consumer price inflation reading at 8:30 a.m. on Tuesday, Wall Street investors will be eagerly watching the data point, which is expected to jump starting this month.
Inflation data matters because it gives an up-to-date snapshot of how much it costs Americans to buy the goods and services they regularly consume. And because the Federal Reserve is charged in part with keeping increases in prices contained, the data can influence its decisions — and those affect financial markets.
But there’s a big reason not to read too much into the expected bounce in March and April — and it lies in so-called base effects.
In March’s data, inflation is expected to rise
substantially above 2 percent.
FROM A YEAR AGO
However, some of the jump can be explained
through what’s known as base effects — prices fell
significantly last spring, so the increase now from the
year prior is larger, even if prices are not rising as
2021 Consumer price index
In March’s data, inflation is expected to rise substantially above 2 percent.
PERCENT CHANGE IN CONSUMER
PRICE INDEX FROM A YEAR AGO
However, some of the jump can be explained through what’s known as base effects —
prices fell significantly last spring, so the increase now from the year prior is larger, even
if prices are not rising as dramatically.
2021 Consumer price index
Consumer inflation is usually measured on a year-over-year basis. Statisticians take a bundle of goods and services Americans buy — everything from fresh fruit to apartment rent — and aggregate it into a price index. The inflation rate that is reported each month shows how much that index changed from one year to the next.
For a quarter century, most measures of inflation have held at low levels. The Consumer Price Index moves around a bit because of volatile food and fuel prices, but a “core” index that strips out those factors has mostly come in shy of 2 percent.
But the data reported for March and April may show something different because price indexes dropped sharply a year ago as the country went into lockdown and airlines slashed ticket costs, clothing stores discounted sweaters, and hotels saw occupancy plunge.
That means inflation measures are about to lap super-low readings, and as that low base falls out, it will cause the year-over-year percent changes to jump — a little bit in March, and then a lot in April.
To be sure, climbing prices could last for a while as businesses reopen, consumers spend down big pandemic savings and producers scramble to keep up with demand. Economists and Federal Reserve officials do not expect those increases to persist for more than a few months, but if they did, it would matter to consumers and investors alike.
But a bump in prices isn’t the kind of demand-driven inflation that would prompt the Fed to lift interest rates or slow bond buying in a bid to control prices. March’s figures are most likely just a mathematical quirk.
Grab — a ride-hailing company, bank and food delivery business all rolled into one — is set to make its debut in the largest offering by a Southeast Asian company on a U.S. stock exchange.
The company, which is based in Singapore, announced a deal on Tuesday with Altimeter Growth, a company listed for the sole purpose of buying a business. These special purpose acquisition vehicles, or SPACs, have snapped up companies over the past year at a rapid-fire pace. But this deal, which values Grab at roughly $39.6 billion, is expected to the largest such deal to date. Grab shares will trade on the Nasdaq stock exchange
The deal also includes an investment of more than $4 billion from a group that includes BlackRock, T. Rowe Price Associates and Temasek. Altimeter Capital Management, the investment firm backing the vehicle acquiring Grab, has agreed to hold certain shares in the company for at least three years.
Grab offers a “super app” that allows users to order food, pay bills and hail a car. It’s a model already popular in China, where WeChat offers a range of services, but is growing in Southeast Asia, particularly as the region builds its digital businesses. The pandemic helped propel the trend forward, with Southeast Asian consumers spending more than $10 billion online last year.
Grab acquired Uber’s Southeast Asia operations in 2018 and a digital banking license as part of a consortium in 2020. It has attracted investors including Booking Holdings, Hyundai, Microsoft, SoftBank and Toyota.
The company is going public as deal-making is flourishing in Southeast Asia. Bain, the consulting firm, said in 2018 it expected that the region would have had at least 10 unicorns, or start-ups valued at $1 billion or more, by 2024. One of those, the e-commerce company Sea, went public in the United States in 2017. Shares of the company have risen more than 400 percent over the past year, giving it a market capitalization of $125 billion.
“It gives us immense pride to represent Southeast Asia in the global public markets,” Grab’s chief executive, Anthony Tan, said in a statement. “This is a milestone in our journey to open up access for everyone to benefit from the digital economy.”
Credit Suisse said it would be able to pay back additional money to investors in funds whose troubles were among a series of disasters that have battered the Swiss bank’s reputation and finances.
The bank said it would pay an additional $1.7 billion to investors in funds linked to Greensill Capital, which collapsed last month. The latest payment means that investors will get back close to half of their money, with the prospect for more payments as Credit Suisse liquidates the funds.
Credit Suisse’s asset management unit oversaw $10 billion in funds put together by Greensill based on financing it provided to companies, many of which had low credit ratings or were not rated at all.
“There is potential for recovery in these cases although clearly there is a considerable degree of uncertainty as to the amounts that ultimately will be distributed to investors,” Credit Suisse said in a statement.
The more money that Credit Suisse can salvage from the funds, the better its chances of repairing its reputation and its ability to attract new customers. The bank has been in crisis following a series of debacles, including its disclosure last week that it will lose almost $5 billion because of money it lent to Archegos Capital Management, which crumbled this month after a high-risk stock market play went sour.
Including the $1.7 billion payment announced Tuesday, Credit Suisse has paid $4.8 billion to investors in the Greensill funds. The bank said it would take legal action to recover more money and “is engaging directly with potentially delinquent obligors and other creditors.” Some losses may be covered by insurance.
“We remain acutely aware of the uncertainty that the wind-down process creates for those of our clients who are invested in the funds,” Credit Suisse said. “We are doing everything that we can to provide them with clarity, to work through issues as they arise and, ultimately, to return cash to them.”
China has ordered 34 of its most prominent internet companies to ensure their compliance with antimonopoly rules within the next month and to submit to official inspections thereafter — with “severe punishment” promised for any illegal practices that are uncovered.
The demand, which China’s market regulator announced on Tuesday, represents the government’s latest cracking of the whip in its campaign to tighten supervision over giant internet platforms.
For years, Beijing gave internet companies wide berth to grow rich and innovate. But in China, as in the West, concerns have been growing about the ways the companies use their clout to edge out rivals, their use and abuse of algorithms and big data and their acquisitions of smaller peers. In recent months, China has begun using both regulatory enforcement actions and public shaming to keep tech companies in check.
The country’s market regulator imposed a record $2.8 billion antitrust fine on Alibaba, the e-commerce titan, on Saturday. And on Monday, Alibaba’s fintech sister company, Ant Group, unveiled a revamp of its business in response to government demands.
Officials from China’s market watchdog, internet regulator and tax authority met with the companies on Tuesday, according to the government’s statement. At the meeting, the officials “affirmed the positive role of the platform economy” but also told the companies to “give full play to the cautionary example of the Alibaba case.”
The nearly three dozen companies included almost all of the top names in the Chinese internet industry, from established titans like Alibaba, Tencent and Baidu to newer powerhouses such as TikTok’s parent, ByteDance; the food delivery giant Meituan; the e-commerce site Pinduoduo; and the video platform Kuaishou.
At Tuesday’s meeting, the companies were told to strengthen their “sense of responsibility” and to “put the nation’s interests first,” the regulator’s statement said.
The stock market’s rally during the pandemic has been nothing short of amazing. But rising interest rates are raising the question of how long this bull market can last.
In the 12 months through March, the average general stock mutual fund tracked by Morningstar returned nearly 66 percent — a remarkable rebound after a three-month loss of nearly 22 percent at the start of last year.
The turnaround came after the Federal Reserve stepped in with support for financial markets and the economy, fueling much of the stock market’s exuberance with low interest rates.
But with the economy taking off, rates have begun to rise. At the start of a new quarter, it is a good moment to ask, how long can these strangely prosperous times last?
My crystal ball is no clearer now than it has ever been, alas, and I can’t time the market’s movements any better than anyone else. But this certainly is a good time to assess whether you are well positioned for a possible downward shift.
As always, the best approach for long-term investors is to set up a portfolio with a reasonable, diversified asset allocation of stocks and bonds and then live with it, come what may.
Our quarterly report on investing is intended to help. If you haven’t been an investor before, we’ve included tips on how to get started. Here you will find broad coverage of recent trends, guidance for the future and reflections on personal finance in a challenging era.
An Uneasy Exuberance in the Stock Market
It’s been a long, fine run for the stock market, but a great deal of the upswing has depended on low interest rates, and in the bond market rates have been rising. Investment strategists are taking a wide array of approaches to deal with this difficult problem. For now, the bull market rides on.
Finding Safety Through Global Diversity
Bonds provide ballast in diversified portfolios, damping the swings of the stock market and sometimes providing solid returns. Because bond yields have been rising — and yields and prices move in opposite directions — bond returns have been suffering lately. But adding a diversified selection of international bonds to domestic holdings can reduce the risk in the bond side of your investments.
It’s Not Really All That Complicated
Yes, the markets and the economy are complicated. That often puts people off, and stops them from taking action that can help them and their families immeasurably: investing. But investing need not be complicated. A succinct article gives pointers on how to get started, and on how to navigate the markets for the long haul.
NFTs Are Great, but the Real Money Is in Dollars
After a piece of virtual art known as a nonfungible token — an NFT — sold at auction for $70 million recently, NFTs have suddenly became an asset that you can invest in. Our columnist prefers real dollars.
Fossil Fuel Prices Recovered, but for How Long?
Short-term demand for oil and gas is rising, but if climate change is to be reversed, consumption of fossil fuels will have to diminish. This leaves investors in a tough spot.
ArcLight Cinemas, a beloved chain of movie theaters based in Los Angeles, including the Cinerama Dome in Hollywood, will permanently close all its locations, Pacific Theaters announced on Monday, after the pandemic decimated the cinema business.
ArcLight’s locations in and around Hollywood have played host to many a movie premiere, in addition to being favorite spots for moviegoers seeking out blockbusters and prestige titles. They are operated by Pacific Theaters, which also manages a handful of theaters under the Pacific name, and are owned by Decurion.
“After shutting our doors more than a year ago, today we must share the difficult and sad news that Pacific will not be reopening its ArcLight Cinemas and Pacific Theaters locations,” the company said in a statement.
“This was not the outcome anyone wanted,” it added, “but despite a huge effort that exhausted all potential options, the company does not have a viable way forward.”
Between the Pacific and ArcLight brands, the company owned 16 theaters and more than 300 screens.
The movie theater business has been hit particularly hard by the pandemic. But in recent weeks, the majority of the country’s largest theater chains, including AMC and Regal Cinemas, have reopened in anticipation of the slate of Hollywood films that have been put back on the calendar, many after repeated delays because of pandemic restrictions. A touch of optimism is even in the air as a result of the Warner Bros. movie “Godzilla vs. Kong,” which has generated some $70 million in box office receipts since opening over Easter weekend.
Still, the industry’s trade organization, the National Association of Theater Owners, has long warned that the punishing closures were most likely to affect smaller regional players like ArcLight and Pacific. In March, the Alamo Drafthouse Cinema chain, which operates about 40 locations across the country, announced that it had filed for Chapter 11 bankruptcy protection but would keep most of its locations operational while it restructured.
That does not seem to be the case for Pacific Theaters, which, according to two people with knowledge of the matter, fired its entire staff on Monday.
The reaction to ArcLight’s closing around Hollywood has been emotional, including an outpouring on Twitter.
Devastating. Too many losses to process. It’s just too much… At some point when I’m less upset, I’ll tell you guys a funny story about my first time meeting Quentin Tarantino in the lobby of Hollywood Arclight. https://t.co/cFypJxEk4L
— Lulu Wang (@thumbelulu) April 13, 2021
The election technology company Smartmatic pushed back on Monday against Fox News’s argument that it had covered the aftermath of the 2020 presidential election responsibly, stating that Fox anchors had played along as guests pushed election-related conspiracy theories.
“The First Amendment does not provide the Fox defendants a get-out-of-jail-free card,” Smartmatic’s lawyer, J. Erik Connolly, wrote in a brief filed in New York State Supreme Court. “The Fox defendants do not get a do-over with their reporting now that they have been sued.”
The brief came in response to motions filed by Fox Corporation and three current and former Fox hosts — Maria Bartiromo, Jeanine Pirro and Lou Dobbs — to dismiss a Smartmatic lawsuit accusing them of defamation.
Smartmatic and another company, Dominion Voting Systems, became the focus of baseless conspiracy theories after the Nov. 4 election that they had manipulated vote totals in contested states. Those conspiracy theories were pushed by Rudolph W. Giuliani and Sidney Powell, serving as personal lawyers to former President Donald J. Trump, on Fox News, Mr. Trump’s longtime network of choice. Smartmatic, which says that the conspiracy theories destroyed its reputation and its business, provided election technology in only one county during the election.
Last month, Dominion also sued Fox News. Together, the two suits represent a billion-dollar challenge to the Fox empire, which, after Smartmatic filed its lawsuit, canceled the Fox Business program hosted by Mr. Dobbs.
“The filing only confirms our view that the suit is meritless and Fox News covered the election in the highest tradition of the First Amendment,” the network said in a statement late Monday.
Fox’s motion, as well as those of its anchors, argued that the mentions of Smartmatic were part of its reporting on a newsworthy event that it was duty-bound to cover: A president’s refusal to concede an election and his insistence that his opponent’s victory was not legitimate.
But the response Smartmatic filed on Monday, which runs for 120 pages, said that argument amounted to wishful thinking and that Fox had not covered the claims about Smartmatic objectively or fairly.
“The Fox defendants wedded themselves to Giuliani and Powell during their programs,” the brief said. “They cannot distance themselves now.”
Fox will have several weeks to respond to the brief, and a judge will eventually consider whether to allow Smartmatic’s case to proceed.
Reporters from multiple local organizations were denied entry to a news conference on Monday about the shooting of Daunte Wright, whose death at the hands of a police officer in Minnesota has set off protests.
Mr. Wright, 20-year-old Black man, was killed by the officer on Sunday during a traffic stop in Brooklyn Center, Minn., a suburb of Minneapolis. As national and international media flooded in, Brooklyn Center officials organized a news conference for Monday to address the shooting and release body-camera video.
Andy Mannix, a federal courts reporter for The Star Tribune, the largest newspaper in Minnesota, said on Twitter that he and his colleagues were denied access to the news conference while he watched national and international media be let in.
Suki Dardarian, a senior managing editor of The Star Tribune, said in an email that the paper had sent three journalists to the news conference. Two were denied entry, while one, a videojournalist, was able to get in, she said.
A spokeswoman for Minnesota Public Radio said that credentialed M.P.R. journalists also were not granted access. An article in The Star Tribune said journalists from the Minnesota Reformer, a nonprofit newsroom, were also denied.
Ms. Dardarian said local media should be allowed to attend police news conferences and ask questions.
“We were offered no explanation for why the reporter and photographer were not allowed in (as well as some other local journalists), except for someone saying the room was full,” Ms. Dardarian said. “Our videojournalist observed that there was still space in the room.”
“The chief indicated in his remarks that he is committed to transparency,” she said. “We believe that should include allowing the local media to attend a press conference to which they were invited — and agreeing to answer our questions following his statement.”
Dan Shelley, the executive director of Radio Television Digital News Association, a national industry group, said local journalists should be included in news conferences because they are part of the communities on which they’re reporting.
“If you have a genuine desire to be transparent, why would you exclude local journalists from a news conference?” Mr. Shelley said.
The city of Brooklyn Center and the city’s police department did not respond to requests for comment.
JERUSALEM — The Iranian foreign minister, Mohammad Javad Zarif, vowed revenge against Israel on Monday morning, a day after a blackout at an Iranian nuclear enrichment site was attributed to an Israeli attack.
Mr. Zarif’s comments highlight the risk of escalation in a yearslong shadow war between Iran and Israel. They also threaten to overshadow efforts in Vienna to encourage Iran to reimpose limits on its nuclear program in exchange for the lifting of American sanctions.
In a statement broadcast by Iranian state television, Mr. Zarif was quoted as saying: “The Zionists want to take revenge because of our progress in the way to lift sanctions.”
He added, “But we will take our revenge from the Zionists,” according to the broadcast.
Mr. Zarif’s reported comments followed a power failure on Sunday at the Natanz uranium enrichment site that Iranian officials attributed to Israeli sabotage. The Israeli government formally declined to comment on its involvement, but American and Israeli officials confirmed separately to The New York Times that Israel had played a role. Several Israeli news outlets, citing intelligence sources, attributed the attack to the Mossad, the Israeli spy agency.
efforts by the Biden administration to encourage Iran to return to something close to a 2015 agreement negotiated by the Obama administration, in which Tehran promised to limit its enrichment program.
collapsed in 2018, when President Donald J. Trump reimposed sanctions on Iran, and Iran reneged on commitments to curb its nuclear plans.
Israel opposes returning to the same deal, arguing that it did not impose strong enough or long enough restrictions on Iranian nuclear activity. Analysts were divided about whether Israel’s aggression was intended to scupper the negotiations altogether — or to simply weaken Iran’s hand at the table.
The German foreign minister, Heiko Maas, said that the blackout did not augur well for the negotiations in Vienna. “What we are hearing currently out of Tehran is not a positive contribution, particularly the development in Natanz,” Mr. Maas said on Monday.
For years, Israel and Iran have been engaged in a low-level shadow conflict.
Both have been accused of cyberattacks on the other’s territory. Iran finances and arms militias hostile to Israel across the Middle East, and has been accused of attempted assassinations of Israeli diplomats across the world. Israel is believed to be responsible for the assassination of several Iranian nuclear scientists, most recently in November, when a leading architect of the Iranian nuclear program was killed in an ambush.
Those attacks have escalated at sea in the past two years, as Israel began to attack ships carrying Iranian fuel, and Iran seemed to respond by targeting at least two Israeli-owned cargo ships.
Both sides managed to contain the conflict, partly by refraining from speaking too publicly about the attacks.
standing trial for corruption and is struggling to form a new coalition government after a general election last month that gave no party an overall majority. Some analysts say they believe that a very public confrontation with Iran might help Mr. Netanyahu persuade wavering coalition partners that now is not the time to bring down an experienced prime minister.
“He may want to both build up his image and create a little bit of a foreign policy crisis, which then helps him solve the coalition crisis,” Mr. Freilich said.
Myra Noveck contributed reporting from Jerusalem, and Steven Erlanger from Brussels.
The coronavirus pandemic has dealt a devastating blow to performing arts institutions nationwide, closing their theaters and robbing them of ticket revenue. But for the New York Philharmonic and Lincoln Center, it has also offered a silver lining: the opportunity to accelerate the long-delayed renovation of David Geffen Hall.
With concerts in the hall canceled since March 2020, construction began in earnest over the past few months. Work is expected to continue for the next year and a half, with a reopening planned for fall 2022, the orchestra and center announced on Monday.
That is a year and a half ahead of schedule, though it comes with the trade-off that the Philharmonic will not be at Geffen for the wave of triumphant cultural homecomings expected around the country this fall, assuming the pandemic ebbs.
The orchestra will nevertheless still spend much of its coming season at Lincoln Center, with the majority of its performances at Alice Tully Hall or the Rose Theater. Though it plans to announce its full program in early June, Deborah Borda, the Philharmonic’s chief executive, said in a video interview with other orchestra and center leaders that she anticipated smaller-scale and intermissionless concerts, at least at first.
that jump-started the project in 2015.
“Through 2020, quite rightly, people’s minds were elsewhere, and we had lots of other challenges as organizations,” Timms said. “But once we got to the end of the year, the opportunity became clear: Could we do this sooner? That became a period in which a lot of people stepped up to support the project, because they saw it as a recovery story, a way to invest in the economic and human recovery of the city.”
The old plan had called for progression in stages to limit disruption to the Philharmonic, which would never have lost a full season in the hall. Katherine Farley, the chairwoman of Lincoln Center’s board, said the new timeline would not diminish the scope of the renovation, which aims to render the lackluster hall more aesthetically and acoustically appealing. Seating will wrap around the stage, which will be pulled forward 25 feet to what is currently Row J, bringing a greater sense of intimacy to what can feel like a cavernous shoe box. The new space will have about 2,200 seats, down from 2,738.
in a rented pickup truck for pop-up performances, and has said it will be back on the road this spring. Its NYPhil+ subscription streaming service was unveiled in February, featuring archival concerts and some fresh content. On April 14 and 15, a contingent of players will appear in front of small audiences at the Shed, 30 blocks south of Lincoln Center, with the conductor Esa-Pekka Salonen. (Jaap van Zweden, the Philharmonic’s music director, was not available because of commitments overseas, though he was in New York recently to tape two programs for NYPhil+.)
But its losses have been crushing. The orchestra has projected that the cancellation of its 2020-21 season resulted in $21 million in lost ticket revenue, on top of $10 million lost in the final months of its season last spring. (Some of that has been mitigated by emergency fund-raising.) Even when live performances resume, despite Borda’s rosy predictions, the box office may not bounce back immediately.
The need for savings that will extend beyond the pandemic was reflected in a new four-year contract agreed to by the orchestra and its musicians in December, which includes a 25 percent cut to the players’ base pay through August 2023. Pay will then gradually increase until the contract ends in September 2024, though at that point the musicians will still be paid less than they were before the pandemic.
plotted a return to its old home, Carnegie Hall; that plan fizzled, further damaging relations between the orchestra and Lincoln Center, its landlord, which also uses the hall for its own musical presentations and for corporate rentals. Concluding in 2012, a $1.2 billion redevelopment of the center left improvements all over — but the costly hall overhaul was not included.
restarted the project with the donation that gave the hall his name. Construction was supposed to start in 2019, but stalled well before that amid logistical problems and management turnover at both the Philharmonic and Lincoln Center. That plan had called for finishing the hall in time for the 2021-22 season. It was a schedule that the orchestra and center came to doubt was viable, but had they been able to stick to it, the renovated hall would have been ready to open just as the city hopes to emerge from the long pandemic closure.
Borda was hired in 2017 in large part to put the renovation back on track; in her previous job leading the Los Angeles Philharmonic, she had brought the construction of Walt Disney Concert Hall over the finish line. In New York, she pushed for a scheme less flashy and more achievable than some of the proposed options — one less likely to overrun its budget and designed to unfold in phases, limiting the stretches the Philharmonic would be exiled.
To be away from the hall for multiple years was assumed to pose an existential threat to its audience’s loyalty. Ironically, if Geffen reopens as now scheduled, the orchestra will have been out of its home for nearly two and a half seasons straight — exactly the situation that was so feared by its management.
As for David Geffen, who expressed frustration at some of the earlier setbacks in the years since his gift, Farley said in the interview that she had just spoken to him earlier that day.
“He’s a guy who’s big on efficiency,” she said, “and loves the idea we’re building it in one shot.”
The New York Times found. Some corporations are reopening offices in the spring, and many are saying they will remain flexible, staging returns over several months and planning to allow some workers to continue to work from home. As nerve-racking as it was last year to be abruptly torn from their desks, many people find the prospect of returning distressing.
Here is what some of the country’s biggest companies are telling their workers.
IBM, which employs about 346,000 people, hasn’t set a strict timeline for when its U.S. workers will return to the office. It expects about 80 percent of its employees to work with some combination of remote and office schedules, depending largely on role.
The bank, which has more than 20,000 office employees in New York City, has told employees that the five-day office workweek is a relic. The bank is considering a rotational work model, meaning employees would rotate between working remotely and in the office.
The consulting firm, which has about 284,000 employees, is set to open one office in each of its major cities in May, and all of its offices in September. Even when the offices are formally reopened, PwC will allow some workers, depending on their job, to work remotely at least part time.
Most of Walmart’s 1.5 million employees work at the retail giant’s stores, and a vast number have continued to go in to their workplace throughout the pandemic. It said on March 12 that it would start bringing workers back at its Bentonville, Ark., office campus no earlier than July. Its global technology employees will continue to work virtually “for the long term.”
At Wells Fargo, 60,000 employees have worked at bank branches and other facilities during the pandemic, but 200,000 more have worked remotely. The company told its staff in a memo last month that it had set a Sept. 6 return-to-office target and was “optimistic” that conditions surrounding Covid-19 vaccinations and case levels would allow it to keep it.
Wall Street is poised to begin the week on an upswing, with futures pointing to a 0.3 percent rise in the S&P 500. Asian markets also gained in the wake of Friday’s U.S. jobs report, which marked a bigger-than-expected surge in hiring last month.
The Nikkei index in Japan rose 0.8 percent, to its highest level since mid March, and the Kospi index in South Korea gained 0.3 percent.
Stock markets were closed for holidays in China, Hong Kong and much of Europe.
Digesting the jobs report
The Labor Department on Friday reported U.S. employers added 916,000 jobs in March, the biggest jump since August, and the unemployment rate fell to 6 percent. The news exceeded expectations, and the gains were broad based, with hiring in the hospitality, retailing and transportation sectors all rising.
Adding some uncertainty to the bullish numbers is a rise in coronavirus cases in the United States after weeks of decline. But as Ben Casselman reported in The New York Times: “Few economists expect a repeat of the winter, when a spike in Covid-19 cases pushed the recovery into reverse. More than a quarter of U.S. adults have received at least one dose of a coronavirus vaccine, and more than two million people a day are being inoculated.”
Bonds and oil
Yields on 10-year Treasury notes, which have been on an upward trajectory since October, have stabilized over the last few days. On Monday the yield was down slightly to 1.71 percent.
Oil prices fell. Brent crude, the international benchmark, fell 1.9 percent to $63.40 a barrel, and West Texas Intermediate slipped 1.8 percent. Traders have been adjusting their positions since last Thursday’s decision by OPEC and its allies to slowly relax curbs on output. Those controls were put in place in response to the sharp decline in oil demand during the pandemic.
GameStop said Monday that it would sell up to 3.5 million additional shares to “further accelerate its transformation” and to strengthen its balance sheet. The struggling bricks-and-mortar retailer, which found itself at the center of a trading frenzy in January, is aiming to become more of an online operation. Additional shares would dilute the ownership of its existing investors — and GameStop’s shares fell more than 10 percent in premarket trading.
Air France on Monday is expected to announce it has accepted a government-backed refinance package. Aid for the struggling carrier has been the subject of talks between French government and European Union officials, and on Sunday Bruno LeMaire, the French finance minister, said the basic terms of a deal had been reached, Reuters reported.
The government’s central small business relief effort, the Paycheck Protection Program, has made $734 billion in forgivable loans to nearly seven million businesses. But minority-owned businesses were disproportionately underserved by the program, a New York Times analysis found.
“The focus at the outset was on speed, and it came at the expense of equity,” said Ashley Harrington, the federal advocacy director at the Center for Responsible Lending.
The aid program’s rules were mostly written on the fly, and reaching harder-to-serve businesses was an afterthought. Structural barriers and complicated, shifting requirements contributed to a skewed outcome, The New York Times’s Stacy Cowley reports.
In the program’s final weeks — it is scheduled to stop taking applications on May 31 — President Biden’s administration has tried to alter its trajectory with rule changes intended to funnel more money toward businesses led by women and minorities. But those revisions have run into their own obstacles, including the speed with which they were rushed through. Lenders, caught off guard, have struggled to carry them out.
“Historically, access to capital has been the leading concern of women- and minority-owned businesses to survive, and during this pandemic it has been no different,” Jenell Ross, who owns an auto dealership, told a House committee.
The United States and its record-setting stimulus spending could help haul a weakened Europe and struggling developing countries out of their own economic morass.
American buyers are spurring demand for German cars, Australian wine, Mexican auto parts and French fashions. And many Americans have spent their stimulus checks on video game consoles, exercise bicycles or other products made in China.
The United States’ comparatively fast recovery involved a little bit of luck — new variants of the virus have just begun to push domestic infections higher — and a large policy response, including more than $5 trillion in debt-fueled pandemic relief, The New York Times’s Jeanna Smialek and Jack Ewing report.
“When the U.S. economy is strong, that strength tends to support global activity as well,” said Jerome H. Powell, the chair of the Federal Reserve.
But some hazards lurk. The slow pace of the European Union’s vaccination campaign will probably hurt its economy. Poorer and smaller countries, facing severely limited vaccine supplies and fewer resources to support government spending, are likely to struggle to stage an economic turnaround even if the U.S. recovery increases demand for their exports.
Small British chocolate makers emphasizing ethically sourced ingredients and bespoke batches became big sellers in Europe in recent years but have been nearly impossible to find there since January, David Segal reports for The New York Times.
“We have customers complain to us all the time, ‘Why can’t I buy my favorite British chocolate?’” said Hishem Ferjani, the founder of Choco Dealer in Bonn, Germany, which supplies grocery stores and sells through its own website. “We have store owners with empty shelves.”
“We have to explain, it’s not our fault, it’s not the fault of the producer. It’s Brexit,” he said.
Chocolate is Britain’s No. 2 food and drink export, after whiskey, according to the Food and Drink Federation. Chocolate exports to all countries hit $1.1 billion last year, and Europe accounts for about 70 percent of those sales. In January, exports of British chocolate to Europe fell 68 percent compared with the same period the year before.
The trade deal struck late last year with the European Union has not saved British companies from a maddening, unpredictable array of time-consuming, morale-sapping procedures and from stacks of paperwork that have turned exporting to the E.U. into a sort of black-box mystery. Goods go in and there is no telling when they will come out.
State prosecutors in Manhattan investigating former President Donald J. Trump and the Trump Organization have subpoenaed the personal bank records of the company’s chief financial officer and are questioning gifts he and his family received from Mr. Trump, according to people with knowledge of the matter.
In recent weeks, the prosecutors have trained their focus on the executive, Allen H. Weisselberg, in what appears to be a determined effort to gain his cooperation. Mr. Weisselberg, who has not been accused of wrongdoing, has overseen the Trump Organization’s finances for decades and may hold the key to any possible criminal case in New York against the former president and his family business.
Prosecutors working for the Manhattan district attorney, Cyrus R. Vance Jr., are examining, among other things, whether Mr. Trump and the company falsely manipulated property values to obtain loans and tax benefits.
It is unclear whether Mr. Weisselberg would cooperate with the investigation and neither his lawyer, Mary E. Mulligan, nor Mr. Vance’s office would comment. But if a review of his personal finances were to uncover possible wrongdoing, prosecutors could then use that information to press Mr. Weisselberg to guide them through the inner workings of the company. The 73-year-old accountant began his career working for Mr. Trump’s father.
ruling from the United States Supreme Court.
he was not seeking re-election.
Seven Springs estate in Westchester County. In addition to possible tax- and bank-related fraud, the prosecutors are examining the Trump Organization’s statements to insurance companies about the value of various assets.
Prosecutors have subpoenaed records from a firm hired by Deutsche Bank, one of the former president’s main lenders, to assess the value of three Trump hotels with Deutsche Bank loans, people with knowledge of the matter said. The firm reviewed the operations of restaurants, bars and gift shops at the hotels, one of the people said.
Last year, the prosecutors subpoenaed Deutsche Bank itself and Mr. Trump’s other main lender, Ladder Capital, which sold its Trump Organization loans years ago. Both banks are cooperating with the prosecutors.
It is unclear whether the prosecutors will ultimately file any charges. But if a case were built against the Trump Organization based on the loan documents, the company’s lawyers could argue that Deutsche Bank and Ladder Capital are sophisticated financial institutions that conducted their own analysis of Mr. Trump’s properties without relying on the company’s internal assessments. The lawyers could also emphasize that providing different valuations for a property depending on the situation — for example, on a loan application or in appealing local property taxes — is common and appropriate in New York’s real estate industry, in part because there are varying methods for calculating property values.
Outside accountants also vet the information provided to local tax authorities, potentially reducing the likelihood of fraud. Mr. Trump has argued that his tax returns “were done by among the biggest and most prestigious law and accounting firms in the U.S.”
In addition to the fraud investigation, Mr. Vance’s office continues to focus on its original target: the Trump Organization’s role in paying hush money during the 2016 presidential campaign to two women who said they had affairs with Mr. Trump.
Mr. Trump’s former personal lawyer and fixer, Michael D. Cohen, paid $130,000 to buy the silence of one of the women, Stephanie Clifford, the pornographic film actress who performed as Stormy Daniels. The Trump Organization later reimbursed Mr. Cohen, and Mr. Vance’s office has scrutinized whether the company properly accounted for the $130,000 payment.
Mr. Cohen, who in 2018 pleaded guilty to federal campaign finance charges for his role in the hush-money scheme, has long implicated Mr. Weisselberg, alleging that he helped devise a strategy to mask the reimbursements. The federal prosecutors who charged Mr. Cohen did not accuse Mr. Weisselberg of wrongdoing.
Mr. Cohen is now cooperating with Mr. Vance’s investigation and has met with prosecutors several times, including to review some of Mr. Trump’s financial documents. Lanny Davis, a lawyer for Mr. Cohen, declined to comment.
The prosecutors have also questioned Mr. Weisselberg’s former daughter-in-law, Jennifer Weisselberg, she has said. Ms. Weisselberg has been enmeshed in a bitter divorce with Mr. Weisselberg’s son, Barry, who manages the Trump Wollman Rink in Central Park.
Ms. Weisselberg said in an interview that prosecutors have asked her about a number of gifts that Mr. Trump and his company gave the Weisselberg family over the years. These include an apartment on Central Park South for Ms. Weisselberg and her former husband, cars leased for several family members and private school tuition.
The scrutiny of the gifts appears to be part of an effort to paint a picture of Mr. Weisselberg’s financial life, as is common when prosecutors seek cooperation from a potential witness. It is unclear whether prosecutors suspect any wrongdoing related to the gifts.
James B. Stewart and Steve Eder contributed reporting. Susan C. Beachy contributed research.
“so attentive to the scientific literature” and for not publicly correcting the president as he made outlandish claims about unproven therapies, whose disclosures may have been the most compelling.
As of Sunday, more than 548,000 Americans have died from infection with the coronavirus. “I look at it this way,” she said. “The first time, we have an excuse. There were about 100,000 deaths that came from that original surge.”
“All of the rest of them,” she said, referring to almost 450,000 deaths, “in my mind, could have been mitigated or decreased substantially” had the administration acted more aggressively.
In what was in one of her first televised interviews since leaving the White House in January, she also described a “very uncomfortable, very direct and very difficult” phone call with Mr. Trump after she spoke out about the dangers of the virus last summer. “Everybody in the White House was upset with that interview,” she said.
After that, she decided to travel the country to talk to state and local leaders about masks and social distancing and other public health measures that the president didn’t want her to explain to the American public from the White House podium.
Dr. Gupta asked if she was being censored. “Clearly someone was blocking me from doing it,” she said. “My understanding was I could not be national because the president might see it.”
Several of the officials, including Dr. Anthony S. Fauci — who unlike the others is a career scientist and is now advising President Biden — blamed China, where the virus was first detected, for not being open enough with the United States. And several, including Dr. Redfield and Admiral Giroir, said early stumbles with testing — and the attitude within the White House that testing made the president look bad by driving up the number of case reports — were a serious problem in the administration’s response.
And the problems with testing went beyond simply Mr. Trump’s obsession with optics. Admiral Giroir said that the administration simply did not have as many tests as top officials claimed at the time.
“When we said there were millions of tests — there weren’t, right?” he said. “There were components of the test available but not the full deal.”
Chris Adams, 36, has spent the past year of the pandemic living with his grandparents in Wichita, Kan., and being “extremely strict” about social distancing. “I never went out,” he said.
But starting Monday, when all adults in Kansas become eligible for the coronavirus vaccine, Mr. Adams plans to find a vaccination site where there is an available appointment. “What I’m looking forward to is seeing my friends again,” he said.
Kansas is one of six states — Louisiana, North Dakota, Ohio, Oklahoma and Texas are the others — that are expanding eligibility for the vaccine to all adults on Monday. Minnesota will follow on Tuesday, and Indiana and South Carolina on Wednesday.
Gov. Laura Kelly of Kansas urged residents last week to seek out appointments, saying, “With the anticipated increase in supply from the federal government, we must get every dose of vaccine into arms quickly.”
Even as vaccine eligibility continues to expand across America — nearly all states have pledged to make every adult eligible by May 1 — the United States has also reported an increase in new cases over the past week. About 75,000 new cases were reported on Friday, a significant increase from the 60,000 added the Friday before.
States in the Northeast have accounted for about 30 percent of the nation’s new cases over the past two weeks, up from 20 percent in the first couple of weeks in February.
In New York, there has been an average of 8,426 new cases a day, an 18 percent increase from the average two weeks earlier, according to a New York Times database. In New Jersey over the past week, there have been an average of 4,249 new cases reported daily, a 21 percent increase from the average two weeks earlier. And on Friday, Vermont set a single-day case record with 283 new infections; it is the first state to set a case record since Jan. 18.
For many, the vaccine cannot come soon enough.
Nicole Drum, 42, a writer in the Kansas City, Kan., metro area, cried on Friday when she found out that she would be eligible to get the vaccine as early as Monday. She started calling pharmacies and looking online for available appointments “within minutes of the news breaking,” she said.
Ms. Drum called about 10 places without success. She had more luck on a county website, and booked an appointment for Wednesday.
She said she planned to wear a special T-shirt saying “I believe in science” to her appointment. “I got myself a fun I’m-getting-the-vaccine outfit,” she said, laughing.
She also plans to take her 4-year-old son with her, because she wants him to see “how research and science and people coming together can really help stem these kinds of things,” she said.
“I want him to know that there’s no need to be afraid all the time of big scary things, because there are always helpers trying to figure this out,” Ms. Drum said. “While the solution might be something that’s a jab in the arm that hurts a little bit, it’s worth it.”
The Biden administration has expressed concern over the Chinese government’s role in drafting a forthcoming World Health Organization report about the source of the coronavirus pandemic.
Secretary of State Antony J. Blinken suggested that Beijing had too much influence over the report, which is being compiled for the global health agency by a team of international experts as well as by Chinese scientists. Several of the Chinese scientists hold official positions or work at government-run institutions.
“We’ve got real concerns about the methodology and the process that went into that report, including the fact that the government in Beijing apparently helped to write it,” Mr. Blinken said in an interview that aired Sunday on CNN’s “State of the Union.”
Mr. Blinken’s remarks come as the Chinese government works to take control of the narrative before the release of the report, which will explore several theories for how the virus initially spread to humans.
China has been criticized for withholding raw data and repeatedly delaying a visit by the team of W.H.O. experts. The government in January finally allowed the W.H.O. team to visit the Chinese city of Wuhan, where the first coronavirus cases were detected in late 2019.
At a briefing with more than 100 foreign diplomats from 50 countries on Friday in Beijing, Chinese officials said the government had been transparent.
W.H.O. officials have acknowledged difficulties in compiling the report and say it will be released soon.
“It is, in a way, a painful process to get to the finishing line,” Peter K. Ben Embarek, a food safety scientist with the World Health Organization who is leading the team of experts, said at a news conference on Friday. “But the content is now complete.”
Britain, which has now given a first dose of the coronavirus vaccine to more than 30 million people, began a gradual lifting of coronavirus restrictions for most of its population on Monday.
People in England are now allowed to gather outdoors in groups of up to six, or two households, after the end of a stay-at-home order in force since early January.
Outdoor sports facilities, like tennis and basketball courts and swimming pools, are also opening in England. Nonessential retail and outdoor dining are set to return from April 12. Students returned to classes earlier this month. Elsewhere in Britain, Scotland and Wales have also begun easing stay-at-home orders, and Northern Ireland is set to review on coronavirus restrictions next month.
For many in Britain, the easing was a cautious optimistic note after months lockdown, the nation’s third. The current lockdown began in January, after a new variant of the coronavirus swept the country, with as many as 60,000 daily cases and 1,800 daily deaths at its winter peak. On Sunday, the country reported 3,862 cases and 19 deaths, according to a New York Times database. London has so far reported no deaths from the virus on Sunday, according to Public Health England. If no reports are added later — the figures are not yet finalized — it would be the capital’s first day without a virus death since September. Officials are hoping a slow lifting will largely remove restrictions on socializing in England by June 21.
Travel abroad for English residents, however, remains banned, with a task force reviewing the rule next month. Officials cautioned that people should still work from home where possible and minimize contact.
In other news from around the globe:
In Australia, the city of Brisbane announced a three-day lockdown after seven people were infected with the coronavirus, the country’s first citywide lockdown in more than a month. Starting at 5 p.m. on Monday, residents of the city, which is Australia’s third largest, will be allowed to leave their houses only for essential purposes such as buying groceries, exercising or seeking medical care, and masks will be mandatory in public. Tests showed the virus spreading in Brisbane is the highly contagious variant first detected in Britain, officials said.
Yan Zhuang contributed reporting.
Palakiko Chandler took their little cousins to Nanakuli Beach on Oahu last weekend and noticed something they hadn’t seen in a while: a parking lot full of rental cars. The tourists were back.
“It was just so packed,” said Mr. Chandler, 27 and a Native Hawaiian. “Me and my cousins were looking at each other like, should we just go home?” The youngest cousins needed several reminders to keep their distance from strangers for virus safety.
For much of the pandemic, Hawaii had some of the strictest rules for visitors in the United States, requiring a 14-day quarantine for everyone arriving in the islands. The policy took a heavy economic toll on a state that depends heavily on tourism, but it was lauded for its success in limiting the impact of the virus for months.
Now, though, Hawaii has reopened for travelers: A negative test within 72 hours of arrival lets them skip the quarantine in most places. At least 28,000 people arrived in Hawaii on each of the last two Saturdays, according to state travel data —the most in a day since the pandemic began, and not far from typical prepandemic levels.
The influx has residents worried. Some have been posting on social media for months, pleading with mainlanders not to come, or if they do, to be mindful of the islands’ isolation and limited resources. The state has a total of 3,000 hospital beds for its population of 1.4 million, and has among the fewest I.C.U. beds per capita of any state; they were often mostly full even before the pandemic.
Hawaii’s precautions did not keep the virus out completely: The islands had a holiday surge, like the rest of the country, and parts of the state are struggling with outbreaks now. Daily new case reports have doubled since late February, with some recent clusters focused on tourism workers. Hospitalizations have increased 17 percent in the last two weeks.
“The looming concerning things are the variants,” said Dr. Damien Kapono Chong-Hanssen of the Kauai Community Health Center. “The California variant has been implicated in what’s happening in Maui right now. Maui is not looking better.”
Mainlanders are making the trip anyway. “Hawaii is again packed with tourists,” wrote the travel site The Points Guy. Favorite sites are sold out, check-in lines are long, and the lines for outbound flights are getting longer.
Tourists are crowding popular beaches without wearing masks or paying much attention to social distancing. Some visitors have gotten rowdy. A pair of arriving tourists were sent home after trying to pay a bribe to avoid the testing requirement.
The situation is worsening the irritation that many state residents feel toward vacationers. Now the tourists aren’t just crowding the island and driving up prices, they say, they are also heedlessly risking everyone’s health.
“Hawaiians and locals alike have always seen the disrespect that tourists bring to our islands,” Mr. Chandler said. “This is kind of the last straw. You’re coming to our home and you’re endangering us during a pandemic.”
The tension is especially prevalent among Native Hawaiians and Pacific Islanders, who face greater risk for Covid-19 and higher rates of chronic disease than average.
“Local people are tired of being treated a certain type of way,” said Charles Kaua Taylor-Fulton, 20, who lives on Oahu. “When tourists come, they can be very rude or entitled. There’s just a sense of entitlement.”
Dr. Lee Buenconsejo-Lum of the University of Hawaii at Manoa said the state’s case numbers are not exploding, at least not yet. But she said she would like to see travelers exhibit the same commitment to wearing masks that locals have. “It’s a matter of constantly educating the tourists,” she said.
Still, the high travel season is just getting started, and restrictions are continuing to ease. Bars have reopened in parts of the state and outdoor weddings are now allowed to welcome up to 100 guests.
“We can already see into the future of summer,” Mr. Chandler said, “and it’s going to be packed.”
A year after the coronavirus spurred an extraordinary exodus of workers from New York City office buildings, what had seemed like a short-term inconvenience is now becoming a permanent shift in how and where people work. Employers and employees have both embraced the advantages of remote work, including lower office costs and greater flexibility for employees, especially those with families.
Beyond New York, some of the country’s largest cities have yet to see a substantial return of employees, even where there have been less stringent lockdowns, and some companies have announced that they are not going to have all workers come back all the time.
In recent weeks, major corporations, including Ford in Michigan and Target in Minnesota, have said they are giving up significant office space, while Salesforce, whose headquarters occupies the tallest building in San Francisco, said only a small fraction of its employees would be in the office full time.
But no city in the United States, and perhaps the world, must reckon with this transformation more than New York, and in particular Manhattan, an island whose economy has been sustained, from the corner hot dog vendor to Broadway theaters, by more than 1.6 million daily commuters.
About 90 percent of Manhattan office workers are working remotely, a rate that has remained unchanged for months, according to a recent survey of major employers by the Partnership for New York City, which estimated that less than half of office workers would return by September.
Across Midtown and Lower Manhattan, the country’s two largest central business districts, there has never been a greater proportion of office space for lease — 16.4 percent, much higher than in past crises, including after the Sept. 11 terror attacks in 2001 and the Great Recession in 2008.
As more companies push back dates for returning to offices and make at least some remote work a permanent policy, the consequences for New York could be far-reaching, not just for the city’s restaurants, coffee shops and other small businesses, but for municipal finances, which depend heavily on commercial real estate.
Some of the largest and most enduring companies, including JPMorgan Chase & Co., which has more than 20,000 office employees in the city, have told their work forces that the five-day office workweek is a relic. The bank is considering a model in which employees would rotate between working remotely and in the office.
Other large businesses, including the accounting firm PricewaterhouseCoopers, the marketing group Omnicom Group and the advertising giant WPP, have searched for subtenants to take over significant chunks of their Manhattan offices.
The loss of workers has caused the market value of commercial properties that include office buildings to plunge nearly 16 percent, prompting a sharp decline in the tax revenue that pays for essential city services.
Johnson & Johnson said on Monday that it would supply its one-shot vaccine to African Union member states, as the continent experiences a slow rollout of vaccines, an uptick in cases and worries about new virus mutations.
The pharmaceutical company said that its unit, Janssen Pharmaceutica NV, agreed a deal with the African Vaccine Acquisition Trust, an African Union organization, to supply up to 220 million doses of its Covid-19 vaccine beginning in the fall. The organization will also have the possibility of ordering an additional 180 million doses for a combined total of up to 400 million doses through 2022.
The company will supply most of the doses from a plant in South Africa, which is operated by Aspen Pharma. The African Export-Import Bank, a Pan-African bank headquartered in Cairo, will pay manufacturers $2 billion on behalf of member countries in the form of loans.
South Africa’s president, Cyril Ramaphosa, who as the chair of the African Union set up the vaccine trust last year, is expected to tour the Aspen Pharma facilities in Port Elizabeth, on country’s southeast coast, on Monday.
“This agreement is a significant milestone in protecting the health of all Africans,” Mr. Ramaphosa said in a statement. “It is also a powerful demonstration of African unity and of what we can achieve through partnership between the state sector, the private sector and international institutions that puts people first.”
The announcement came as coronavirus cases surpassed 4.1 million in Africa, with more than 111,000 deaths, according to the Africa Centers for Disease Control and Prevention. Concerns have been mounting about the emergence of variants on the continent, particularly in countries like South Africa, where a highly transmissible variant has driven up cases. Scientists also recently said they found a highly mutated variant of the coronavirus in travelers from Tanzania, the East African nation whose leaders have consistently brushed aside the threat of the coronavirus pandemic.
Besides dealing with other deadly outbreaks including Ebola, polio and measles, many nations in Africa are also dealing with vaccine inequity, as developed nations hoard doses and seek to inoculate their entire populations. So far, only 7.7 million vaccines have been administered on the continent, according to the World Health Organization, which last week warned of a slowdown in deliveries even as initial batches were exhausted.
Vaccines were yet to arrive in 10 African countries, the W.H.O. said, while many others continued to face logistical challenges in addition to vaccine hesitancy.
Nations including South Africa have called on governments and pharmaceutical companies to waive vaccine patents to get medicines to more people more quickly.
The Africa C.D.C. has said that a minimum 60 percent of the continent’s population — or 750 million people — must be vaccinated if the virus is to be curbed there. The deal with Johnson & Johnson “enables Africa to meet almost 50 percent of that target,” Dr. John Nkengasong, the head of the Africa C.D.C., said in a statement.
“The key to this particular vaccine is that it is a single-shot vaccine, which makes it easier to roll out quickly and effectively, thus saving lives,” he added.
KATHMANDU, Nepal — Nepal on Monday received a donation of 800,000 doses of a Covid-19 vaccine from China, which the authorities said would help them restart an inoculation drive that had been halted because of shipment delays in India.
Dr. Jageshwor Gautam, a spokesman for the ministry of health, said the vaccination campaign could resume in less than a week, “once we determine beneficiary age groups.”
China and India, both of which border Nepal, have been jockeying for influence over the Himalayan nation of 30 million people, most recently through vaccine diplomacy.
Nepal had planned its vaccination campaign around the Oxford-AstraZeneca vaccine manufactured by the Serum Institute of India, the world’s largest vaccine producer. One million doses have been donated by the Indian government, and Nepal had bought an additional two million doses from the Serum Institute.
But half of the purchase from the Serum Institute has been delayed indefinitely, health officials in Nepal said, despite an agreement that it would arrive 15 days after the deal. India, which is supplying the AstraZeneca vaccine to more than 70 countries, has begun holding back nearly all of its exports as it tries to suppress a surge in coronavirus cases at home.
Officials in Nepal suspended vaccinations on March 17, citing the shortage of doses.
To fill the gap, they are now relying on a vaccine developed by the Chinese company Sinopharm, which last month became the second approved for emergency use in Nepal after Beijing pledged to provide doses free.
Since its vaccination drive began in late January, Nepal has administered about 1.6 million doses, according to a New York Times database. Dr. Gautam said the 500,000 remaining AstraZeneca doses would be given to frontline health workers, and that there were none available for the rest of the population “at least for now.”
Nepal has recorded almost 277,000 infections and 3,027 deaths, according to a New York Times database. Although the country’s average daily new cases are a small fraction of what they were at their peak last fall, health officials fear a second wave as infections surge in neighboring India. On Monday, India reported 68,020 new infections, the highest one-day rise since October.
Spotify’s headquarters in the United States fills 16 floors of 4 World Trade Center, a towering office building in Lower Manhattan that was the first to rise on the site of the 2001 terror attacks. Its offices will probably never be full again: Spotify has told employees they can work anywhere, even in another state.
A few floors down, MediaMath, an advertising tech company, is planning to abandon its space, a decision fueled by its new remote-work arrangements during the pandemic.
In Midtown Manhattan, Salesforce, whose name adorns a 630-foot building overlooking Bryant Park, expects workers to be in the office just one to three days a week. A nearby law firm, Lowenstein Sandler, is weighing whether to renew its lease on its Avenue of the Americas office, where 140 lawyers used to work five days a week.
“I could find few people, including myself, who think we are going to go back to the way it was,” said Joseph J. Palermo, the firm’s chief operating officer.
sparked an extraordinary exodus of workers from office buildings, what had seemed like a short-term inconvenience is now clearly becoming a permanent and tectonic shift in how and where people work. Employers and employees have both embraced the advantages of remote work, including lower office costs and greater flexibility for employees, especially those with families.
Beyond New York, some of the country’s largest cities have yet to see a substantial return of employees, even where there have been less stringent government-imposed lockdowns, and some companies have announced that they are not going to have all workers come back all the time.
In recent weeks, major corporations, including Ford in Michigan and Target in Minnesota, have said they are giving up significant office space because of their changing workplace practices, while Salesforce, whose headquarters occupies the tallest building in San Francisco, said only a small fraction of its employees will be in the office full time.
But no city in the United States, and perhaps the world, must reckon with this transformation more than New York, and in particular Manhattan, an island whose economy has been sustained, from the corner hot dog vendor to Broadway theaters, by more than 1.6 million commuters every day.
to return in early May, in part as a signal to other employers that filling New York’s buildings is a key to its recovery.
“This is an important step for the city, and it’s another important step on the way to the full recovery of New York City,” Mr. de Blasio said.
Still, about 90 percent of Manhattan office workers are working remotely, a rate that has remained unchanged for months, according to a recent survey of major employers by the Partnership for New York City, an influential business group, which estimated that less than half of office workers would return by September.
Across Midtown and Lower Manhattan, the country’s two largest central business districts, there has never been more office space — 16.4 percent — for lease, much higher than in past crises, including after the Sept. 11 terror attacks in 2001 and the Great Recession in 2008.
As more companies push back dates for returning to offices and make at least some remote work a permanent policy, the consequences for New York could be far-reaching, not just for the city’s restaurants, coffee shops and other small businesses, but for municipal finances, which depend heavily on commercial real estate.
Sarah Patellos, who is on Spotify’s music team, has been working from a dining room table in Truckee, Calif., a mountain town near Lake Tahoe where she has spent most of the past year after flying there for a weekend trip in March 2020 and getting stuck because of government-imposed lockdowns.
on CNBC. “As for everyone working from home all the time, there is also zero chance of that.’’
from the $1.9 trillion federal stimulus package: $5.95 billion in direct aid and another $4 billion for schools, a City Hall spokeswoman said.
While that addresses immediate needs, the city still faces an estimated $5 billion budget deficit next year and similar deficits in the following years, and a changing work culture could hobble New York’s recovery.
The amount of office space in Manhattan on the market has risen in recent months to 101 million square feet, roughly 37 percent higher than a year ago and more than all the combined downtown office space in Los Angeles, Atlanta and Dallas. “This trend has shown little signs of slowing down,” said Victor Rodriguez, director of analytics at CoStar, a real estate company.
At least one industry, however, is charging in the opposite direction. Led by some of the world’s largest companies, the technology sector has expanded its footprint in New York during the pandemic. Facebook has added 1 million square feet of Manhattan office space, and Apple added two floors in a Midtown Manhattan building.
And the surge in available commercial real estate has actually been a boon for some new businesses that have been able to find spaces at rents that are lower than they were before the pandemic.
“I’ve seen the obituary for New York City many times,” said Brian S. Waterman, the executive vice chairman of Newmark, a commercial real estate services firm. “The office reboarding will start to occur in May, June and July, and you are going to have a much fuller occupancy once we hit September.”
rally behind an idea that seemed unthinkable before the pandemic: converting distressed office buildings in Manhattan into low-income housing.
The record vacancy rate has been driven by companies across almost all industries, from media to fashion, that have discovered the advantages of remote work.
Beside the cost savings of operating a scaled-down office or no office at all, modern technology and communications have allowed workers to stay connected, collaborate from afar and be more productive without lengthy commutes. Parents are also clamoring for more flexibility to care for their children.
“We believe that we’re on top of the next change, which is the Distributed Age, where people can be more valuable in how they work, which doesn’t really matter where you spend your time,” said Alexander Westerdahl, the vice president of human resources at Spotify, the Stockholm-based streaming music giant that has 6,500 employees worldwide.
For now, Spotify does not plan to reduce its New York footprint, but as of February, the company told its United States employees — 2,100 of whom had worked at the Manhattan office — that they could work from pretty much anywhere.
“The change is mainly driven by globalization and digitalization, and our tools are much, much better at allowing for people to work from anywhere,” Mr. Westerdahl said.
Remote work, of course, is not without significant downsides.
The blurry lines that already existed between work and personal life have been all but obliterated during the pandemic. Without the time spent commuting in the morning and at night, people are logging on to work earlier in the day and staying connected later into the night.
And despite modern technology and video conferencing capabilities, companies are struggling to foster workplace cultures and make employees, especially new hires, feel welcome and part of a team.
Those concerns have weighed heavily on executives at Kelley Drye, a law firm founded in 1836 in New York, which is moving from Park Avenue near Grand Central Terminal to 3 World Trade Center in Lower Manhattan.
“Zoom and Teams are great,” said Andrea L. Calvaruso, a lawyer who is the chair of the firm’s trademark and copyright group, but she added that “there’s no substitute for sitting down in a beautiful new collaborative and working together without distractions.”
But Ms. Patellos, despite being unprepared after being stuck in California — she had to buy a keyboard and monitor — soon found herself connecting with colleagues all over the world just as she had in her New York office.
“I fell into a rhythm,” said Ms. Patellos, who is still deciding where to eventually move. “I maintained a bit of East Coast hours, starting my days a little earlier and ending a bit earlier. Before I knew it, it became the norm and a routine.”
In the face of mounting pressure from prominent artists and activists about his financial ties to the convicted sex offender Jeffrey Epstein, the investor Leon Black told colleagues Friday that he would not stand for re-election as the chairman of the Museum of Modern Art, according to two people with knowledge of his decision.
Mr. Black announced his decision to the board’s executive committee at a specially convened remote meeting on Friday afternoon, according to someone with knowledge of the meeting who was granted anonymity because they were not authorized to speak about it. He planned to inform the full board of his intentions when it meets next week.
The news that Mr. Black did not plan to run for re-election as the museum’s chairman in June was the latest fallout from the revelation earlier this year that he had paid $158 million to Mr. Epstein for tax and estate advisory services — payments that began several years after Mr. Epstein had pleaded guilty in 2008 to soliciting prostitution from a teenage girl.
After the size of his payments was revealed in January, Mr. Black had initially announced that he would step down this year as chief executive of Apollo Global Management, the giant private equity firm he co-founded, but added that he intended to remain Apollo’s chairman. On Monday, Apollo made the surprise announcement that Mr. Black, 69, was stepping down as chief executive earlier than anticipated and giving up the chairmanship, citing his and his wife’s health as major factors in the decision.
his dealings with Mr. Epstein, who killed himself inside a Manhattan jail cell in 2019 while facing federal sex-trafficking charges.
By several accounts, Mr. Black had also wrestled with how to proceed at MoMA. Mr. Black decided to tell the executive committee that as a longtime supporter of MoMA, he did not want to become a distraction to the institution by seeking another term, said two people briefed on his decision. He is expected to remain on the board after stepping down as chairman.
Several artists and supporters of MoMA had said that Mr. Black’s decision to pay large fees to Mr. Epstein after his conviction — he also lent Mr. Epstein $30 million — raised questions about whether he should continue to represent the institution. Several MoMA trustees came to believe that Mr. Black had become a damaging distraction.
“I would feel ashamed to be associated with the MoMA if it takes a firm position in keeping someone who has been confirmed to have hurt basic values or has worked against truth and fairness,” the artist Ai Weiwei said in an email interview last month. “If so, I hope they won’t include any of my works in their collection.” He said Friday that it was “the right decision” for Mr. Black to step down.
And the recent pressure on Mr. Black from prominent artists and activists promised to escalate, with a 10-week “strike” against MoMA planned to start April 9.
in February had spoken out about Mr. Black, said that he believed that Mr. Black, and several other MoMA board members, should step down from the board altogether.
“MoMA has refused comment on every story that has emerged about Leon Black,” he said in an email. “The museum stays silent while we as artists are asked to speak. Beyond speaking, I look forward to collectively imagining an ecosystem that does not enlist our content to go on display in institutions whose board members create the very conditions in the world that many of us are devoted to dismantling.”
It was not immediately clear who would succeed Mr. Black at MoMA. Among those expected to be in contention are the board’s several vice chairmen as well as Marie-Josée Kravis, its president emerita.
There has been some concern among MoMA trustees that Mr. Black’s stepping down as chairman might jeopardize his potential future gifts of art or money to the museum, given his wealth and his museum-quality personal art collection.
In 2018, the same year he became chairman of the museum’s board, Mr. Black and his wife, Debra, gave $40 million to the museum, prompting MoMA to name its film center after them.
In 2012, he lent MoMA Edvard Munch’s 1895 version of “The Scream” — which he purchased for nearly $120 million — and in 2016, Mr. Black won the right to keep a large Picasso bust for which he had paid about $106 million and that featured prominently in MoMA’s acclaimed Picasso sculpture show.
extended Mr. Lowry’s contract until 2025, making him the longest-serving director since the museum opened in 1929. Mr. Lowry did not respond to requests for comment.
ROME — In an effort to contain costs and save jobs amid a slump in tourist dollars and donations as a result of the coronavirus pandemic, Pope Francis has ordered across-the-board pay cuts for the cardinals and other higher-ranking clerics working in the Vatican.
Cardinals will see their income trimmed by 10 percent, according to a decree published Wednesday. The superiors of Vatican departments will have their salaries reduced by 8 percent, while 3 percent cuts will be applied to upper-level priests and nuns. A two-year salary freeze has been imposed on other employees at higher pay grades.
The pandemic has “negatively influenced all sources of income for the Holy See and Vatican City State,” Francis wrote in an apostolic letter. “A sustainable economic future requires today, among other decisions, adopting measures that also concern employee salaries.”
The cuts, which go into effect on April 1, affect only the employees of the Holy See, Vatican City and associated institutions, including the Vicariate of Rome. They will not apply to Vatican personnel who can prove that they cannot sustain the costs of personal medical care or that of close family members.
an interview with the Vatican’s news portal two weeks ago. He said that cost-cutting had reduced travel, overtime and meeting expenses and had led to the postponement of renovations and some purchases. But the Vatican has not cut jobs.
“Pope Francis insists that saving money does not have to mean laying off employees; he is very sensitive to the plight of families,” he said.
The Holy See’s income comes from real estate management, investments and donations. Vatican City State has a separate budget and gets part of its revenue from the Vatican Museums, which had 6.7 million visitors in 2019, according to The Art Newspaper. The museums were open on and off last year because of the pandemic. Of the 1.3 million visitors last year, a million came before the national lockdown started in early March 2020.
“The expenses budgeted for 2021 are the lowest in the recent history of the Holy See, but the savings have been made without decreasing the service to the pope’s mission and defending salaries and jobs for employees,” Father Guerrero Alves said. “We need the support of the faithful.”
“Warrior,” a 1982 painting by Jean-Michel Basquiat that was said to symbolize the struggles of Black men in a white-dominated world, sold for $41.9 million, with fees, at Christie’s auction house in Hong Kong on Tuesday.
Although Christie’s said it was the highest price paid at auction for a Western artwork in Asia, that may be a technicality: At a Sotheby’s New York sale in 2017, the Japanese billionaire collector Yusaku Maezawa paid $110 million for Basquiat’s “Untitled.” It remains the artist’s auction record.
Estimated at $31 million to $41 million, “Warrior” was offered as an unusual single lot. It leads a week of 20th and 21st century livestreamed auctions at Christie’s and Sotheby’s in London and Paris, which also include an old master and a rediscovered van Gogh. Christie’s was betting on Basquiat’s global appeal to help energize the art market as it tried to emerge from the pandemic-year slump.
Annual art sales fell 22 percent, to $50 billion, in 2020, compared to 2019, with revenues from public auctions declining 30 percent to $17.6 billion, according to a recent report by UBS and Art Basel. Supply of top art works remains tight, with few distress sales or big estates on the horizon near term. Asking prices are astronomical, making it hard to close deals, dealers and auction executives said.
$69.3 million sale of a work by the digital artist Beeple at Christie’s earlier this month.
Both Beeple and Basquiat “have a place,” said Alberto Mugrabi, the collector and dealer, whose father paid $250,000 for “Warrior” in the mid-1990s. “They are both in a category of very few artists. Beeple will bring a new audience to the art world and it’s an encouraging thing to see.”
While the outcome for Beeple’s work was unpredictable — bidding started at $100 — the Basquiat was a relatively safe bet for Christie’s, which was hoping to draw new people to the market from Asia. (The winning bid came from Christie’s Hong Kong representative.) The company guaranteed the seller an undisclosed minimum price and got an irrevocable bid from a third-party backer, ensuring the work would sell.
“Basquiat is one of the strongest markets coming out of the pandemic,” said Christophe van de Weghe, a dealer who specializes in Basquiats. “It’s worldwide. You can sell Basquiat, like Picasso, to someone in India or Kazakhstan or Mexico. You can have a 28-year-old spending millions on Basquiat and you can have a guy who is 85. He appeals to all kinds of people, from rappers to hedge-fund guys.’’
Basquiat explored issues of race and inequality with graffiti-inspired style, rising to the pinnacle of the contemporary art world from modest beginnings in street art. He dated Madonna, collaborated with Warhol and became a legend after dying at age 27 in 1988.
“Warrior” depicts a figure with fiery eyes and a raised sword against patches of blue and yellow. It was painted on a six-foot-tall wooden panel with oilstick, acrylic and spray paint in 1982. It has come up for auction four times, including Tuesday’s sale. It last appeared Sotheby’s in 2012, fetching $8.7 million. At the time it was bought by the real estate mogul Aby Rosen.
Christie’s declined to confirm that Rosen was the seller of “Warrior,” but its provenance indicates that the current owner bought the work in 2012. Rosen offered the work for sale privately last year, according to a dealer with firsthand knowledge of the sale. Rosen didn’t return emails seeking comment.
Basquiat’s 1982 painting “Boy and Dog in a Johnnypump” was among the highest known transactions of 2020. Bought by the billionaire hedge fund manager Ken Griffin for more than $100 million, it has been hanging at the Art Institute of Chicago.
Although Basquiat was very prolific, there’s a limited supply of work: about 900 paintings and 3,400 works on paper. By contrast, Beeple’s record-setting “Everydays — the First 5000 Days,” comprised the 5,000 works the artist created over 13 and a half years.
Alex Rotter, Christie’s chairman of 20th and 21st century art, recently had a chance to realize the scope of Basquiat’s appeal while attending the Brooklyn Nets’s victorious game at the team’s arena on Feb. 25. Basquiat’s signature crown was on the court’s floor.
“I thought, ‘Wow! How cool is that!’” Rotter said this week, recalling the game when the Nets defeated the Orlando Magic. “Basquiat is everywhere.”