Anticipated slowdown in US growth reflected in today’s Q2 GDP report: Reuters
European Central Bank hints at further stimulus to address economic challenges: WSJ
Unprecedented temperatures recorded across Europe as heatwave intensifies: CBS
Automakers defy the Trump administration and reach emissions agreement with California: NY Times
US durable goods orders rebound in June following two months of decline: WSJ
US trade deficit decreased in June: MW
Jobless claims in the US drop to a three-month low, indicating a healthy labor market: MW
This year has seen a notable slowdown in US economic growth, compounded by significant challenges in both manufacturing and housing sectors. History indicates these trends suggest an elevated risk of recession, raising concerns about the future of the business cycle. However, some remain optimistic, believing that strong consumer spending, potentially bolstered by forthcoming rate cuts from the Federal Reserve, will sustain growth. The next few weeks of economic data, starting with the employment report due next week, could provide crucial insights into which narrative will prevail.
North Korea conducts short-range missile launches into the sea, creating uncertainty for nuclear discussions: BBC
US warship transits the Taiwan Strait, escalating tensions with China: Reuters
Mueller’s testimony fails to meet the expectations of Trump’s opponents: Politico
Mueller states that Russia continues to interfere in US elections: CNN
Boris Johnson introduces new cabinet members on his first day as Prime Minister: BBC
Is the ECB preparing for a potential rate cut? MW
New home sales in the US showed a notable increase in June: CNBC
Manufacturing downturn in Europe impacts economic trends in July: IHS Markit
German business sentiment continues to decline in July: Reuters
Has the peak of US auto sales been reached? NY Times
US economic output increased slightly in July but remains subdued: IHS Markit
The ongoing stock rally has permeated every major economic region, but the most pronounced risk appetite is evident in Eastern Europe and Russia, closely followed by the United States. This is reflected in year-to-date returns from various exchange-listed financial products across key global economic areas.
China issues warning that military force may be employed to address Hong Kong protests: NY Times
Boris Johnson takes office as the new Prime Minister of the UK: BBC
US-China trade negotiations are set to resume next week: WSJ
US Department of Justice announces a broad antitrust review of major tech companies: CNBC
China accuses the US of undermining global stability: Bloomberg
Robert Mueller is scheduled to testify in Congress today: CNN
FBI Director indicates ongoing Russian interference in US elections: Reuters
Eurozone growth remained stagnant in June, reaching a three-month low: IHS Markit
The German manufacturing sector experiences its worst performance in seven years: IHS Markit
Manufacturing is contracting in the mid-Atlantic region for July: Richmond Fed
US existing home sales fell in June and continued to decline annually: MW
The preliminary estimate of the government’s gross domestic product for the second quarter, set for release on Friday (July 26), is anticipated to reflect a significant reduction in US economic growth. According to a series of nowcasts compiled by The Capital Spectator, while output is still projected to avoid a recession through the end of June, this slowdown coincides with growing anxieties about the economy’s ability to maintain its momentum in the latter half of the year.
Trump and Congress come to an agreement on raising the debt ceiling and spending caps: Reuters
Larger deficits seem poised to define the legacy of the Trump administration: Politico
The Trump administration considers cutting food stamp benefits for 3 million Americans: Bloomberg
Presidential candidate Elizabeth Warren predicts an impending “economic crash”: Medium
Does Warren’s bleak prediction hold water?: CNBC
The UK is expected to select a new Prime Minister today: BBC
South Korean fighter jets fired warning shots at Russian military aircraft: CNN
North Korea’s Kim Jong-un inspects a new submarine, potentially capable of carrying missiles: CNBC
Mass protests in Puerto Rico demand the resignation of the governor: NY Times
US economic growth remains weak in June: Chicago Fed
Bonds in emerging markets and developed regions outside of the US showed the best performance last week among major asset classes, as outlined by a set of exchange-traded funds. In contrast, commodities experienced a significant decline, recording their largest weekly drop in nearly two months by the end of the week of July 19.
Escalation of Hong Kong protests leads to violent confrontations with police: AP
UK Prime Minister May will convene an emergency meeting regarding Iran: BBC
Are tariffs and monetary easing the only viable responses to the US-China trade conflict? CNBC
The US Commerce Department reportedly suffers from significant dysfunction: Politico
The British pound dropped to a two-year low due to Brexit uncertainties: NY Times
China’s new tech-stock platform gains popularity: WSJ
Goldman Sachs states that the US stock market is trading close to fair value: Bloomberg
US Consumer Sentiment Index rises in July, nearing a 15-year high: MW
By Richard A. Clarke and Robert K. Knake
Review via Mother Jones
In 2004, Richard Clarke famously testified before the commission investigating the 9/11 attacks, stating, “Your government failed you, those entrusted with protecting you failed you, and I failed you,” as he sought understanding and forgiveness. Clarke, who was once a senior official in counterterrorism, had previously urged the Bush administration to address the threats posed by Al Qaeda before the attacks occurred. (White House officials firmly disputed his claims.)
Today, Clarke focuses on a new challenge the US government has yet to adequately confront: the vulnerability of the country’s computer networks.
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