In the light of the coronavirus pandemic, many companies, from small and medium-sized businesses to big enterprises, are facing financial struggles that make them forget about the reputation they have been building up for years. Even American Airlines, the major US carrier, was hit by the coronavirus crisis. At the moment, the company’s management is engaged in dismissing its personnel in order to receive financial aid from the state. Thus, the company has urged its employees to take new extended leaves that can last up to two years or early retirement packages even though carriers are prohibited from firing workers until October under the terms of the federal payroll support. At least 25,000 people are to receive notice from American Airlines that they can be furloughed. It has been a compulsory measure since the company’s revenue in June was down more than 80% from a year ago. Airlines across the world have confronted similar problems as well. For example, Lufthansa, the largest airline in Europe, at the beginning of summer, announced its plans to lay-off around 26,000 of staff due to the suspension of travel and transportation amid the coronavirus pandemic.

Bitcoin has survived after the first coronavirus wave. In fact, the cryptocurrency market was much more resilient to the pandemic than other markets. It managed to avoid panic and swings in exchange rates. The general situation was quite stable.

Moreover, during the quarantine, cryptocurrencies gained in value and became safe-haven assets for some investors. During these financial disturbances,  blockchain technology reached the state level and now it may replace commercial banks due to its transparency, security, and high speed.  In other words, blockchain is a good solution for the global financial market.

The world’s largest regulators are actively promoting the idea of their own digital currencies (CBDC). “CBDCs will be the next revolution in finance,” global expert in blockchain and cryptocurrencies with the UN Alliance of Civilization Massimo Buonomo said. “Essentially CBDCs will be exactly the same as paper money but only in a digital form.”

However, since CBDCs are traceable, some libertarian-minded consumers may not like the fact that their central bank is recording every transaction they make. At the same time, authorities of almost all countries are dreaming of such  absolute control.

A central bank that will succeed in this sphere earlier than its partners is likely to benefit from the situation more than others. Currently, the blockchain system does not need a regulator and functions thanks to participants of this payment system. That is why all regulators should offer a convenient platform to users of the centralized payment system as soon as possible.

By 2025, Hong Kong will become a part of China and lose its privileged status of the territory with the lowest taxation, a study found. Curiously enough, it will be replaced by the small mountainous canton of Nidwalden in Switzerland.

The study was conducted by BAK Economics. According to its taxation index that regularly measures the attractiveness of Swiss cantons compared with each other as well as foreign countries, Nidwalden will have the full potential to become a new tax haven for companies. In addition, Hong Kong is unlikely to be able to maintain its status for more than five years as geopolitical tensions around China is growing.

At the same time, Switzerland is going to implement one of the most important tax reforms in decades. After the reorganization of the Swiss tax system, tax burdens on corporate profits are expected to fall dramatically in certain cantons, especially Nidwalden. Consequently, this canton may become the one with the lowest tax burden that will push it far ahead of Hong Kong.

If Hong Kong wants to remain at the forefront, it also needs to change its own tax regime. Otherwise, in five years, the tax rate in Nidwalden will be at 9.8%, which is lower than the current rate of 9.9% in Hong Kong.

As a rule, any talks between EU leaders take much time. Each EU member state has its own interests and economic power. This is why when it comes to the question of the long-term EU budget, negotiations can turn out to be longer than expected.

An agreement on the 2021-2027 budget was a really tough challenge for the EU leaders. Some experts think that presently, Europe lacks a stronger leader who will not only unite divided states, but also set an example to others. EU leaders tried to split the spending as economically stronger states were unwilling to help less economically stable ones. For this reason, they were unable to come up with an agreement on the bloc's seven-year-long budget. "The differences were simply too big...Even rough data of the new proposal was enough to show that this would not be enough to bridge the differences," Merkel said. Germany has told many times that it is tired of being Europe's life jacket. "The opinions on the size of the recovery fund are diametrically different. We will see if we even get to some agreement today, I rather think that we will not," Czech Prime Minister Andrej Babis pinpointed. Apart from the EU budget, the member states remained at odds over the overall size of the recovery fund and its split between free grants and repayable loans, budget rebates for five rich net payers.

Nevertheless, everybody knew that it would not be easy negotiations. Thus, despite these obstacles, the EU was trying to reach a consensus. "Time is a luxury we cannot afford. We need to act urgently and courageously, as EU citizens, businesses and economies need an immediate response. Our citizens expect bold action. Now it is time for us to deliver," European Parliament President David Sassoli said in his speech to EU leaders.

Global business has become a casualty of the COVID-19 pandemic. In an effort to keep afloat, companies across the globe are running up huge debts. At present, most firms face a dilemma: should they declare bankruptcy or get into debt. London-based asset management group Janus Henderson made research having polled 900 large firms. Experts reckon that the global corporate debt will balloon by 12% to $9.3 billion in 2020.

Analysts recorded a sharp 8% increase in corporate debt also in 2019. Companies borrowed for merger and acquisition, stock buy-backs, and dividend payments. The difference is that back in 2019 firms applied for a loan for business development. Nowadays, they borrow to survive the pandemic aftermath. Indeed, severe restrictive measures launched by governments inflicted heavy losses to businesses. Being the most vulnerable, small and medium-sized firms are trying their best to revive their business at least to the pre-crisis level. According to the survey by Janus Henderson, American companies account for almost half of the global corporate debt, they hold $3.9 trillion in loans. German companies have to repay the debt of $762 billion. Notably, some of German companies bear tremendous debt burden. Volkswagen has accumulated a massive debt of $192 billion. Amid the buoyant demand for credits, the global credit market had to suspend lending to the majority of firms in March. Loans were available only to companies with a high credit rating.

The World Bank warns that the global economy is on the verge of the most severe downturn since World War II. Advanced economies are expected to slump 7% in 2020 whereas emerging markets are likely to contract 2.5%.                    

In recent times, there have been a lot of rumors about the upcoming collapse of the US dollar as the world's main reserve currency. Notably, this is not the first time when the prophets of doom forecast the decline of the greenback’s dominance. It has all started since the moment the US dollar gained its status of the world’s reserve currency. Almost half a century has passed but the American dollar is still the king in the market. Can the situation really change?

Some experts believe that it can. They suppose that there are two major threats for the US dollar: a gigantic public debt and a widening state fiscal deficit. These factors are likely to trigger the steepest fall of the greenback with no chance for its recovery. Even now, investors are worried about the tsunami of news that the US is bracing for the largest budget deficit in history. To curb the coronavirus consequences, the US government undertook unprecedented financial injections. The White House has introduced huge stimulus programs to help people and businesses, which inevitably led to an increase in the budget deficit. In June, it amounted to $864.1 billion. The US government is now preparing a new aid fiscal package. Some experts fear that with the implementation of new stimulus measures, by the end of this year, the figure may well reach $4 trillion, its highest level since the Second World War.

Huge holes in the budget will bring the country to the debt markets. The country's authorities will be forced to take out loans and the topic of the huge US public debt might soon become relevant again.

In times when the coronavirus is consuming one company after another, some firms on the contrary are extending their gains thanks to the pandemic. The widespread use of personal protective equipment has risen its cost. Therefore, the manufacturers of PPE have been able to earn such a dazzling amount of money so that they have become the richest people in the world.

Malaysian companies that produce the latex gloves are now experiencing the biggest rally ever. For example, since the beginning of this year, the stock price of Supermax, Top Glove, and Kossan Rubber has jumped by 1,000%, 398%, and 225%, respectively. Even American electric car manufacturer Tesla with its modest 259% can hardly compete with Malaysian latex corporations. The market capitalization of these three companies has increased by $26 billion. It means that about one-tenth of the US dollars invested in the nation's stock market is a bet on gloves. So, rubber gloves manufacturers have also chances to be included in the key stock indexes. Experts at Northcape Capital are sure that this is just the beginning and "latex kings" may double their net income next year. They also add that the prospects of these companies look even more promising than those of Tesla.

Malaysia is a country that produces about 65% of the world's supply of rubber gloves. The owners of Supermax and Top Glove have become dollar billionaires on the back of impressive growth in their own shares this year.

A record economic slump caused by the coronavirus pandemic hit almost all countries in the world. Only some countries said that their economies were not influenced by the epidemiological disaster. Moreover, recent data proved their economic stability.

Unfortunately, not all countries can boast of a resilient economy. For example, Singapore, one of the world’s richest economies, reported on a significant slowdown in its GDP growth.  According to the official data provided by the local Ministry of Trade and Industry, in the second quarter, GDP tumbled by 41.2 %. Notably, the indicator dropped for the second quarter in a row. It is obvious that Singapore entered the technical recession.

In the first quarter, the country’s economy lost only 3.3%. However, compared to the same period of the last year, GDP showed a record decrease of 12.6%. It is the most significant drop since 1965 when the Independence of Singapore Agreement was signed. Analysts suppose that by the end of the year, the country’s GDP may decline by 4-7% that will be the largest contraction in the whole history of Singapore.

Despite such economic disturbances, Singapore’s authorities are spending large sums of money to support their citizens. At the beginning of the summer, they allocated an additional $2.5 billion to help out those afflicted by the disease. In general, the country’s economy received 20% of GDP that is $70.3 billion.

Some experts believe that before the end of this year the silver price may rise from 15% to 20%. It will hardly be a surprise for market participants as the precious metals market is currently experiencing a real gold rush. The quotes of precious metals continue to hit new record highs almost every day.

Gold and silver have gained in value since the beginning of the pandemic. However, even after the easing of quarantine restrictions, they did not stop their dazzling rally. Currently, there are plenty of worrisome events in the world that support the growth of precious metals. For example, the growing tensions between the US and China have boosted the demand for gold and silver as investors are seeking to protect their savings in case of conflict between the two largest economies. Besides, the precious metals asserted strength amid the recent statement from the US about the closure of the several consulates at once and a tit-for-tat response from China, as well as the weakening of the US dollar after the EU approved a stimulus package for the eurozone economy.

As a result, precious metals have updated 9-year highs but this is not the limit. Traders invest in precious metals through ETFs (Exchange Traded Funds) - foreign exchange-traded investment funds. Silver physical investments in ETFs have increased by 35% since the beginning of the year, while investments in gold physical bars and coins have climbed by 26%.

Cuba has been long trying to limit the broader dollar circulation within the country. The country's government has even implemented some measures to achieve this aim. However, this move did not go unnoticed by the watchful eye of the US government. In a modern world where economies are interconnected both politically and economically, such actions always have a price.

In an attempt to limit the circulation of the dollar, the Cuban authorities have put a 10% levy on dollar exchange operations in all banks in the country. This measure was supposed to make the local currency more widespread and reduce the use of the greenback for both local citizens and tourists. However, despite the high commission, the government failed to take the shine off the US dollar for both local residents and travelers. Curiously enough, as it turns out, the Cuban politicians also favor the US dollar over the local currency. According to reports, the savings of Cuba’s officials held in foreign banks are denominated in dollars. With the coronavirus crisis on the doorway, the local authorities are becoming less hostile to the US currency. The country is also experiencing difficulties amid the virus and it is time to look at things more realistically. Alejandro Gil, Deputy Prime Minister and Economy and Planning Minister, recognized the significance of the US dollar in the local economy. For this reason, the country will eliminate the 10% levy on the US dollar.

Besides, the Cuban government has asked the UNO to lift sanctions against the country at least for the period of the coronavirus pandemic.

Things have not been going well for Huawei after the United States proved that the technology firm had close ties with China's government and collected various data for it around the world. 

The Chinese compromised tech giant has encountered another obstacle in its path - countries across the world are cutting ties with the company. Nobody wants to deal with spies. Following the US, the United Kingdom shut its doors for Huawei. Britain’s actions became a blow for the company as it was supposed to supply equipment for the UK’s 5G network. The government's decision was declared by Oliver Dowden, Secretary of State for Digital, Culture, Media, and Sport. According to British authorities, Huawei's further participation in building 5G infrastructure in the UK can put British business and the safety of users at risk. Given the fact that Huawei has been caught multiple times giving personal data access to Chinese intelligence, such an attitude towards the telecom company is not surprising. American residents have already been banned from cooperating with Huawei and the UK has followed the lead. Most likely, other US allies will also break their relations with the company.

Meanwhile, Huawei is actively engaged in developing its own software which can replace Google alternatives. Thus, the upcoming version of EMUI may be based not on the Android operating system, but on HarmonyOS, designed by Huawei. 

Apple has won a major tax battle with the European Union. The US technology company has been able to prove its point in court and avoid a huge fine of €13 billion.

The tax relief case has been dragging on since 2016 when the European Union's general court ordered Apple to pay a record €13 billion fine for allegedly illegal tax benefits granted to the company in the period from 2003 to 2014. However, in the end, the judges said that there was not enough evidence to accuse Apple of breaking EU competition rules. This case was not about how much tax Apple had paid, but where the company was required to have paid it. Given that it is incorporated in Ireland, its tax payments have been contributed to Ireland's budget. The Irish authorities confirmed it, saying that it had "always been clear there was no special treatment provided" to Apple's Irish subsidiaries.

However, Executive Vice President of the European Commission for a Europe Fit for the Digital Age Margrethe Vestager was not satisfied with the judgment delivered by the General Court, and the official promised to "carefully study the judgment and reflect on possible next steps". Apple is not the only company that is coming under attack from European authorities. Other US tech giants such as Google, Facebook, Amazon, and Microsoft have also been drawn into similar court proceedings.

Since historical times, the sea has served as a source of prosperity for cities. Additionally, it has had plenty of food for people. The sea constantly tempts humanity with its vast and hidden treasures despite the threats it poses to anyone who dares conquer it.

Nevertheless, dangers and other risks have never stopped people from exploring the sea as every penny invested in sea projects bring the far greater profit. This is why now, in times of the coronavirus crisis, more and more businesspersons are getting interested in sea projects. Some experts even say that the sea could save the world economy from a deep dive as every dollar invested in marine projects brings $5 in profits. They also add that from the economic point of view, marine projects can be so diverse and each of them is likely to be profitable. Therefore, they stress four main areas in the sea business that will help the world economy recover: conservation and restoration of mangrove forests; reducing carbon dioxide emissions from the global shipping industry; expansion of offshore wind power plant construction; and ocean exploration with an aim to increase the supply of protein-rich products. Apart from economic advantages, these projects will contribute to the development of healthcare and ecology. Currently, revenues from fishing and shipping account for 3.5–7.0% of global GDP, and this is not the limit.

With a rational approach to ocean exploitation, there is every chance not only to preserve its natural environment but also to ensure a sustainable economic future. To achieve this, people need to implement more renewable sources of energy or green technologies in the industrial sector. Yet,  so far they have become widespread only in developed countries. 

US oil companies that hardly survived after the conflict with Saudi Arabia, have recently faced new problems. The current trouble is extremely unexpected and even more serious than the previous ones.

The fact is that the US leading banks are refusing to lend money to oil and gas companies. Some experts suppose that financial institutions are actually boycotting this sector.

The opinion could be proved by the fact such large organizations as Citibank, Goldman Sachs, JPMorgan Chase, Morgan Stanley, and Wells Fargo almost simultaneously ceased supporting the oil and gas industry, reducing the capital available for the US energy sector. Moreover, large investment organizations such as BlackRock have stopped putting in the companies that receive one-fourth of the income from coal production.

As a result, oil and gas companies are suffering great financial troubles. They have to delay the planned launch of drilling rigs and stop those that are working. Under such conditions, these companies will not be able to resume production rapidly if oil starts gaining in value. Thus, many companies cannot pay off or restructure their loans.

Difficult times are a wonderful opportunity to start doing something new.  The British Royal court has always been standing up for its people. During the economic crisis caused by the coronavirus pandemic, the Royal court launched a new project to raise funds. Thus, the Queen’s London residence has decided to make gin using botanicals found in the palace grounds. The gin is sold under the brand name of Royal Collection Trust and is priced at £40 ($50) for a 70cl bottle. The 42% ABV gin comes in a clear and turquoise glass bottle embossed with a coronet entwined with a ring of flowers. Each bottle has a gold-colored stopper and on the back, there is a sketch of the Buckingham Palace. The unique gin is made with 12 botanicals, including lemon verbena, hawthorn berries, bay leaves, and mulberry leaves. This brand of gin has been introduced to raise money for conservation of Queen Elizabeth II's extensive art collection. It is one of the last great European royal collections that is still intact.

According to the Royal Collection Trust charity, the gin will be sold in shops and served at official events at Buckingham Palace.

Market participants again give China a big thumbs up for its rapid economic recovery. It goes without saying that China is the first economy to overcome the crisis which the country is to blame for. The COVID-19 pandemic sent the national economy into a tailspin. However, according to the fresh macroeconomic data, the fallout seems to have been tackled. Remarkably, China’s GDP grew 3.2% in Q2 2020. Meanwhile, such expansion is a distant dream of other advanced economies.

China’s authorities coped well with reopening its economy after the shutdown. Besides, they did not allow the economy to slip into a technical recession when gross domestic product contracts for at least two quarters sequentially. Amid lockdown measures, China’s national economic output logged an abrupt slump by 6.8% in Q1.

One of the keys to success is a step-by-step plan to lift lockdown measures. The People’s Bank of China made emergency fiscal decisions such as rate cuts, liquidity provision, lending schemes etc which proved their efficiency. As a result, the agricultural sector rebounded 3.9% in Q2 and the industrial production expanded 4.4%. Nevertheless, GDP remains in the contraction zone in annual terms. Thus, GDP dropped 1.6% from Q2 a year ago. 

The actual metrics came out to be stronger than the consensus. Optimistic analysts had projected a moderate GDP growth of no more than 1.5%. Others had predicted a further economic decline.

However, there is a fly in the ointment. China’s stock market has to face a challenge. On July 16, China’s stocks saw the sharpest crash over the last 5 months. The Shanghai Composite index instantly sank 4.5%. The main culprit of the panic mood among investors is another twist in the US – China trade conflict. Escalating jitters could eventually assure China to resort to the hawkish monetary policy.      

In August this year, Russia will have to deepen oil production cuts in order to meet its quota under the OPEC+ agreement. As it turned out, the country failed to fulfill its output obligations for the months of May and June.

However, Russia is not the only country on this list. In total, five countries failed to discharge their duties to reduce oil production, including Iraq, Nigeria, Angola, and Kazakhstan. These oil-producers will have to make up for the overproduction in August. Otherwise, OPEC will impose sanctions against these countries.

Russia will have to cut output by extra 100,000 barrels per day. The country produced crude oil at a rate of 9.388 million barrels per day in May and 9.323 million  barrels per day in June.

Under the OPEC+ agreement, Russia's daily quota level is 8.492 million barrels. Based on OPEC’s calculations, the country’s production above the quota for the two previous months is approximately 134,000 barrels. The situation is not critical at all. 

Meanwhile, Iraq has been the worst violator of the deal. The country’s overproduction has been more than a half of its quota for the two previous months. However, the Iraqi authorities pledged to compensate for the two months of overproduction in August.

Overall, 23 countries signed the OPEC+ deal. Recently, the major oil exporters agreed to ease the daily output cuts to 7.7 million barrels per day starting in August from 9.7 million barrels per day set in the previous pact.

The Chinese government perfectly understands that the trade war with the United States can put an end not only to economic growth, but also to China’s political ambitions. China may continue putting a bold face on the situation and announce another unrealistic five-year plan. However, the country’s authorities are well aware of China’s dependence on the US.

The White House knows that as well. US President Donald Trump has once again officially declared that he is not willing to make peace with China. Moreover, the American leader is not even considering further negotiations at the moment. "I’m not interested right now in talking to China," Donald Trump said. However, the president emphasized that he highly valued phase one of the trade deal signed in January this year. It was the coronavirus that triggered such a sudden mood swing. According to the American leader, it was the negligence of the Chinese authorities that caused the global pandemic. "The ink wasn’t even dry, and they hit us with the plague," Donald Trump stated, referring to the novel coronavirus, which first emerged from the Chinese city of Wuhan. Indeed, in this situation, any trade agreement is out of question. Moreover, the US has been blaming China for failing to contain the disease for months.

So far, there is no reason to expect phase two trade negotiations to continue. In addition, Beijing has not fully implemented the earlier agreements yet as the coronavirus started tightening its grip on the world, hitting demand in most countries.

The United States has resumed its efforts to prevent the completion of Nord Stream 2, threatening to impose new sanctions. The construction of Nord Stream 2 has been drawn out for a long time. As a result, it is no longer so relevant. Europe has significantly reduced its gas consumption. Natural gas prices have dropped. Experts, including Russian ones, say that even if the construction is completed, the pipeline will hardly work at full capacity. Nevertheless, the US is still struggling to stand in the way of the project by slapping sanctions.

This time, both German-Russian and Turkish-Russian natural gas pipelines turned out to be in the focus of the US. The new measures could affect both investors and partners of these projects. "It’s a clear warning to companies. Aiding and abetting Russia’s malign influence projects will not be tolerated. Get out now or risk the consequences," Secretary of State Mike Pompeo said at a State Department news conference. This move is primarily aimed at punishing ship insurers, service companies, and firms that provide certification for Nord Stream 2. The gas pipeline will not be able to begin operations without these documents. Expanded US sanctions will block over 700 million euros invested in Nord Stream 2 by foreign companies. In total, above 120 firms from more than 12 European countries will be hit.

Berlin is not considering retaliation against the United States. The government claims that it stands for the construction of the pipeline. According to Klaus Ernst, the chairman of the Bundestag Committee on Economic Affairs and Energy, the fact that the US Congress acts as a regulator of European issues is absurd. Nord Stream 2 is a purely commercial project implemented under EU legislation. He believes that US authorities are trying to illegally assert their own economic interests against European companies. However, on the flip side, the Russian project receives no real support from Germany, nothing but words.

Traditionally, the Russian economy receives substantial annual monetary investments from overseas. Interestingly, US investors are expected to pump around $1.8 billion in Russia this year. The current amount of foreign capital fell slightly compared to the previous years. Thus, US investors put some $1.9 billion into the Russian economy in 2019.

American companies are ready to spend more in order to bring new products or services to the Russian market. Besides, the US allocates large sums of money to expand existing business capacity.

This year, US companies are expected to put their money into Russia’s chemical industry. A drop in the cost of mineral raw materials attracted foreing investors to the Rusisin chemical sector.

Investments in the production of essential and industrial goods are also popular among US companies. Notably, the energy sector is lagging behind due to extremely cheap raw materials. According to a survey of around 75 American investment companies, above 66% of these firms confirmed willingness to import their products into the Russian market. For comparison, their share of imports into the United States is only 34%. Slightly less than 50% of these firms mentioned that they redirected goods produced in Russia to other countries. Notably, only 16% of all products manufactured in Russia are imported to the United States, and most of them, 84%, are sent to other countries. One more curious fact is that more than a half of the companies surveyed export around 20% of Russian goods.

Recently, the bitcoin price has surged over a key psychological level of $10,000 and extended the rally. 

Over the last couple of days, the world’s number one virtual asset has leapt to more than $11,000. Later, bitcoin has faced a minor pullback. Currently, the digital currency is enjoying a break from its recent rally. So far, it is not clear how the price spike will end. On the one hand, bitcoin jumped to a five-digit number. On the other hand, its trading volume is not growing. Therefore, it is impossible to predict further movement of BTC on the chart. It is not unlikely that the price will skyrocket. Otherwise, there is a likelihood of a massive pullback which will continue the formation of a long-term correction. At the moment, it is better to closely monitor changes in the price of bitcoin and its trading volume as these two indicators will show the exact direction of BTC in the near future.

In the meantime, the overall crypto market cap is rising along with bitcoin. Thus, the entire crypto market capitalization has already surpassed $300 billion. Despite BTC’s correction, the level of market value remains high thanks to a significant increase in the price of altcoins, primarily ethereum.

Nowadays, some countries are launching rather exotic projects. Thus, one of the US companies, Zero Mass Water, is working on a project aimed at water production. The company is planning to avoid drilling of wells  because its technologies allow people to make water from air. The new technology will be tested in a desert not far from Dubai. The plant that is under construction now needs just solar power. Moreover, bottles that will be used are recyclable and the caps are sustainable.

The water-from-air production will be performed by means of specialized hydropanels that absorb water vapor and extract it using solar energy. Cody Friesen, founder of Zero Mass, believes that “Dubai’s hot and humid climate makes the emirate a prime location”.

The technology is much more expensive than desalination. That is why water produced by Zero Mass Water will be of the same price as such elite brands as Evian and Fiji. These companies sell their water at the price of around $2.72 for one liter.

During the last decades, the US has been the world's superpower that may easily take the leading position in any competition. Sometimes, it looks like the US wants to try its hand at various conflicts.

The recent oil price war is one of such examples. The US has always been one of the largest oil producers. However, this time, it failed to be among the leaders. Nevertheless, it still wants to manifest its power.

In short time, the US production hit the record high of 13 million barrels a day. Oil output has not been at such levels since last autumn. Other oil leaders such as Saudi Arabia and Russia did not produce so much oil even before the OPEC+ deals.

However, there is no use to reduce output under the current oil market conditions. Matt Gallagher, chief executive of Parsley Energy, one of Texas’s biggest independent oil producers, said that the US crude production had already peaked. At the same time, the market does need a lot of oil until prices resume rising.

Production of oil brings profit to most US companies only if prices exceed $40 per barrel. Thus, as soon as oil prices hit this level, US companies will resume large-scale production as they do not have obligations to contain it.

The Chinese authorities are actively working on the digitalization of the national currency. At the moment, nothing can stop the launch of the digital yuan. Some analysts suppose that this action may strengthen the yuan’s position against other major currencies.

In fact, the Chinese currency cannot even take the second place in the basket of major currencies. A share of the Chinese yuan in the currency reserves of all IMF’s members is just 2.02%. At the same time, reserves held in the US dollar total 61.99%, the euro’s share is 20.05%,  the Japanese yen’s share amounts to 5.70%, and the British pound’s share is 4.43%. That is why the Chinese government is carrying out such a large-scale financial reform aimed at putting  the yuan at the top. The most important event is the official introduction of the digital national currency. The new yuan will be issued by the People’s Bank of China. Following China’s example, the central banks of Sweden, South Korea, and even the US have also supported the introduction of the digital currencies. Notably, until recently, the Federal Reserve has been an ardent opponent of digitalization.  

China has surpassed other countries in this sphere. Thus, the yuan has all chances to go beyond its rivals. China began to develop the digital currency in 2014 and the new payment system is supposed to be based on the new currency.

Shortly after the UK decided to cut the role of Chinese telecommunication company Huawei in the country’s 5G network rollout, the government has asked for Japan's help in this endeavor. What is more, last week the UK authorities also banned Huawei from supplying 5G equipment. Under the new ban, Huawei will be completely removed from the country’s 5G market by the end of 2027.

British officials are now in talks with Japan’s telecommunication firms such as NEC and Fujitsu. Curiously enough, these companies have only 1% of the number of 5G base stations in the UK market. The UK authorities are ready to provide Japanese tech companies with all the necessary support that will help them become one of the main leaders in the international 5G market. Nowadays, Huawei, Ericsson, and Nokia are the three giants in this field.  

Notably, the UK's refusal to cooperate with Huawei, as well as the introduction of sanctions against smartphone manufacturers and other telecommunications equipment, caused a burst of outrage in China’s mass media. Several state-owned news companies have started openly calling for a retaliatory boycott of the UK and the imposition of the severe counter measures against British companies.

The conflict kicked off on July 14 when the UK authorities officially banned China's companies to cooperate with the Chinese suppliers of equipment for the development of the 5G telecommunications networks. London refused to work with Chinese tech companies after they were accused of transferring personal data of their users to China's International Security Services for further processing and use.

A year ago, the US also accused China’s firms of espionage for the government. Huawei is blacklisted in the US.