FirstFT: Lagarde warns the European Central Bank to prepare to deal with inflationary split


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The European Central Bank may agree on its new inflation target Break down into splits Its president, Christine Lagarde, issued a warning as early as next week when policymakers met to discuss changes to their interest rate hike guidelines.

The bank’s interest rate setters will meet next Thursday for the first discussion since the unanimous new strategy was launched last week, which changed the bank’s monetary policy approach for the first time since 2003.

Lagarde announced a consensus agreement, which includes a new 2% inflation target and a higher tolerance for temporary fluctuations above that level.

However, in a speech on Sunday, she told the Financial Times:

“I didn’t fantasize about every six weeks [at monetary policy meetings] We will get unanimous agreement and general acceptance because there will be some changes and some positioning will be slightly different. This is good. “

There are five more stories in the news

1. Elon Musk defends Tesla’s acquisition of SolarCity The combative Elon Musk defended the lawyers who were suing the shareholders of the transaction. First day of trial If he loses, it may bring him huge compensation.

2. Biden in solidarity with Cuban protesters U.S. President Joe Biden calls on the Cuban Communist government Respond to protesters They held the largest demonstration on the island in decades, saying that they had issued a “call for freedom.”

3. Racial discrimination against English football players triggers political disputes Downing Street is strong on Monday Rejected labor claims Boris Johnson provided cover for racists Lost in the 2020 European Cup final Against Italy.

  • More Euro 2020 reports: Although England did not perform well, they can point out that they have made progress under the leadership of their manager. Gareth Southgate. Italian Celebrate their victory For many fans, this symbolizes the end of the country’s “worst time”.

England’s Marcus Rashford reacts after missing a penalty in the Euro 2020 final © AP

4. Flipkart raised US$3.6 billion, with a valuation close to US$40 billion Indian e-commerce company Flipkart $3.6 billion raised At a valuation of US$37.6 billion, major shareholder Wal-Mart led the investment along with SoftBank and Singapore’s sovereign wealth fund GIC.

5. Riots spread in South Africa after Zuma was imprisoned South Africa has Deploy troops After former President Jacob Zuma was sentenced to jail for contempt of court last week, unrest and violence spread to help the troubled police force.

  • View: Zuma’s imprisonment highlights that the survival of democracy depends on an independent judiciary. Gideon Rahman wrote.

Coronavirus Digest

  • Israel Will be the first in the world to officially provide the so-called “Booster” shooting BioNTech/Pfizer Covid-19 vaccine.

  • Johnson & Johnson Has been discussing with U.S. regulators Rare neurological side effects The company said on Monday that its Covid-19 vaccine.

  • Boris Johnson Urge people Practice “extreme caution” When he lifted the Covid-19 legal restrictions on July 19 and transferred the responsibility to companies and individuals.

  • new Zealand Will start operations Emergency repatriation flight With the worsening of the Covid-19 epidemic in Australia’s most populous city, for the citizens of Sydney.

  • TSMC and Foxconn agree Purchase 10 million doses BioNTech’s Covid-19 vaccine was donated to Taiwan.

Follow our latest news about coronavirus Live blog with Sign up For us Coronavirus business update Newsletter for more Covid-19 news.

the day before

China Trade Data Beijing will release June trade data Nowadays. Last month, China’s imports and exports increased year-on-year Slower than expected, Which has raised doubts about the global demand for its products in the coming months.

Bank of America enters earnings season Bank of America will face serious questions about the prospects of its lending business this week, as they reported that second-quarter earnings were flattered by smaller-than-expected credit losses during the pandemic.JP Morgan Chase and Goldman Sachs start earnings season on Tuesday.

What are we still reading

China missed a record year of Indian technology financing Chinese investors have actually Withdraw from India’s technology industry, Leaving clear areas for venture capitalists in the United States and Europe. According to data provider Tracxn, Indian startups have raised a record US$7.2 billion in 336 rounds of financing in the quarter ended June.

China's investment in Indian technology

The next generation of Palestinian activists Social media and real-life activism represented by Mohammed and Muna al-Kurd and Emerging Palestinian Movement, Increasingly uniting young activists from the occupied territories with Arabs who lived within Israel’s 1948 borders and held Israeli citizenship.

Private equity raids on British companies The proposed acquisition of the supermarket chain Wm Morrison is the latest example of a dramatic shift that has accelerated during the pandemic as part of an economy dominated by public companies for a long time. Converted to private hand. For more M&A coverage, subscription For us due diligence communication.

Lower bond yields are no longer good news for stocks Do investors have too many good things—that is, interest rates are artificially lowered for too long?The widespread stock sell-off last week caused investors to raise this question, saying Muhammad Erian.

  • deeper: For bond bears, this has been a shameful week. Write Market Editor Katie MartinAfter investors suddenly rethink what she called the “big bond volatility of 2021.”

The changing face of Tibet “My wife and I may be one of the last nomads here,” said a man in Ladakh on the China-India border.This Loss of Tibetan culture As its people face the challenges of political repression, technological progress and climate change at the same time, this is a growing fear. (New York Times)

health

Bicycles are an integral part of Japan’s infrastructure. Even in Tokyo, where the temperature continues to exceed 30 degrees Celsius for several weeks and the humidity is inhumane (and the capillary air-conditioned public transportation network to cope with it), cyclists are still everywhere. Courtesy of Hidenaka Kato of FT Four suggested routes.

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