European markets decrease as worries persist over the outbreak.European stocks opened decrease on Tuesday, with London outpacing different markets, because the coronavirus outbreak has continued to unfold in america and has proved stubbornly persistent elsewhere.The FTSE 100 stock index was down 0.7 % at midmorning, after Britain reported worse-than-expected revised financial knowledge for the primary three months of this yr. Buyers had been awaiting extra particulars from Boris Johnson, the British prime minister, on his plan to spend on public works and different initiatives to get the financial system again on observe.Different main European markets had been modestly decrease. The muted opening occurred regardless of a robust day within the Asia-Pacific area, the place markets in Japan, mainland China and Australia ended greater than 1 % increased.Futures markets had been predicting Wall Street would open barely decrease in a while Tuesday. In different indicators of waning optimism, costs for U.S. Treasury bonds rose, whereas oil costs had been down barely on futures markets.Buyers awaited developments as states like Florida and Arizona prolonged their outbreak containment steps and different efforts, signaling that the coronavirus might proceed to carry again america, residence of the world’s largest financial system.They had been additionally watching tense relations between america and China, after Beijing imposed a brand new nationwide safety legislation on the Asian monetary capital of Hong Kong with out releasing the textual content or particulars. American officers on Monday outlined new restrictions on promoting know-how to Hong Kong, citing Beijing’s rising meddling within the affairs of the semiautonomous territory.The Federal Reserve chair says the financial system has entered an ‘important new phase.’Jerome H. Powell, the Federal Reserve chair, deliberate to inform lawmakers on Tuesday that the U.S. financial system was bouncing again however that the trail forward remained depending on the virus and the motion of policymakers.“We have entered an important new phase and have done so sooner than expected,” Mr. Powell stated in remarks ready for supply to the Home monetary providers committee. He’ll observe that shopper spending rebounded “strongly,” however will warn that the outlook is “extraordinarily uncertain” and hinges on whether or not efforts to include the pandemic succeed.“The path forward will also depend on the policy actions taken at all levels of government to provide relief and to support the recovery for as long as needed,” Mr. Powell deliberate to say.The Fed has labored to shore up markets and the financial system because the pandemic tossed thousands and thousands out of labor and starved companies of income. The company has lower rates of interest to close zero, purchased enormous portions of government-backed debt and rolled out a collection of emergency lending packages.Mr. Powell’s testimony on Tuesday is supposed to deal with these emergency efforts, that are backed by funding Congress earmarked as a part of its coronavirus financial response package deal. Mr. Powell will describe the packages, most of which have seen pretty restricted uptake as monetary situations have calmed, and because the non-public market or different authorities packages have met credit score demand.One notable exception is the Fed’s Paycheck Safety Program loan facility, which takes the federal government’s small-business loans off banks’ stability sheets to offer the establishments room to proceed lending. That program holds about $65 billion in excellent loans, he’s set to say, an indication that banks and different lenders have made use of the ability. — Jeanna SmialekUber has made a proposal to take over Postmates.Uber has made a takeover provide to purchase Postmates, the upstart supply service, in line with three folks aware of the matter, because the on-demand meals supply market consolidates and Uber appears to be like for brand spanking new methods to earn a living.The 2 firms might attain a deal as early as Monday night, in line with the folks, who spoke on the situation of anonymity as a result of they weren’t licensed to take action publicly. The talks are nonetheless occurring, the folks cautioned, and any potential for a deal might collapse.Representatives of Uber and Postmates declined to remark.Uber held merger talks this yr with Grubhub, a meals supply competitor. However these talks fell aside after the 2 firms couldn’t come to settlement on a price, two folks aware of the matter stated. Grubhub was finally purchased by Simply Eats, a European meals supply service, for $7.Three billion in June.Shortly after the Grubhub deal fell by way of, Uber started to piece collectively a possible provide for Postmates, one of many few stand-alone American firms in meals supply.Postmates additionally held sale talks with DoorDash and Grubhub over the previous yr, in line with two folks with information of the state of affairs, who declined to be recognized as a result of the talks had been non-public. — Mike Isaac and Erin GriffithWells Fargo stated its shareholders will get a smaller dividend from the corporate within the third quarter after the Federal Reserve instructed the bank it needed to cling on to extra capital to guard itself from uncertainties attributable to the pandemic.Final week, the Fed warned the nation’s greatest banks to not improve cash payouts to shareholders for the third quarter, which begins subsequent month, citing instability created by the coronavirus outbreak. On Monday, Wells Fargo stated it anticipated to scale back its dividend from its present stage, $0.51 per share, when it reviews second-quarter outcomes on July 14. It was the one huge bank to announce a diminished dividend; the others, together with Citigroup, Bank of America and JPMorgan Chase, are leaving theirs unchanged.The Fed’s warning of looming uncertainty was reiterated by one other regulator, the Workplace of the Comptroller of the Foreign money, which warned in a report on Monday that the pandemic had created a lot additional work for banks that they had been liable to falling down on fundamental necessities like reporting buyer exercise to credit score bureaus and rooting out fraud.The regulator, which oversees the nation’s largest banks, launched the report as a part of its routine assessments of the trade. It stated packages created by Congress to attempt to prop up the financial system, together with a $650 billion support package deal for small companies that was structured as a collection of forgivable loans, put particular stresses on banks simply as they had been grappling with unstable monetary market situations and widespread lockdowns that compelled lots of their workers to earn a living from home.“This could cause breakdowns in controls related to account management, servicing management, flood insurance coverage, credit bureau reporting and complying with applicable laws and regulations,” the report stated.The regulator additionally warned banks to maintain a detailed eye on loans to houses and companies that could possibly be in jeopardy due to the financial shutdown attributable to the pandemic, and to be careful for fraudsters trying to reap the benefits of the sudden shift to working from residence to seek out weaknesses in banks’ safety programs. — Emily FlitterCatch up: Right here’s what else is occurring.Norwegian Air, the once-fast-growing low-cost provider, stated on Monday it had canceled orders with Boeing for 92 737 Max jets and 5 787 Dreamliners, including to mounting cancellations for the aerospace big. Norwegian, which briefly laid off 90 % of its workers in March, additionally stated it was looking for compensation for the losses it incurred from the grounding of the Max and from engine troubles related to the Dreamliners.Broadway will stay darkish for no less than the remainder of this yr, and lots of exhibits are signaling that they don’t anticipate a return to the stage till late winter or early spring. The Broadway League stated on Monday that theater house owners and producers had been able to refund or exchange tickets bought for exhibits by way of Jan. 3. However the league stated it was not able to specify a date when exhibits would reopen.