Crypto News: Flexing its muscles

Saudi Arabia is charting a course that puts economic and security interests first, even if that is at odds with the West.

Sunday's decision to slash crude output as part of the OPEC+ oil producers' group in coordination with Russia came as a surprise to markets, rankled Washington and puts $100 a barrel on the horizon as a global economic downturn looms.

At home, Saudi commentators assert that Riyadh's course has been the right one all along. It comes after a similar move last fall despite US pleas to pump more crude.

Saudi officials say that decision eventually stabilized oil prices, proving it wasn't political. The overall message from an emboldened kingdom to the West is: We told you so.

That's still a challenge to US President Joe Biden, who initially shunned Crown Prince Mohammed bin Salman and called the kingdom a pariah over the 2018 murder by Saudi agents of Washington Post columnist Jamal Khashoggi. Biden reversed that policy last year in a bid to secure an easing of oil prices, to no avail.

Now, with the crude price slumping to a 15-month low in late March, the crown prince's latest production cut also reflects economic realities for the kingdom.

The de facto ruler has multi-billion-dollar plans to overhaul Saudi Arabia, and that's another driving factor behind his latest foreign policy moves.

He's been reaching out to former foe Iran to ease regional strife and protect his growth plans, even sidelining the US in favor of its No. 1 rival China to do so. He's also moving toward embracing Syria's pariah leader along with other Arab states, despite US and European sanctions.

That said, the Saudis, who rely on the US for security, are still unwilling to pursue a complete breach with Washington.

But Riyadh's latest oil gambit underscores Saudi Arabia's growing geopolitical influence as a fossil fuel superpower. Its leadership knows it must seize the moment while that clout lasts. — Sylvia Westall

Crown Prince Mohammed welcomes Biden at the Alsalam Royal Palace in Jeddah on July 15, 2022. Source: Anadolu Agency/Getty Images

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Trump arraignment | After becoming the first former US president to be indicted, Donald Trump will surrender to law enforcement officers today, be booked and plead not guilty to the charges against him. The case stems from Manhattan District Attorney Alvin Bragg's probe of hush money payments to an adult film star made just before the 2016 election to cover up an alleged decade-old affair.

The judge is barring journalists from using broadcast recording equipment or electronic devices in the courtroom during the hearing.

A Trump supporter outside of Trump Tower in New York yesterday. Photographer: Stephanie Keith/Bloomberg

Level ground | Jose Fernandez, US undersecretary of state for economic growth and energy, said the Biden administration's more assertive economic measures against China are necessary "to make sure that we're all playing by the same rules." China's 'national champions' "get all sorts of benefits because the Chinese government has decided that they will be the flagships for their industrial policy," Fernandez told Iain Marlow in an interview.

Japan is poised to sharply raise its chip-gear spending in a bid to boost its position in the global semiconductor market, complementing a US push to reconfigure global supply routes and sources to limit China's tech ambitions.

Stalled-out funding combined with the rising costs of caring for older populations mean that European health-care systems are struggling to fulfil their promise of fair and equitable cradle-to-grave services. In addition, the World Health Organization has described the aging of Europe's medical professionals as a "ticking time bomb."

Climate fixer | The man tasked with organizing COP28, the United Nations climate summit, in the United Arab Emirates this year also heads the world's 12th largest oil and gas producer. Read this profile of Abu Dhabi National Oil Co. CEO Sultan Al Jaber, boss of one of the world's biggest polluters and the person with the most influence over policy against global warming this year.

New addition | Finland becomes the 31st member of NATO today, completing a tumultuous process of accession after Russia's invasion of Ukraine upended the European security landscape. NATO foreign ministers are marking the occasion with a flag-raising ceremony in Brussels as Finland's entry to the defense alliance adds more than 1,300 kilometers (800 miles) of border with Russia. Sweden is still waiting to complete its accession.

Take shelter | Lawmakers in Japan are pushing for a bill to provide bomb shelters to protect citizens from the threats posed in its increasingly dangerous neighborhood. While there are vast networks of subways in major cities that could be used for civil defense, most homes in Japan don't have basements. The initial plan would be to strengthen existing facilities and equip them with emergency supplies, Isabel Reynolds reports.

Watch Bloomberg TV's Balance of Power at 5pm to 6pm ET weekdays with Washington correspondents Annmarie Hordern and Joe Mathieu. You can watch and listen on Bloomberg channels and online here.

India rejected attempts by China to claim some parts of territories it controls, highlighting yet another flash point between the neighbors.
Taiwan defended President Tsai Ing-wen's plan to meet with US House Speaker Kevin McCarthy in California tomorrow, as China vowed to take "resolute measures" in response.
The White House denounced Florida Governor Ron DeSantis for signing a bill that allows the carrying of a concealed weapon without a permit.
The Philippines has identified four new sites that the US will have access to under an expanded defense agreement, with three of them near Taiwan and a fourth facing the disputed South China Sea.
Tunisian President Kais Saied quashed speculation about a power vacuum, making his first appearance in almost two weeks in a video posted by his cabinet yesterday.

And finally ... It's known as "salting" — activists joining a workplace with the secret aim of forming a labor union. Josh Eidelson met some of the "salts" who built trust with co-workers and bosses by volunteering for thankless chores and went on to lay the groundwork for successful union organizing campaigns at companies from Starbucks to Amazon.