Pandemic is testing the Federal Reserve’s new policy plan page 12

Thursday, August 26, 2021

35,427.06 11,135.15 55944.21 1,792.50 Dow +60.80 pts QE -30.86 pts sensex -14.77 pts Gold -0.88 % Huawei gets US approvals to buy auto chips, sparking blow back page 11 Price percentage Price percentage 23.92 Brent 72.23 +1.66 % WTI 68.37 +1.23 % Silver -0.07 % Barwa completes Qatar’s trade surplus rises sale of Janadriyah 213% to QR19.6 bn in July land plot in Riyadh QNA China tops countries of destination for Qatar’s exports with QR4.3 billion in July: PSA Doha Barwa Real Estate Company Tribune News Network has announced the completion Doha of the execution of the sale agreement of the plot of land The foreign merchandise owned by Wahat Al-Riyadh trade balance of Qatar, which Real Estate Company, owned represents the difference be- by Barwa Group. tween total exports and im- The registration of the The headquarters of Barwa Real ports, showed a surplus of same to the buyer at the no- Estate Company in Doha. QR 19.6 billion, an increase of tary public in Saudi Arabia has about QR 13.3 billion or 213.4 been completed after fulfilling and the company incurred percent compared to July the terms and conditions of other amounts spent on land 2020, and an increase of near- the sale agreement and pay- development plans, in ad- ly QR2.6 billion or 15.5 per- ing the rest of the land price, dition to the financing costs cent compared to June 2021. where Wahat Al-Riyadh Real and expenses of the sale According to the prelimi- Estate Company received an transaction. nary figures of the value of amount of SAR712,380,097. Barwa estimated that exports of domestic goods, As previously announced, the net selling profit result- re-exports and imports re- the total sale price amounted ing from the transaction will leased by the Planning and to SAR742,380,100 exclud- amount to QR46 million. It Statistics Authority (PSA) for ing the real estate tax which is targeted that the sale price July 2021, the total exports was borne by the buyer, and will enhance the cash position of goods including exports the company previously re- of Barwa Group so that it can of goods of domestic origin ceived an amount of SAR30 meet its obligations and sup- and re-exports amounted to million as a deposit for the port the development plans of around QR27.5 billion, show- transaction. the Group as well. The Group ing an increase of 101.9 per- The Janadriyah land with affirmed that there is no con- cent compared to July 2020, a total area of 2,216,060 m2 flict of interests between the and an increase of 8.7 percent was purchased in 2016 with a contracting parties to this compared to June 2021. total value of SAR659,277,850 transaction. On the other hand, im- ports of goods in July 2021 amounted to around QR7.9 billion, showing an increase of 7.1 percent compared to July Total exports of goods from Qatar amounted to around QR27.5 billion in July this year. Real estate trade crosses 2020 and decrease of 5.3 per- cent compared to June 2021. bituminous minerals (crude) share of 15.8 percent of total ties, with QR 0.6 billion, show- In July 2021, China was QR265 mn in one week The year-on-year increase reaching QR4.4 billion nearly, exports, followed by South Ko- ing an increase of 0.2 percent. the leading country of origin in total exports was mainly increased by 92 percent and rea with almost QR3.88 billion In second place was ‘motor of Qatar’s imports with about The volume of real estate trad- list of real estate traded for sale due to higher exports of petro- increase in the Petroleum oils & and a share of 14.13 percent, cars and other motor vehicles QR1.3 billion, a share of 16.6 ing in sales contracts registered included vacant land, hous- leum gases and other gaseous oils from bituminous minerals Japan with about QR3.87 bil- for the transport of persons’ percent of the imports, fol- by the Real Estate Registration ing, apartment buildings and a hydrocarbons like LNG, con- (not crude) reaching 2.9 billion, lion, a share of 14.12 percent. with QR0.29 billion, showing lowed by the United State of Department at the Ministry tower. Sales operations were densates, propane, butane and an increase of 146.8 percent. Year on year, the group an increase of 52.4 percent America with QR 0.9 billion of Justice during the period concentrated in the munici- others reaching QR16.1 billion In July 2021, China was of ‘turbojets, turbo propellers and in third place was ‘other almost, a share of 11.4 per- from August 15 to August 19 palities of Al Rayyan, Doha, Al approximately in July 2021, at the top of the countries of and other gas turbines; parts parts of aeroplanes or heli- cent, and United Kingdom reached QR265.758 million. Daayen, Al Wakra, Umm Salal, an increase of 105.9 percent, destination of Qatar’s exports thereof’ was at the top of the copters’ with QR0.26 billion, with QR 0.6 billion, a share The weekly bulletin issued by Al Khor, Al Dakhira, and Al Sha- petroleum oils and oils from with close to QR4.3 billion, a imported group of commodi- an increase of 27.0 percent. of 7.8 percent. the department said that the mal. (QNA)

Doha Bank constantly innovating to help fintech ecosystem grow in Qatar, says Seetharaman

and firms in the financial space like credit Digital fintech redefining cards, online banking, and blockchain-pow- ered cryptocurrencies,” he said. Qatar: Doha Bank CEO “Fintech enable digital transformation in banks. It has compelled banks to level Tribune News Network up their digital transformation and actively The QIB building in Doha. Doha seek to implement the latest advancements. Roughly 85 percent of the fintech firms in Fintech is redefining Qatar as the coun- MENA operate in the payments, transfer and QIB gets try is support entrepreneurs and innovators remittances sectors. Fintech firms in Qatar to make an impact within the domain both are focused on improving the customer expe- regionally and globally, Doha Bank CEO R rience by providing more accessible financial six awards Seetharaman has said. services,” he said. Speaking at the Qatar Fintech Summit Providing insight on investment trends from Global held recently, Doha Bank CEO R Seethara- in fintech, Seetharaman said, “According to man said, “As one of the leading commercial KPMG, Global fintech investment reached a Finance banks in Qatar, Doha Bank is constantly in- record $98 billion in the first half of 2021, novating and helping the FinTech ecosystem up from $87.1 billion in the same period in QNA grow in the country.” 2020. The UK saw a huge slice of cash in- Doha “Doha bank is an active member of Qatar vested into fintech with$24.5 billion of fin- FinTech hub (QFTH), a Qatar Development tech investment in the first half of 2021. Qatar Islamic Bank (QIB) Bank’s fintech incubator since the begin- EMEA saw $39billion invested in the first six was awarded six prestig- ning. It is a key objective for Doha Bank to months. Venture capital investments in Qa- ious accolades at the Global support the transformation of the financial tari startups have surged by 182 percent in Finances 2021 Best Digital ecosystem in Qatar to achieve the vision set the first half of 2021 totalling RQ 31 million.” Banks Awards across two ma- by the Qatar Central Bank. That is why we About the overall global economic out- jor categories - the World’s value and appreciate the work conducted by look, he said, “According to IMF, the global Best Consumer Digital Banks QDB and QFTH in providing such impor- Doha Bank CEO R Seetharaman speaks at the Qatar Fintech Summit held recently. economy is projected to grow 6 percent in in the Middle East 2021, and tant programmes. We have previously built 2021 and 4.9 percent in 2022. Advanced the World’s Best Corporate/ customer-centric propositions leveraging on partner with a few of them and provide inno- ulators and has since expanded around the economies are projected to grow at 5.6 per- Institutional Digital Banks in FinTech collaborations,” he said. vative technology first solutions to our cus- region, with central banks in South Korea, cent in 2021 and 4.4 percent in 2022 respec- the Middle East 2021. “Our Digital Wallet, which has seen very tomers,” he said. Taiwan China, and Hong Kong SAR China tively. Emerging and developing economies In recognition of its out- high customer adoption and engagement, is Speaking on the topic ‘The Future of Mo- granting limited numbers of licenses. Sin- are projected to grow at 6.3 percent in 2021 standing retail banking of- a result of FinTech collaboration. Our face bile and Digital only Banking’, Seetharaman gapore has set up a digital banking license and 5.2 percent in 2022.” fering, QIB was named “Best and voice authentication on mobile bank- said, “Mobile banking and digital banking application process and Malaysia issued a About the impact of COVID-19 on the Consumer Digital Bank”, ing is another successful use case of FinTech will be felt in internet of things, blockchain draft licensing framework. Digital fintech global economy, he said, “2020 was an in- “Best Online Product Offer- adoption. Doha Bank has also provided pay- and open banking. Digital banks key success experiences in Nordic countries, Asian and flection point for individuals, businesses, ings” and “Best in Lending”. ment gateway solutions to certain fintech. factors include differentiated value proposi- America indicate an immense potential for and economies around the globe. E-com- QIB was also named “Best Among our key initiatives is partnering with tion, early revenue recognition, quick scal- the same.” merce rose as a natural winner, building Online Portal”, “Best Open fintech startups. The QFTH programmes ability and cost-efficiency. “Fintech is one of the developments aris- loyal customers by leveraging on technol- Banking APIs” and “Best have been very beneficial in providing us ac- “New fintech mobile playerswill emerge ing from the fourth industrial revolution. ogy. The pandemic prompted a massive in- SME Banking” for its excep- cess to leading fintech firms that are eager to but not replace traditional banks. Asia’s digi- FinTech is the application of technology and crease in online distribution. Fintech start- tional services to corporate explore the Qatari market. We are ecstatic to tal licensing process began with Chinese reg- innovation to solve the needs of consumers ed leveraging on this.” customers. 10 Thursday, August 26, 2021 Economy & Business Rakuten to launch online supermarket After summer of stock market platform this year highs, signs of unease emerge Agencies supermarket shopping con- tinues to soar. From Janu- Rakuten Group will ary through March 2021, launch Rakuten Zenkoku Rakuten Seiyu Netsuper Without fresh catalysts, markets could be in for a pause or even a reversal over the autumn months Super, an online supermar- sales grew by 29.9% com- ket platform later this year. pared to the same period of Agencies As a first step, Rakuten the previous year, and sales reached an agreement with from April through June Stock markets are heading Beisia which will see the continued to grow, with into September near record supermarket chain join a 28.4% year-on-year in- highs but the fast-spreading the new platform. Based in crease for that period. While Delta coronavirus variant is Gunma Prefecture, Beisia supermarkets are increas- making some investors reas- operates 138 stores in Tokyo ingly eager to offer custom- sess how so-called reflation and 14 additional prefec- ers an online option, many trades could perform in com- tures across Japan (as of the lack the expertise required ing months. end of July 2021). to operate an online busi- A raft of indicators from With this platform, Ra- consumer surveys to deriva- kuten provides a system tives suggest that without fresh for operating online super- catalysts markets could be in markets — including order for a pause or even a rever- management and online sal over the autumn months. payments — to supermarket Speculators have also been pil- operators across Japan, lev- One-stop shop ing into the dollar, with posi- eraging the expertise gained tioning at its highest in a year. through running Rakuten Rakuten said it will also “Although equity headline Seiyu Netsuper, which it op- provide a one-stop shop for indices keep registering new erates together with Seiyu retailers offering everything highs, there has been a clear GK. from customer acquisition rotation to defensive plays,” Rakuten said it will also and marketing support to said Vasileios Gkionakis, Glob- provide a one-stop shop for consultation services for al Head of FX Strategy at Lom- retailers offering everything delivery operation setup. bard Odier in Switzerland. from customer acquisition Rakuten Zenkoku Super Defensives, which are less and marketing support to also aims to provide new vulnerable to swings in the consultation services for de- levels of convenience to global economic cycle, have livery operation setup. This shoppers. outperformed their cyclical ri- allows participating busi- vals of late, he noted. Similarly, nesses to reduce initial costs high-growth sectors including in the early stages of estab- ness, and face the costs as- tech that boomed during lock- lishing their online presence sociated with infrastructure downs are doing well again. Global indices are displayed on a screen on the trading floor at the New York Stock Exchange (NYSE) in Manhattan, New York City, US and speed up the launch of development. Through the their online supermarket. new Rakuten Zenkoku Su- Is the consumer right? are also growing of a fourth “Equity markets (outside tory and 1,936 constituents are markets, value stocks have all Rakuten Zenkoku Su- per platform, Rakuten will The gap between how U.S. COVID-19 wave, showing up China) have not yet seen the negative, Refinitiv data shows. come under pressure in recent per also aims to provide support and facilitate busi- consumers are feeling and on Wednesday in Germany’s usual wobble associated with Broad participation in the weeks. new levels of convenience nesses entering the online what Wall Street expects is at IFO survey, with steep declines a PMI rollover, so could be rally indicates bulls are driv- to shoppers. Customers supermarket space. its widest in at least 13 years. in business morale and expec- vulnerable,” they wrote, add- ing the market, but when the Stretched positions will be able to search for Rakuten Group on Analysts expect profittations. ing that a return to the usual converse happens -- with more Despite the Delta worries, online supermarkets that Wednesday reported its sec- growth at S&P 500 companies Citi’s global economic sur- trend “would imply a 10-15% losers than gainers -- it can im- investors remain heavily po- deliver to their area simply ond straight quarterly loss to continue at double-digit prises index -- essentially a drop in the S&P or the market ply the market has peaked and sitioned towards more stock by entering their postal code and a 65.4 billion yen ($590 rates well into the first half of gauge of whether data is beat- going nowhere for the next six further gains will be harder to market upside -- the U.S. S&P into the platform. By log- million) deficit for the Janu- 2023, Refinitiv data indicates. ing or undershooting forecasts months.” come by. 500’s index measuring the ging in with their Rakuten ary to June fiscal first half, The person on the street is -- turned negative this week for “put-call” ratio on stocks is ID at checkout, customers as capital costs piled up in less optimistic. U.S. consumer the first time since June 2020. Narrowing markets Relation rethink near its lowest levels this year. can enjoy a smooth shop- the company’s fledgling mo- sentiment has collapsed to a Early manufacturing sur- Record-high world stocks Reflation bets dominated Essentially it implies more ping experience because bile segment, including the decade-low, according to the veys for Europe in August mask one important fact -- the the first half of the year which participants expect the market their registered address and 40 billion yen acquisition closely watched University of dropped to the lowest since breadth of the market has nar- meant selling gold and other to rise than to fall. credit card details are stored of a U.S.-based mobile tech- Michigan index. January, consistent with re- rowed significantly, meaning safe-haven assets and pil- But retail punters who and automatically retrieved. nology company. That implies sizeable cent softening in the United gains are being driven by fewer ing into shares such as travel, grabbed headlines in ear- Customers are also able The company posted downward moves in earnings States and China. constituents. banking and so-called value ly-2021 with bets on a series to earn and use Rakuten 402 billion yen in revenue in the months ahead. Stock markets usually fal- Back in January, 1,876 con- stocks that benefit as the econ- of unloved stocks, appear less Points on the new platform. in the April to June quarter, ter when U.S. PMIs from the stituents of the Nasdaq index omy improves. keen. The AAII survey, which As consumers and busi- up 8% year-on-year and its Slower lane Institute of Supply Manage- were in positive territory while But gold prices have measures individual investors’ nesses alike adapt to the new highest figure ever for a sec- Recent data indicates that ment (ISM) peak but this has 1,039 stocks ended in the red. bounced 7% in the past two sentiment, is in bearish terri- normal, demand for online ond quarter. the bulk of the reopening eco- not happened this year, Citi But so far in August, 1,457 of weeks, after losing 12% since tory for the first time since Oc- nomic boost is past. But fears analysts noted. the stocks are in positive terri- May. Materials, emerging tober 2020.

From ube cakes to mochi muffins... New Asian American bakeries find bicultural sweet spot Agencies between that hatred and the joyful connection that their food can For some Asian Americans, the make across cultures. dim sum cookie at Sunday Bake- “It’s so unfortunate that it’s shop here will taste like childhood. happening, and still happening, It looks like a typical sugar because people say they love Asian cookie except with sesame seeds on food and Asian American food,” top. But bite into the creamy, red Nguyen said. “Yet, they don’t even bean center and it’s reminiscent of realize you love the food and don’t the fried, filled sesame balls served love the people.” at a Chinese dim sum restaurant. Older, traditional Asian bak- The concoction is pastry chef eries started out as a means of Elaine Lau’s nod to her grand- replicating something immigrants mother, who would often make missed back in their home country. them. The baked goods that Lau’s The new bakeries’ bolder assertion team churns out — like hojicha of identity is a natural evolution, chocolate croissants and Chinese said Robert Ji-Song Ku, an Asian White Rabbit candy cookies — American studies professor at aren’t going to be found in any Binghamton University and author bakery in Asia. There’s an intrinsic Pastry chef Elaine Lau holds a Dim Sum Cookie at the Sunday Bakeshop in Oak- of “Dubious Gastronomy: The American sensibility at the nearly land. From ube cakes to mochi muffins, bakeries that sweetly encapsulate what This undated photo provided by Rose Ave Bakery shows the Washington, D.C. Cultural Politics of Eating Asian in 3-month-old shop. it is to grow up Asian and American have been popping up more in recent years. bakery’s ube cake. the USA.” “Talking to some of the Asian Chefs like Roy Choi and David Americans and other people that immigrant kid in between two very “It’s a lot of educating. Even mick. It’s what feels natural and orders until fully reopening this Chang came to fame in the early have tried some of our pastries, different cultures is what inspired when you educate and share where authentic, said Deuki Hong, 31, June. 2000s embracing their Korean we get a lot of comments where the name and concept behind it comes from, people are judging whose Sunday Family Hospitality Born in Rhode Island to Viet- heritage. But the baking world is they’re just like... ‘Oh this took me Third Culture Bakery, a few miles it. It’s a very mixed bag. It’s also Group launched Sunday Bakeshop, namese immigrants, Nguyen said it still “a real frontier,” Ku said. back several years,’ when they were away from Sunday Bakeshop, in very rewarding because then you and who loves Lau’s outside-the- sometimes hurt when, growing up, “It goes against stereotypes of growing up,” said Lau, 35, who was Berkeley. Open since 2018, it’s the get to see their reaction trying this pastry-box thinking. her white friends thought her food Asians as math geeks. It’s sort of born in Oakland. brainchild of husbands Wenter new thing they’ve never had in “When I was running a Korean from home was weird or gross. the artistic side of Asian American “For us, it’s kind of nice we can Shyu, 31, and Sam Butarbutar, their life,” he said. barbecue, we were known also So, it’s gratifying now to showcase identity that’s often ignored,” Ku evoke some positive memories and 32. Nine months into their court- Shyu recalls some awkward sit- for corn cheese, a little melty side Asian flavors unapologetically. said. ”They’re instead really trying feelings with our pastries.” ship, they decided to open a bakery uations, such as one in May when dish... She took that and was like, “It was never about trends or to fuse things together — create From ube cakes to mochi muf- together and expand Butarbutar’s Third Culture was featured on a ‘I’m gonna make a pastry out of satisfying other people,” Nguyen this mixture.” fins, bakeries that sweetly encapsu- mochi muffin business beyond Denver TV station as part of Asian it,’” said Hong, co-author of “Ko- said. “It’s just me, basically. The These first- and second-genera- late growing up Asian and Ameri- wholesale and pop-ups. The mochi American Pacific Islander Heritage reatown: A Cookbook.” “Wow, this business goes hand in hand with tion Asian American bakery owners can have been popping up more muffin, still a signature item, is Month. The finished segment in- came from our conversation that who I am.” seem passionate about bringing in recent years. Their confections influenced by Butarbutar’s Indone- cluded “Oriental music” that Shyu, was very personal to me and it also As fixtures in their neighbor- visibility to the Asian American are a delectable vehicle for young sian roots and made with Califor- who was born in Taiwan, described tastes really delicious.” hoods, these bakery owners all felt community, which often feels invis- and intrepid Asian Americans to nia-grown mochiko rice flour. as “cringe-y and uncomfortable.” Rose Nguyen, a 34-year-old compelled to do something when ible, Ku added. celebrate their dual identity. The operation has blossomed, “I told the news station, if you former nurse, switched careers and racist attacks against Asians tied to They’re showing that an ube Ingredients they found embar- with two locations in Colorado and guys did a piece on Black History opened Rose Ave Bakery inside the COVID-19 pandemic started. snickerdoodle or a black sesame rassing as children are being blend- a second San Francisco Bay Area Month and added tribal African The Block Foodhall in Washington, Third Culture Bakery raised dona- muffin is as American as any apple ed with European or “traditional” store planned. Their menu includes music, there would be an outrage,” D.C., in March 2020, just before a tions at its locations to pay for and pie. American pastries into something mochi brownies and butter mochi Shyu said. “Somehow for Asian pandemic shutdown. Nguyen was distribute 21,000 safety kits for “There’s nothing wrong with new. Some of the bakers welcome doughnuts with glazes like matcha, Americans, that’s OK. That’s the peddling Instagrammable morsels Asian seniors. Sunday Bakeshop apple pie,” Hong said. “But there’s the chance to dispel culinary and ube and black sesame. exact thing we’re trying to fight like strawberry lychee rose donuts, and Rose Ave Bakery have donated a lot more interesting things being societal misconceptions, especially Shyu said many non-Asian against.” ube cake and matcha chocolate pastries and profits to anti-Asian done... there’s a lot of Asian crea- given months of anti-Asian hate. patrons have never been exposed For these bakeries, integrating cookies. She won over enough hate organizations. tors and entrepreneurs, and gradu- The experience of being an to some of the ingredients. Asian flavor profiles isn’t a gim- foodies to keep going with online The bakers felt a disconnect ally they’ll be more vocal.” Economy & Business Thursday, August 26, 2021 11 Global FinTech Samsung funding climbs announces to record $205 billion $98 bn in H1

investment Agencies

plan Funding of financial tech- nology companies globally Agencies rose to a record $98 billion in the first half of this year, Samsung Group un- driven by portfolio diversifi- veiled a $205 billion in- cation needs of investors with vestment blueprint on cash reserves, according to a Tuesday aimed at making report. the company a leader in a Financing across mergers range of technologies from and acquisitions, private eq- semiconductors to robot- uity and venture capital deals ics and creating 40,000 in the first six months to the new jobs. The tech giant is end of June climbed 12 per South Korea’s largest con- cent from $87.1bn recorded glomerate and its overall in the second half of 2020, turnover is equivalent global consultancy KPMG to a fifth of the national said in its report titled Pulse gross domestic product. of FinTech. Samsung Electronics, its Strong growth and per- flagship subsidiary, is the formance of the FinTech sec- world’s biggest smart- tor also drove valuation of phone maker. companies higher, with 163 The plan will “help companies achieving the so- Samsung strengthen its called unicorn status of $1bn global standing in key in- in valuation in the first half. dustries while spearhead- FinTechs in the Europe ing innovation in new Middle East and Africa re- fields”, the company said gion received $39.1bn in in- in a statement, adding Huawei, the world’s largest telecommunications equipment maker, has been hobbled by trade restrictions imposed by the Trump administration on the sale of chips and other com- vestment, including a record that it will also pursue cor- ponents used in its network gear and smartphones businesses. $15.1bn in venture capital porate acquisitions. financing. Corporate venture On the semiconductor capital-affiliated investments front, the firm said it will for the EMEA region also rose seek to enhance cutting- to all-time high of $5bn, ac- edge technologies to meet Huawei gets US approvals to buy cording to the report. “long-term demand rather “Under pressure to in- than short-term changes”. crease the velocity of their It is also looking to digital transformation and expand its biopharma- to enhance their digital ca- ceutical business run by auto chips, sparking blow back pabilities, corporates were Samsung Biologics and particularly active in venture Samsung Bioepisit. deals,” KPMG said. The conglomerate said Corporations accounted it would build two new The approvals come as Huawei pivots its business toward items that are less susceptible to US trade bans for $21bn in investment in manufacturing plants on nearly 600 deals globally. top of three currently in Agencies hicle components as video person said the government ing alone, I don’t see a huge The value of cross-border operation with a view to screens and sensors. The ap- continues to consistently (national security) risk.” mergers and acquisitions tapping into the manufac- US officials have approved provals come as Huawei piv- apply licensing policies “to Citing threats to U.S. na- deals rose from $10.3bn turing of vaccines. license applications worth ots its business toward items restrict Huawei’s access to tional security and foreign during the whole of 2020 to Of the 240 trillion won hundreds of millions of dol- that are less susceptible to US commodities, software, or policy interests, the U.S. has $27.7bn in only the first half ($205 billion) it plans to lars for China’s blacklisted trade bans. technology for activities that gone to great lengths to slow of 2021. Private equity com- spend, it will commit 180 telecom company Huawei to Not everyone is a fan. Re- Stumbling block could harm U.S. national se- the growth of Huawei’s key panies made investments trillion won to South Ko- buy chips for its growing auto publican Senator Tom Cot- The Biden administration has curity and foreign policy in- communications-related worth $5bn, surpassing the rea. The domestic invest- component business, two ton, who has been deeply been reinforcing the hard line terests.” business. previous annual high of ment is expected to cre- people familiar with the mat- critical of Huawei in the past, on exports to Huawei, denying The Commerce Depart- After placing Huawei on a $4.7bn in 2018. ate another 10,000 jobs ter said. said in a statement, “It’s un- licenses to sell chips to ment is prohibited from dis- U.S. Commerce Department FinTech investment is ex- on top of 30,000 already Huawei, the world’s larg- acceptable for the Biden Huawei for use in or with 5g closing license approvals or trade blacklist in 2019, which pected to remain “robust in planned. It could also in- est telecommunications administration to ease the devices. But in recent weeks denials, the person added. banned sales of U.S. goods most regions of the world” in duce as many as 560,000 equipment maker, has been pressure campaign against A Huawei spokeswoman and technology to the com- the second half of this year, new hirings in related in- hobbled by trade restrictions Chinese spy companies like and months, people familiar declined to comment on the pany without special licenses, KPMG said. dustries, it said. imposed by the Trump ad- Huawei.” with the application process licenses, but said: “We are the U.S. last year ratcheted “While the payments The announcement ministration on the sale of Senator Marco Rubio said the US has granted positioning ourselves as a up restrictions to limit the space is expected to remain comes just days after Lee chips and other components called the move “yet another licenses authorizing suppliers new component provider for sale of chips made abroad a dominant driver of FinTech Jae-yong, the de-facto used in its network gear and example of President Biden’s to sell chips to Huawei for intelligent connected vehi- with U.S. equipment. It also investment, revenue-based leader of the conglomer- smartphones businesses. The failure to protect America’s such vehicle components as cles, and our aim is to help campaigned to get allies to financing solutions, banking- ate, walked out of prison Biden administration has economic and national secu- video screens and sensors. car OEMs (manufacturers) exclude Huawei from their as-a-service models and B2B on parole after completing been reinforcing the hard line rity.” He said Huawei has a build better vehicles.” 5G networks over spying con- [business-to-business] ser- only about half of his jail on exports to Huawei, deny- long history of exporting Bei- lowering the bar for approval. “If it’s truly a commod- cerns. Huawei has denied the vices are expected to attract term. ing licenses to sell chips to jing’s “digital authoritarian- One person close to the li- ity product, I think we would allegations. increasing levels of invest- It was the latest in- Huawei for use in or with 5g ism” and pressed the Biden cense approvals said the gov- want western and allied com- Huawei reported its big- ment.” stance of the country’s devices. Administration to increase ernment is granting licenses panies getting that revenue,” gest ever revenue drop in the “Under pressure to in- long tradition of freeing But in recent weeks and penalties and restrictions on for chips in vehicles that may said Cordell Hull, a high- first half of 2021, after the crease the velocity of their business leaders on eco- months, people familiar with Huawei and other Chinese have other components with ranking official in the Com- U.S. restrictions drove it to digital transformation and nomic grounds after im- the application process said tech companies “instead of 5g capability. merce Department during sell a chunk of its once-dom- to enhance their digital ca- prisonment for corruption the US has granted licenses granting waivers”. Asked about the automo- the Trump administration inant handset business and pabilities, corporates were or tax evasion. authorizing suppliers to sell Auto chips are generally tive licenses, a U.S. Depart- who helped craft U.S. policies before new growth areas have particularly active in venture chips to Huawei for such ve- not considered sophisticated, ment of Commerce spokes- on exports to China. “Stand- fully matured. deals,” KPMG said. YouTuber hunts views and votes in California recall attempt Agencies University, Sacramento. getting a boost. For the first agents. Voters already have re- time, he’s being included in a “He combines intelligence The only time Californians ceived mail-in ballots with two debate. He’ll appear Wednes- with an incredible work eth- voted to recall a governor, they questions: Should Newsom be day with three Republican ic,” Stewart said. “He learns replaced him with a Hollywood recalled and, if so, who should candidates — former San things incredibly quickly, and megastar. This time, could it replace him? If a majority Diego Mayor Kevin Faulcon- he’s always doing research to be a 29-year-old YouTube star want Newsom gone, the can- er, Assemblyman Kevin Kiley get the best results.” who ends up leading the na- didate with the highest vote and businessman John Cox, Paffrath now owns many tion’s most populous state? total becomes governor even who lost to Newsom in a 2018 properties in Ventura Coun- It’s a very long shot, but if they fall short of a major- landslide. ty. When he started his You- Kevin Paffrath could conceiv- ity, which is almost a certainty Newsom and Republican Tube channel, he made vid- ably win simply because he with so many candidates. Peo- front-runner and talk show eos critiquing other people’s has some name recognition by ple who vote against recalling host Larry Elder have skipped real estate advice and quickly virtue of the nearly 1.7 million Newsom can still choose a re- all debates. started garnering attention. followers of his video channel, placement option in case he’s The recall campaign is He’s now hoping to capi- where he dispenses financial recalled. Paffrath’s first foray into poli- talize on that following his advice. The other eight Demo- Paffrath’s climb is a steep tics. He didn’t even vote in bid for governor. If elected, crats running are essentially one made more difficult by his 2018, something he now says he’d focus on homelessness, unknowns. failure to submit a statement was a mistake. something Newsom identi- The Democratic field is describing his political beliefs Paffrath lives in Ventura fied as his No. 1 priority be- filled with anonymous politi- for the voter guide that goes to with his wife, Lauren, and two fore the pandemic hit but has cal neophytes because of Gov. all households with registered sons, ages 3 and 5. The couple only worsened. Gavin Newsom’s successful voters. For people loosely fol- met on a high school trip to Paffrath said he’d use his strategy of discouraging any lowing the race, that could Paris, but their relationship emergency powers to build prominent Democrats from be the primary place to learn Kevin Paffrath, a real estate agent and YouTube content creator, poses for a picture at a campaign rally at quickly hit a snag: Lauren 80 shelters that would pro- running in the Sept. 14 elec- about replacement options. Echo Park Lake in Los Angeles. lived in Southern California, vide substance abuse help, tion. His goal was to make it He’d also have to over- and Paffrath in Florida. mental health treatment and an all-or-nothing proposition come the message from News- a vote for him gives California option, that if you are against grabbing headlines such as He eventually moved to educational support on site, for voters — keep Newsom, or om and California Democratic a chance at progress on issues the recall, do not leave the “It’s Official: California is California for his senior year as well as meals and showers. live with the consequences of Party officials that recall op- like homelessness should second part of the ballot Shutting me Down,” which and lived with her family, While they’re under picking a replacement with a ponents should skip the sec- Newsom be recalled. If Dem- blank — it’s stupid,” Paffrath featured Paffrath sharing that then stayed and got into real construction, he’d dispatch far different policy agenda. ond question altogether and ocrats forfeit their right to said. California’s secretary of state estate with the help of his the National Guard to help “Social media stardom focus only on keeping News- choose a replacement, he ar- Paffrath, who is listed on wouldn’t allow him to use his wife’s father. Paffrath says he homeless people on the translates to name recogni- om in office. gues it could leave the state the ballot as a “financial edu- nickname “Meet Kevin” on and his wife have a net worth streets by passing out sup- tion, and that’s really what’s Paffrath thinks that’s a in the hands of a Republican cator/analyst,” posts multiple the ballot. In another video of at least $15 million. plies and building temporary going to make a big difference mistake. He’s been traveling likely to be in a stalemate videos a day on subjects like titled “PLEASE HELP or I’m Father-in-law Bill Stew- bathrooms. in an election like this with 46 the state — even showing up with the overwhelmingly the stock market and crypto- Screwed in 48 hours,” he art said Paffrath learned the Once the shelters are up names on the ballot,” said Kim at some of Newsom’s events Democratic Legislature. currency. And about his cam- asked his followers to assist ropes of the real estate busi- and running — he says within Nalder, a professor of political — and making the case to re- “We want folks in Califor- paign. him in texting voters. ness then quickly became 60 days — no one would be al- science at the California State porters and his followers that nia to know there is a backup Many have attention- Paffrath’s campaign is one of Ventura County’s top lowed to sleep on the streets. 12 Thursday, August 26, 2021 Economy & Business Pandemic is testing the Federal Reserve’s new policy plan Year 1 of the Fed’s new framework, unveiled at its Jackson Hole conference in 2020, has included high inflation and job market healing. Now comes the hard part

NYT mitment to its new monetary policy framework.” hen Jerome Powell Powell typically tries to balance speaks at the Feder- both concerns in his public remarks, al Reserve’s biggest acknowledging that inflation could annual conference remain elevated and pledging that on Friday, he will do the Fed will react if it does. But he soW at a tense economic moment, as has also emphasized that recent prices rise rapidly while millions of price pops are more likely to fade and jobs remain missing from the labor that the central bank would prefer to market. That combination promises remain helpful as the labor market to test the meaning of a quiet revolu- healed. tion the central bank chair ushered But in the months ahead, the in one year ago. Fed will need to make actual deci- Powell used his remarks at last sions, putting the meaning of its year’s conference, known as the new framework to a very public test. Jackson Hole economic symposium Economists generally expect the cen- and held by the Federal Reserve tral bank to announce a plan to slow Bank of Kansas City, to announce its bond purchases in November or that Fed officials would no longer December. raise interest rates to cool off the Once that taper is underway, at- economy just because joblessness tention will turn to interest rates, was falling and inflation was ex- most likely with inflation still above pected to heat up. They first wanted 2% and the labor market recovery proof that prices were climbing sus- still at risk. When the Fed lifts rates tainably, and they would welcome will determine just how transforma- gains slightly above their 2% goal. tive the new policy framework has He was laying groundwork for been. a far more patient Fed approach, As of the Fed’s June economic acknowledging the grim reality that forecasts, most officials did not ex- across advanced economies, interest pect to raise borrowing costs from rates, growth and inflation had spent rock bottom until 2023. If that tran- the 21st century slipping lower in a spires, it will be a notable shift from strength-sapping downward spiral. years past, one that allows the labor The goal was to stop the decline. market to heal much more com- But a year later, that backdrop pletely before significantly removing has shifted, at least superficially. Big monetary help. government spending in response to In 2015, when the Fed last lifted the pandemic has pushed consump- interest rates from near zero, the tion and growth higher in the United joblessness rate was 5% and 77% of States, and inflation has rocketed to people between ages 25-54 worked. levels not seen in more than a dec- Already, joblessness is 5.4% and 78% ade. The labor market is swiftly heal- of prime-age adults work. ing, though it has yet to fully recover. In fact, Fed officials projected Now it falls to Powell to explain why that rates would remain on hold even full-blast support from the Fed re- as joblessness fell to 3.8% by the end mains necessary. of next year — below their estimate Investors initially expected Pow- of the rate consistent with full em- ell to use Friday’s remarks at the ployment in the longer run, which is Jackson Hole conference to lay out about 4%. the Fed’s plan for “tapering” — or “That’s the most exciting part of slowing down — a large-scale bond Jerome Powell, the Federal Reserve chair, speaks during a hearing on Capitol Hill in Washington. (Sarahbeth Maney/The New York Times) what’s changed: They’re shooting buying program it has been using for an ambitious prepandemic labor to support the economy. Fed offi- cheap, fueling spending by business- cause longer-lasting inflation pres- market,” said Skanda Amarnath, cials are debating the timing of such es and households and bolstering sures. executive director of Employ Amer- a move, which will mark their first the labor market. Some Fed officials would prefer ica, a group that tries to persuade step toward a more normal policy Officials have clearly linked to slow bond purchases soon, and economic policymakers to focus on setting. But after minutes from the their interest rate plans to their new fast, so that the central bank is in a jobs. “Some fig leaf of progress is not central bank’s July meeting suggest- framework: They said in September position to raise interest rates next enough.” ed that the discussion remained far that they would not lift rates until year if price pressures do become But risks loom in both directions. from resolved, and as the delta vari- the job market reached full employ- pernicious. If inflation remains high and an ant pushes coronavirus infections ment. Bond buying ties back less di- Other policymakers see today’s overly sanguine Fed has to rapidly higher and threatens the economic rectly, but it serves as a signal of the rising prices and job openings as reverse course to try to contain it, outlook, few now anticipate a clear Fed’s continued patience. trends that are destined to abate. that could precipitate a painful re- announcement. Critics of the Fed’s wait-and-see Companies will work through sup- cession. “Two to three months ago, peo- stance have questioned whether it ply-chain disruptions, and consum- But if the Fed withdraws sup- ple were expecting the whole taper is wise for the Fed to buy mortgage- ers will spend away savings they port unnecessarily, the labor market plan at Jackson Hole,” said Priya backed and Treasury debt at a rapid amassed from government stimulus could take longer to heal, and inves- Misra, head of global rates strategy clip when home prices have soared checks and months stuck at home. tors might see the changes that Pow- at TD Securities. “Now, it’s more the and inflation has been taking off. Workers will settle into jobs. When ell announced last year as a minor economic outlook that people are Republican lawmakers and some things return to normal, they reason, tweak rather than a meaningful com- struggling with.” prominent Democrats alike have the tepid inflation of years past will mitment to raising inflation and fos- Powell’s speech, which will be worried that the Fed is being insuf- probably return. tering a more inclusive labor market. virtual, could instead give him a ficiently nimble as economic condi- Given that view, and the fact that In that case, the economy might chance to explain how the Fed is tions change. the labor market is still missing so plunge back into a cycle of long-run thinking about delta variant risks, “They chose a framework that many positions, they argue that the stagnation, much like the one that recent rapid inflation and labor mar- was designed to provide a commit- Shoppers inside a mall in Queens, July 13, 2021. Fed’s new policy paradigm calls for has confronted Japan and much of ket progress — and how all three ment to a highly dovish policy,” said patience. Europe. square with the central bank’s policy Lawrence Summers, a Treasury sec- based on the Fed’s preferred meas- 7 million fewer jobs than there were At the central bank’s meeting in “This is going to be an episode approach. retary in the Clinton administration ure. Most economists expect rapid before the pandemic, unfilled posi- late July, minutes showed, a few offi- that will test the patience and cred- The Fed is buying $120 billion and an economist at Harvard Uni- price gains to fade as pandemic- tions have jumped, wages for lower cials fretted that the Fed “would need ibility of the Federal Reserve,” said in government-backed bonds each versity. “The problem morphed into related supply bottlenecks clear up, earners are taking off, and employ- to be mindful of the risk that a taper- David Wilcox, a former Fed staff month, and it has kept its main in- overheating being the big concern, but it is unclear how quickly and ers widely complain about being un- ing announcement that was per- official who is now director of U.S. terest rate near zero since March rather than underheating.” fully that will happen. able to hire enough workers. If labor ceived to be premature could bring economics research at Bloomberg 2020. Both policies make borrowing Inflation jumped to 4% in June, And while there are still nearly costs remain higher, that, too, could into question the committee’s com- Economics. TikTok adds in-app shopping, in a partnership with Shopify NYT But under the new partner- to find and buy new products, ner’s makeup and skin-care ship, Shopify merchants that Harley Finkelstein, Shopify’s brand, which has two million TikTok and Shopify, the participate in a pilot program president, said in an interview. followers on TikTok. Jenner’s e-commerce platform, said will be able to add a shopping The move into in-app personal TikTok account has on Tuesday that they were tab to their profiles and link to shopping reflects how people 34.9 million followers. working together to add the products within TikTok posts. already use the app to find Social media is “where I ability for consumers to shop Shopify said it expected to ex- products, said Blake Chandlee, grew my audience and com- directly in the TikTok app for pand the feature to all of its TikTok’s president of global munity,” Jenner wrote in an the first time. merchants this fall. business solutions. The app has email. “The ability to shop my TikTok has largely been TikTok joins Instagram inspired two-thirds of users to products directly on these plat- known as a video app that and Facebook in offering in- shop even when they weren’t forms is so important because provides entertainment and app shopping, part of a larger planning to do so, according to that’s where our audience is go- memes. Users have not been shift toward what is known a survey that TikTok conduct- ing first.” able to buy products directly as social commerce — buying ed in the fall with the London Shopify said sales on its in the app, even though TikTok products directly within a so- market researcher Walnut Un- social commerce channels — features many influencers who cial media platform — as crea- limited. The hashtag #tiktok- including TikTok, Facebook, often talk up clothing, makeup tors seek out new ways to make mademebuyit has 4.6 billion Instagram, Snapchat and Pin- and household products. In- money from their audience. views. terest — grew 76% from Feb- stead, users have only been “Social commerce is impor- One of the merchants that ruary 2020 to February 2021. able to buy goods on TikTok tant because it’s the new town is part of the new pilot program In total, Shopify works with 1.7 through ads on the app. square” where consumers go Shoppers wear face masks as they leave a Walmart store in Vernon Hills, Ill. is Kylie Cosmetics, Kylie Jen- million merchants.