FT News Briefing

The CDC director warns of a potential second wave of coronavirus in the U.S. as cases surge in the southern hemisphere. Meanwhile, the iconic Mall of America struggles with mortgage payments, posing risks to the $500 billion mortgage-backed bond market. The discussion shifts to India's pharmaceutical sector, where companies are pivoting away from reliance on China, boosting local production and attracting foreign interest in specialty chemicals. It highlights the intersection of health, economy, and global supply chains in a rapidly changing landscape.

Facebook has launched a new shopping platform to rival Amazon and eBay, eyeing the e-commerce market amid pandemic shifts. The proposed €500 billion EU recovery fund faces resistance from northern countries, highlighting tensions among member states. Meanwhile, SoftBank grapples with a staggering $13 billion loss, prompting founder Masayoshi Son to strategize future investments, including a significant asset sale. The combination of these developments paints a complex picture of the current economic landscape.

Investors are feeling optimistic due to encouraging results from a US Covid-19 vaccine trial, hinting at a potential economic recovery. Meanwhile, Chinese self-driving car startups are racing ahead, while US competitors are lagging. Bond investors express frustration over companies reporting 'earnings before coronavirus,' a growing trend. Additionally, recent US sanctions are tightening their grip on Huawei, threatening its chip production and raising questions about its future in the international market.

Federal Reserve chair Jay Powell expresses concerns about the slow recovery of the U.S. economy until late 2021. Meanwhile, Nomura, Japan’s oldest brokerage, is shifting its strategy to focus on private markets. In Taiwan, new travel protocols are in the works for foreign visitors in collaboration with Stanford University. Additionally, the podcast discusses the impact of the pandemic on South Korea’s film industry, highlighting how viewer habits and the success of a hit TV drama have disrupted traditional entertainment models.

The global race for a coronavirus vaccine is heating up, with tension between national interests and the need for global cooperation. Companies are innovating with 'EBITDAC,' a new financial metric that raises eyebrows about transparency. Investor strategies are crucial amid evolving financial landscapes, while the Bank of England's governor discusses policies in response to the economic crisis. The implications of vaccine distribution on geopolitical power dynamics add a fascinating twist to the ongoing pandemic narrative.

Jay Powell advocates for more fiscal stimulus to protect the US economy from pandemic fallout. Meanwhile, BMW faces backlash for paying dividends while seeking government support. The discussion also highlights the rapid growth and potential vulnerabilities of collateralized loan obligations (CLOs) amid economic uncertainty. Experts elaborate on the risks surrounding these financial instruments and the impact of rising debt levels, warning they could pose challenges in the future.

The global economic outlook is grim, with the IMF warning of increasing challenges. A major reinsurance deal has collapsed, reflecting the pandemic's ongoing impact on dealmaking. Meanwhile, emerging markets face an impending debt crisis, particularly affecting countries like Argentina, Zambia, and Ecuador. The discussion draws unsettling parallels to past crises, highlighting the precarious state of economies struggling under pandemic pressure.

Mass testing is facing supply shortages as demand surges during lockdown easing. BP's new CEO predicts lasting impacts on oil consumption due to the pandemic. The struggles of senior living homes reveal their role beyond just landlords, urging investors to reconsider their value. Meanwhile, rental car companies are adapting to market challenges with varying fleet strategies, highlighting a shift towards affordability amid a turbulent landscape.

UK airlines are calling for urgent government support as new quarantine measures threaten their survival. Meanwhile, U.S. businesses are navigating complex legal questions about paying employees for health checks. WeWork is making waves by skipping rent payments and renegotiating leases, impacting the commercial mortgage market. Interestingly, the renewable energy sector continues to thrive, setting records and striking deals even amid the chaos of the pandemic, showcasing its resilience and potential for growth.

Uber's financial boost from food delivery highlights a shifting economy amid the pandemic. India's reliance on digital investments continues to grow as Mukesh Ambani makes headlines with stake sales. As anticipation builds for the US jobs report, concerns linger over the labor market's recovery. Meanwhile, the fashion industry faces an existential crisis, redefining its strategies in a world without physical stores, while sustainability becomes a crucial focus moving forward. The podcast dives into these transformative trends.