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The World
The pandemic is exacerbating the trend for lower global growth, raising the prospect of a “lost decade” ahead, the World Bank said in its semiannual Global Economic Prospects report. Before the pandemic, the bank projected that potential global growth between 2020 and 2029 would slow to a yearly average of 2.1%, from 2.5% in the previous decade, as a result of aging populations and lower productivity growth. The bank lowered its projection to 1.9%. Global economy is expected to grow 4% this year after contracting 4.3% in 2020. That 2021 projection is 0.2 percentage point lower than it forecast last June. (Wall Street Journal, World Bank)
Britain is on course for its first double-dip recession since 1975. Economists forecast the third lockdown, much stricter than the second and more like the first with schools shut once again, will cause the economy to contract by up to 3.5% in 1Q21. Meanwhile, U.S. auto sales in 2020 are expected to hit their lowest point in nearly a decade. (The Times, Wall Street Journal)
Months later, more than 1 million Americans are still waiting for unemployment aid. Meanwhile, 1 in 5 Americans will buy necessities with their stimulus payment. (Washington Post, Civic Science)
At 1 pm today, a joint session of Congress will meet and open sealed certificates from each state that contain a record of their electoral votes. Meanwhile, President Trump ratcheted up his campaign to cling to power by pressuring Vice President Mike Pence, as Trump falsely suggested that Pence could use the occasion to nullify the result. Votes are being counted in Georgia’s two Senate races. (Atlanta Journal-Constitution, Financial Times, Atlanta Journal-Constitution-2)
62% of voters say members of Congress should accept Joe Biden’s Electoral College victory over President Trump, while 24% say lawmakers should object to it. 53% of GOP voters back the Capitol Hill push against Biden’s Electoral College victory. 36% of voters said Congress should begin impeachment proceedings, while 49% said it should not. (Morning Consult)
Covid-19 deaths hit 11,000 in L.A. County, as the surge creates ‘a human disaster.’ In Ukiah, CA, the compressor on a freezer storing 830 doses of the Moderna vaccine stopped working, spurring officials to inject local residents at a furious pace — and providing an unintentional road map for how a mass inoculation program could work. The UK Cabinet Office minister warned the Covid lockdown likely to be in place until March. Israel will go into at least 14 days of “full closure” starting midnight Thursday, just as its vaccination campaign runs out of steam. (Los Angeles Times, The Guardian, Times of Israel, Jerusalem Post)
The FDA won't recommend altering the dose regimens of the two coronavirus vaccines without new clinical data, as it could put "public health at risk" because those immunized may falsely think they're protected. Meanwhile, the Chinese and Russian vaccines are going global. (HealthcareDive, FDA, Axios)
Around 50 former Hong Kong opposition lawmakers and activists were arrested for subversion for their roles in a primary election run-off in the biggest mass arrest operation under the national security law since it took effect on June 30 last year. Meanwhile, the Chinese Communist Party introduced new rules on what members can say as it ‘boosts internal democracy.’ The revised rule book says cadres can make complaints about superiors but are prohibited from airing them in public. They are also banned from expressing opinions that are ‘not consistent’ with central leadership decisions. Separately, President Trump banned transactions with eight Chinese software apps. (South China Morning Post, South China Morning Post-2)
Singapore police will be able to use data obtained by its coronavirus contact-tracing technology for criminal investigations, contradicts the privacy policy originally outlined when the government launched its TraceTogether app in March 2020. The technology is being used by nearly 80% of the population, after its use became compulsory in places such as shopping malls. ( The Guardian, MIT Technology Review)
Saudi Arabia said it would unilaterally cut 1 million barrels a day of crude production starting next month, a surprise move signaling the kingdom’s worry that a resurgent coronavirus is threatening global economic recovery. North Korean leader Kim Jong Un said his five-year economic plan had failed to meet its goals “on almost every sector” as he kicked off the ruling Workers’ Party congress. (Wall Street Journal, Reuters)
Cyberattacks against healthcare organizations have risen 45% since Nov. 1. Other industries saw a 22% increase in cyberattacks during the same time period. In November, North America saw a 67% increase in cyberattacks on healthcare organizations; attacks increased 145% in Central Europe. Meanwhile, U.S. security agencies said Russia was likely behind a massive cyber espionage campaign uncovered at the end of last year. (HealthcareDive, Check Point, Financial Times)
The EPA will limit what research it can use to craft public health protections, a move opponents argue will cripple the agency’s ability to more aggressively regulate the nation’s air and water. The new rule would require researchers to disclose the raw data involved in their public health studies before the agency could rely upon their conclusions. Many leading researchers and academic organizations argue this will restrict the EPA from using some of the most consequential research on human subjects, which often includes confidential medical records and other proprietary data that cannot be released because of privacy concerns. Said the former director of the EPA’s Science Advisory Board: “This is a bold attempt to get science out of the way so special interests can do what they want.” (Washington Post, Federal Register)
President-elect Biden will tap more Obama vets to fill key national security roles, including longtime diplomat Wendy Sherman as Deputy Secretary of State, Victoria Nuland as Under Secretary of State for political affairs, and Jon Finer as deputy national security adviser. (Politico)
Economy
Big banks earned billions of dollars in fees via the 2020 SPAC boom, highlighting how booming capital markets are helping Wall Street weather the coronavirus. U.S.-listed SPACs raised $82 billion, a more-than-sixfold increase from the year before and a figure greater than all of the money previously raised. Meanwhile, Wells Fargo will expand its investment bank as part of a strategy CEO Charlie Scharf has been developing since taking over the troubled consumer and commercial banking giant. (Wall Street Journal, Bloomberg)
Apple said in its annual proxy filing it will modify executive cash bonuses based on whether the executives act within the company’s social and environmental values. Meanwhile, investors are braced for a green bond rush this year, as policymakers seek a sustainable recovery from the crisis. Governments and companies are expected to issue $500bn in green debt in 2021, nearly half the total that has been raised since the asset class’s inception. (Reuters, Financial Times)
Macy’s will close 45 stores this year, including a key one: It’s Water Tower Place flagship store on Chicago’s Magnificent Mile. The closure will leave the big department store space vacant for the first time since the eight-story mall opened in 1975 with Marshall Field’s as the anchor tenant. (Chicago Tribune)
Hundreds of startups go public every year. Only 20 have ever been founded and led to an IPO by women. 2020 was a record year for U.S. IPOS, with 442 logged as of December 14. Yet only five of those were companies founded and led by women. There are many reasons women and minorities have been held back. Among them: Fewer than 13% of all VC decision-makers are women, and less than 3% of all VC dollars flow to companies led only by women. (Business Insider)
Technology
Why the tech world is buzzing about Miami: While Miami’s tech ecosystem isn’t as robust as many other major U.S. cities, its mayor, longtime local startup boosters, and connected newcomers are hoping to lift its prominence. Data shows funding to the metro area has also been on the rise — close to $1 billion in venture funding last year. (Crunchbase)
Cameo, the service that lets fans pay celebrities to create personalized video messages, plans to raise more venture capital in the coming months and potentially buy smaller tech startups. The four-year-old startup, last valued at $300 million, also plans to introduce new money-making features such as subscriptions and in-app video chat. Meanwhile, the company hired a slate of new execs, including a new CTO, CFO, COO and Chief People Officer. (The Information, Axios)
How Google workers secretly built a union: They planned in secret for more than a year, fearing Google management's retaliation if word got out; it's a non-contract union, meaning the AWU doesn't have NLRB certification and it won't bargain for pay contracts for Googlers. That serves two purposes: to make joining more appealing, and to let the AWU include temporary and contract workers; and members will pay 1% of their salary in dues, and the AWU is being organized through the Communication Workers of America, which represents unions as varied as flight attendants and furniture manufacturers. (Protocol)
1,038,191 new podcasts launched in 2020. The busiest month for new shows was June. However, 60.7% of all podcasts are no longer being updated. (MyPodcastReviews)
Smart Links
Goldman Sachs CEO forecasts small business survival in the storm. (Axios)
2021 will change how homes are bought. (Protocol)
Epic Games bought a 980,000-square-foot, 87-acre shopping mall in Cary, NC — which will become its HQ. (Epic Games)
Gary Cohn joins IBM as vice chairman; GE won’t try to claw back Jeff Immelt’s pay. (Axios, Wall Street Journal)
Grammys 2021 postponed until March. (Los Angeles Times)
Astronomers agree: Universe is nearly 14 billion years old. (Cornell University)
McDonald's wants a bite of crispy chicken market with new sandwiches. (Reuters)
Where are the best (and worst) cities for Black women? (Bloomberg)