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PictureFoot traffic at the IDS Center, a skyscraper housing offices and retail shops in Minneapolis, was sparse on Tuesday.
Credit score…Tim Gruber for The New York Occasions

Authorities knowledge is anticipated to point out that financial progress slowed sharply over the summer season, as supply-chain bottlenecks and the resurgent pandemic restrained exercise at shops, factories and eating places.

The Commerce Division on Thursday will launch its preliminary estimate of financial output within the third quarter. Forecasters surveyed by the monetary analysis agency FactSet count on the report to point out that gross home product, adjusted for inflation, rose lower than 1 % from the earlier quarter, or 3.5 % on an annualized foundation, down from 1.6 % within the second quarter. Some forecasters warn that the report might present an outright stall, or perhaps a contraction.

The slowdown was partly a results of the unfold of the Delta variant of the coronavirus, which led many People to drag again on journey, restaurant meals and different in-person actions. More moderen knowledge suggests that individuals have returned to these actions as virus instances have fallen, and most economists count on considerably quicker progress within the remaining three months of the 12 months.

However one other main restriction on progress could also be slower to recede. The pandemic has snarled provide chains world wide, whilst demand for a lot of merchandise has surged. The ensuing backups have made it exhausting for U.S. shops and factories to get the merchandise and components they want. Economists initially anticipated the disruptions to be short-lived, however many now count on the problems to linger into subsequent 12 months.

Many companies are additionally struggling to seek out sufficient staff to make, promote and ship merchandise — one other provide scarcity that’s holding again progress longer than economists anticipated.

“The economic system doesn’t have a requirement downside,” stated Ben Herzon, govt director of IHS Markit, a forecasting agency. “It has a provide downside.”

The mixture of sturdy demand and restricted provide has resulted in increased costs: Inflation soared final spring and has remained elevated.

Nonetheless, the economic system is in significantly better form than forecasters anticipated for many of final 12 months. Gross home product returned to its prepandemic degree within the second quarter, though it has not caught as much as the place it could be if the pandemic had by no means occurred. Authorities assist, together with diminished spending through the pandemic, has left People flush with money, which ought to help spending for the remainder of the 12 months.

“Provide chain disruptions along with Delta conspired to carry again progress,” stated Constance L. Hunter, chief economist for KPMG, the accounting agency. “It’s a velocity bump not a slowdown.”

Credit score…Thilo Schmuelgen/Reuters

As Royal Dutch Shell introduced its quarterly earnings on Thursday, together with a soar in revenue that failed to fulfill investor expectations, firm executives had been coping with an activist fund’s proposal that the oil big be damaged up.

Third Level, an activist fund administration agency in New York, has taken a stake in Shell and referred to as for it to be damaged up into “a number of stand-alone corporations” that would deal with competing shareholder pursuits.

These corporations might embrace a unit encompassing Shell’s legacy oil- and gas-extraction companies and one other with its renewable-energy and liquefied-natural-gas actions, Third Level’s chief govt, Daniel S. Loeb, stated in a letter to traders.

Mr. Loeb referred to as Shell “one of many least expensive large-cap shares on the earth.” He additionally stated that by most metrics, Shell was buying and selling at a 35 % low cost to its rivals Exxon Mobil and Chevron, regardless of what he referred to as “increased high quality and extra sustainable” enterprise traces.

He blamed the corporate’s “making an attempt to appease a number of pursuits however satisfying none” for the shortage of investor curiosity in Shell.

Shell stated that it had “preliminary conversations with Third Level and we’ll interact with them, as we do with all our shareholders.”

Third Level’s transfer recalled the profitable battle waged this spring by one other activist hedge fund, Engine No. 1, to put in three administrators on the board of Exxon Mobil with the aim of pushing it to scale back its carbon footprint.

Information of the Third Level’s curiosity got here as Shell, Europe’s largest oil firm, reported $4.1 billion in adjusted earnings for the third quarter of this 12 months, a considerable improve over the $955 million reported within the interval a 12 months earlier, thanks primarily to increased oil and fuel costs. The earnings got here in beneath analysts’ expectations.

Shell shares had been down 3 %.

Emily Flitter contributed reporting.

Executives of a number of the world’s greatest oil and fuel corporations — Exxon Mobil, Chevron, BP and Shell — are set to seem earlier than a congressional committee Thursday to deal with accusations that the business spent hundreds of thousands of {dollars} to wage a decades-long disinformation marketing campaign to forged doubt on the science of local weather change and to derail motion to scale back emissions from burning fossil fuels.

The hearings mark the primary time oil executives can be pressed to reply questions, underneath oath, about whether or not their corporations misled the general public concerning the actuality of local weather change by obscuring the scientific consensus: that the burning of fossil fuels is elevating Earth’s temperature and sea ranges with devastating penalties worldwide, together with intensifying storms, worsening drought and deadlier wildfires.

Home Democrats evaluate the inquiry with the historic tobacco hearings of the Nineties, which introduced into sharp aid how tobacco corporations had lied concerning the well being risks of smoking, paving the best way for robust nicotine rules. Local weather scientists at the moment are as sure that the burning of fossil fuels causes international warming as public well being consultants are certain that smoking tobacco causes most cancers.

The proof exhibiting that fossil gas corporations distorted and downplayed the realities of local weather change is effectively documented by tutorial researchers. However oil corporations have denied mendacity to the general public about local weather change, and have stated the business is now taking daring steps to rein in emissions.

Meals costs are surging, and meals banks and pantries are struggling to maintain up. To manage, they’re substituting or pulling the most costly merchandise, like beef, from their choices, The New York Occasions’s Nelson D. Schwartz and Coral Murphy Marcos report.


The Newest on Meals Costs

Nelson D. Schwartz

Nelson D. SchwartzReporting on economics

The Newest on Meals Costs

Nelson D. Schwartz

Nelson D. SchwartzReporting on economics

Kaiti Sullivan for The New York Occasions

The price of meals is hovering — and it’s altering purchasing and consuming habits for tens of hundreds of thousands of People. Some are skipping the most costly objects, whereas others are working longer hours to place meals on the desk.

Right here’s what to know →

Merchandise 1 of 6

Credit score…Andrew Mangum for The New York Occasions

Responding to mounting stress from activists, dad and mom and regulators who imagine tech corporations haven’t accomplished sufficient to guard kids on-line, companies and governments across the globe are putting main components of the web behind stricter digital age checks.

Individuals in Japan should present a doc proving their age to make use of the relationship app Tinder. The favored recreation Roblox requires gamers to add a type of authorities identification — and a selfie to show the ID belongs to them — if they need entry to a voice chat characteristic. Legal guidelines in Germany and France require pornography web sites to test guests’ ages.

This month, lawmakers in Washington, which has lagged different world capitals in regulating tech corporations, referred to as for brand new guidelines to guard younger individuals after a former Fb worker stated the corporate knew its merchandise harmed some youngsters. They repeated these calls on Tuesday in a listening to with executives from YouTube, TikTok and the dad or mum firm of Snapchat.

The New York Occasions’s David McCabe studies that the modifications, which have picked up velocity during the last two years, might upend one of many web’s central traits: the potential to stay nameless. For the reason that days of dial-up modems and AOL chat rooms, individuals might traverse enormous swaths of the online with out divulging any private particulars. Many individuals created an internet persona fully separate from their offline one.

However the expertise of consuming content material and speaking on-line is more and more much less like an nameless public sq. and extra like going to the financial institution, with measures to show that you’re who you say you might be.

Critics of the age checks say that within the identify of retaining individuals protected, they might endanger consumer privateness, dampen free expression and harm communities that profit from anonymity on-line. Authoritarian governments have used defending kids as an argument for limiting on-line speech: China barred web sites this summer season from rating celebrities by reputation as half of a bigger crackdown on what it says are the pernicious results of celeb tradition on younger individuals.

Credit score…Mike Kai Chen for The New York Occasions

SAN JOSE, Calif. — The ninth week of testimony within the fraud trial towards Elizabeth Holmes raised questions of what dangers and tasks traders have after they put cash into high-growth start-ups like Theranos, Ms. Holmes’s failed blood testing firm.

In previous weeks of the trial, the jury heard from former Theranos workers who had been alarmed by its practices, in addition to executives and board members who stated they had been taken in by Ms. Holmes’s pitch for blood testing machines that would conduct a whole bunch of blood exams precisely and rapidly from a drop of blood.

That constructed as much as testimony from traders, who prosecutors stated are the victims within the 12 counts of wire fraud on the coronary heart of the trial. Earlier than Theranos collapsed in 2018, it raised $945 million from traders, valuing it as excessive as $9 billion and making Ms. Holmes a billionaire.

Ms. Holmes has pleaded not responsible. If convicted, she faces 20 years in jail.

Listed here are the important thing takeaways from this week’s proceedings, which happened solely on Tuesday after a water foremost break close to the courthouse on Wednesday compelled the cancellation of the day’s occasions.

Lisa Peterson, an funding supervisor at RDV Company, an funding agency representing Michigan’s rich DeVos household, defined how the group got here to speculate — and ultimately lose — $100 million in Theranos.

RDV’s chief govt, Jerry Tubergen, met Ms. Holmes at a 2014 convention and have become keen about Theranos, in keeping with an electronic mail proven in court docket. Ms. Peterson, who was put accountable for researching and facilitating the funding, testified that Theranos had handpicked just a few rich households to speculate and that Ms. Holmes made the agency really feel fortunate to be included.

“She was inviting us to take part on this alternative,” Ms. Peterson stated. Theranos purposely sought out non-public traders who wouldn’t push the corporate to go public, a presentation proven in court docket stated.

With Ms. Peterson’s testimony, prosecutors constructed on how Theranos had appeared to make use of faux endorsements from pharmaceutical corporations to deceive its companions and traders. Theranos had proven Walgreens and Safeway executives a validation report that displayed the logos of pharmaceutical corporations and stated they supported its expertise.

Final week, a Pfizer govt testified that the corporate had dug into Theranos’s expertise and “come to the other conclusion.” Ms. Peterson stated she had seen the validation report and believed it had been ready by Pfizer, which helped entice her agency to speculate.

In a heated cross-examination, Ms. Holmes’s legal professionals tried portray Ms. Peterson as a negligent steward of capital who didn’t do correct analysis earlier than pouring money right into a younger start-up.

Lance Wade, a lawyer for Ms. Holmes, highlighted contradictions between Ms. Peterson’s statements and an earlier authorized deposition she had given. When Ms. Peterson insisted that her present testimony was correct, he shot again, “Your reminiscence has improved over time? Is that your testimony?”

Mr. Wade additionally prodded Ms. Peterson for not hiring scientific, authorized and expertise consultants to dig into Theranos’s claims, nor did she demand to see copies of Theranos’s contracts with Walgreens and Safeway. “You perceive that’s a typical factor to do in investing?” he requested.

Ms. Peterson stated the agency relied on what Ms. Holmes and different Theranos executives informed them.

Mr. Wade tried to decrease Ms. Peterson’s decision-making energy throughout the agency by declaring that she was not on RDV’s funding committee and was not current for all of the conferences involving Theranos.

By arguing that traders like Ms. Peterson didn’t do sufficient analysis, Ms. Holmes’s legal professionals walked a fragile line. That’s as a result of their argument included an implied acknowledgment that Theranos’s expertise didn’t do all that it promised, whilst additionally they needed to preserve that Ms. Holmes didn’t lie concerning the expertise.


Who’s Who within the Elizabeth Holmes Trial

Erin Woo

Erin Woo📍Reporting from San Jose, Calif.

Who’s Who within the Elizabeth Holmes Trial

Erin Woo

Erin Woo📍Reporting from San Jose, Calif.

Carlos Chavarria for The New York Occasions

Elizabeth Holmes, the disgraced founding father of the blood testing start-up Theranos, stands trial for 2 counts of conspiracy to commit wire fraud and 10 counts of wire fraud.

Listed here are a number of the key figures within the case →

Merchandise 1 of 9

Jurors watched two movies of Ms. Holmes — most certainly their first time seeing her face with no masks — as she defended Theranos in interviews after The Wall Road Journal reported in 2015 that the start-up’s blood testing machines didn’t do as a lot as claimed.

In an look on Jim Cramer’s “Mad Cash” present on CNBC, Ms. Holmes stated Theranos’s machines might do greater than 100 exams, dismissing the essential report. In an interview with CBS in 2016, Ms. Holmes was extra contrite, saying, “I’m the C.E.O. and founding father of this firm. Something that occurs on this firm is my accountability.”

Ms. Holmes’s legal professionals argued to exclude the movies as proof, at one level referring to the time frame after The Journal article because the “conspiracy interval.”

Ms. Peterson testified that in that point, she and others at RDV met with Ms. Holmes. On the assembly, Ms. Holmes downplayed the revelations, Ms. Peterson stated, saying The Journal’s reporting was “accomplished by a really overzealous reporter who wished to win a Pulitzer.”

Mr. Wade requested the court docket to strike that remark from the report.

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