This week in the news | 18 Aug 23
News from the past week, and a few other things.
Hello Reader, I hope you had a great week.
News-wise, one of the most fascinating pieces that stood out to me this week was an article in Bloomberg regarding human trafficking and crypto. You’ll find it under the crypto section titled “‘Don’t You Remember Me?’ The Crypto Hell on the Other Side of a Spam Text.”
Below you’ll find the “quick shot”—a supercharged summary of summaries, followed by the “slow brew”—longer summaries with select graphics, and comments from me. Additionally, I’ve included a lock icon (🔒) to identify articles that are behind a paywall.
THE QUICK SHOT 🚀
A supercharged summary of summaries
NORTH AMERICA
Maui's Emergency Management Agency Administrator resigns amid criticism for not activating sirens during a wildfire.
LATIN AMERICA
Argentina's government devalues the peso by nearly 18% and raises the benchmark interest rate by 21 percentage points to 118% following a shock primary election result.
EUROPE
Ukrainian President Zelensky dismisses all heads of regional military recruitment centers to combat corruption. (WP🔒)
The Biden Administration announces additional security assistance, including air defense munitions and anti-armor weapons, valued at up to $200 million, to support Ukraine's defense against Russia's aggression.
The United States approves sending F-16 fighter jets to Ukraine from Denmark and the Netherlands to defend against Russian invaders upon completing pilot training.
A recently discovered Russian missile with a late production date suggests that Russia may be running low on advanced weapons, necessitating accelerated production to sustain its war effort in Ukraine, according to StateWatch. (Bloomberg🔒)
AFRICA
Niger’s mutinous soldiers plan to prosecute deposed President Mohamed Bazoum for "high treason" amid ongoing regional unrest.
The West African bloc ECOWAS is prepared to intervene militarily in Niger if diplomatic efforts to reverse a coup fail, according to a senior official.
BRICS leaders gather in South Africa to discuss becoming a geopolitical force challenging Western dominance in global affairs.
Over 60 people are feared dead after a migrant boat, adrift for over a month, was found in the Atlantic near Cape Verde, according to the International Organization for Migrants. (WSJ🔒)
ASIA
U.S. President Joe Biden aims to strengthen the bond between South Korea and Japan to counter China's influence in East Asia during a summit at Camp David.
Japan's exports decline for the first time since 2021, raising concerns about the global economic outlook, as Ministry of Finance data showed a 0.3% decrease in July year-on-year.
The Chinese government announces it will no longer release monthly data about youth unemployment, which had reached a record high of 21.3 percent. (NYT🔒)
A fire at a fuel station in southern Russia's Dagestan region kills at least 30 people, including three children, according to Russia's emergency services ministry.
SPACE
Russia's Luna-25 spacecraft enters lunar orbit, a significant step towards landing on the moon's south pole in the search for frozen water.
SpaceX generated $55 million in profit on $1.5 billion in revenue during the first quarter of 2023, according to documents, offering a rare view into the financials of Elon Musk’s rocket company. (WSJ🔒)
GOVERNMENT
Donald Trump and 18 allies were indicted in Georgia for their efforts to overturn his 2020 election loss in the state, with prosecutors using a statute associated with a "criminal enterprise" to accuse them of trying to keep Trump in power. Read more
DEFENSE
The 2023 National Intelligence Strategy provides the Intelligence Community (IC) with strategic direction from the Director of National Intelligence (DNI) for the next four years.
BUSINESS
Amazon is expanding its biometric technology, Amazon One, allowing customers to scan their palms for payments at various locations, in a bid to compete with Google and Apple in the digital wallet space. (WSJ🔒)
In an exclusive excerpt from Zeke Faux’s forthcoming book, “Number Go Up: Inside Crypto’s Wild Rise and Staggering Fall,” he uncovers a crypto-powered human-trafficking ring in Cambodia. Read the excerpt (Bloomberg🔒)
ENERGY
Despite high oil production in the US, gasoline prices are on the rise, influenced by factors like oil supply cuts abroad and issues at refineries.
Traders are stockpiling natural gas in underground caverns beneath war-torn Ukraine to replace Russian fuel, with prices falling more than 80% over the past year, as described in this report on vital natural gas storage. (WSJ🔒)
US oil and gas firms, armed with cash from rising oil prices due to Russia's invasion of Ukraine, face tough choices after a year of big spending, as detailed in this article on oil firms' challenges. (WSJ🔒)
REAL ESTATE
The 30-year fixed-rate mortgage has reached its highest level in over twenty years, impacted by the economy's performance and increased Treasury yields.
Europe's golden visa programs, allowing wealthy foreigners to gain EU residency through real estate investment, remain popular despite calls for their discontinuation, as explored in this article on Europe's golden visas. (Bloomberg🔒)
Wall Street firms are raising funds to acquire commercial real estate properties at reduced prices, driven by the troubled commercial property market, as highlighted in this piece on Wall Street's real estate investments. (WSJ🔒)
New York City is planning to convert vacant offices into housing units to address the state's housing shortage by rezoning Midtown South. (Bloomberg🔒)
PERSONAL FINANCE
Global household wealth experienced its first decline since 2008 due to inflation and US dollar appreciation, according to Credit Suisse's annual global wealth report. (Bloomberg🔒)
The 10-year U.S. Treasury note yield has reached a 15-year high, potentially impacting borrowing costs and raising concerns in various financial markets. (WSJ🔒)
CYBER
The fallout from the MOVEit hack continues as more agencies announce breaches, affecting over 660 organizations and 46 million individuals worldwide.
AP and other news organizations have developed guidelines for the use of artificial intelligence in newsrooms, emphasizing AI's role without creating publishable content.
American companies are offering salaries nearing seven figures to hire top AI talent in the competitive AI job market. (WSJ🔒)
EDUCATION
The Biden administration provides detailed guidance for colleges on navigating new restrictions regarding the consideration of race in admissions decisions. (WSJ🔒)
HEALTH
The success of weight-loss drugs Ozempic and Wegovy, manufactured by Novo Nordisk in Denmark, has significantly impacted the country's economy, lowering interest rates and surpassing the GDP in market capitalization. (WSJ🔒)
HOME & AUTO
Tesla has introduced more affordable versions of its Model S and Model X in the United States, featuring shorter driving ranges, as part of its strategy to boost sales amid high borrowing costs impacting demand for expensive electric vehicles, as reported in this article on Tesla's new Model S and X.
Italian producers of Parmigiano-Reggiano cheese are combating counterfeiting by adding edible microchips to their cheese wheels, a measure in response to ongoing efforts to protect the authenticity of this renowned pasta topping, as highlighted in this piece on fighting fake food. (WSJ🔒)
Australia's wine industry is grappling with oversupply issues exacerbated by Chinese tariffs, high production, and export bottlenecks due to the COVID-19 pandemic, with vineyards storing an excess of wine, as explained in this article on Australia's wine industry.
Chocolate makers like Hershey and Mondelez are facing challenges as they attempt to pass on rising cocoa costs to cost-conscious consumers, amid soaring cocoa and sugar prices, as reported in this piece on cocoa prices.
Kroger, the largest grocery store operator in the U.S., has become the biggest seller of sushi, selling over 40 million pieces in a typical year, reshaping American food preferences and shopping habits, as outlined in this article on Kroger's sushi success. (WSJ🔒)
ENTERTAINMENT
The cost of watching major ad-free streaming services has increased by nearly 25% in about a year, with entertainment giants like Disney, Peacock, Max, Paramount+, and Apple TV+ raising prices, marking a new phase in the streaming wars as they seek profitability, as discussed in this article on streamflation. (WSJ🔒)
Streaming's share of U.S. viewing time has reached a new high in July, surpassing television viewing for the first time, with cable TV accounting for 29.6% of total viewing time, broadcast at 20%, and streaming services capturing 38.7%, according to Nielsen data, as noted in this piece on changing viewing habits. (WSJ🔒)
SPORTS
Women's football has seen significant growth, with the Women's World Cup expanding to 32 teams and achieving high-quality competition, as indicated by FIFA rankings that now include 188 teams, highlighting the progress of the sport, as discussed in this article on women's football. (Economist🔒)
THE SLOW BREW ☕
A more relaxed approach to the summaries.
North America
Emergency services chief on Maui resigns. He faced criticism for not activating sirens during fire
An emergency official who defended a decision to not sound outdoor alert sirens on Maui as a ferocious fire raged has resigned. Maui Emergency Management Agency Administrator Herman Andaya had said this week that he had no regrets about not deploying the system because he feared it could have caused people to go “mauka,” a Hawaiian term that can mean toward the mountains or inland. With the death toll at 111, the search for the missing moved beyond the devastated town of Lahaina to other communities that were destroyed. Teams had covered about 58% of the Lahaina area and the fire was 90% contained as of Thursday night, Maui County officials said.
Latin America
Argentina devalues peso, raises rates after shock primary vote
Argentina's government devalued its currency by nearly 18% on Monday while the benchmark interest rate was raised by 21 percentage points to 118%, the central bank said, as financial markets reeled the day after a shock primary election result. Congressman Javier Milei, a far-right libertarian who wants to axe the central bank and dollarize the economy, shook up the presidential elections on Sunday, winning 30% of the vote, the largest share with over 97% of ballots counted.
Europe
Zelensky fires military recruitment center chiefs after corruption probe (WP🔒)
Ukrainian President Volodymyr Zelensky fired all the heads of his country’s regional military recruitment centers Friday. The sweeping move was aimed at combating corruption and ensuring that the recruitment system is “run by people who know exactly what war is,” he said. Zelensky announced the blanket dismissal after a meeting of Ukraine’s National Security and Defense Council. He cited instances of “illicit enrichment,” laundering “illegally obtained funds” and the “illegal transportation of persons liable for military service across the border” to Ukraine’s western neighbors to avoid the draft. “Some took cash, some took cryptocurrency — that’s the only difference,” Zelensky said in a statement published on the official presidential website. “The cynicism is the same everywhere.” Zelensky did not specify the total number of regional recruitment heads.
Biden Administration Announces Additional Security Assistance for Ukraine
Today [14 Aug 23], the Department of Defense (DoD) announced additional security assistance to meet Ukraine's critical security and defense needs. This announcement is the Biden Administration's forty-fourth tranche of equipment to be provided from DoD inventories for Ukraine since August 2021. It includes additional air defense munitions, artillery and tank ammunition, anti-armor weapons, and other equipment to help Ukraine counter Russia's ongoing war of aggression. The capabilities in this package, valued at up to $200 million.
US approves sending F-16s to Ukraine from Denmark and Netherlands
The United States has approved sending F-16 fighter jets to Ukraine from Denmark and the Netherlands to defend against Russian invaders as soon as pilot training is completed, a U.S. official said on Thursday.
Unexploded Missile Suggests Moscow Is Rushing Weapons to the Front (Bloomberg🔒)
A recently manufactured Russian missile recovered by Ukrainian forces suggests the invading army is running low on stocks of some advanced weapons, and is having to produce them more quickly to maintain the intensity of its war. The finding of a rocket with an unusually late production date was revealed by pictures analyzed by StateWatch, a Ukrainian non-governmental organization, and Bloomberg News.
Africa
Niger’s coup leaders say they will prosecute deposed President Mohamed Bazoum for ‘high treason’
Niger’s mutinous soldiers said they will prosecute deposed President Mohamed Bazoum for “high treason” and undermining state security, in an announcement hours after the junta said they were open to dialogue with West African nations to resolve the mounting regional crisis. If found guilty, Bazoum could face the death penalty, according to Niger’s penal code.
West African bloc says 'we are going into Niger' if all else fails
The West African bloc ECOWAS stands ready to intervene militarily in Niger should diplomatic efforts to reverse a coup there fail, a senior official told army chiefs who were meeting in Ghana on Thursday to discuss the details of a standby force. ECOWAS Commissioner for Political Affairs, Peace and Security Abdel-Fatau Musah accused the junta that deposed President Mohamed Bazoum on July 26 of "playing cat-and-mouse" with the bloc by refusing to meet with envoys and seeking justifications for the takeover.
BRICS nations to meet in South Africa seeking to blunt Western dominance
BRICS leaders meet in South Africa next week to discuss how to turn a loose club of nations accounting for a quarter of the global economy into a geopolitical force that can challenge the West's dominance in world affairs. Russian President Vladimir Putin, who faces an international arrest warrant over alleged war crimes in Ukraine, will not join leaders from Brazil, India, China and South Africa amid rifts over whether to expand the bloc to include dozens of "Global South" nations queuing up to join. South Africa will host Chinese President Xi Jinping, Brazil's Luiz Inacio Lula da Silva and Indian Prime Minister Narendra Modi for the BRICS summit from August 22 to 24.
More Than 60 Feared Dead as Migrant Boat Is Found Adrift After More Than a Month (WSJ🔒)
An estimated 63 people were presumed dead after a boat carrying migrants was found adrift in the Atlantic more than a month after leaving West Africa, part of a surge in migrant deaths this year as people attempt increasingly dangerous routes to reach Europe. Some 38 people were rescued, including four minors between 12 and 16 years old, after a Spanish fishing boat spotted the vessel and alerted authorities in Cape Verde, a small archipelago about 400 miles west of West Africa, according to the International Organization for Migrants, a U.N. agency.
Asia
Biden hopes to tighten South Korean, Japanese bond at Camp David
The Biden administration believes that a seismic but fragile realignment is underway in East Asia: a deeper relationship between two close U.S. allies with a long history of mutual acrimony and distrust. The change would accelerate Washington's effort to counter China's influence in the region and help it defend Taiwan. U.S. President Joe Biden hopes to cement those ties with a summit at Camp David, the storied presidential retreat in Maryland's Catoctin Mountains, this Friday. While the summit is unlikely to produce a formal security arrangement that commits the nations to each others' defense, they will agree to a mutual understanding about regional responsibilities.
Japan exports fall for first time since 2021, stoking concerns about economy
Japan's exports fell in July for the first time in nearly 2-1/2 years, dragged down by faltering demand for light oil and chip-making equipment, underlining concerns about a global recession as demand in key markets such as China weaken. Japanese exports fell 0.3% in July year-on-year, Ministry of Finance (MOF) data showed on Thursday, compared with a 0.8% decrease expected by economists in a Reuters poll. It followed a 1.5% rise in the previous month.
China Suspends Report on Youth Unemployment, Which Was at a Record High (NYT🔒)
The Chinese government said it would no longer release monthly data about unemployment in young people, which had risen each month this year and reached 21.3 percent.
Fire at Russian fuel station kills 30, scores injured
A fire at a fuel station in the southern Russian region of Dagestan late on Monday killed at least 30 people including three children, Russia's emergency services ministry said on Tuesday. The fire started at an auto repair shop on the roadside of a highway in Dagestani capital Makhachkala on Monday night and caused blasts as it spread to the nearby filling station, officials said.
Space
Russia's Luna-25 spacecraft enters lunar orbit
Russia's lunar spacecraft entered the moon's orbit on Wednesday, a major step towards the country's ambition of being the first to land on the moon's south pole in the search for frozen water. The Luna-25 entered the moon's orbit at 11:57 a.m. (0857 GMT), Russia's space corporate Roskosmos said. Luna-25 will circle the moon, the earth's only natural satellite, for around 5 days, then change course for a soft landing on the lunar south pole planned for Aug. 21. India's Chandrayaan-3 entered the moon's orbit earlier this month ahead of a planned touchdown on the south pole of the moon later this month. The Luna-25, which is roughly the size of a small car, will aim to operate for a year on the south pole, where scientists at NASA and other space agencies in recent years have detected traces of frozen water in the craters. The presence of water on the moon has implications for major space powers, potentially allowing longer human sojourns on the planet that would enable the mining of lunar resources.
Government
Trump and 18 allies charged in Georgia election meddling as former president faces 4th criminal case
Donald Trump and 18 allies were indicted in Georgia on Monday over their efforts to overturn his 2020 election loss in the state, with prosecutors using a statute normally associated with mobsters to accuse the former president, lawyers and other aides of a “criminal enterprise” to keep him in power.
Defense
2023 National Intelligence Strategy
National Intelligence Strategy (NIS) provides the Intelligence Community (IC) with strategic direction from the Director of National Intelligence (DNI) for the next four years.
Business
Amazon Wants You to Pay With Your Palm. It’s a Sneak Attack on Apple and Google. (WSJ🔒)
Amazon has a new way to try to make itself a central part of your life: your hand. By the end of this year, you’ll be able to scan your palm at any of the company’s more than 500 Whole Foods stores in the U.S., and join a service called Amazon One. Once enrolled, your hand is all you’ll need to pay there, Amazon Fresh grocery stores, some Panera restaurants, a handful of retailers at airports, some stadiums and concert venues, and a handful of Starbucks locations. At places where the company’s hand-scanning sensors are installed, you can already use it to enter a venue, identify yourself as a member of a loyalty program, or verify your age at a bar. In the future, you might be able to gain access to your company’s offices, a parking garage, or a gym—or sign in at a hospital or doctor’s office. Amazon’s expansion of this biometric technology, which it unveiled in 2020, is an effort to compete with Google and especially Apple in the realm of digital wallets, which are increasingly performing many of the same functions Amazon has in mind for its Amazon One service.
Crypto
‘Don’t You Remember Me?’ The Crypto Hell on the Other Side of a Spam Text (Bloomberg🔒)
In an exclusive excerpt from Zeke Faux’s forthcoming book, “Number Go Up: Inside Crypto’s Wild Rise and Staggering Fall,” he uncovers a crypto-powered human-trafficking ring in Cambodia.
NOTE: A fascinating read.
Energy
Gasoline prices on the rise despite high oil production in the US
The average price for a gallon of gasoline in the U.S. is $3.85. That’s up nearly 30 cents from a month ago. Prices are still lower this year than they were last year due to spikes caused by Russia’s invasion of Ukraine; however, they are at their highest point this year. Factors influencing the high gasoline prices include oil supply cuts abroad and issues at refineries that turn crude oil into gasoline.
Vital Natural Gas Is Being Stashed in Caverns Beneath War-Torn Ukraine (WSJ🔒)
Traders are getting paid to stockpile power-generation and heating fuel for Europe ahead of the second winter since Russia pitched the continent into an energy crisis. So much gas has flooded in from the rest of the world to replace Russian fuel that prices have fallen more than 80% over the past year. That will make the trade a lucrative one, if all goes well. The danger isn’t that the gas itself goes up in smoke. It is housed nearly a mile underground in depleted gas reservoirs and aquifers, mostly away from the front line in the west of Ukraine. But traders’ winnings could evaporate if shells strike pipelines or compressor stations and trap the gas in the country.
Oil Firms Face Hard Choices After a Year of Big Spending (WSJ🔒)
Wall Street wants Big Oil’s cash. Washington wants it to drill more. Keeping them both happy is about to get a lot tougher. Armed with a mountain of cash after Russia’s invasion of Ukraine sent oil prices skyrocketing, U.S. oil-and-gas firms cranked up production near record levels while also raining money on shareholders with dividends and buybacks. The continuing investor windfall and a recent run-up in oil prices helped make the energy sector the S&P 500’s best performer over the past month. But oil prices are still considerably below last summer’s highs, dragging down producer revenues. That is going to mean hard choices for businesses such as international major oil companies and independent drillers, as well as for energy investors and policy makers who have benefited from the past year’s largess.
Real Estate
The 30-Year Fixed-Rate Mortgage Reaches its Highest Level in Over Twenty Years
The economy continues to do better than expected and the 10-year Treasury yield has moved up, causing mortgage rates to climb. The last time the 30-year fixed-rate mortgage exceeded seven percent was last November. Demand has been impacted by affordability headwinds, but low inventory remains the root cause of stalling home sales.
Europe’s Golden Visas Are Booming, Despite Calls to Get Rid of Them (Bloomberg🔒)
Europe’s citizenship-by-investment programs are alive and well, despite calls from across the political spectrum to end them. So-called golden visas allow wealthy foreigners to gain EU residency — and by extension, a path to citizenship — by investing in local real estate or financial assets. There are few strings attached, and some programs require spending no more than a week in the country per year.
Wall Street Is Ready to Scoop Up Commercial Real Estate on the Cheap (WSJ🔒)
Wall Street firms are raising new funds to acquire office buildings, apartments and other troubled commercial real estate, looking to scoop up properties at a fraction of the price investors paid a few years ago. The new funds are seeking to capitalize on one of the most troubled commercial-property markets in decades. Values have nosedived since interest rates spiked last year, driving up borrowing costs in the highly leveraged business. The office market, one of the largest sectors, has also been clobbered by a sluggish return-to-office rate, which has sent vacancy rates soaring. Apartment buildings, an investor haven in the past, look vulnerable as owners try to refinance at much higher rates. Mall owners are contending with steep value declines, some of more than 70% over the past few years.
NYC Kicks Off Plan to Rezone Midtown, Turn Offices to Houses (Bloomberg🔒)
New York City is rolling out a plan to convert vacant offices into as many as 20,000 new housing units by creating a multi-agency group to help developers cut through red tape and rezoning a section of Manhattan known as Midtown South. The moves come after Mayor Eric Adams and Governor Kathy Hochul’s quest for an ambitious program to address the state’s housing shortage was rebuffed by fellow Democratic lawmakers in Albany earlier this year. Much of Adams’s plan will still need state approval.
Personal Finance
Global Household Wealth Drops for First Time Since 2008 Financial Crisis (Bloomberg🔒)
Global household wealth fell last year for the first time since the financial crisis in 2008, as inflation and the appreciation of the US dollar wiped some $11.3 trillion off assets. Total net private wealth across the world decreased by 2.4% to a total of $454.4 trillion, according to Credit Suisse’s annual global wealth report published on Tuesday. The bulk of the decline was felt in North American and European households, which lost a combined $10.9 trillion.
Bond Yield Hits Highest Since 2008, Adding Pressure to Borrowing Costs (WSJ🔒)
The yield on the 10-year U.S. Treasury note hit a 15-year high, threatening steeper costs for many borrowers and raising concern on Wall Street about the potential fallout in the stock, bond and housing markets. A key benchmark for interest rates across the economy, the 10-year yield settled at 4.258%, according to Tradeweb. That was up from 4.220% Tuesday and marked its highest close since June 2008, months before the collapse of Lehman Brothers and expansive Federal Reserve policy ushered in more than a decade of historically low bond yields.
Cyber
The fallout from the MOVEit hack continues as more agencies announce breaches
It has been over two months since a Russian ransomware gang started exploiting flaws in the file transfer software MOVEit and attacked hundreds of government agencies, universities and corporations. The exploitation led to chaos as several states saw agency services knocked offline and their residents’ personal information like names, Social Security numbers and driver’s licenses exposed. The damage has been vast. In the days following the cyberattacks, state and local agencies began notifying those affected by the breaches. In Louisiana and Oregon, more than 8 million residents’ personal DMV data was exposed. In California, the information of more than a quarter of a million retirees and beneficiaries was stolen from the state’s pension system. And just last week, Colorado and Missouri revealed breaches of their own. The Colorado Department of Health Care Policy & Financing said the data of more than 4 million patients had been exposed in the breach. The Missouri Department of Social Services did not specify how many residents could be impacted. All told, researchers at antivirus software company Emsisoft estimate that as of Aug. 12 more than 660 organizations and 46 million individuals have been affected worldwide by the MOVEit exploitation. There will likely be more agencies impacted in the next several weeks and months as state and local governments continue to investigate the massive breach. But the real challenge for states and localities is still ahead.
Artificial Intelligence
AP, other news organizations develop standards for use of artificial intelligence in newsrooms
The Associated Press has issued guidelines on artificial intelligence, saying the tool cannot be used to create publishable content and images for the news service while encouraging staff members to become familiar with the technology. AP is one of a handful of news organizations that have begun to set rules on how to integrate fast-developing tech tools like ChatGPT into their work. The service will couple this on Thursday with a chapter in its influential Stylebook that advises journalists how to cover the story, complete with a glossary of terminology.
The $900,000 AI Job Is Here (WSJ🔒)
American companies are in the midst of an AI recruiting frenzy, and some are willing to pay salaries approaching seven figures to hire top talent. Firms in industries such as entertainment and manufacturing are racing to seize on the potential of artificial intelligence by wooing data scientists, machine-learning specialists and other practitioners skilled at deploying the technology. The rush to hire is pushing up pay for technical professionals and prompting companies to hone their pitches to applicants to avoid losing out to rivals. Some companies, including Accenture, are building their AI expertise through individual hires and internal training programs. Others, including the technology company ServiceNow, say they are open to acquiring smaller AI startups as a way to scoop up talent.
Education
Colleges Can Still Consider Race in Admissions Within Limits, Biden Administration Says (WSJ🔒)
The Biden administration offered detailed guidance for colleges navigating new restrictions on how they consider race in their admissions decisions, including providing examples of what types of essays would be allowed and how schools can recruit prospective students without running afoul of the law. Colleges—and applicants—have been struggling in recent weeks to determine exactly how to interpret the Supreme Court’s ruling regarding the role of race in admissions. The court said in June that schools can’t consider race as a factor on its own when making admission decisions, but can take into account how race affected the applicant’s life. Many institutions added new essay prompts and issued statements reiterating their commitment to diversity, but prospective students remain uncertain about exactly how they should portray themselves in applications. The Education and Justice departments said in a joint release Monday that a university still could consider an applicant’s reflections on being the first Black violinist in his city’s youth orchestra, or an applicant’s discussion of how learning to cook traditional Hmong dishes from a family member sparked her passion for food and helped her connect to her heritage. On Monday, Biden administration officials listed other elements of the admissions process that schools may want to reconsider in light of the Supreme Court ruling. For instance, they said, colleges can decide whether they should still give a boost to children of alumni or donors, and whether application elements such as fees and standardized testing requirements, or the use of binding early decision deadlines create unnecessary barriers for diverse applicants. Schools can also adopt top-percentage plans, in which a particular slice of the high school graduating class is automatically admitted, the administration said. Such programs are in place in Texas, California and Florida. The administration’s suggestions aren’t requirements, and don’t carry the weight of law.
Health
America’s Obsession With Weight-Loss Drugs Is Affecting the Economy of Denmark (WSJ🔒)
Ozempic and Wegovy are tilting the scales of Denmark’s economy. Their Danish manufacturer, Novo Nordisk, has generated billions of dollars of revenue and supercharged the company’s market capitalization. That has led to lower interest rates in the country, according to a bank report and economists. The market value of Denmark’s biggest company has risen by more than a third so far this year to about $419 billion, bigger than the country’s gross domestic product of about $406 billion. The measures aren’t synonymous: market capitalization is the value of all Novo Nordisk shares, while GDP measures goods and services produced in a year. But the comparison demonstrates how Novo Nordisk has surged past companies such as Lego and Carlsberg to sway the economy of its nordic homeland.
Home & Auto
Tesla launches cheaper Model S, X versions in US with shorter ranges
Tesla (TSLA.O) on Monday launched cheaper variants of its Model S sedan and Model X SUV with shorter driving ranges in the United States, looking to increase sales as high borrowing costs hamper demand for expensive electric vehicles. It has already slashed prices of its vehicles in the U.S., China and other markets as it puts sales growth ahead of profit margins, which are still at higher levels among automakers.
Food & Drink
Next Time You Buy Parmesan, Watch Out for the Microchip (WSJ🔒)
Parmigiano-Reggiano producers are seeking new ways to protect the market for the world-famous pasta topping. Their latest trick to beat counterfeiters is edible microchips. Italian producers of parmesan cheese have been fighting against imitations for years. Now, makers of Parmigiano-Reggiano, as the original parmesan cheese is officially called, are slapping the microchips on their 90-pound cheese wheels as part of an endless cat-and-mouse game between makers of authentic and fake products.
Australian wine industry faces hangover from China's high tariffs
Australia's wine industry faces severe oversupply problems that will need years to resolve, experts say, pointing to Chinese tariffs, high production and export bottlenecks during the COVID-19 pandemic. Vineyards nationwide have enough wine in domestic storage to fill 859 Olympic swimming pools, Rabobank said this week in its third-quarter wine report. Ties with biggest trading partner China deteriorated in 2020 after Australia called for an inquiry into the origins of COVID, triggering reprisals by Beijing, such as anti-dumping duties on Australian wine and barley.
Chocolate makers' prospects sour as cocoa prices spike
Chocolate makers like Hershey (HSY.N) and Mondelez (MDLZ.O) face tougher trading conditions over the next year as they attempt to pass on soaring cocoa costs to cash-strapped consumers who are cutting back. The industry has enjoyed bumper profits over the past couple of years as demand for chocolate held up despite price hikes, but data seen by Reuters shows this trend may be breaking just as prices for cocoa hit 46-year-highs and sugar prices are near their highest in more than a decade.
Entertainment
Streamflation Is Here and Media Companies Are Betting You’ll Pay Up (WSJ🔒)
Call it streamflation. The average cost of watching a major ad-free streaming service is going up by nearly 25% in about a year, according to a Wall Street Journal analysis, as entertainment giants bet that customers will either pay up or switch to their cheaper and more-lucrative ad-supported plans. Disney last week raised the price of its Disney+ and Hulu streaming services for the second time since last fall, following a string of similar announcements by the owners of Peacock, Max, Paramount+ and Apple TV+. The recent wave of price increases signals a new phase in the streaming wars. After years of charging bargain-basement prices in pursuit of fast growth, most of the big players face a financial reckoning, with tens of billions of dollars in losses piling up. Now, in a push for profitability, they are testing the loyalty of their customers, betting that ratcheting up prices won’t lead more people to cancel service, an industry phenomenon known as churn.
Television Accounts for Less Than Half of U.S. Viewing Time for the First Time (WSJ🔒)
Powered by shows like “Suits” on Netflix, streaming’s share of U.S. viewing time grew to a new high in July, while television viewing fell below 50% for the first time, according to new Nielsen data. The milestone is the latest sign of the rapid erosion of the cable-TV bundle, which has lost about a quarter of its subscribers over the past decade, as more Americans cut the cord in favor of streaming services like Netflix, Google’s YouTube and Disney’s Hulu. Cable television accounted for 29.6% of total U.S. viewing time in July, while broadcast attracted 20%, Nielsen said in a release published Tuesday. Streaming services, meanwhile, captured 38.7% of Americans’ viewing time, while a category labeled “Other”—which Nielsen says includes usage such as DVD playback and gaming—accounted for the remaining 11.6%.
Sports
Women’s football is becoming bigger and better (Economist🔒)
TO UNDERSTAND THE evolution of women’s football, look at the World Cup, the sport’s most prestigious prize. The first men’s tournament took place in 1930; women only got their version in 1991. That edition, held in China, featured just 12 teams. This year’s tournament, the ninth, which is being held in Australia and New Zealand, has 32. It took the men 16 tournaments to reach this size. And contrary to pre-tournament fears, the expansion has not compromised quality or diluted competition. Women’s international-team rankings, which are calculated by FIFA, the sport’s governing body, demonstrate the growth of the game. The first rankings were calculated in 2003, and only included teams that had played at least five international matches before 1999. That meant only 108 teams featured in the inaugural list. Today there are 188 (compared with 208 in the men’s rankings). Not only are there more teams, their ranking points are also more narrowly distributed, suggesting tighter competition.
Have a great weekend!
The Curator
Two resources to help you be a more discerning reader:
AllSides - https://www.allsides.com/unbiased-balanced-news
Media Bias Chart - https://www.adfontesmedia.com/
Caveat: Even these resources/charts are biased. Who says that the system they use to describe news sources is accurate? Still, hopefully you find them useful as a basic guide or for comparison.