Australia's Fair Work Commission has said it plans to raise the minimum wage by 5.75% from 1 July, said to affect over two million workers. This will see the minimum hourly rate rise to $15.34. The decision was taken in response to economic circumstances facing some of Australia’s lowest-paid workers. However, there are concerns that the wage increase will encourage further wage expectations, potentially raising inflationary pressures even further.
Australia's Fair Work Commission has said it plans to raise the minimum wage by 5.75% from 1 July, said to affect over two million workers. This will see the minimum hourly rate rise to $15.34. The decision was taken in response to economic circumstances facing some of Australia’s lowest-paid workers. However, there are concerns that the wage increase will encourage further wage expectations, potentially raising inflationary pressures even further.
South Korea's consumer inflation eased for a fourth consecutive month in May, to its slowest pace in 19 months, reaching 3.3% YoY. The country's Statistics Korea has reported that this matches market expectations, and the slowest rise since October 2021. Though the finance ministry stated that inflation is set to continue to stabilise, South Korea's central bank has called the inflation outlook highly uncertain due to risks from global oil prices, economic growth and public utility price increases.
South Korea's consumer inflation eased for a fourth consecutive month in May, to its slowest pace in 19 months, reaching 3.3% YoY. The country's Statistics Korea has reported that this matches market expectations, and the slowest rise since October 2021. Though the finance ministry stated that inflation is set to continue to stabilise, South Korea's central bank has called the inflation outlook highly uncertain due to risks from global oil prices, economic growth and public utility price increases.
A Florida teenager has won the 2023 Scripps National Spelling Bee. Dev Shah spelt "psammophile" correctly to take home the $50,000 prize. The 14-year-old saw off a challenge from 10 other students aged 11 to 14 after the contest began with 11 million participants at different levels around the world. Dev said it was "surreal" and he was shaking after he won. His father is an Indian-origin immigrant to the US who came to the country 29 years ago to get his master’s degree in electrical engineering.
Temperatures across China have reached or exceeded their records for the month of May, leading to power grid concerns as demand for air conditioning soars; China Southern Power Grid's demand has passed its peak load of 200m kilowatts weeks earlier than normal and close to historical highs. This comes amid a year of rising temperatures and erratic weather in China, with the arid north of the country hotter than the south. The Yangtze river basin, since last summer, has experienced the worst drought since 1961, according to Chinese government statistics, while Yunnan province in south-west China is experiencing 60% less rainfall than 2022.
The US is looking to buy TNT in Japan as a workaround for Japan's export rules which ban selling lethal items overseas. It is seeking to procure supplies for 155mm artillery shells as it rushes weapons and ammunition to Ukraine for a counteroffensive. Although contested by the pacifist Japan, the US has found a bypass to enable the sale of industrial TNT amid global shortages of munitions. Japan has said it will allow the sale of industrial TNT as it is not purely military and is exempt from more stringent export restrictions.
Twitter's head of trust and safety, Ella Irwin, has resigned amid criticism of the social media's protection against harmful content since Elon Musk acquired it in October. Irwin had taken up the position in November, overseeing content moderation. Twitter has faced scrutiny from regulators over its moderation efforts, and has withdrawn from a voluntary disinformation agreement with the EU. It has also faced difficulties retaining advertisers, with brands increasingly wary of appearing next to unsuitable content on the platform.
Bank of China Chairman Ge Haijiao is seeking an operating licence in Papua New Guinea (PNG). The state-owned entity wants to establish its first representative office in the Pacific Island, which is looking to build China trade links and strengthen its defence ties with the US. Haijiao's visit follows a trip by US Secretary of State Antony Blinken. That led to some protests amid worries that PNG would be embroiled in a strategic competition between China and the US. Two of PNG’s four licensed banks are Australian-owned and have been reducing their operations in the country.
Four people have been killed and four others injured in shelling incidents across the border between Ukraine and Russia. In western Russia two women travelling in a car were hit by shells in Maslova Pristan, dying at the scene, while three others were injured by shelling and drones in overnight attacks, according to regional governors. Ukrainian forces deny involvement in the shelling, with Russia claiming it was the work of Ukrainian "terrorist formations", while Ukraine has accused Russian volunteers of the attacks. The latest violence followed airstrike alerts across Ukraine after more than 50 missiles and drones were launched from Russia over recent weeks.
Twitter's head of safety, Ella Irwin, has resigned after Elon Musk criticised the social media company for blocking a video that “misgendered” trans people. Jeremy Boreing, co-founder of The Daily Wire, said that Twitter had labelled his company's gender issues documentary as “hateful conduct” and limited its reach, although he claimed that Twitter had initially agreed to let The Daily Wire promote the documentary. The “misgendering” issue was deleted from Twitter’s rules on harmful conduct earlier this year, but Mr Boreing said the company confirmed the policy was still in place but was no longer explicit.
UK house prices are predicted to fall 3% this year, down from the 2.4% decline predicted in the last Reuters poll, due to the cost of living crisis and increased borrowing costs, according to a Reuters poll of 23 market specialists. Despite a rise in prices due to the COVID pandemic, persistent core inflation and wage pressures may limit demand, lending, and sales until last year. Meanwhile, persistent high mortgage borrowing costs may stall a recovery in the housing market. However, experts predict that a significant drop in home prices is unlikely.
The value of China's yuan has plummeted to its lowest point in six months as investors worry about the country's stuttering pandemic recovery, disappointing economic data, and capital outflows through foreign investment. These have combined to reduce its value to levels not seen since November of last year, falling more than 5% against the US dollar. In contrast, exports have formed one of the few areas of strength for the country, but recent months have seen new orders fall amid softer global demand.
Japan's privacy watchdog has warned AI start-up OpenAI not to collect sensitive data from users without their permission. The Personal Information Protection Commission asked the Microsoft-backed company to limit its data intake for machine learning, while also recognising AI's ability to innovate, help tackle climate change and boost productivity. Regulators around the world are grappling with how much data AI can gather, using existing rules while new frameworks are developed. OpenAI also has a presence in Europe, where regulators temporarily took it offline until age verification was deployed and Europeans were enabled to block their data.
The US Department of Agriculture (USDA) is to temporarily close its Beltsville Agricultural Research Center, the country's largest farm research site, following employee complaints of unsafe working conditions resulting from poor maintenance following a major flood in December 2015. Employees returned to the building for a cleanup despite independent testing identifying evidence of mould and asbestos. Reduced access will now be granted to the seven ‘essential’ employees, who will be using the building while the USDA replaces damaged flooring, drywall, and ceiling tiles, whilst also improving ventilation and exhaust operations.
Brazil's industrial output falls more than expected in April
Reuters
23-06-02 14:28
New data from the government statistics agency IBGE has indicated that industrial production in Brazil fell more than forecast in April, dropping by 0.6% from March, and making it the fourth drop out of the last five months. The news comes in spite of an attempt by the central bank’s to stabilise the economy by keeping interest rates at a six-year high of 13.75%. As things stand, many are calling for a reversal of this holding strategy, and a quick cut to ease pressure on struggling industrial sectors.
Fierce fighting, rampant looting and red tape are hampering efforts to deliver vital humanitarian supplies to the millions of Sudanese people relying on aid since mid-April, according to aid workers. At least 25 million people, more than half the country's population, need help since the army and paramilitary Rapid Support Forces began fighting. At least seven aid workers have been killed and several ceasefires have been agreed but were usually violated. Truck drivers have been detained and supplies seized, and 1.2 million people have been displaced in Sudan, with another 400,000 fleeing to neighbouring states.
US Defense Secretary Lloyd Austin did not have a "substantive exchange" with China's Minister of National Defense Li Shangfu at a security summit in Singapore, the Pentagon has confirmed. Austin smiled while shaking hands with Li but they spoke briefly. China had earlier declined a formal meeting with Austin, who later said the US had "enduring security obligations" to its regional allies, including Taiwan. The countries have been at odds over Taiwan, human rights and military activity in the South China Sea. US military officials want to maintain open lines of communication to reduce the risk of accidents or flare-ups.
Danish Prime Minister Mette Frederiksen is meeting US President Joe Biden in Washington, amid speculation that she will be vetted as the first female NATO secretary-general. Frederiksen is considered a serious contender to replace Jen Stoltenberg, who is due to step down from the position in September. However, Denmark faces pressure to increase military spending to 2% of GDP, a key goal for NATO. In December, Frederiksen brought a plan forward to meet the target by 2030. Last week, Denmark also announced increased investment in defence over the next decade and greater military aid to Ukraine.
At least 50 people died and 300 more were hospitalised on Friday when a passenger train derailed and hit a goods train in Odisha state, India. The Coromandel Express train runs from Kolkata to Chennai. It is thought that many other passengers were trapped under the derailed carriages. Efforts to rescue remaining passengers are ongoing.
