Morning Briefing: Europe
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Good morning. Donald Trump will announce economic deals of more than $10 billion on his UK trip. Talk of replacing Keir Starmer is getting louder. And an ownership shake-up is brewing at The EconomistListen to the day’s top stories.

— Teo Chian Wei

US President Donald Trump is expected to announce economic deals totaling more than $10 billion during his trip this week to the UK, senior US officials said. The visit will include a science and technology partnership that is believed to include billions of dollars in new investment. Trump and UK Prime Minister Keir Starmer are also set to unveil a defense technology cooperation agreement.

Talk of replacing Starmer as leader of the Labour Party has spilled into the open, but the lack of a plausible replacement may keep the rebels at bay for now. Plots against the prime minister have dominated the headlines in Britain following the messy departures of his deputy, the ambassador to the US and, yesterday, his strategy chief.

Photographer: Simon Dawson

Lynn Forester de Rothschild is exploring a sale of a significant minority stake in The Economist Group, marking the first ownership shake-up in a decade at the 182-year-old magazine read by both the political and business elite. A sale process for around 20% in voting shares could kick off in the coming weeks and fetch about £200 million to £400 million, according to people familiar with the matter.

Wall Street’s main regulator said it is prioritizing a proposal from Trump to reduce the frequency of earnings reports after the president called for an end to quarterly disclosures. The Securities and Exchange Commission said in a statement that it is pursuing the suggestion to “further eliminate unnecessary regulatory burdens on companies.”

A US appeals court blocked the White House from removing Federal Reserve Governor Lisa Cook from her post for now. The 2-1 ruling came hours before the start of the Fed’s highly anticipated Sept. 16-17 meeting to vote on interest rates. Trump could still ask the Supreme Court to step in. Meanwhile, the Senate confirmed Stephen Miran, the president’s economic adviser, to the Fed board.

Deep Dive: Cut or No Cut

A growing number of economists believe the Bank of England has finished cutting interest rates as policymakers struggle to contain a fresh spike in inflation.

  • Banco Santander, Schroders and Pantheon Macroeconomics expect the UK central bank to keep rates at 4% for the foreseeable future, with the knife-edge decision to cut in August ending its easing cycle after one year.
  • Nomura said further reductions are in doubt if inflation does not come down as forecast. The BOE meets for its policy meeting on Thursday.

The Big Take

Mutual Fund Titans Plowed Into Private Markets. It Isn’t Working
Asset managers expanded into alternative investments for higher fees. Some ended up facing culture clashes and sluggish pickup from salespeople.

Opinion

Vladimir Putin may have finally overplayed his hand with Ukraine by challenging NATO, Marc Champion writes. While it’s still too soon to know, some signs are emerging that the US and Europe may be ready to apply the kind of sustained pressure needed to persuade him that it would be in his best interest to end the war.

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To Be a Fly on the Wall at This Fed Meeting
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Zany Climate Ideas Show How Far Off Track We Are

Before You Go

Will an MBA pay off? Stanford and SDA Bocconi held the top spots in our best business schools rankings for their respective regions. Our calculations show that return on investment fell at four out of five US schools—you can read more about that here.

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