FirstFT: Joe Biden and Xi Jinping hold summit in attempt to stabilise relations

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Good morning. Joe Biden and Xi Jinping held a high-profile summit in San Francisco earlier right this moment in a renewed attempt to stabilise US-China relations.

The US administration performed down expectations forward of the assembly, the leaders’ first since 2021, saying it was targeted on managing dangers of additional deterioration in the connection somewhat than producing splashy outcomes.

“We have to ensure that competition does not lead to conflict,” Biden instructed Xi because the assembly started, including that the international locations may work collectively on points starting from synthetic intelligence to the local weather. Shortly earlier than the assembly, the US and China agreed to accelerate the rollout of renewable energy to displace their heavy reliance on fossil fuels.

“Planet Earth is big enough for the two countries to succeed,” Xi mentioned. Follow the developments from the summit here, and atone for the most recent US-China information:

Chinese financial system: China’s shopper and industrial exercise expanded faster than expected in October, including to hopes of enchancment because the financial system continues to grapple with a sluggish restoration from the pandemic.
Interview: A Shanghai-based producer has accused the Biden administration of fostering a “xenophobic” environment for Chinese buyers.
Investment restrictions: The primary US federal authorities pension fund is to exclude China- and Hong Kong-listed stocks in response to rising tensions between the world’s two largest economies.

Here’s what else I’m retaining tabs on right this moment:

Apec: The Asia-Pacific Economic Cooperation discussion board continues in San Francisco, however Joe Biden’s plan to announce an Indo-Pacific commerce deal on the gathering has been derailed.
Companies: Alibaba, Lenovo and Walmart are amongst these reporting earnings.
Spain: Acting prime minister Pedro Sánchez is predicted to safe a second time period in a parliamentary vote as anger grows over an amnesty deal that has change into the value for the Socialist chief to retain energy.

Five extra high tales

1. Taiwan’s two primary opposition events have agreed to put their respective candidates on a joint ticket for January’s hotly contested presidential election. The deal sharply will increase the percentages that the ruling Democratic Progressive occasion will lose energy. Here’s how that could affect relations with Beijing.

2. Israeli troops have been looking out Gaza’s largest hospital in what they known as a “targeted” operation to discover Hamas weapons and infrastructure, as concern grew for hundreds of sufferers and civilians sheltering on the website. The IDF says al-Shifa hospital sits on high of underground tunnels housing Hamas command centres, claims that medical doctors on the medical facility have repeatedly dismissed. Read the latest on the conflict.

US stance on conflict: Joe Biden is below mounting stress to rein in Israel’s military campaign inside a matter of weeks, as US allies and administration officers recoil on the mounting loss of life toll in Gaza.

3. EY has appointed Janet Truncale to be its subsequent international chief govt. Truncale would be the first woman in charge of a Big Four accounting firm, and replaces Carmine Di Sibio, who’s retiring in the wake of a failed plan to spin off EY’s consulting arm.

4. Microsoft has unveiled its first bespoke chips for synthetic intelligence in the cloud. The new processors can be deployed in its Azure knowledge centres subsequent 12 months, supporting its companies together with OpenAI and Copilot. The launch comes as developers seek alternative suppliers to Nvidia, which dominates the marketplace for AI processors.

5. TenderBank’s Vision Fund has been accused of “destroying” a Gen Z-focused social media firm it as soon as valued at greater than $1bn to safeguard its repute as an investor. The co-founders of IRL allege in a lawsuit that the Japanese group concocted a “flagrant, outrageous lie” that the app was nearly fully populated by bots as a pretext for closing the struggling start-up in June.

The Big Read

Is Indonesia lastly set to change into an financial superpower? Four years after President Joko Widodo ratified his $32bn dream to transfer the capital from Jakarta to Nusantara, an equatorial outpost on Borneo, the hassle has been criticised as an costly vainness undertaking. In an interview with the FT, Widodo argues it’s a chance to transform the country’s economic geography.

We’re additionally studying . . .

ICBC’s position in US Treasury market: The disruption brought on by the hack of China’s largest lender reveals how the financial institution has change into an necessary hyperlink in the $26tn market.
Whistleblower protections: A series of corporate scandals has not too long ago laid naked the weak point of authorized protections for whistleblowers in Japan, writes Kana Inagaki.
Industrial motion: Bangladesh garment exporters say western style manufacturers usually are not paying “ethical” costs, as protests over wages sparked manufacturing unit closures.

Chart of the day

Japan’s third-quarter gross home product declined 2.1 per cent on an annualised foundation, a sharper contraction than expected. The decline underscores the fragility of the nation’s post-pandemic restoration and complicates the Bank of Japan’s efforts to unwind its ultra-loose financial coverage.