Quartz Daily Brief—Shanghai stocks plunge, Tesco’s latest fiasco, Portland sues Uber, mistletoe drone fail
Good morning, Quartz readers!
What to watch for today
A busy day of haggling in Brussels. EU finance ministers will make a first pass at paring down the list of 2,000 projects vying for a slice of a proposed €315 billion ($388 billion) strategic investment fund. They’ll also discuss aid to Ukraine while their energy counterparts discuss the gas pipeline that Russia no longer wants to build.
The US comes clean on CIA torture. Republicans opposed to publishing the 480-page “summary” of a classified Senate report on CIA techniques warned that it will spark “violence and deaths,” and put Americans overseas at risk. Former president George W. Bush and his allies have already started bad-mouthing the report.
China’s Central Economic Work Conference begins. The closed-door meeting is where officials set China’s goal for 2015 GDP growth. The figure is expected to be 7.0%, one of the lowest in a decade—at least that’s what the World Bank is urging. This year’s target, which China looks set to miss, is 7.5%.
Can Krispy Kreme restore the sugary glaze to its earnings? The donut chain reported weak earnings in the first half of the year due to the sluggish US economy, but third-quarter results could show a pick-up (paywall), and will provide details on the company’s first full quarter under new CEO Tony Thompson.
Big money on a big stage. The two-day Goldman Sachs Financial Services Conference kicks off, with the CEOs of Bank of America, Wells Fargo, Citigroup, and Blackstone, and the CFO of JPMorgan Chase expected to speak.
While you were sleeping
Some of the air left China’s stock bubble. Shanghai’s benchmark stock index dropped 5.4%, the largest one-day fall in five years, as big Chinese bank and energy stocks plummeted. The index is still up about 40% this year, but highly-leveraged investors may be losing their nerve.
Hong Kong issued an eviction notice to the Umbrella Movement. The High Court published a notice in the city’s newspapers saying that bailiffs and police will enforce an injunction to clear out the largest pro-democracy protest site on Thursday. Some protesters vowed to use force to resist the decision, and the city’s strategy may have a glaring flaw.
Portland sued Uber. The city said the on-demand car service fails to comply with health and safety regulations. Uber talked with officials for several months before it launched the service on Friday without an agreement with the city; Portland is threatening fines of up to $5,000 for Uber drivers.
Tesco delivered another profit warning. Britain’s largest retailer warned that full-year profits would be far lower than expected, as efforts to fix an accounting debacle impacted its short-term profitability. Tesco shares plummeted 15% on the news.
German imports fell by the most in almost two years. Official figures showed an adjusted 3.1% decline in October from the previous month, far worse than the 1.5% decrease that analysts expected. Exports also declined, but within the range of expectations.
Edward Glazer put 3 million Manchester United shares up for sale. The sell-off could earn $45 million for the son of late owner Malcom Glazer. Edward and his five siblings received an equal split comprising 90% of the club’s shares following their father’s death eight months ago.
Hackers demanded Sony withdraw The Interview. The ”Guardians of Peace” group warned that the private data of two Sony executives would be made public if the company did not “stop immediately showing the movie of terrorism which can break the regional peace.” The film, which revolves around a plot to kill North Korean leader Kim Jong-un, may actually get a boost.
Quartz obsession interlude
Sonali Kohli on the tricky ethics of tipping teachers. “The holidays are swiftly approaching, and for many families that means a lot of people to tip: the doorman, the housecleaner, the newspaper delivery person, to name a few. But what about the person you trust to mold your child’s mind? Showing appreciation for your child’s teacher can get tricky.” Read more here.
Matters of debate
Regular exercise is part of your job description. Without it, your performance and satisfaction suffer.
There’s nothing wrong with not wanting kids. Expectations to the contrary are hurting women.
China’s schools don’t create innovators. Alibaba’s Jack Ma says students don’t get a chance to play or experiment.
The secret to a happy relationship is a gadget-free bedroom. Cuddle up with each other, not an iPhone.
Forget Mars and focus on the moon. Astronaut Chris Hadfield says a lunar base should be mankind’s next great leap.
Surprising discoveries
Prince William keeps it real. He took the US Airways shuttle from New York to DC—though he did fly first class.
An Irishman got five years for punching a Monet. He was reportedly upset with the government.
A TGI Friday’s mistletoe drone failed badly. The owner claims the bloody accident was caused by the victim ”flinching.”
A Korean Air executive went nuts. The airline boss’s daughter deplaned a flight attendant for improper macadamia-serving protocol.
Diplomatic immunity only goes so far. Gambian diplomats sold 32 tonnes (35 tons) of tax-free tobacco out of its UK embassy.
Click here for more surprising discoveries on Quartz.
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