Updates on the global economy

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The United States has launched a new trilateral security partnership with London and Canberra that will allow Australia to build a fleet of nuclear-powered submarines, an initiative that will strengthen the allies’ ability to counter China.

President Joe Biden announced the effort, which aims to strengthen alliances amid mounting tensions with China over disputes ranging from the South China Sea to Taiwan, at a virtual event with British Prime Minister Boris Johnson and his Australian counterpart Scott Morrison.

Biden said the initiative, including the submarine plan, was necessary to ensure countries have the best technology to “defend against rapidly evolving threats,” in rhetoric that appeared to be aimed at Beijing.

“Our nations. . . have been side by side for literally over 100 years, ”Biden said. “Today, we are taking a new historic step to deepen and formalize cooperation. . . because we all recognize the imperative to ensure peace and stability in the Indo-Pacific.

  • Related reading: As the West intensifies its efforts to counter China, the EU has proposed a new infrastructure program to compete with its Belt and Road initiative.

Thanks for reading FirstFT Asia. Here’s the rest of today’s news – Emily

Five other articles in the news

1. Ghani’s escape derailed the last-ditch deal with the Taliban, says US envoy Afghan President Ashraf Ghani’s decision to flee the country last month thwarted a last-minute deal with the Taliban to keep Kabul out of Islamist hands and negotiate a political transition, the US talks diplomat said with the Taliban.

2. Dalio warns regulators could ‘kill’ bitcoin Ray Dalio, the founder of Bridgewater Associates, said regulators would shut down bitcoin if the cryptocurrency got too efficient and dismissed predictions from Cathie Wood of Ark Invest that its price would increase tenfold in five years.

3. North Korea puts Biden to the test North Korea fired two ballistic missiles, the South Korean military reported yesterday. The test comes just three days after Pyongyang claimed to have successfully tested a new long-range cruise missile. International weapons experts have also followed new “interesting” movements at a North Korean naval base, potentially linked to its submarine development program.

4. Casino stocks collapse as Macau seeks greater oversight The Macau government’s drive to increase casino oversight has wiped more than $ 20 billion from the market value of listed gambling operators, as analysts have warned that tough regulations could reduce margins already set. severe test by the Covid-19 pandemic.

5. Chinese Ambassador to UK bans events in Parliament Sir Lindsay Hoyle, Speaker of the Commons, and Lord John McFall, Lord Speaker in the Upper House, have both said they are barring Zheng Zeguang from entering Parliament amid wider outrage over human rights violations man in China.

Coronavirus digest

  • ChinaThe economic slowdown worsened in August as coronavirus outbreaks exposed continued weakness in consumer spending and cast further doubts on the country’s growth prospects.

  • Pfizer said he plans to seek US authorization for his Covid-19 vaccine in November for children six months to five years old. But protection against his vaccine wanes six to eight months after the second dose, new data shows.

  • Incoming vaccinated travelers England will be subject to lighter testing requirements.

  • The UK joined nine other nations, including France and Israel, by announcing jab booster campaigns.

The day to come

Shanghai Cooperation Organization Annual Summit The hybrid rally in Dushanbe, the capital of Tajikistan, will be chaired by Tajik President Emomali Rakhmon. Foreign ministers from China, Russia, Iran and Pakistan are expected to attend the meeting and Indian Prime Minister Narendra Modi will virtually lead his country’s delegation. (India Week)

New Zealand GDP in the second quarter Analysts expect second-quarter growth to accelerate to 16.3% year-on-year when second-quarter growth figures are released today, according to a Bloomberg survey. (DFX)

John Lewis Partnership Interim Results UK middle-class spokesman John Lewis will want to steer clear of the narrative of store closures – he has closed 16 of his department stores in the past 18 months – so expect updates on his businesses in the real estate, horticulture and financial services as well as its interim results today.

What else do we read

Rise of decentralized finance sparks ‘dirty money’ fears Regulators have long been concerned about the secrecy of crypto trade. Now, they fear that new blockchain technologies will make it easier for criminals and kleptocrats to move money around the global financial system. These concerns are fueled by the growth of decentralized finance or DeFi – a company with assets now in the tens of billions of dollars.

Singapore marks the end of a more liberal era in higher education Yale-National University of Singapore, the city-state’s premier liberal arts college, announced last month that it would end its partnership amid rising anti-foreign sentiment, writes Mercedes Ruehl.

” It’s real ! »: Nikola presents the first viable electric truck For the first time since the group was accused of fraud by a short seller last year and rigged a video of one of its prototypes by rolling it down a hill, Nikola CEO , Mark Russell, introduced the world to a viable product. a white and robust Tre electric truck, built by the Italian manufacturer Iveco.

Chinese cosmetic surgery industry to get a facelift Since early July, the market value of the country’s three largest publicly traded medical aesthetics companies has fallen by a third, despite the popularity of cosmetic procedures. This shift in investor sentiment comes as state media ramp up criticism of the industry for promoting the idolatry of physical appearances – and some young people are welcoming the reckoning.

How to achieve financial literacy Financial Times Associate Editor Patrick Jenkins launched the FT’s Financial Literacy and Inclusion (FLIC) charity campaign at the recent FT Weekend Festival. The launch drew hundreds of messages of support from readers, including Courtney Love. Read what the rock star had to say about the campaign here.

Books

The list of six finalists for this year’s Booker Prize has been announced and includes first novelist Patricia Lockwood for her social media satire, Nobody talks about it, and the family saga of Damon Galgut set against a backdrop of apartheid in South Africa. The winner will be announced on November 3.

  • Business books: Check out our recommended list of this month’s top business book titles, including a new memoir from former PepsiCo CEO Indra Nooyi.

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