China allows currency to strengthen, Brussels backs IMF on Greece and Japan’s longest day

The daily briefing “FirstFT” from the Financial Times.

German chancellor Angela Merkel has rescheduled trips to Italy and Brazil to maximise her time in Berlin as she works to dissuade potential rebels within her party from voting against the €86bn Greek rescue plan.

Ms Merkel took to national television on Sunday to rally support for the deal as Germany’s push for ever-more-stringent austerity measures continues to isolate the country. (FT)

In the news:

Renminbi held stable

Following last week’s roller-coaster ride, China’s central bank held the renminbi steady this morning, fixing the daily reference rate around which the currency trades up just 0.01 per cent. The move comes a day after the People’s Bank of China warned investors to expect more “two-way volatility” in the renminbi. (FT)

Toyota halts Tianjin operations

The Japanese car company said two of its plants near the Chinese port city would be closed until the end of Wednesday as the city reels from the massive explosions last week. More than 50 Toyota employees were injured in the blasts. (BBC)

Safety first at Uber

Amid concerns about data privacy and even employee safety, the ride-hailing app has unveiled plans to dramatically increase the size of its security team from 25 to 100. Uber employees might need protection as they could be “polarising figures in their communities”, said the company’s security chief. (FT)

Rousseff under pressure

Brazilians staged mass protests on Sunday, voicing anger over a grinding recession and a corruption scandal that has weakened President Dilma Rousseff’s grip on power and led to calls for her impeachment. (FT)

Spies, fugitives and diplomats

The Obama administration has warned China about the use of undercover operatives in the US. Beijing is reportedly sending agents abroad to induce alleged fugitives to return to China, sometimes with threats against relatives. (NYT)

Worst feared in Indonesia crash

There have been no reports of survivors in the wake of Sunday’s Trigana Air plane crash in eastern Indonesia. At least 54 people are feared dead in the latest aviation disaster to hit the nation. (FT)

It’s a big day for:

The Japanese economy, which shrank at an annualised rate of 1.6 per cent in the second quarter of 2015, in a blow to Prime Minister Shinzo Abe’s hopes of reviving the country’s growth. (FT)

Food for thought:

A thirst for craft beer

If there was ever a doubt about the booming popularity of craft beer, just look at the numbers: the $20bn sector is on track to account for 20 per cent of the total beer market in the US by the end of the decade. Now, the world’s big brewers are being forced to play catch-up. (FT)

Mothers of Isis

On the fellowship of women whose children abandoned them to join the worst terror organisation on earth. (HuffPo)

Investing: The index factor

The first in an FT series takes a look at the potent yet little understood force in financial markets. (FT)

The death throes of television

A record number of Americans are unplugging their TV subscriptions amid shifting trends towards online media. In the second quarter, more than half a million people in the US cut the cord and all pay-TV companies – bar one – lost subscribers. (FT)

Russia in recession

International investors in the country are facing a cold winter as western sanctions and a falling rouble test business resolve. And the worst may be yet to come, with a recent Moody’s note warning of further economic woe. (FT)

The Tetris effect

Playing the tile-matching video game for just three minutes can reduce cravings for an array of addictive substances, as well as sex and even food, researchers have found. The game reportedly occupies a mental process that would otherwise be directed at imagining the object of one’s desires. (Business Insider)

Video of the day:

Chinese whispers China’s devaluation triggered much volatility on world markets. By week’s end they were almost back where they started – and still preoccupied by the risks of deflation. (FT)

This article is published in collaboration with FirstFT. Publication does not imply endorsement of views by the World Economic Forum.

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Author: FirstFT is the Financial Times’ editors curated free daily email of the top global stories from the FT and the best of the rest of the web.