FirstFT: the best stories of the day | Financial Times

This article is an on-site version of our FirstFT Europe / Africa newsletter. Sign up here to receive the newsletter straight to your inbox every morning of the week.

Hello. To make FirstFT the best it can be, we want to know what you like and don’t like about the newsletter. Help us improve FirstFT by taking our short survey.

A wave of cash flooding bank balance sheets during Covid-19 prompted some of America’s largest lenders to take the unusual step of advising corporate clients to withdraw money from deposits.

Banks such as JPMorgan Chase and Citigroup have discussed with large corporate clients the possibility of placing liquidity in money market funds rather than deposits, according to people familiar with the discussions.

The talks followed a decision by the Federal Reserve in March to end the looser capital rules for banks that were put in place at the start of the pandemic. The easing of regulations had helped lenders cope with a surge in deposits resulting from the US fiscal stimulus and the central bank’s quantitative easing policies.

Usually, deposit growth is a welcome indicator of a healthy economy and allows banks to lend more. But in the absence of comparable credit demand, additional deposits can be costly for banks, forcing them to hold more capital.

Coronavirus digestion

  • Dr Anthony Fauci, chief medical adviser to Joe Biden, told the Financial Times he would oppose a plan to tear up international trade rules in the hope of improving vaccine supplies to developing countries.

  • new York, New Jersey and Connecticut will lift most restrictions on businesses by mid-May. Capacity restrictions on offices, theaters, museums, and businesses, including retailers, bars and gyms, will be removed in all tri-states starting May 19.

  • The United States is preparing to allow the BioNTech / Pfizer vaccine for 12-15 year olds in the coming days. Denmark became the first country to drop the Johnson & Johnson vaccine due to blood clot issues.

  • Scientists in Brazil hope that a handful of local vaccines can be an essential weapon against the pandemic.

  • Boris Johnson Monday indicated that the British would be able to resume “some” international travel from May 17th. A coalition of airlines is pushing for a YOU’RE USELESS trip ahead of G7 meeting in June.

  • From India The number of confirmed coronavirus cases has crossed the 20m mark, making it the second country in the world after the United States to reach the milestone. US business leaders have stepped in to pressure the Biden administration to act on the Covid-19 crisis in India. (FT, Bloomberg)

Follow our pandemic live blog and Register now for our Coronavirus Company Update newsletter to get Covid-19 news delivered to your inbox every Monday, Wednesday and Friday.

In the news

Mexico City’s railway bridge collapses More than 20 people have died and 65 have been hospitalized when an elevated section of the Mexico City metro collapsed on a road below late Monday. The accident occurred on line 12, the last metro line, in the south of the capital.

The site where an overpass for a subway partially collapsed with train cars on it is seen at Olivos station in Mexico City

The site where an overpass for a metro partially collapsed with wagons is seen at the Olivos station in Mexico City © Reuters

Saudi Aramco Results Saudi Aramco reported a 30% increase in first-quarter profits as higher oil prices, higher refining and chemicals margins offset lower production. Saudi Aramco, like other publicly traded oil majors, has benefited greatly from the rise in oil prices with the recovery in demand.

Chinese banks accused of financing deforestation Chinese banks are the second largest financial backers of raw materials involved in deforestation of tropical rainforests, according to a study that casts doubt on Beijing’s ambitions to be a world leader in the fight against climate change.

Senior Fed official in line to lead main US banking regulator Michael Hsu, a senior Federal Reserve official responsible for overseeing America’s largest banks, is set to become the next interim currency controller, ending weeks of uncertainty over the leadership of the U.S. financial regulator.

US plans to crack down on greenhouse gases used in refrigerators The U.S. Environmental Protection Agency has announced a drastic reduction in hydrofluorocarbons, or HFCs, a group of potent greenhouse gases used in air conditioners and refrigerators, as the regulator advances renewed emissions targets under the ‘Biden administration.

Bill and Melinda Gates divorce Microsoft co-founder Bill Gates and his wife Melinda have announced they are ending their marriage after 27 years. The couple said the move would not affect the work of the Bill & Melinda Gates Foundation, the world’s largest private charity, which has sought to improve healthcare and reduce poverty.

Bill and Melinda Gates © AP

“ After a lot of thought and a lot of work on our relationship, we made the decision to end our marriage, ” Melinda and Bill Gates said in a joint statement © AP

The coming days

G7 in London G7 foreign ministers continue their first face-to-face meeting in two years on Tuesday, where they will discuss tackling the influence of China and Russia.

Economic data The US trade deficit is expected to increase in March after hitting a record $ 71.1 billion in February. A Commerce Department report will likely show new orders for products made in the United States rose 1.3% in March.

AGM General Electric boss Larry Culp faces a shareholder revolt at today’s annual meeting after the company eased its performance targets following a drop in GE shares linked to a pandemic.

Income overview Report by Pfizer, ConocoPhillips, T-Mobile US, KKR, Hello Fresh, Thomson Reuters, RingCentral, Lyft and Warner Music Group.

Join the global boardroom May 4-6 to hear more than 120 influential leaders talk about the impact of the pandemic and the actions needed to support a sustainable recovery. As a valuable subscriber, you can register for a free Professional Pass worth $ 149 using the code PREMIUM200. (Not available for anyone with an existing Professional Pass)

What else do we read

Will regulators deflate the Spac boom? Special purpose acquisition companies, once seen as a fluffy side spectacle of finance, have over the past year become the driving force of financial markets and transactions. But Spacs, which raise money from investors to complete a merger and get a company listed, have suddenly lost their luster – especially in the eyes of regulators.

The involvement of stars such as Jennifer Lopez and Alex Rodriguez and the enthusiasm around technologies such as hydrogen trucks have energized the Spac market

The involvement of stars, including Jennifer Lopez and Alex Rodriguez, and the excitement around technology such as hydrogen trucks have energized the Spac © FT assembly market; AP

Wall St rallies behind one of its own in New York Ray McGuire’s campaign for mayor of New York City was boosted by donations from the city’s tight-knit corporate bargaining community. A mergers and acquisitions banker for nearly 40 years, McGuire has raised $ 7.4 million in private funds for his campaign.

Poor demographics won’t stop China’s rise to power A declining and aging population may not have the same grim consequences in the 21st century as before, writes Gideon Rachman. If technological prowess, rather than young men, is the key to future power, China is well placed.

Illustration of people walking with a big sun in the sky

Gideon Rachman: The old maxim ‘demography is fate’ no longer has the same influence it used to do © James Ferguson

Not all blue collar workers will find green collar jobs Today’s blue collars are tomorrow’s “green collars” – at least politicians would have us believe. The truth is, the road to net zero will destroy jobs in some carbon-intensive industries, as it will create new ones elsewhere. And some activities won’t need as many workers as they used to, writes Sarah O’Connor.

Workers can use their voice if they get together The gift 2020 gave us was a space and a chance to figure out what’s good and bad in our lives and reinvent it to be more sustainable. Everywhere you sit in the ‘at home or five days at the office’ debate, it’s clear that flexible working is a battle for equality.

Commentary of the day

In response to “ the legend of Napoleon is alive and as divisive as ever ”:

“Napoleon was both a tyrant and a reformer. He was also a military leader of rare genius who demanded absolute loyalty from his soldiers. He fell victim to his own success in that all other European powers united against the threat he posed. He who lives by the sword also dies. – Mill reef

Thanks for the reading. Send your recommendations and comments to [email protected]

About Daisy Rawson

Check Also

Lenders One opens branded mortgage branch

EL PASO, Texas, Nov. 01, 2022 (GLOBE NEWSWIRE) — Lenders One® Cooperative, a national alliance …

Leave a Reply

Your email address will not be published.