· Trump, fellow Republicans paint dire portrait of a U.S. under Biden
President Donald Trump and his fellow Republicans opened their national convention on Monday by painting a dire portrait of America if Democrat Joe Biden wins the White House in November, arguing he will usher in an era of radical socialism and chaos.
Trump set the tone early in the day when he addressed delegates in Charlotte, North Carolina, after formally securing their nomination for another term, and claimed without evidence that Democrats were trying to steal the election.
Republicans had vowed to offer an inspiring, positive message in contrast to what they characterized as a dark and gloomy Democratic convention last week. But the first night’s prime-time program featured speakers who peppered their remarks with ominous predictions if Democrats win power.
· German economy shrank by record 9.7% quarter-on-quarter in second quarter
The German economy contracted by a record 9.7% in the second quarter as private consumption, investments and exports all collapsed at the height of the COVID-19 pandemic, the statistics office said on Tuesday in a minor upward-revision to an earlier estimate.
The statistics office had estimated in a flash GDP reading published earlier that the economy shrank by 10.1% in the April-June period.
· China agrees with U.S. to push forward implementation of Phase 1 trade deal
China said on Tuesday it agreed with the United States to continue pushing forward the implementation of the bilateral Phase 1 trade deal reached earlier this year during a call between the two countries’ top trade negotiators.
Vice Premier Liu He spoke with U.S. Trade Representative Robert Lighthizer and Treasury Secretary Steven Mnuchin, China’s commerce ministry said in a statement. The two sides had constructive talks on the trade deal and strengthening macroeconomic policy coordination, the ministry said.
· China's Xi warns "period of turbulent change" as external risks rise
Chinese President Xi Jinping warned that the world’s second-biggest economy is facing a period of ‘turbulent change’ and that rising external markets risk required policymakers to increasingly rely on domestic demand to spur growth.
Xi, chairing a seminar on Monday with a group of policy advisors and state economists, discussed the country’s mid- to long-term economic trends in preparation for the drafting of the 14th Five-year plan.
The five-yearly economic blueprint is expected to be unveiled in the annual parliament meeting next year, and Xi said China must be prepared for “a period of turbulent change” as the coronavirus pandemic has accelerated protectionism, hammered the world economy and disrupted supply chains.
· China determined to keep 'normal' monetary policy: cenbank official
China will maintain a “normal” monetary policy, a senior central bank official said on Tuesday, as Beijing holds off on more easing as its post-COVID economic recovery gathered pace.
Sun Guofeng, head of the monetary policy department at the People’s Bank of China, told a press conference the central bank would not change its monetary policy direction or its flexible approach to policy.
Liquidity would also stay reasonably ample, which would allow China’s economy to return to its potential growth, he said.
· Pandemic may fire up Japan's inflation, doing what cenbank could not, economist says
The coronavirus shock is boosting the amount of money flowing into Japan’s economy and may fire up inflation, achieving what years of ultra-loose monetary policy failed to do, the central bank’s former top economist, Hideo Hayakawa, said on Tuesday.
The Bank of Japan has been printing money aggressively for years as part of a policy of quantitative easing, hoping to spur consumption in the world’s third biggest economy and reach an elusive inflation target of 2%.
But most of the money piled up in financial institutions’ reserves instead of spreading out across the economy, as risk-averse Japanese firms stayed wary of boosting spending.
· What happens if Japan's Abe is incapacitated, or resigns?*
Japanese Prime Minister Shinzo Abe’s recent visits to hospital have raised concern whether he will be able to stay on as leader of the world’s third-biggest economy until the Sept. 2021 end of his term as ruling party chief, and hence, premier.
If Abe announces an intention to resign, that would trigger an election within his Liberal Democratic Party (LDP) to replace him as its president, followed by a vote in parliament to elect a new prime minister.
Abe and his cabinet would continue to run the government until a new premier is elected, but could not adopt new policies.
The winner of the party election would then hold the post until the end of Abe’s term in September 2021.
· India reports more than 60,000 coronavirus cases for a seventh straight day
India reported more than 60,000 new coronavirus cases for a seventh straight day on Tuesday, as infections moved beyond cities and spread further into smaller towns.
India reported 60,975 new cases in the last 24 hours, taking the total to 3.17 million, data from the federal health ministry showed. Deaths rose by 848, taking the total number to 58,390.
· Oil prices mixed on storm-driven output cuts, rising COVID-19 cases
Crude oil prices were mixed on Tuesday as traders weighed massive production cuts in the U.S. Gulf Coast from Tropical Storms Marco and Laura against rising coronavirus cases in Asia and Europe.
Brent crude oil futures LCOc1 added 14 cents, or 0.3%, to $45.27 a barrel by 0700 GMT, while U.S. West Texas Intermediate crude CLc1 was down 4 cents, or 0.1%, at $42.58 a barrel.
Reference: CNBC, Reuters
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