Bloomberg - Evening Briefing - Harvard’s legacies

The fallout has begun. Harvard University was accused by minority groups of violating federal law in giving preferential treatment to the children of alumni and wealthy donors just days after the Republican-appointee controlled Supreme Court struck down the use of race-based affirmative action in college admissions. The long-standing practice benefitting “legacies” flouts the Civil Rights Act of 1964’s bar on racial discrimination in programs that receive federal funds, the plaintiffs contend. They point out that some 70% of legacies are White. The complaint, filed with the Department of Education, comes as the US continues to grapple with the fallout of the high court’s 6-3 ruling curtailing affirmative action, which had been used by universities to diversify campuses after historically discriminatory admissions practices. Harvard, for its part, forcefully defended affirmative action after the Supreme Court ruling and said it would find other ways to ensure diversity. As for the complaint about legacies, the school declined to comment. “Each year, Harvard College grants special preference in its admissions process to hundreds of mostly White students,” the plaintiffs wrote. “Not because of anything they have accomplished, but rather solely because of who their relatives are.” —Natasha Solo-Lyons

The world’s 500 richest people added $852 billion to their fortunes in the first half of 2023. Each member of the Bloomberg Billionaires Index, including big names like mark Zuckerberg and Elon Musk, made an average of $14 million per day over the past six months, according to data compiled by Bloomberg. It was the best half-year for billionaires since the back half of 2020, when the economy began to rebound from the Covid-19 recession. 

Elon Musk Photographer: Nathan Laine/Bloomberg

China imposed restrictions on exporting two metals that are crucial to the semiconductor, telecommunications and electric-vehicle industries, in an escalation of the country’s tit-for-tat trade war on technology with the US and Europe.

Greg Jensen, the co-chief investment officer of the world’s biggest hedge fund, says markets are getting it wrong. He argues that investors are still too optimistic about the prospects for economic growth and the ability of the Federal Reserve to permanently stamp out inflation.

Investors seem to disagree. US stocks shook off warnings about cooling growth and data showing a slowdown in manufacturing to edge higher ahead of the Independence Day holiday. Here’s your markets wrap. 

BYD and Tesla set sales records in the second quarter, likely widening their lead as the world’s top electric-car makers. BYD, China’s leading auto brand, posted its best-ever quarter, selling 700,244 fully electric and plug-in hybrid vehicles. Tesla delivered 466,140 cars worldwide, beating Wall Street estimates.

Yang Dongsheng, vice president of BYD Co., at an unveiling event for the BYD Denza N7 electric sport utility vehicle in Beijing on Monday. Photographer: Qilai Shen/Bloomberg

The European Union is taking up the cause of work-from-home protections and rights. Over 30 European Union lawmakers have signed a document that would ultimately ensure access to co-working spaces, prohibit tracking workers’ computers at home and protect them from having to send or respond to emails outside of working hours.

AI and burgers. It’s likely to crop up when US financial professionals gather with their friends or families for July 4 cookouts, if the latest Markets Live Pulse survey is any indication. About 40% of the professional investors anticipate AI will come up during the holiday. While the most visible impact of AI is the flood of money into tech stocks, the technology is also mentioned as something that could disrupt the wealth management world. 

• Chinese cookie tycoon gains $1.2 billion in taking firm private.
• Japan set to pour Fukushima waste into Pacific, irking China.
• Five key charts to watch in global commodities this week.
• Bank of America says it started talks with the Fed after stress test.
• Bloomberg Opinion: Supreme Court’s rightward revolution takes shape.
• Bloomberg Opinion: Tesla sales surge, but at what cost?
• Bloomberg Opinion: Grad school is not the escape you are looking for.

No place in the world takes dim sum more seriously than Hong Kong. The mainstay meal is everything, whether combative weekend sport or exuberant multigenerational family happening. When we asked, “Where can you find the very best dim sum in Hong Kong?” our panel of passionate chefs pointed us to their favorites. The chosen spots include local canteens and multi-Michelin-starred fine-dining. From classic roast pork puffs to striking charcoal black custard buns, here are the best bites in the city.

Photographer: Gareth Brown @ Blow Up Studios

The Evening Briefing will return on Wednesday, July 5.

Get the Bloomberg Evening Briefing: If you were forwarded this newsletter, sign up here to receive it in your mailbox daily along with our Weekend Reading edition on Saturdays.

The Bloomberg Sustainable Business Summit returns to Singapore on July 26. Join us in person or virtually for programs convening business leaders and investors to drive innovation and scale best practices in sustainable business and finance. Register now to secure your spot.