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New data predicts a worsening outbreak in the US. The IHME model now projects more than 134,000 Covid-19 deaths by August, up from a previous estimate of 72,000. The White House also reportedly expects a doubling of daily deaths and a surge in new cases this month.
The US will borrow $3 trillion in the second quarter. The unprecedented sum is more than five times what the government borrowed in a single quarter during the 2008 crisis, as it finances massive stimulus efforts to revive the economy.
Germany’s top court decides the future of quantitative easing. The European Central Bank’s plans to boost its bond-buying program to over one trillion euros this year, to help economies amid the pandemic, has been met with a lawsuit from conservatives. A judge will respond today.
The US and the UK begin trade talks. The first round of negotiations over a post-Brexit free-trade agreement will see 100 officials from each side meet virtually, and it will last two weeks.
Apple and Google will restrict location data. A new ban will prevent governments and companies from using GPS information for coronavirus contact tracing apps. Some US states are developing their own apps, saying access to location data is essential.
WeWork’s co-founder sued SoftBank. Adam Neumann accused the Japanese conglomerate, its biggest investor, of abusing its power when it terminated a $3 billion tender offer for the co-working giant’s shares.
US-China tensions are on the rise
The US plans to shift global supply chains away from China. The Trump administration has gone into “turbocharge” in looking for ways, including tax incentives, to encourage American companies to move their sourcing and manufacturing away from the country.
Meanwhile, US navy ships are patrolling the Arctic. The Pentagon said it was the first time in decades the US conducted operations in the Barents Sea, which is near Norway and Russia. Washington is looking to counter the Chinese and Russian presence in the strategic region.
The WHO dismissed US claims about the Wuhan lab. The global health agency said it hasn’t received evidence from the US that the coronavirus came from a Chinese lab. Experts, including US ones, continue to say that the virus likely spread from animals and jumped species.
Charting central bank assets
Protecting an economy from a pandemic isn’t cheap, and central banks are going to buy a lot of their governments’ debt. The US Federal Reserve’s assets are skyrocketing, for instance, and the balance sheets at the ECB and Bank of Japan look pretty similar.
Around the world, central bank asset purchases are expected to reach $6 trillion this year.
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- $5 trillion: Amount officials are currently spending and lending to keep their nations afloat—and they’ll have to pay it back.
- 60%: Rate of attendees at our workshop on career building in quarantine who are currently seeking new jobs.
- 20%: Decrease in production of Active Pharmaceutical Ingredients in China, which is majorly affecting the global drug supply.
We’re obsessed with microwaves
Americans love zapping their meals. Born out of World War II innovation, the microwave has become a staple in homes in the US and around the world, making up a $3.7 billion market in 2006. New lines of trendy, “healthy” microwavable meals have led to a renaissance of reheating and a food subculture that has given us the “world’s saddest cookbook.” Instantly read today’s Quartz Daily Obsession.
Surprising discoveries
Facebook trained its chatbot on 1.5 billion Reddit posts. Blender is still a work in progress, though, as it sometimes responds with offensive language and made-up facts.
Scientists are inserting devices inside the uterus of sharks to discover how they give birth. Because science.
Housebuilders are stocking toilets in Japan. It’s moving season, and builders worry that their homes will be left without lavatories after China-made toilets vanished from the market.
Face masks are now a fashion accessory. Sure, they might help combat the spread of coronavirus, but they can also look chic, funny, or just plain cool.
Superheroes are fighting coronavirus. Volunteers dressed as Spider-Man and Superman are encouraging kids to obey the lockdown in Indonesia, and Darth Vader has made an appearance in the Philippines.
You asked about antibody tests
Why is there such a widespread number of people who have tested positive for antibodies to Covid-19?
At this stage, Sean, antibody tests don’t tell us much, if anything, about immunity. Research on other coronaviruses suggests that some people will likely get some kind of immunity to re-infection after being infected with and developing antibodies to SARS-CoV-2.
But it’s simply too soon for scientists to know what concentration of antibodies would be needed, how long that protection might last, or how powerful it will be (not all antibodies are equally effective at neutralizing the virus). Most antibody tests only give a yes/no answer, not the kind of detail needed to understand immunity. Data from China suggest that some individuals, particularly young people, may even beat an infection without developing antibodies at all.
At this stage, it’s best to take antibody results with a big grain of salt. (Give our test simulator a whirl to see why.)
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Our best wishes for a productive day. Please send any news, comments, friendly neighborhood Spider-Man sightings, and decked out face masks to hi@qz.com. Get the most out of Quartz by downloading our app on iOS or Android and becoming a member. Today’s Daily Brief was brought to you by Luiz Romero and Adam Rasmi.