266939240685 Fed warns virus resurgence threatens economic recovery https://www.ft.com/content/938a5387-778d-4f9e-8aed-53d2a332c7af  Goldman has done it again with its Malaysia deal https://www.ft.com/content/03d5f3c8-3d0c-4afb-b3c5-3c5ed1c7cfe6  See acast.com/privacy for privacy and opt-out information.

Moderna is pitching its coronavirus vaccine at about $50 to $60 per course, the Federal Reserve has announced that it will extend emergency lending facilities, the European Central Bank has called on eurozone banks to continue to freeze dividend payments and Europe is bracing for another surge in coronavirus cases. Plus, the heads of Amazon, Apple, Alphabet and Facebook are set to appear together before Congress for the first time. The FT’s Lauren Fedor will explain what might come out of this hearing. Big tech goes to Washington  https://www.ft.com/content/3e26d31f-9cff-4b3b-a971-02e16996c190 Moderna pitches virus vaccine at around $50-$60 per course https://www.ft.com/content/405c0d07-d15a-4f5b-8a77-3c2fbd5d4c1c Europe battles to contain surge in Covid-19 cases ft.com/content/bcddc297-b7f2-444d-908f-54e8ce6f4f98?  See acast.com/privacy for privacy and opt-out information.

Senate Republicans unveiled a White House-backed plan for $1tn in new stimulus that would cut emergency unemployment benefits by two-thirds, the dollar weakened to a two-year low on Monday as coronavirus flare-ups weighed on investor confidence and Major League Baseball contends with a fresh coronavirus outbreak. Plus, the FT’s banking editor, Stephen Morris, will explain what lies ahead for European banks when it comes to loan losses and dividends.  Republicans unveil $1tn stimulus plan cutting jobless benefits https://www.ft.com/content/3c6d86e9-93b4-41af-9803-046940cedf99? Dollar sinks to two-year low on concern over US virus toll https://www.ft.com/content/9d9fa97c-154f-46fb-affd-51f45a0de08a US baseball league postpones games after outbreak hits Miami team  https://www.ft.com/content/12b00810-5b8c-4df0-b22d-cabe898770a3 Banks across Europe braced for further heavy loan-loss charges https://www.ft.com/content/d42d735a-9aa3-454e-955a-3e0b22eda03d  See acast.com/privacy for privacy and opt-out information.

Republicans are set to unveil their proposals for a fresh round of stimulus today, US oil companies have increased production following the price crash earlier in the year, and a surge in coronavirus cases have forced countries to curb European travel. Plus, the FT’s political editor, George Parker, will have an update on the progress  of future relationship talks between the UK and EU.  Republicans prepare to unveil latest US stimulus offer ft.com/content/3ced1ea5-6070-46ee-a946-dc18ad212bf7 US oil production wells up after Covid price crash https://www.ft.com/content/9552bb8b-c23a-458d-b476-bbbbe4163bd2 Infection surges force countries to curb European travel https://www.ft.com/content/584ee262-d539-40ca-b145-e42865f2bc6b Michel Barnier warns ‘no progress’ made on key issues in Brexit talks https://www.ft.com/content/14e6c44f-5573-46c1-8f4c-224747562c42  See acast.com/privacy for privacy and opt-out information.

Goldman Sachs is pointing to its strong second quarter results in a pitch to the Federal Reserve for relief on its capital requirements, Intel shares dropped after the company said it was pushing back the launch of its next generation of chips, and as US lawmakers wrangle over the next economic stimulus package the US jobs recovery appears to be stalling. Plus, the search for oil can cost hundreds of millions of dollars. The FT’s senior energy correspondent, Anjli Raval, explains why the industry is scaling back.  Goldman touts ‘countercyclical’ trading in pitch for capital relief ft.com/content/91b19416-6f3b-4e67-a309-857a61c6d494? US labour market recovery appears to stall amid stimulus talks https://www.ft.com/content/c9290574-ceef-4638-baf1-d27323992129 Intel warns of delays to next generation chips ft.com/content/29e02e4f-df7f-49d7-8f94-00a5af481909? The last frontier: oil industry scales back exploration https://www.ft.com/content/85afd43a-cb3d-4e82-88b7-1f3a77dc2acb  See acast.com/privacy for privacy and opt-out information.