Greece to present new reform plan, oil falls, and the illegal cure

The daily briefing “FirstFT” from the Financial Times.

Athens will be given a final chance to present a new reform plan to eurozone leaders on Tuesday night, despite a hardening attitude to Greece in many capitals after the rejection of previous bailout terms in the Sunday referendum. Meanwhile, Greek banks are to stay closed on Tuesday and Wednesday.

However, eurozone officials said leaders were unlikely to agree to restart rescue talks to keep Greece in the currency union at the hastily convened summit in Brussels. The European Central Bank tightened the screw on Greek banks on Monday evening when it required them to stump up more assets in exchange for emergency loans. (FT)

German Chancellor Angela Merkel, responding for the first time to the Greek referendum, has said time is running out. (Bloomberg)

In the news

Oil falls on Greece and Iran Oil approached bear market territory on Monday as Greece rejected bailout terms and Iran edged closer to a nuclear deal with western powers. ICE August Brent fell 6.3 per cent on Monday, recording its biggest intraday fall since February 4. (FT)

Rally and reverse The benchmark Chinese stock index has resumed its decline, falling for its fourth session of the past five despite efforts by Beijing to prop up the market. The Shanghai Composite was 5 per cent lower in morning trading on Tuesday, while the Shenzhen Composite had lost 6 per cent. Elsewhere, the Chinese rally and reverse has hit US markets in an unexpected way: there has been a sharp increase in the number of Chinese companies leaving US exchanges this year as owners target higher valuations back on the mainland. But are they too late as the stock market goes into reverse? (FT)

In from the cold Saudi Arabia’s sovereign wealth fund has agreed to invest $10bn in Russia , in a powerful sign of the rapprochement between Moscow and Riyadh. The deal, which was initiated with a memorandum of understanding during the St Petersburg Economic Forum last month, comes as Riyadh and Moscow are working to rebuild relations long plagued by Russian government support for the regime of Bashar al-Assad in Syria. (FT)

Get your sleep Susannah Mushatt Jones, the oldest living person, celebrated her 116th birthday on Monday in New York. A daughter of sharecroppers and granddaughter of slaves, she attributes her long life to not smoking, not drinking and getting plenty of sleep. (Reuters)

No day of rest George Osborne will offer to rip up the remaining restrictions on Sunday trading when he presents the Budget on Wednesday in a move that will delight big retailers but antagonise corner shops and the religious right. The chancellor will issue a consultation on giving councils and mayors the freedom to relax the rules; the existing law prevents larger stores from opening for more than six hours on a Sunday. (FT)

It’s a big day for

Euclid Tsakalotos, the new Greek finance minister, as Greece races to present a new reform plan to eurozone ministers on Tuesday night. On Monday evening Mr Tsakalotos was finally sworn into office as finance minister after Yanis Varoufakis was asked by the prime minister to step down. Mr Tsakalotos has headed the Greek bailout negotiating team for several months. Greek Prime Minister Alexis Tsipras is due to address a summit of eurozone leaders on Tuesday.

Food for thought

Be prepared George Osborne has told British tourists to take prescription medicines and hundreds of euros of cash to Greece, noting that the situation in the country could worsen. The UK chancellor said the meeting of eurozone leaders on Tuesday would be a critical moment. (FT)

For the love of Tesla Wealthy Muscovites love Tesla and Elon Musk but that love is not cheap. The cars are not sold in Russia, forcing fans to buy elsewhere and then import the vehicles, costing them tens of thousands of extra dollars. (Bloomberg)

The illegal cure Article examining the journey to access a pioneering but untested medication for treating epilepsy. The catch? The cannabis content of the drug means an American family faces an emotional battle. (Wired)

The pleasure and pain of office gossip Chatter can have helpful and harmful consequences, writes psychotherapist Naomi Shragai. As well as providing informal communication networks, gossip and rumour act as safety valves for perceived unfairness and power imbalances. (FT)

Video

As eurozone leaders warn Greece it is up to the government to bring new proposals, Philip Stephens and Frederick Studemann discuss whether a Grexit is inevitable.

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

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Image: A Greek flag flutters as tourists visit the Acropolis hill archaeological site in Athens. REUTERS/Jean-Paul Pelissier.