The world in brief | The Economist
Catch up quickly on the global stories that matter
Israel has not substantiated its claim that a “significant number” of employees of the United
Nations Relief and Works Agency are members of terrorist organisations, according to an independent
review commissioned by the UN. The allegations caused 16 donor countries (including America, the
largest contributor) to pause funding worth $450m to the UN’s agency for Palestinian refugees. Most
countries have resumed contributions, but America, Britain and Germany have not.
Joe Biden condemned pro-Palestinian activists for acts of “blatant” anti-Semitism during protests
at Columbia University, referring to reports of harassment. Tom Cotton and Josh Hawley, Republican
senators, called on Mr Biden to send National Guard troops to Columbia University to respond to the
protests. Police arrested dozens of students at pro-Palestinian protests at Yale and New York
Universities on Monday.
The euro zone’s Purchasing Managers’ Index climbed in April to its highest level in 11 months,
according to S&P Global. The index rose to 51.4, from 50.3 in March (anything above 50 marks an
expansion). The rise was mostly explained by the growth of the services sector. The data suggest
that the bloc is edging out of stagnation.
Spotify recorded its highest-ever profit during the first quarter. Over the past year its boss,
Daniel Ek, has implemented a series of measures to boost profitability, including raising the price
of subscriptions and laying off almost a fifth of its workforce. Moreover, the company has avoided
the subscriber slowdown that has hit video streaming companies: paid subscribers increased by 14%
year on year. Shares rose by around 12% on the news.
A staffer for the far-right Alternative for Germany party was arrested on charges of spying for
China. Jian Guo, who worked for the AfD MEP Maximilian Krah, has been accused of working for the
Chinese Ministry of State Security. Several alleged Chinese spies have been revealed to be working
in parliaments across Europe.
The secretary of Russia’s Security Council and China’s security chief met to discuss strengthening
ties between their security forces. Nikolai Patrushev hosted Chen Wenqing in St. Petersburg for
talks aimed at bolstering the law enforcement agencies of the two countries. Ali Akbar Ahmadian,
head of Iran’s National Security Council, has also arrived in Russia and is set to hold talks with
Mr Patrushev.
The prosecutor in Donald Trump’s hush-money trial in New York framed the case as one of “election
fraud” during his opening statement. He argued that the payments at the heart of the case were made
to protect Mr Trump’s candidacy in 2016, and therefore amounted to undeclared campaign expenses.
The judge has said that he expects the trial to run for about six weeks.
Figure of the day: 20%, the value-added tax that a McVitie’s chocolate digestive faces in Britain.
Conventional ones, with less chocolate, are unscathed at 0%. Read the full story.
In the run-up to America’s presidential election, we’ve launched The US in brief—a daily update to
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Photo: dpa
Germany’s manufacturing malaise
The latest figures for Germany’s Purchasing Managers’ Index for manufacturing were published on
Tuesday, showing a continuing deterioration in business conditions, despite a rise in the euro zone
as a whole. The German index itself rose to 42.2 in April, from 41.9 in March, but that was below
the 42.8 forecast. Anything under 50 indicates contraction, sothe downturn atGerman factories—which
started improving in January but worsened again in February—eased by less than expected.
Manufacturing still accounts for around 20% of Germany’s economy, which is continuing to look
sluggish. Although it grew slightly in the first quarter of the year, according to preliminary
figures, there is still no sign of sustained improvement, according to Germany’s central bank.
Germany is hamstrung by high interest rates and erratic economic policies, as well as weak demand
both at home and abroad. Still, it isn’t all bad: the labour market is strong and inflation is
easing. Europe’s biggest economy may yet avoid plunging back into recession.
Photo: Getty Images
Finland’s president visits Sweden
Finnish presidents are responsible for foreign and defence policy. Traditionally their first trip
abroad is to neighbouring Sweden, Finland’s most important partner. But Alexander Stubb,
inaugurated on March 1st, underlined the gravity of Europe’s security crisis by going first to a
NATO exercise in Norway. Later he visited Ukraine and then travelled to Brussels to meet NATO’s
secretary-general. On Tuesday he will make a belated trip to Stockholm, where he will meet Carl XVI
Gustaf, Sweden’s king, and Ulf Kristersson, its prime minister.
Swedes will not resent the delay. Both countries recently joined NATO and are preoccupied with the
threat from Russia. Defence will be the main topic. The Nordic countries are redoubling aid for
Ukraine while working out plans to keep their own region safe. In between, Mr Stubb might also
receive some sympathy for the death of his beloved cat: both Mr Kristersson and King Carl Gustaf
are regularly pictured with their own pets.
Photo: Alamy
Gucci’s owner is looking down-at-heel
Luxuries began to fly off retailers’ shelves during the covid-19 pandemic, when many people were
flush with cash and had nowhere to go. For some, the frenzy has since abated. Last year the net
profits of Kering, the owner of Gucci, fell by 17% year on year, largely because of weak Chinese
sales. The company will probably report another set of disappointing figures when it unveils
first-quarter earnings on Tuesday.
In part, the drop in profits will reflect the company’s splurge on pricey retail properties. Since
luxury goods tend to be sold in person, Kering is betting on tempting customers back into its
shops. In January it bought a store space in New York for $963m, America’s largest ever high-street
property deal. However, with almost two-fifths of Kering’s revenue coming from the Asia-Pacific
region, if Chinese consumers remain reluctant to spend, the company will have to tighten its belt.
Photo: Getty Images
The discovery of HIV, 40 years on
Tuesday is the 40th anniversary of the announcement by America’s Department of Health and Human
Services that Robert Gallo, an American researcher, had discovered the cause of AIDS. The virus had
in fact been isolated the year before by Luc Montagnier, a Frenchman, though he had not proved it
was causative.
The human immunodeficiency virus, as it became known, is reckoned to have killed around 40m people.
It currently infects a further 39m. But, though by no means beaten, HIV is now being beaten back.
Drugs developed in the wake of its identification suppress symptoms, thereby saving lives, and stop
transmission.
Deployed by health agencies, national and international, they have lowered the annual death rate to
630,000, from a peak of 2m, and the rate of new infections to 1.3m from 3.2m. In principle, their
use could bring the disease under control. But doing so will require more concerted international
cooperation and resources.
Photo: Evan Zimmerman/Met Opera
“El Niño” is reborn
Many classical operas deal with religious themes. But contemporary works rarely revisit such
well-trodden ground. “El Niño”, which premiered in 2000 and opens in a new production at the
Metropolitan Opera in New York this week, is an exception. Drawing on sources ranging from the
Bible to the poetry of Rosario Castellanos, a 20th-century Mexican writer, it retells the nativity
story. Starting with the angel Gabriel’s visit to Mary before continuing through Jesus’s birth and
the family’s flight into Egypt, the opera emphasises Mary’s experiences as a mother and—in a modern
twist—as a refugee.
“El Niño” is an unlikely turn for its composer, John Adams, an American famous for “Nixon in China”
(about an American president) and “Doctor Atomic” (about Robert Oppenheimer, a nuclear physicist).
It also breaks new ground for two of classical music’s stars: Marin Alsop, a conductor, and Davóne
Tines, a bass-baritone, will make their long-overdue debuts at the Met.