Good morning, Quartz readers!
We’ve just launched Power Moves, a series of stories examining the art of deal-making and conflict resolution. Over the next few weeks we’ll be launching additional stories. Check it out, and let us know what you think.
What to watch for today
China conducts provocative military exercises in the South China Sea. China is cordoning off a region southeast of Hainan island until Thursday in defiance of last week’s ruling by an international court. It warned of “disaster“ if rival navies continue their patrols.
The IMF’s latest update on the global economy. The Washington-based fund is expected to downgrade its previous prediction of 3.5% growth in 2017, based to some extent on the uncertainty created by Britain’s vote to leave the EU.
Goldman Sachs and Microsoft lead earnings reports. Earnings at the bank are expected to be higher, but only because last year’s results included a $1.45 billion fine. Revenue is expected to fall 15%. Meanwhile, Microsoft hopes its $26.2 billion LinkedIn purchase will boost the appeal of its Azure and Office products. But revenue will likely be flat due to the slow adoption of Windows 10.
While you were sleeping
An axe-wielding refugee attacked passengers on a German train. The 17-year-old attacker, an Afghan refugee, was shot dead by the police as he fled the train. Four passengers, reportedly all one family from Hong Kong, were injured, three of them seriously. The police said they found a hand-painted ISIL flag in the attacker’s room in the town of Ochsenfurt.
US Republicans began their national convention. One of the most notable speeches was from Donald Trump’s wife Melania, but for the wrong reasons: it copied from Michelle Obama’s 2008 address to the Democratic National Convention. There was also a boisterous but futile attempt (paywall) by anti-Trump delegates to tweak the rules in their favor, and a scene-stealing stunt by Stephen Colbert.
Novartis’ heart drug is expected to hurt profit. The world’s biggest prescription drugmaker said profit for the year may drop as it invests more marketing money into its new heart-failure drug Entresto, which has struggled to gain traction. The Swiss drug firm’s core net income fell 5% in second quarter to $2.9 billion.
British MPs voted to renew the the country’s nuclear weapons system. The House of Commons voted overwhelmingly to build four replacement Trident submarines at an estimated cost of £31 billion ($41 billion). Labour’s existential crisis continued—140 of its 230 MPs went against leader Jeremy Corbyn and voted to renew the nuclear submarines.
North Korea fired ballistic missiles into the sea. The show of force came days after the US and South Korea announced a final decision to implement an anti-missile system to counter threats from North Korea. The three missiles were launched early morning local time.
Quartz obsession interlude
Gwynn Guilford on the exclusion of “LGBT” from the Republican party platform. “A delegate from the District of Columbia proposed adding that the attack was ‘on LGBT people’ to clarify that fact. In those three words lay an unprecedented source of controversy for the usually deadly dull platform committee.” Read more here.
Matters of debate
Silicon Valley’s future involves more partisan politics. Peter Thiel’s support of Donald Trump is just the beginning.
There won’t be a birth control pill for men anytime soon. Not because it’s impossible, but because the pharmaceutical industry isn’t motivated to try.
The attempted coup won’t hurt Turkey’s economy. That’s one small reason for optimism in an otherwise grim time for the country.
Surprising discoveries
Dozens of US nuclear bombs are precariously stored in a Turkish airbase. They are less than 100 miles from the Syrian border, where the US is bombing ISIL fighters.
It’s possible to serve draft beer on an airplane. Heineken and KLM took on the challenge of tapping kegs at high altitude.
All those Apple Music playlists are produced by just a dozen people. The site is a year old and has 14,000 playlists.
Full-time jobs are best for young brains. Working more than 25 hours a week might impair cognitive function for people over 40.
The world is getting more exercise because of Pokémon Go. Fitness tracking data shows the mobile game triggered a massive surge in walking.
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