7.28.2022

GDP Report, HIV Advances, and a Mega Jackpot Everything you need to know for today in five minutes.

Good morning. It's Thursday, July 28, and we're covering a looming economic report, an advance in the fight against HIV, and much more. Have feedback? Let us know at [email protected].

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NEED TO KNOW

 

Key Economic Report Looms

A key report on the US economy is due today as analysts search for signs of a possible recession, expecting to see a decline in the country's gross domestic product for the second consecutive quarter this year. See the data at 8:30 am ET here.

 

Two consecutive quarters of negative GDP growth are one of a number of indicators used to show the country is entering a recession (see 101). The National Bureau of Economic Research, which determines when a recession begins and ends, looks at the wider economic picture, including employment and consumer demand. 

 

Today's report comes a day after the Federal Reserve raised interest rates by 0.75 percentage points—the fourth raise this year in an effort to tame a 40-year high annual inflation rate (see history). The central bank's benchmark federal-funds rate rose from 1.5%-1.75% to 2.25%-2.5%. The hike means higher borrowing costs for consumers and businesses, including for credit cards, mortgages, and auto loans.

Steps Toward an HIV Cure

Treatment outcomes for two patients have offered tantalizing insights into potential cures for the AIDS-causing human immunodeficiency virus, researchers revealed yesterday.

 

The first, a 66-year-old American man, became the fifth person who appeared to have been cured via stem cell transplants from donors who displayed an HIV-blocking genetic mutation. The second patient, a Spanish woman in her 70s, has displayed long-term remission more than 15 years after receiving immune system-boosting therapy and an antiretroviral drug regimen. 

 

In the former case, the stem cells contained a mutation known as CCR5 delta 32—a variation that effectively disables the receptor used by the virus to enter white blood cells (read more). Scientists say the latter case offers an alternative to risky stem cell transplants that involve numerous side effects. 

 

See why HIV is so challenging to cure (w/video).

Sentences in Floyd Killing

Former Minneapolis police officers J. Alexander Kueng and Tou Thao were sentenced to federal prison yesterday on two charges of violating George Floyd’s civil rights in 2020. The federal sentencing is the final prosecution led by the Justice Department for the three officers present when former officer Derek Chauvin pinned Floyd while attempting to arrest him, ultimately killing him.

 

Kueng, who held down Floyd’s back, has been sentenced to 36 months for failing to provide Floyd with medical aid and for not intervening during the fatal arrest. Thao, who held back bystanders, has been sentenced to 42 months. Former officer Thomas Lane was sentenced to 30 months earlier this month, while Chauvin received a sentence of 21 years. Kueng and Lane were rookie officers at the time of the incident and Thao was an eight-year veteran.

 

Kueng and Thao are awaiting trial on state charges of aiding and abetting second-degree murder and manslaughter early next year.

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REMOVE THE NOISE

 

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IN THE KNOW

 

Sports, Entertainment, & Culture

In partnership with The Ascent

> The US offers Russia a proposal to free Brittney Griner and separately held US citizen Paul Whelan; Secretary of State Antony Blinken to discuss deal with Russian foreign minister in coming days (More)

 

> Saudi-backed LIV Golf series to expand to 14 tournaments globally in 2023 while growing its purses to $405M from this year's $255M (More)

 

> Court upholds European-wide ban on RT France, a Russian state-owned media network, amid sanctions over Russia's invasion of Ukraine (More) | Tony Dow, actor known for his portrayal of Wally Cleaver on "Leave it to Beaver," dies at 77 (More)

From our partners: 0% APR is 100% an insane deal. This card offers 0% APR for 21 months on balance transfers, giving you a year and a half to save big. Enjoy that, and no annual fee.

Science & Technology

> Senate passes sweeping $280B research and development bill, including more than $50B to support US semiconductor chip manufacturing; bill expected to become law by next week (More)

 

> New study suggests adult humans were consuming milk thousands of years prior to the evolution of lactose tolerance; research finds the trait, known as lactase persistence, developed in response to famine and disease cycles (More)

 

> Physicists demonstrate for the first time a method to distribute quantum keys using entangled particles, a key step toward unbreakable quantum communications (More) | Quantum cryptography 101 (More)

Calling all science enthusiasts—

 

Have you checked out 1440's knowledge hub? Our team of curators has brought together the best resources on the world's most fascinating topics from across the internet. From psychedelics to the big bang, CRISPR to cryptocurrency, and much more—take a deep dive here.

 

PSThis is a beta platform, so please leave us feedback at [email protected]!

Business & Markets

> US stock markets close higher (S&P 500 +2.6%, Dow +1.4%, Nasdaq +4.1%) after Federal Reserve increases interest rates 0.75%; Nasdaq posts largest daily gain since 2020 (More)

 

> Facebook misses expectations, posts first year-over-year quarterly revenue drop; shares down 3% in after-hours trading (More) | Ford beats expectations as operating profit more than triples from the same quarter last year; shares up over 5% in after-hours trading (More)

 

> Spirit Airlines terminates its merger agreement with fellow discount airline Frontier due to lack of shareholder support; company says it will continue discussions with JetBlue (More)

Politics & World Affairs

> Grand jury indicts gunman who killed seven people and injured 46 others during Fourth of July festivities in Highland Park, Illinois; charges consist of 21 counts of first-degree murder, 48 counts of attempted murder, and 48 counts of aggravated battery (More)

 

Sen. Joe Manchin (D-WV) announces support for a Democrat-only domestic spending package, comprising tax increases and climate and energy legislation; Manchin's backing is seen as a breakthrough in yearlong negotiations (More)

 

> A 7.0-magnitude earthquake in the northern Philippines sets off a landslide, killing at least five people and injuring dozens (More) | Tunisians vote to hand President Kais Saied broad new powers, including full executive control and command of the army (More)

IN-DEPTH

 

The Lost Rainforest

Smithsonian | Dyan Machan. Deep among the burned-out grasslands of southern Madagascar, an anthropologist looks to preserve an ancient rainforest. (Read)

Selling Life Shares

New Yorker | Nathan Heller. Instead of enjoying your life savings in the twilight of life, what if you could live off shares of your future while you're young? Two brothers are giving it a shot. (Read, paywall)

TEST YOUR CONVICTION

 

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Kalshi is the first federally regulated exchange that allows trading on world events using an asset class built on simplicity: Event Contracts. You can purchase a simple "Yes" or "No" contract on the above two questions (and many more), for a price corresponding to the likelihood of it actually happening. It's finally possible to trade on your conviction in simple events, and Kalshi is a great way to stay informed about major, market-moving events. Check it out today to try your hand.

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ETCETERA

 

The Mega Millions jackpot passes the $1B mark.

 

... and a restaurant chain buys tickets for its 50,000 workers.

 

Photos of American trains in motion

 

AI program successfully impersonates a famous philosopher.

 

Ranking the 200 greatest dance songs.

 

Diner spots 100-million-year-old dinosaur footprints.

 

The year's funniest pet photos.

 

The Great Pacific Garbage Patch gets a little smaller. (via Twitter)

 

Clickbait: Just because it's dead doesn't mean it can't grip you. 

 

Historybook: RIP composer Johann Sebastian Bach (1750); 14th Amendment, granting US citizenship to formerly enslaved persons, is officially adopted (1868); Former first lady Jacqueline Kennedy Onassis born (1929); Tangshan earthquake kills more than 240,000 in China (1976).

 

"One man can make a difference and every man should try."

- Jacqueline Kennedy Onassis

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