Know someone who would like this newsletter? Forward it to them.
The World
US consumers’ economic outlook eased further in August, as inflation and home price growth expectations declined, an improvement that is still unlikely to lead the US central bank to loosen monetary policy at its next meeting. Consumers’ inflation expectations over the next 12 months fell to 5.7 per cent in August from 6.2 per cent in July, while the three-year inflation expectation measure fell to 2.8 per cent from 3.2 per cent, according to the Federal Reserve Bank of New York’s survey of consumer expectations. (Financial Times)
Stocks Close Higher; Dow Gains More Than 200 Points: Stocks rose ahead of key inflation data that is expected to show further cooling of consumer prices, which would suggest that interest-rate rises are working to tame inflation. Major indexes advanced for their fourth consecutive trading day. (Wall Street Journal)
Health experts have warned that the US decision to roll out new Covid boosters without clinical testing on humans risks denting public trust and increasing hesitancy about vaccines. But several health experts note that the boosters have yielded only limited data from a small number of tests on mice. They say there is no evidence that they provide better protection against infection or severe disease than existing jabs. (Financial Times)
Data likely support approval of Amgen’s KRAS-targeted drug, but still come with disappointments: Clinical trial results reported Monday by Amgen may be enough to confirm the U.S. approval of its KRAS-targeting lung cancer drug called Lumakras. But the new data also show lung cancer patients are not benefiting from Lumakras as much as previously hoped, and liver toxicity remains a safety concern. In the study, called CodeBreaK 200, Lumakras delayed tumor growth by a little more than one month compared to the standard chemotherapy, docetaxel — a lower-than-expected improvement that nonetheless achieved the main efficacy goal. (STAT News)
Largest private-sector nurses strike in U.S. history begins in Minnesota: The protest is scheduled to last until 7 a.m. Thursday. Hospital administrators said last week that they were planning to hire enough temporary nurses to maintain their usual operations but will scale back as needed. (Washington Post, Minneapolis Star Tribune)
States with the worst brain drain — and more: This week's data dive reveals which kinds of films are the most popular assignments, which cities have the most bike commuters and which states suffer the worst brain drain. (Washington Post)
Economy
Goldman Sachs is planning to implement a round of lay-offs in the coming weeks that threatens to result in hundreds of job losses among the bank’s employees, according to a person briefed on the matter. In a sign of the dealmaking slowdown on Wall Street, Goldman will restart its annual cull of underperforming bankers, which it paused during the pandemic at a time when banks were struggling to keep up with the workload. The process typically results in between 1 and 5 per cent of company-wide employees losing their jobs, with the impending review set to result in lay-offs towards the lower end of that range, the person said. (Financial Times)
The UK economy edged back to growth in July with output up by an estimated 0.2 per cent in the month, after a sharp 0.6 per cent fall in June. The modest rebound means that gross domestic product, the main measure of output, stagnated at 0 per cent in the three months to the end of July. (The Times)
German economy to contract as energy crisis hits consumers, warn analysts. Think-tanks sharply downgrade forecasts in anticipation of constrained spending over winter months. (Financial Times)
Members of New York Times, NBC News Digital Unions Defy Return-to-Office Plans: Some vow to work from home all of this week, the first in which both organizations expect employees back in the office some of the time. (Wall Street Journal)
Technology
Peloton chair and co-founder John Foley has abruptly resigned from the connected fitness company along with two other executives, in the biggest management shake-up since Barry McCarthy arrived as chief executive in February. McCarthy told employees of the changes late on Monday, following an turbulent few months in which Peloton announced it was cutting nearly 800 jobs, ended in-house production, replaced its finance chief, and partnered with Amazon to sell bikes and gear independently of its own website. (Financial Times)
A more Netflix-like experience could be coming to Peloton subscribers over the next year, CEO Barry McCarthy said Monday at the Goldman Sachs Communacopia + Technology Conference. The company hadn't focused on content personalization prior to McCarthy — a former CFO who spent nearly two decades at Netflix and Spotify — taking the reins in February. Peloton offers some personalization now, but McCarthy says the platform can do better to give customers an “incredibly engaging experience.” (Axios)
Twitter Shareholders Poised to Approve Musk Takeover Deal: Early votes suggest the $44 billion acquisition will be approved by a wide margin, people familiar with the matter say. (Wall Street Journal)
Apple’s just-released iOS 16 gives your iPhone’s lock screen a makeover, and brings new features such as editing and recalling sent messages. WSJ’s Joanna Stern helps you find all the cool new features. (Wall Street Journal)
Good buy, Type O’s: iMessages can finally be edited and deleted. Here’s what you need to know about editing and un-sending iPhone messages with the new iOS 16 Image without a caption. (Washington Post)
Smart Links
U.S. appeals court hears argument on airline seat size rules. (Axios)
Gasoline Prices Are Down 13 Weeks in a Row. (Wall Street Journal)
China competition spurs Biden push for domestic biotech subsidies. (Washington Post)
Biden administration presses unions, railroads to avoid shutdown. (Reuters)