Good morning, Davos delegates and devotees!
Two days down, two days more to fix this fractured world of ours. Onwards!
If you thought yesterday was slushy, prepare for partly sunny skies, a high of 7°C (45°F), and puddles galore.
What to watch for today
The Donald at Davos. The US president arrives in Davos this morning, and will meet with one prime minister he likes (Israel’s Benjamin Netanyahu) and one he berates with angry tweets (Britain’s Theresa May). He will be the guest of honor at a party thrown by the World Economic Forum and then host a “small dinner” for a “select” group of European CEOs with big investments in the US. He will encourage them to get others to follow their lead, according to the White House.
Trump’s war on the press, Davos edition. Given the last-minute nature of Trump’s trip, finding room for the journalists traveling with the president to set up remote offices was tricky. They’ll be based in an office clear across town, a few kilometers from the Congress Center. Since they may lose time in transit, let’s help the press pool out by sharing the one killer question you’d like to ask Trump, if given the chance—email it in and it may be featured in tomorrow’s newsletter.
The power of play. Unilever, the Lego foundation, and IKEA are teaming up to tackle a critical issue you don’t often hear about at Davos: the importance of play for the healthy development of young children. The Real Play Coalition will be unveiled at the Hotel Seehof, with a presentation featuring a toy set that once belonged to Albert Einstein. It should be, well, fun.
A mistake, not a disaster. Theresa May returns to Davos, without much more clarity about Brexit than when she spoke last year. Her predecessor, David Cameron, was caught on camera in the Congress Center yesterday saying the vote to quit the EU was “a mistake, not a disaster.” That’s not the most inspiring vision, and could be why May is expected to change the subject entirely.
Head in the clouds. Catch the gondola to the top of the Schatzalp at 11am to hear explorer Robert Swan describe the real effects of climate change, based on treks to the South Pole made 30 years apart (the most recent with his son, Barney). If things get worse on this planet, it could be useful to take notes at the “Blockchain Beyond Earth” panel at the Ethereal Lounge, for tips on how best to “enable commerce in the space economy,” if it comes to that.
The day in soirées. George Soros is never shy at his annual Davos dinner—he said Trump “stands for a mafia state” last year—so expect him to let rip on the state of the world. Quartz is co-hosting a dinner for young leaders with the Mastercard Center for Inclusive Growth. The lavish party made possible by cloud computing—the Salesforce nightcap—welcomes the country-tinged twang of Lukas Nelson & Promise of the Real.
Who won day two?
How do you run for president? Insist that you’re not. JPMorgan CEO Jamie Dimon told a standing-room only crowd at the Equality Lounge that he thought he’d be good at it, but “I am not going to run.” Speculation is growing Dimon is considering a 2020 run after he defined what Democrats need as a “a strong, centrist, pro-business, pro-free enterprise candidate”—which sounds a lot like him—and criticized the state of US politics today in harsh terms.
The bank boss also shared his leadership tips (humility and love) and said the US doesn’t need a trade war with China. He closed by coining a phrase that sounds kinda familiar: “Make America Fun Again.”
More highlights from yesterday
Imagine the Trump administration without the chaos. Cabinet members like Treasury secretary Steve Mnuchin and Commerce chief Wilbur Ross talked up a nuanced version of Trump’s “America First” policies on their first day in Davos. With, say, a certain bank boss in the Oval Office instead of a former real estate tycoon, you’ve basically got a more or less traditional Republican administration.
“A” for effort. French president Emmanuel Macron strived to become the new Davos darling by promoting investment, innovation, and lighter regulation. But when he switched from English to French, he became a different president. In English, he spoke as you would expect for a go-getting former investment banker, while in French he took on a more somber tone, lamenting inequality, climate change, and shortcomings in girls’ education. The ambitious speech ran long, with several false endings: “the final challenge,” “and finally,” and “I will finish on this point” came up well before he actually wrapped it up (to a standing ovation).
Populism is poison. German chancellor Angela Merkel said that an influx of migrants, plus lingering resentments from the euro crisis, meant Germany was more polarized than it has been in decades. After being pushed into awkward coalition talks following electoral gains for the far-right, she said with unusual directness that “populism is a poison.” Speaking immediately before her, Italian prime minister Paolo Gentiloni, himself facing a populist surge ahead of a crucial election, said “political fragmentation is the new feature of the old continent.”
Southern promises. Brazilian president Michel Temer said his country is “back in business,” promising more labor reforms. He emphasized the now-familiar refrain that openness, not isolationism, is the way forward. Another leader from the so-called Global South, Zimbabwe’s new president Emmerson Mnangagwa, delivered a similar message: “We are open.”
Chart interlude
Weakness is strength. Steve Mnuchin’s first public comments in Davos promptly sank the dollar, as the US Treasury secretary extolled the benefits of a weak currency in boosting trade. And some people say nothing important happens in Davos.
Sponsor announcement
The secret sauce for winning in an era of digital disruption? Join Quartz’s Kevin Delaney in conversation with Accenture’s chief strategy officer Omar Abbosh, Qualcomm’s executive chairman Paul Jacobs, and Slack’s co-founder and CEO Stewart Butterfield to learn their recipes for innovation (less mayo, more machine learning). Tune in at 4pm CET/10am EST for a live broadcast from Davos.
Seen and heard
The buzz is building around a campaign for delegates to walk out of Trump’s speech on Friday, spearheaded by a South African CEO offended by the president’s reportedly profane remarks about African countries at a recent meeting about immigration.
You don’t get to be CEO by following the rules: When asked to describe the current state of the global economy in a word, one business boss told Quartz “multi-speed” and another “very strong.”
Zimbabwe’s president briefly forgot Theresa May’s name during his session, but was quickly saved from too much awkwardness by the moderator.
Bono won’t make it to Davos this year, but will.i.am and Usher mingled at Matthew Freud’s annual chalet after-party, along with Tony Blair and David Cameron, Travis Kalanick, Sundar Pichai, the crown prince and princess of Norway, and a smattering of tech and finance chieftains.
Sketches of Davos, in three acts…
The scene: At the coat check after Macron’s speech
Delegate 1: “He’s, like, verbose.”
Delegate 2: “Bilingual verbose!”
The scene: Evening cocktails sponsored by a blockchain company
Crypto-preneur: “I went snowboarding this morning.”
Quartz reporter: “Oh yeah?”
Crypto-preneur: “I just need to get stoked between meetings.”
The scene: Marketing reps bring coffee and water to a morning CEO interview
Comms 1: “Should I bring a bottle?”
Comms 2: “A bottle of what?”
Comms 1: “Gin?”
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This is a special edition of the Quartz Daily Brief produced for attendees and others interested in the World Economic Forum in Davos. If you were forwarded this newsletter by a colleague, head of state, or Klaus Schwab himself, you can get your own copy for free by clicking here. And follow all of Quartz’s coverage from the forum during the week here.
News from around the world
The European Central Bank meets the press after its policy meeting. President Mario Draghi won’t likely announce an interest-rate tweak. But with the euro zone doing great, investors will look for hints of a change in the timetable for withdrawing the massive bond-buying program. One concern is the euro has become too strong for the bloc’s own good.
Donald Trump said he’s willing to speak under oath in the Russia inquiry. The US president said he’s “looking forward” to doing so, adding that an interview with special counsel Robert Mueller would take place in two or three weeks. Mueller is investigating Russian interference in the 2016 election, and whether there was collusion with the Trump campaign.
Bill Richardson quit an advisory panel on the Rohingya refugee crisis. The former US ambassador to the UN called the panel a “whitewash and a cheerleading operation for the Myanmar government.” A former UN rights chief has called Myanmar’s military operations against the Rohingya Muslims “textbook ethnic cleansing.”
Matters of debate
The biggest career mistake is getting too comfortable. Being the expert with the most experience in your field means you might have already missed valuable opportunities for reinvention.
Farmland could offset America’s entire carbon footprint. Soil carbon sequestration should please just about everyone, but it needs to be put in motion soon.
Investors should avoid high-testosterone hedge fund managers. A new paper concludes that these individuals underperform compared to their lower-testosterone counterparts.
Surprising discoveries
A 16th-century manuscript was found in an old copy of Alice in Wonderland. The 1583 land transfer deed, which was believed to have been lost in a fire, surfaced in an Australian shop.
People in Japan can pay handsome men to make them cry. Rui-katsu, or “tear seeking,” is popular with the Japanese, who are known to be infrequent criers.
Witch hunts began as a publicity stunt. Protestantism and Catholicism used Germany as their battleground, and each wanted to prove its prowess in beating back Satanic influences.
Our best wishes for an inspiring day at the forum. Please send any news, tips, spare legos, and market-moving comments to me, Jason Karaian. Today’s newsletter was made possible by Percy Pigs, Steve from DC, and Tata’s “lentil donuts.”