Daily Update: November 11, 2020

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As many foreign leaders step in to congratulate President-elect Joe Biden on his victory in the U.S. election, there remains some question about how the new administration will aproach trade policy. Trade has been a closely watched issue during the election and its immediate aftermath. While Mr. Biden has reiterated his desire to strengthen bilateral ties and multilateral institutions, he struck an aggressive posture toward China during the campaign.

“We need to be having the rest of our friends with us saying to China: These are the rules,” Mr. Biden said during the second presidential debate. “You play by them or you’re going to pay the price for not playing by them, economically.”

His multilateral approach to encouraging China to adhere to international trade standards may be difficult to achieve after four years of increased unilateralism on trade issues from the Trump Administration. Mr. Biden has declared his intention to remove tariffs from many Chinese goods, but hasn’t said what concessions he might require from Beijing.

"I think everybody is now aligned that you need to take a far more direct approach with China,” said Chris Midgley, global head of analytics for S&P Global Platts. “Whereas before I think China had been just allowed to happily grow ... because everyone didn't want to aggravate the administration there. Now we will continue to see stronger, more aggressive trade negotiations."

President-elect Biden may be limited in his ability to become more aggressive with Beijing, as China remains an important market for many agricultural producers and for parts of the U.S. energy sector.

China has been notable for its unwillingness to congratulate the president-elect, one of the few nations that hasn’ts yet done so. With two months left of the current administration, China must walk a fine line to maintain good relations.

"We understand that the outcome of the general election will be determined in accordance with the laws and procedures of the United States," Chinese Foreign Ministry spokesman Wang Wenbin told CNN. "We will handle the issue of the statement (of congratulations) in accordance with international practice."

Today is Wednesday, November 11, 2020, and here is today’s essential intelligence.

ESG in the Time of COVID-19

Black Representation in Insurance Grows Slowly as Industry Seeks to Diversify

With growing calls for diversity and a dearth of new talent, the U.S. insurance industry has made some progress in adding more people of color to its ranks over the last decade.

—Read the full article from S&P Global Market Intelligence

Sustainable Finance Addresses Social Justice as COVID-19 Raises the Stakes

Economic shocks from the pandemic have widened existing inequities around the world, leading to calls for greater social justice in dealing with this health threat.

—Read the full report from S&P Global Ratings

Executive, Agency Actions Offer More Viable Pathway for Biden's Climate Plan

Facing a high likelihood of a divided Congress when he assumes office, U.S. President-elect Joe Biden is charting a course that will rely on aggressive regulatory actions, executive orders, and incremental legislation to curb global warming and address other energy and environmental issues.

—Read the full article from S&P Global Market Intelligence

The Future of Credit

Potential Vaccine's Stock Ripples Boosted Sectors with the Most Default Risk

The announcement of a possible coronavirus vaccine with 90% efficacy in a trial provided a boost for some of the companies most at risk of default as a result of the pandemic, with stocks climbing sharply in hardest-hit sectors.

—Read the full article from S&P Global Market Intelligence

Technology & Innovation

Online Brokerage Space Should Remain Rich Source of M&A

The online brokerage arena will likely remain fertile ground for mergers in the years ahead, according to S&P Global Market Intelligence’s 2020 U.S. Digital Investing Market Report.

—Read the full article from S&P Global Market Intelligence

Alibaba on Track for Strong Singles Day as Chinese Consumers Remain Bullish

Early sales figures for Alibaba Group Holding Ltd.'s modified Singles Day event on Nov. 11 show that the Chinese e-commerce company is on track for another impressive edition of what is the world's largest shopping festival.

—Read the full article from S&P Global Market Intelligence

The Future of Energy & Commodities

Biden Win to Bring New Approach to Energy Markets

Energy markets and sectors were quick to react to the news that Joe Biden was declared the winner of the 2020 race to the White House.

—Read the full article from S&P Global Market Intelligence

Written and compiled by Molly Mintz.