"Collusion is not a crime, but that doesn’t matter because there was No Collusion."

"Collusion is not a crime, but that doesn’t matter because there was No Collusion." 

Marc Ross Daily
August 2, 2018
Curation and commentary from Marc A. Ross

Reporting from Alexandria, Virginia

Marc Ross Daily  = Global Business News at the Intersection of Politics + Policy + Profits

Subscribe here: https://goo.gl/bSQKwA

TOP FIVE

✔️ Trump looks to more than double tariffs on China imports

✔️ Defense bill aims to counter China

✔️ Corporate Japan's capital spending plans reach 38-year high

✔️ “This election is very simple. It’s an up-or-down vote on impeachment.”

✔️ Kroger is launching a grocery delivery service dubbed Kroger Ship
 

GEOECONOMICS

OTD: In 1990 Iraqi forces invaded Kuwait

Troops open fire on protesters as election divides Zimbabwe: The Times reports, deadly violence erupted on the streets of Zimbabwe’s capital yesterday as troops used automatic weapons, tear gas and water cannons in a brutal crackdown on crowds protesting against the overwhelming victory of the ruling party in parliamentary elections.

France: Dominic Raab, the Brexit secretary, meets Nathalie Loiseau, the French minister for European affairs.

Politico: Trump tariffs sting farmers, businesses from sea to shining sea

The Times: US ‘blackmail’ on tariffs will not work, says China

Trump threatens to double tariffs on Chinese imports, but stops short of actually doing it: LAT reports, a week after moving to ease trade tensions with the European Union, the administration said it would consider imposing a 25% tariff on certain Chinese imports, up from the 10% Trump proposed last month. Senior administration officials on Wednesday expressed frustration that China has responded to US tariffs with retaliation rather than capitulation.

“We have been very clear about the specific changes China should undertake,” said US Trade Representative Robert Lighthizer. “Regrettably, instead of changing its harmful behavior, China has illegally retaliated against U.S. workers, farmers, ranchers andbusinesses.”

US mulls boosting China tariffs to 25%: WSJ reports, the White House, seeking to ratchet up pressure on Beijing and prod China into further negotiations, said it would consider more than doubling its proposed tariffs on $200 billion of Chinese goods to 25%.

Chinese goods may face higher tariffs as US anger grows: NYT reports, the administration said it would consider raising tariffs on $200 billion of Chinese products to 25 percent from 10 percent as China’s currency declines.

Trump looks to more than double tariffs on China imports: FT reports, US president calls on trade rep to consider increase to 25%.

Trump officials consider more than doubling tariffs on Chinese goods: LAT reports, the deliberations could be a sign that Trump is looking to intensify pressure in the trade standoff with Beijing.

Defense bill aims to counter China: WSJ reports, Congress passed a defense-policy bill that some lawmakers say is tougher on China than any in history, as a bipartisan movement to confront Beijing gathers steam.

Chinese investor gives up purchase of German toolmaker: Nikkei reports, Merkel government was set to veto deal on national security concerns.

West begins to close door on Chinese investment: FT reports, Beijing perceives it is harder to do US deals — and that Europe is also tightening up.

Massive US defense policy bill passes without strict China measures: Reuters reports, the US Senate passed a $716 billion defense policy bill on Wednesday, backing President Donald Trump's call for a bigger, stronger military and sidestepping a potential battle with the White House over technology from major Chinese firms.

Nikkei: Corporate Japan's capital spending plans reach 38-year high

Outlays estimated at $176 billion, driven by electric vehicles and construction

Nikkei: Aussie beef prices rise as China loses appetite for US meat

Australia's population is growing at the fastest pace of any major developed country. Head count will hit 25 million this month—an incredible three decades sooner than the government had predicted in 2005.

Mike Pompeo's plan to deny China exclusive rights to the Indo-Pacific region: The National Interest reports, Mike Pompeo says he wants a "free and open" Indo-Pacific region. Australia is the security key to making that a reality. 

Madrid begins talks with Catalan separatist leaders: AFP reports, Spain's new Socialist government held talks with Catalonia's separatist executive on Wednesday in the first such meeting in seven years as tensions eased but sharp divergences remained over the region's self-determination drive.

AMERICAN POLITICS

"Collusion is not a crime, but that doesn’t matter because there was No Collusion." -- DJT

End it now: Trump urged AG Sessions to end the Russia investigation “right now,” renewing public pressure on the nation’s top law-enforcement official to halt the probe.

Trump calls on Sessions to stop Mueller's Russia probe, raising specter of attempted obstruction: LAT reports, the tweet was the president's most explicit post or statement to date seemingly aimed at getting his attorney general to end the probe.

Is a POTUS tweet an opinion or an order?!?

WP: Mueller offers to limit investigators’ questions for Trump in special counsel’s latest effort to secure presidentialinterview

Today: Trump will attend a campaign rally in Wilkes-Barre, Pennsylvania

Bob Woodward’s "FEAR: Inside the Trump White House," launching on September 11 is No. 1 on Amazon.

He's back: Barack Obama dipped into November's midterm election fight for the first time on Wednesday, endorsing 81 Democrats in 14 states with a focus on young, diverse candidates and lower-level races.

Not featured: Alexandria Ocasio-Cortez

Comstock, running for reelection, won’t vote for a shutdown no matter how much Trump wants one: WP reports, Rep. Barbara Comstock said she supports President Trump’s border wall and almost always votes with her party, but the vulnerable Republican’s Northern Virginia district is home to tens of thousands of federal workers.

As the bizarre QAnon group emerges, Trump rallies go from nasty to dangerous: WP reports, hostility toward the media is nothing new. But the latest rally was attended by deranged devotees of a supposed government agent who supporters believe is waging war against the “deep state” that threatens the Trump presidency.

SBUX, Schultz, Schmidt: More buzz that Steve Schmidt will advise a presidential bid by his longtime client, former Starbucks chief Howard Schultz, or another Democratic candidate in 2020.

Steve Schmidt will for sure work on a 2020 presidential campaign - book it.

Election 2020: Biden leads Trump in early 2020 match-up

A plurality of registered voters, 44 percent, said they’d choose Biden in the 2020 presidential election, while 37 percent of voters said they would vote for Trump.

Election 2020: "The best way to win in 2020 is to win in 2018. The goal is to make those people who are presidential-year voters into midterm-election voters." -- White House Political Director Bill Stepien

Election 2020 + Mueller: “We look at the front pages of daily key in-state newspapers every day. Compare and contrast that with what The Washington Post or New York Times is saying. It’s not on the 6 o’clock or 10 o’clock news every night. That’s what matters.” -- White House Political Director Bill Stepien

Inside the Trump 2020 campaign’s wild attempt to “Keep America Great”: Vanity Fair reports, the president is running his re-election campaign precisely the way he governs—playing three opposing power centers off each other, and listening mainly to his own instincts. It’s going to get ugly, and soon. “We’re going to call them out,” says Steve Bannon. “Kirsten Gillibrand, show us what you got. Elizabeth Warren? Kamala Harris? Howard Schultz? He’s going to cut through these guys like a scythe through grass.” http://bit.ly/2va8qLw

“This election is very simple. It’s an up-or-down vote on impeachment.” -- Steve Bannon

“Republicans will come home. Dude, you got Gorsuch and Kavanaugh back to back." At a minimum, Kavanaugh’s nomination "will ensure they don’t vote for Democrats.” -- Steve Bannon

Trump is doing what he loves most: running for president. His re-election effort is typically Trumpian: sprawling, disjointed, and bursting with confidence.

Average approval among the other political party:

Eisenhower 49%
Kennedy 49%
Johnson 40%
Nixon 34%
Ford 36%
Carter 30%
Reagan 31%
GWH Bush 44%
Clinton 27%
GW Bush 23%
Obama 14%
Trump 7%

HT Pew

US Treasury embraces fintech: The US Treasury Department has issued a 222-page report that urges flexible regulation of financial-technology companies. The report's recommendations include support for regulatory sandboxes to let startups experiment.

ENTERPRISE

Facebook has announced new tools that tallies time spent and nudges you when it’s time for a break.

Car sales: US auto sales slowed in July as rising interest rates, higher gasoline prices and falling demand for passenger cars

LAT: Tesla losses mount to $1.5 billion so far in 2018

Tesla will look to China for partial funding of its first factory there.

FT: Molson Coors sales go flat on North America declines

Hotel points: Starwood Preferred Guests, Ritz-Carlton Rewards, and Marriott Rewards are finally combined into a single program on August 18.

Google is working on a censored search engine for China.

WhatsApp outlined plans to begin selling advertisements and charging companies a service fee for interacting with customers on the platform.

Kroger is launching a grocery delivery service dubbed Kroger Ship in Cincinnati, Houston, Louisville, and Nashville.

Bloomberg: Huawei passes Apple in smartphone share for the first time

House of Fraser is teetering on the brink of collapse after a Chinese investor pulled out of a deal to buy a stake in the ailing department store and inject £70 million of funding.

TRENDS

Ocean plastic: More than 80% of marine plastic pollution comes from Asia

Degrading plastics emit greenhouse gases: study: AFP reports, a study in the journal PLOS ONE on Wednesday found that degrading plastics emit powerful greenhouse gases like methane and ethylene, and are a previously unaccounted-for source of these heat-trapping pollutants. Plastic water bottles, shopping bags, industrial plastics and food containers were all tested as part of the study.

QOTD: “It got to a point where it would be far easier to build a technology company that does marketing than to try to change a big legacy business into that.” -- Havas CEO David Jones on rethinking the traditional agency model.

What the team at a16z is reading this summerhttp://bit.ly/2MeyRGJ

Does packaging matter? In a world of e-commerce, brands no longer need packaging to catch shoppers' eyes. Instead, online platforms lets brands use photos, videos, user-generated content, and more to promote their goods. 

Apps mean mobile phones are for texting, not talking: The amount of time people spend talking on their mobile phones has fallen for the first time as users switch to messaging apps.

CULTURE

CNN will say goodbye to Anthony Bourdain with a final season this fall: LAT reports, only one episode — a trip to Kenya with W. Kamau Bell, the host of CNN’s “United Shades of America” — was completed before Bourdain’s death. It will be the last to have Bourdain’s written narration. Four others set in Manhattan’s Lower East Side — in addition to the Big Bend area of Texas along the border of Mexico, the Asturias region of Spain and Indonesia — will be completed by the directors who filmed them for the show’s production company Zero Point Zero.

The world's most beautiful libraries – in pictures: In a new Taschen book, the Italian photographer Massimo Listri travels around the world to some of the oldest libraries, revealing a treasure trove of unique and imaginative architecture. http://bit.ly/2KjGWYS

SPORT

LAT: NBA's hunt for revenue leads to gambling partnership with MGM Resorts in Las Vegas

OSU Football: BREAKING: Ohio State has placed Urban Meyer on paid administrative leave. Ryan Day will be the team’s acting head coach during the investigation.

OTD: In 1875 Britain’s first roller-skating rink opened in Belgravia, London

FA wants Southgate to be manager for 2022 World Cup: The Times reports, the FA is set to make Gareth Southgate an offer to extend his contract as England manager until the 2022 World Cup but admits that it will not be able to compete with a top Premier League club in terms of salary.

"It’s a significant shift in our thinking"

"It’s a significant shift in our thinking"

Marc Ross Daily
August 1, 2018
Curation and commentary from Marc A. Ross

Reporting from Alexandria, Virginia

Marc Ross Daily  = Business News at the Intersection of Global Politics + Policy + Profits

Subscribe here: https://goo.gl/bSQKwA

TOP FIVE

✔️ US and China are trying to restart talks

✔️ US considers higher tariffs on $200 billion in Chinese import

✔️ Pakistan hits back at US resistance to IMF bailout

✔️ UK surpasses US and China for fintech investment

✔️ Eison Triple Threads will recommend clothes based on your Spotify data

ROSS RANT

To be a better thought leader - think CAGE

Create Attention Generate Engagement

Create
Attention
Generate
Engagement

GEOECONOMICS

Venezuela in three acts: The nationalization of the oil industry in 1976, Hugo Chavez’s raiding of its coffers to fund social programs in the 2000s, and Venezuela’s near-total dependence on oil left it with few options when prices tanked beginning in 2014.

A lesson here - don't be a petrol-state.

AFP: Brazil expected to keep key interest rate steady at 6.5 percent

Egypt is set to open the world’s largest solar farm next year: The desert south of Cairo will house the new $2.8 billion facility. 

Bitcoin drops 5 percent to one-week low, briefly below $7,700

@PM_Thornton #Taiwan's President Tsai Ing-wen to transit in US on trip to #Paraguay and #Belize President will stop in Los Angeles and Houston during her tour next month https://sc.mp/2ApXrTw via @SCMPNews

WSJ: ‘Shocked’ by latest US tariff plan, Beijing seeks retaliatory action

"China can’t match Washington’s new tariffs as it has in previous rounds, so it is reviewing plans to hit back in other ways"

Beijing could send an even louder signal by taking aim at a couple of high-profile mergers. For example, Walt Disney Co.’s $71.3 billion bid for 21st Century Fox’s entertainment assets needs Chinese regulatory approval. 

Bring out the big chairs: The US and China are trying to restart talks aimed at averting a full-blown trade war. Negotiations to resolve the dispute have been stalled for weeks.

US and China look to revive trade talks: Nikkei reports, Wall Street jumps on news of closed-door discussions to avert all-out trade war.

US considers higher tariffs on $200 billion in Chinese imports: Bloomberg reports, the Trump administration will propose raising to 25 percent its planned 10 percent tariffs on $200 billion in Chinese imports, ratcheting up pressure on Beijing to return to the negotiating table, three people familiar with the internal deliberations said. The US imposed 25 percent tariffs on $34 billion of Chinese products in early July, and the review period on another $16 billion of imports ends Wednesday. Trump has threatened an additional $200 billion with levies of 10 percent, a level the administration may raise to 25 percent in a Federal Register notice in coming days

Chinese economy starts to feel impact of US tariffs: WSJ reports, China’s leadership pledged to ensure economic stability as its trade fight with the U.S. started to pinch growth, signaling that a bigger stimulus could be ahead.

As China’s woes mount, Xi faces rare rebuke at home: NYT reports, as China confronts economic headwinds, a vaccine scandal and trade tensions, a legal scholar named Xu Zhangrun decided to speak out. It could be dangerous for him.

Pakistan hits back at US resistance to IMF bailout: FT reports, Islamabad accuses Washington of using its need for funds to try to limit Chinese investment.

OTD: In 1914 Germany declared war on Russia

UK surpasses US and China for fintech investment: Financial-technology investment in the first half of 2018 was higher in the UK than in the US and China, reaching $16.1 billion.

May’s Brexit plea to Macron: The Times reports, PM Theresa May will cut short her summer holiday in an attempt to persuade Emmanuel Macron to soften his stance on Brexit despite warnings that he is preparing to stand firm. The prime minister will attend a crucial meeting with the French president on Friday

OTD: In 1798 Nelson defeated the French at the Battle of the Nile

The death toll from Crimean War, 1853-1856 (including non-combat deaths):

Ottoman Empire: 45,400
French Empire: 95,615
British Empire: 22,182
Russian Empire: 450,216

AMERICAN POLITICS

Election 2018: The Koch network plans to spend between $300 million to $400 million on politics and policy during the 2018 cycle.

NYT: Koch’s frustrations with Trump spill over into publicfeud

DC buzz: Most people inside the beltway say that the GOP will lose the House, if the election were held today. Of course, the election is three months from now, but the political picture has darkened for the GOP.

In Florida, not all politics are local, as Trump shapes governor's race: NYT reports, the Sarasota County Republican fair and rally last Saturday left little mystery about what is animating the party this year. There was a "Trump Shop" outside the arena, selling T-shirts extolling the president's dominance.

You need to see this dumb campaign ad running in Florida - really- it is so dumb: http://bit.ly/2v3lh2g

@chucktodd: Actual ad for the GOP frontrunner for FLGOV. This goes beyond doubling down on Trump.  Need a whole new set of words to describe this strategy. 

Prosecutors say Manafort’s wealth fueled by lies to IRS, banks: WP reports, prosecutors said in their opening statement at Paul Manafort's trial on 18 charges of financial fraud that President Trump’s former campaign chairman failed to pay taxes on some of the millions of dollars he made working as a strategist for a political party in Ukraine, and then lied to banks to get loans when those payments stopped.

Deep throat is back: Bob Woodward has been quietly working on a book about Trump, entitled “Fear: Trump in the White House” that will come out Sept. 11.

WH COS: White House Chief of Staff John Kelly has accepted President Trump's offer to stay through 2020

Here are the 207 arguments Trump has made against the Mueller investigation https://ti.me/2M4S7WY

Pence blames Russia for 2016 Election interference: VP Pence put the blame for 2016 election interference squarely on Russia and pledged that the Trump administration would step up efforts to deter cyberattacks against US democracy.

AdAge: Facebook finds ongoing evidence of election interference

"Whoever set up these accounts went to much greater lengths to obscure their true identities than the Russian-based Internet Research Agency has in the past," says the company.

RIP: Former congressman and Oakland mayor Ron Dellums died at 82

WP: Layoffs from Trump tariffs are piling up. So are calls for more bailouts.

Team Trump picking the winners and losers of the economy is totally lame.

'It’s a significant shift in our thinking': Business takes freshlook at Democrats: Politico reports, if businesses shift significant support away from Republicans, it could deal a blow to GOP fundraising. But some Democrats are skeptical that the talk will translate into cash for their campaigns.

Hogan questions Trump trade policy during visit to heavily Democratic Montgomery Co.: WP reports, the Republican governor said he believes he can win the county, the most populous jurisdiction in the state, in November. A spokesman for Democratic challenger Ben Jealous dismissed that prediction.

Big names, big mentions: Since 2008, members of Congress have mentioned the Fortune 100 companies over 84,000 times.

ENTERPRISE

Deutsche Bank announced it’s moving a portion of its business out of London in anticipation of the UK’s exit from the EU.

Eison Triple Threads will recommend clothes based on your Spotify data.

I am keen to see the outfits Art Blakey, The Tragically Hip, and Underworld generate....

Uber shuts down its self-driving trucks program.

Tesla has held preliminary talks with two German states about establishing a European Gigafactory.

BMW's electric car ambitions are getting a boost with news of the company's €1 billion ($1.17 billion) investment in a new factory in Hungary.

WSJ: Pentagon signs $885 million AI contract with Booz Allen

Amazon Studios is working on a redesign of the mobile Prime Video app.

FT: Apple’s iPhone X drives forecast-busting revenues

Harley Davidson will start selling lightweight motorcycles in Asia to counter falling sales in the US.

P&G raises prices on popular brands as costs rise: FT reports, consumer giant passes on to shoppers the extra cost of commodities hit by trade tariffs.

Vivendi SA said it is looking to sell as much as 50 percent of Universal Music Group.

Under Armour's top marketing executive is headed to Nike, sources say: Adweek reports, the woman who spent the past eight-plus months overseeing Under Armour's global marketing efforts has accepted a position with Nike, according to two sources familiar with the matter. Earlier today, Adweek broke the news that SVP, global head of brand management Adrienne Lofton had resigned after approximately nine years and two stints with the apparel company.

MoviePass, the probably-too-good-to-be-true $9.95 monthly movie theater subscription service, seems to be in its death throes.

Etsy is doing its first national TV commercial.

Samsung's Galaxy S9 flagship smartphone missed its sales targets.

Personal shopping competition: Net-a-Porter, MatchesFashion and other e-commerce players are courting the 1 percent with private dinners, personal shoppers, and couture.

Cheaper luxury gets Chinese excited: Louis Vuitton, Gucci, Hermès and Burberry all reduced their prices in China this month. 

Tory Burch will open its first Australian store in Sydney.

LAT: The RealReal's first SoCal store boasts a dedicated men's space, a handbag vault and a 'sneakerdome'

Yahoo plans to launch a financial news streaming network by the end of the year.

Tencent has tumbled 25 percent from its January peak, erasing about $143 billion in market value.

Starbucks reports its loyalty Rewards members reached 15.1 million active users.

Levi’s plans to slash emissions in global supply chain by 2025.

TRENDS

A South Carolina school district has permanently done away with snow days: In the event of inclement weather, students in every grade will now be expected to complete their assignments online. Some parents complained that they lack Internet access at home. 

Dehydration: Studies show that even a little bit of dehydration can cause some serious brain fog. One study found that subjects who were about 1 percent dehydrated saw an estimated 12 percent more total errors on a card game that measured cognitive flexibility.

CULTURE

Beyoncé will appear on the cover of Vogue in September.

Anna Wintour to stay 'indefinitely' at Vogue, quashing exit rumors: Reuters reports, Anna Wintour, the influential editor of Vogue magazine, is remaining in her job "indefinitely," publisher Conde Nast said on Tuesday, refuting rumors that she was on her way out after 30 years.

House of Highlights hits 10 million followers. 

HBD: Coolio, rapper, Gangsta’s Paradise (1995), 55

Summer camp for the ultra-wealthy teaches kids how to stay rich: Attendees at Next Gen functions hosted by the likes of UBS, Citi Private Bank, and Credit Suisse will one day rank among the world’s most sought-after clients. https://bloom.bg/2v5hamf

The perfect age to plan a round-the-world trip https://on.ft.com/2M7xpFP

HBD: Sam Mendes, film director, American Beauty (1999), Skyfall (2012), Spectre (2015), 53

American land use: Here's how America uses all that land to feed itself, power the economy and extract value for business and pleasure. https://bloom.bg/2LQLvyl

SPORT

Robot wars are the new popular college sport: China has a leg up in the complex student competitions.

ESPN: NBA signs deal with MGM to be gaming partner

NBA Commissioner Adam Silver announced that the league struck a deal that makes MGM Resorts the exclusive official gaming partner of the NBA and WNBA.

Industry sources pegged the deal to be for three years and at least $25 million.

AFP: 'Heading the ball' riskier for female players: study

Today: 2018 MLS All-Star Game = Major League Soccer all-stars playing Italian Serie A champions Juventus

"Can AI give me that?”

"Can AI give me that?”

Marc Ross Daily
July 31, 2018
Curation and commentary from Marc A. Ross

Reporting from Alexandria, Virginia

Marc Ross Daily  = Business News at the Intersection of Global Politics + Policy + Profits

Subscribe here: https://goo.gl/bSQKwA

TOP FIVE

✔️ How Silicon Valley became a den of spies

✔️ The untold story of Otto Warmbier

✔️ Mexico’s new president will take a pay cut

✔️ Election 2018 is 98 days away

✔️ Starbucks is partnering with Alibaba to deliver drinks

ROSS RANT

America’s CEOs need to do more to reverse US-China trend

If negative views of a company increased by 26 percentage points over a decade, the chief executive officer of said company would have a major problem.

In fact, that CEO would probably be asked to leave.

Sadly, when it comes to US-China relations no one seems to care, and no one has been asked to leave.

In the United States, negative views of China have increased by 26 percentage points between 2006 and 2016. And American negativity toward China has been higher than Chinese negativity toward the United States in every year since 2014.

A January 2017 Pew Research survey of Americans found that 65 percent of respondents said China is either an adversary (22 percent) or a serious problem (43 percent), while only about a third (31 percent) said China is not an issue.

And in a separate Spring 2016 survey by Pew Research, a majority (55 percent) of Americans held an unfavorable opinion of what more and more Americans see as their largest Asian rival.

This is the public affairs reality that the CEO leadership of America’s blue-chip multinational companies are facing right now.

One of their largest and most promising markets is seen domestically as the home of an adversary power that allows fertile ground for politicians supporting protectionist policies and trade halting tariffs on Capitol Hill. Actions that if successfully passed would force Beijing to respond with retaliatory trade tactics from less investment here to increased limits stifling full access to the growing Chinese consumer marketplace for American farmers and exporters.

However, in the cozy and elite world of U.S.-China commercial relations where most of the work takes place in posh hotels and big chair summits, the deterioration of the way Americans see China seems to have escaped the captains of industry. Boardrooms across the nation continue to operate as if all is smooth and satisfactory.

It is time for those that care about a productive and engaged US-China commercial relationship to take these polls seriously and engage Americans in Main Street coffee shops and at picnic tables for backyard summer BBQs.

GEOECONOMICS

How Silicon Valley became a den of spies: Politico reports, the West Coast is a growing target of foreign espionage. And it’s not ready to fight back. 

Taiwan had 28 allies in 1990 and today just 17 countries (plus the Vatican) have diplomatic relations with the island state.

Reuters: China urges US not to allow stopover by Taiwan president

Cambodian leader Hun Sen extended his 33-year grip on power, easily winning a boycotted election after he banned the main opposition party last year.

The untold story of Otto Warmbier, American hostage: Trump hailed him as a catalyst of the summit with Kim Jong-Un. But what happened to Warmbier—the American college student who was sent home brain-damaged from North Korea—is even more shocking than anyone knew. http://bit.ly/2v2vD2q

Artificial intelligence, immune to fear or favor, is helping to make China’s foreign policy: SCMP reports, the programme draws on a huge amount of data, with information ranging from cocktail-party gossip to images taken by spy satellites, to contribute to strategies in Chinese diplomacy.

Trump, once a hero in China, is now seen as erratic and unreliable: LAT reports, in 2016, after Donald Trump won the Republican nomination for president, social media in China embraced him with tribute pages including the “Trump Fan Club” and “Great Man Donald Trump.” But those pages no longer see much activity. Remarks about Trump on Chinese social media — one of the only gauges of public sentiment in a country with limited opinion polling — have taken a sharply negative turn.

Reuters: China shows foreign investors carrot and big stick

China plans tighter controls on foreign acquisitions: FT reports, foreigners seeking “strategic” stakes in listed Chinese companies could face broader national security reviews under new rules drafted by China’s commerce ministry, a sign Beijing is preparing to hit back at western efforts to curb Chinese acquisitions of sensitive technologies. The proposed amendments to existing investment rules, published on Monday, expand the universe of foreign investments covered by China’s formal national security review process.

Reuters: Australia, Japan join US infrastructure push in Asia

WSJ: China’s total investment in US falls

"China’s total direct investment position fell to $39.5 billion in 2017 from $40.4 billion the year before"

LA mayor to strengthen China ties despite trade jitters: FT reports, Eric Garcetti says it is vital for local US leaders to reach out to key investment partners.

North Korea is working on new missiles, US spy agencies say: WP reports, the new intelligence shows that work on advanced weapons is continuing six weeks after President Trump declared in a tweet that North Korea was “no longer a nuclear threat.” The reports come after recent revelations about a suspected uranium enrichment facility that North Korea is operating in secret.

Mark Carney is preparing for Brexit and the next crisis: Bloomberg reports, what it's like to be the UK's central bank chief as Britain negotiates its traumatic exit from the EU.

Brexit plans raise fears over food shortages and ports: NYT reports, efforts to prepare for the possibility of a “no-deal” Brexit have backfired by drawing attention to the extreme consequences Britain might face.

Mexico’s new president will take a pay cut. That means cuts for others: WSJ reports, a plan by President-elect Andrés Manuel López Obrador to slash top government salaries threatens to gut the brain trust at institutions that have played pivotal roles in stabilizing Mexico’s economy for decades.

Zimbabwe: The first official results expected after the Zimbabwe presidential and parliamentary elections.

AMERICAN POLITICS

Today: Paul Manafort faces charges of bank fraud, tax evasion, and conspiracy. A dozen charges center on his work as a highly paid advisor to the Russian-backed government in Ukraine, but the conspiracy continued through the Trump campaign, prosecutors allege. This trial begins today and is the first of two that Manafort faces this year. In September, he is set to appear in federal court in Washington on charges that include acting as an unregistered agent of a foreign government. 

WP: From six homes to a city jail: Paul Manafort, who redefined lobbying, faces trial

Manafort is the first American who has been charged as part of Mueller’s probe to go to trial instead of taking a plea deal.

CBS News poll finds that 70 percent of Republicans agree with Trump’s characterization of the Russia probe as a “witch hunt.”

Road trip Moscow: White House said Trump is “open to visiting Moscow” as Russian President Vladimir Putin suggested Friday. 

Tariffs once tore the GOP apart—and may be doing so again: It’s only a matter of time before rural voters again learn what their forebears knew: Protectionist policies are rigged against them. http://bit.ly/2NUW6G4

Trump is over-promising to farmers as his administration looks primed to under-deliver. 

WP: Donald Trump has been wrong on trade for 30 years https://wapo.st/2NWOcvI

"We didn't need a trade war with Japan in the 1980s. We don't need one with China today." 

If you were afraid of Japan in the 80s, you are going to be totally freaked out by China in the 10s.

Misplaced nostalgia, emotion, and feel good policies is no way to manage and lead a global economy.

Enjoy the ride.

Trump administration considers tax cut for the wealthy: WP reports, he president’s top advisers are debating a plan to reduce capital gains taxes without congressional approval. The use of executive power on such a significant change to the tax law would be highly unusual and could be vulnerable to a legal challenge.

Today: Trump will attend a campaign rally in Tampa.

Election 2018 House: "For the Democrats to take an even one-seat edge in the new House, they would have to win a clear majority in 38 of his toss-up or lean D districts where any Democratic candidate has won only four times in the aggregate 114 elections since these seats were created in their current configurations from the 2011 redistricting process." -- Jim Ellis

OH-12 special election should provide clues to 2018 outcome http://bit.ly/2LZl3j3

The August 7 contest, vacated by Republican Pat Tiberi when he left to head the Ohio Business Roundtable, has all the makings of a bellwether-esque race in one of the most bellwether states in the nation.

Election 2018 spending: Ringing in at over $1 billion in ad spending, it will likely be the most expensive midterm election cycle in history.

Election 2018 is 98 days away.

Enjoy the ride.

In a new book, Bob Woodward plans to reveal the ‘harrowing life’ inside President Trump’s White House: WP reports, until now, the veteran journalist’s upcoming publication of “Fear” was a closely held Washington secret.

Politico: ‘The map is different now’: Trump blows the 2020 race wide open

"The next presidential campaign is going to be fought on unfamiliar battlegrounds."

"Trump’s sweep through the upper Midwest and the demographic shifts powering Democrats in the South and West, the field of competitive states stands to be dramatically reshaped in 2020."

"Minnesota, which hasn’t gone for Republican for president in nearly a half-century, suddenly rates high on the GOP wish list. Arizona and Georgia, until recent years considered red-state locks, are undeniably within Democratic reach."

LAT: Kamala Harris' challenge in a 2020 presidential bid? Defining herself before her opponents do

Right stuff: LAT reports, NASA will announce Friday which astronauts will ride in which capsules for the first crewed test flights of what’s known as the commercial crew program. SpaceX and Boeing each built one of the capsules, which are scheduled to launch for the first time without crew next month, though industry analysts say that date will be pushed back.

Ahead of Asia trip, business lobby gives Pompeo an earful on trade war: NYT reports, Secretary of State Mike Pompeo pledged on Monday to ramp up the Trump administration’s diplomatic engagement with Asia in a speech that followed a blistering attack on the president’s trade policies by a usually stalwart Republican business ally. Thomas J. Donohue, the longtime US Chamber of Commerce president and chief executive, introduced Mr. Pompeo at an Indo-Pacific business forum by criticizing protectionist trade measures that he said led to both the Great Depression and World War II. 

Nikkei: US answers Belt and Road with own Indo-Pacific investment plan

ENTERPRISE

Mattel is slashing more than 2,200 jobs — about 22% of its global non-manufacturing workforce — and selling two Mexico factories. The El Segundo, CA-based toy maker of the iconic Barbie doll has struggled in recent years as kids play has moved digital.

Amazon is developing a new smartphone and UI.

Scootbee aims to produce the world's first on-demand, self-driving scooter; a user can summon a three-wheeled scooter with an app.

Yet, still no cure for cancer.

Yellow taxis engaged: New York City could become the first major US city to cap the number of vehicles driving for Uber, Lyft, and other ride-hailing companies

Reuters: Walmart discovers why the 'last mile' is the hardest

GVC Holdings partners with MGM Resorts to establish an online-gambling venture in the US.

McDonald's is celebrating the 50th anniversary of the Big Mac.

Walgreens is delving further into medical services with a goal to become a single-stop destination for all kinds of health matters.

ALDI will open five new stores across New Jersey by the end of the year.

BMW will raise the prices of two SC-made SUVs it sells in China.

Facebook handed over nearly $120 billion in market value (a loss roughly 7.5x the size of Snap, if you're keeping score) after execs tempered revenue expectations. 

T-Mobile signed a $3.5 billion deal with Nokia to build fifth-generation wireless network gear for the mobile carrier, the world's largest 5G deal to date.

Starbucks is partnering with Alibaba to deliver drinks and snacks through online food delivery platform Ele.me.

Zara is equipping its stores to also ship online purchases.

TRENDS

Biz trip for work and fun: Business and leisure travel are becoming increasingly blurred.

SoCal housing: The Southern California median home price reached a new all-time high of $536,250 in June, jumping 7.3% from a year earlier. 

QOTD: "True joy is about improv and odd twists and turns, about hilarious errors and imperfections. Can AI give me that?” -- Tom Peters

The ordinary license plate’s days may be numbered: NYT reports, several companies are applying digital technology to what has long been just a slab of metal, in hopes of making it cheaper to update your vehicle’s registration — and turning it into a portal to the connected world. “This is not about a license plate,” Reviver’s chief executive, Neville Boston, said. “It’s about connection. With a digital plate, you can be all connected in just one place.”

CULTURE

My summer allergy: children in the city: Nathan Brooker writes, London is home to more than 1.5m people under the age of 12. During the holidays, it feels like 15m. https://on.ft.com/2Ke3fyP

Mars is closer to Earth than it's been in 15 years.

HBD: JK Rowling, author of the Harry Potter books, 53

SPORT

Why competitive gaming is starting to look a lot like professional sportshttp://bit.ly/2NXqRdD

"As e-sports continue to chase mainstream popularity, traditional sports organizations have steadily joined the ranks. Now, some of the biggest professional e-sports leagues in the world are starting to look a lot like the NBA or NFL. That includes big-money owners, a structured schedule, and things like minimum salaries and other benefits for players."

HBD: Antonio Conte, footballer, Italy (1994-2000), manager of Chelsea FC (2016-July 12, 2018), 49

The Times: Chelsea want to make Kanté £290k top earner

LeBron James is moving on, but his new school ensures his legacy in Ohio: WP reports, James, who left the Cavaliers to join the Lakers this summer, opened a new school for underprivileged children in Akron, calling it perhaps the greatest day of his life.