Quartz Daily Brief—Indonesia’s disputed presidency, Apple earnings, US tax crackdown, bear bile contraband
Good morning, Quartz readers!
What to watch for today
Will iPhone sales boost Apple? Smartphone sales have been slow, but Apple’s quarterly results should show the iPhone bucking that trend. The Wall Street Journal reports that Apple has put in larger-than-expected orders (paywall) for 70-80 million units of the iPhone 6, which will come with 4.7- and 5.5-inch screen options.
EU foreign ministers discuss Russia. The UK is pressing for tougher sanctions against Russia over the downing of Malaysia Airlines flight 17, suspected to be the work of pro-Russian separatists. Moscow has acquiesced to a UN security council resolution calling for an international investigation.
Indonesia’s presidential election gets messier. Official results due imminently are expected to show that Jakarta governor Joko Widodo won by about 5 percentage points. But his opponent, former general Prabowo Subianto, says the election was fraudulent and is vowing to contest the outcome.
The US tax evasion crackdown. A congressional panel will discuss how Deutsche Bank and Barclays helped hedge funds escape paying billions (paywall). The banks insist they did nothing illegal.
While you were sleeping
Ukrainian rebels handed back the MH17 black boxes. Malaysian prime minister Najib Razak brokered a deal with pro-Russian separatists to return the flight data recorders along with the bodies of MH17 passengers, and allow access by international investigators to the crash site.
Credit Suisse was sunk by legal woes. The Swiss bank reported a second-quarter loss of 700 million Swiss francs ($779 million), its worst quarterly result since the depths of the financial crisis. The loss was largely due to a $2.6 billion fine for helping Americans evade taxes.
China’s latest food scandal went international. McDonald’s Japan said it found new suppliers for its Chicken McNuggets, which were previously sourced from the shuttered Shanghai Husi Food Co. The food supplier is owned by US company OSI, which said it was “appalled” by allegations that it sold expired and reprocessed meat products.
Xiaomi unveiled its new flagship phone. The upstart Chinese smartphone maker’s metallic Mi 4 device bears a striking resemblance to the iPhone. Co-founder Lei Jun, whose company has often been compared to Apple, even pulled a Steve Jobsian “one more thing” move during the launch event, showcasing a $13 wearable fitness bracelet called the Mi Band.
Britain’s smartphone chip maker reported steady earnings. ARM Holdings, which licenses its processor technology to both Apple and Samsung, said second-quarter profits rose 9% to £94.2 million ($160.1 million). The company expects an “improving market environment” in the third quarter as device makers clear out 3G handsets and shift to 4G (paywall).
Saudi Arabia will open up its massive stock market to foreigners. The $531 billion Saudi Stock Exchange will allow trading by foreign institutional investors in 2015, as the kingdom moves to boost its non-oil industries.
Quartz obsession interlude
Gwynn Guilford on why America catches the world’s best salmon but eats the worst. “Two-thirds of the salmon eaten by US consumers is imported—mostly from farms in Chile, Canada and Norway and from processing factories in China. More than just a quirk of taste, this habit of snubbing domestic salmon in favor of foreign farmed fish exemplifies a more disquieting trend for US industry, argues journalist Paul Greenberg in his book American Catch: The Fight for Our Local Seafood (purchase required). It’s the result of an American seafood ignorance that could threaten both the country’s long-term status as a fishing powerhouse and its secure supply of nutritious protein.” Read more here.
Matters of debate
Putin has killed Russia as a brand. There is nothing of value left to recover.
Tech geeks are ruining everything. They are pushing us towards a utopia nobody wants.
Ivy League universities are ruining people. They produce meek adults with great skills but no direction.
Dial down your internet use without “going dark.” Just remove the Facebook and Twitter apps from your phone.
Broadband should get public funding. The infrastructure is too important to leave to the private sector.
Surprising discoveries
Religious children are more likely to believe fairy tales. Secular 5- and 6-year-olds are more skeptical.
A man is squatting in an Airbnb condo. Because he signed up for a 30-day-stay, he has legal rights as a tenant.
Powdered bear bile sells for more than cocaine. And the raw stuff is more expensive than gold.
A giant inflatable duck died in China. The public artwork’s remains have washed up in Guizhou after floods.
Germany broke the World Cup trophy. A piece of the prize “was chipped off” when celebrations got out of hand.
Our best wishes for a productive day. Please send any news, comments, bear bile, and World Cup fragments to [email protected]. You can follow us on Twitter here for updates throughout the day.