ISSUE NO. 79 – July 2020
US Retail Sales Jump In June (But It Could Be the Last Increase for Some Time)
Retail sales were up in May and June as economies reopened. A better-than-expected 7.5% jump in June, following a record-breaking 18.2% increase in sales in May, surpassed economists’ predictions. The rebound occurred after businesses reopened and pent-up demand for retail goods and services came into play.
CardLinx Insight:
The re-shuttering of retail due to climbing numbers of Covid-19 cases has led to higher levels of unemployment—and the anticipation of a sales slowdown in the next several months. Expect the remainder of third quarter and beyond to show decreasing sales in brick-and-mortar operations that won’t relent until coronavirus abates and/or a vaccine is approved.
Alipay Parent Ant Moves IPO Close to Home
China-based tech and financial services company Ant Group Co. is planning an initial public offering of leading mobile wallet company Alipay in Hong Kong and Shanghai. The official reasons stated for the move is that growth of the company will be focused on China. In contrast, Ant-held Alibaba, the Chinese-based ecommerce giant, and the organization from which Alipay spun off, went public with New York as its listing venue in 2014.
Cardlinx Insight:
Mounting tensions between the US and China prompted the decision. Economic pressures and China’s handling of the coronavirus have led to the threat of sanctions, as well as the delisting of Chinese companies from US stock exchanges for failure to follow regulations. Possible legislation to impede China companies from listing in the US suggest the superpowers will continue to be at odds.
Plaid Sued in New Class Action
California-based financial services company Plaid is facing a class-action lawsuit. The suit claims it violated customers’ privacy and used private data without permission. More than 200 million accounts were allegedly impacted by Plaid’s practice of harvesting information and selling it without disclosure. The news was previously reported by Cardlinx in May. Since then, Plaid has denied the charges.
CardLinx Insight:
The fin-tech industry has made significant strides in instilling consumer confidence. Making transactions more convenient and more rewarding—without compromising privacy—has been its promise for years. Recent allegations threaten to set the industry back, causing consumers to question whether the transparency and control they’ve come to count on is real. The Cardlinx team believes the time is right to reassure stakeholders of the data principles inherent in your solution.
Are Corporate and Tech Boards Finally Embracing Diversity?
We are bringing their insights from around the world straight to you in an informative new podcast called Fin-Tech Friday. The podcast features insights, interviews and the latest news from CardLinx members around the world. Stay connected and subscribe to CardLinx Fin-Tech Friday.
Upcoming CardLinx Conferences
CARDLINX ASIA
THE AGE OF MOBILE WALLETS & MOBILE OFFERS
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DATA & MOBILE OFFERS – THE NEXT PHASE OF COMMERCE
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CardLinx Commerce Tracker
The CardLinx Association brings to you an interactive world map that tracks the top 20 national economies of the world. Stay up to date with the constantly changing restrictions and reopenings of economic activity related to Covid 19. Find out which of the top world economies are open for business with the CardLinx Commerce Tracker.
CardLinx Webinar Series
Each month, The CardLinx Association hosts a live, interactive webinar with speakers from some of the biggest companies in the world on the most important and relevant topics for your business. Topics include impacts of Covid-19 on the industry in terms of consumer credit behavior, mobile wallets, card companies and lenders. The webinars are complimentary for all CardLinx members. Non-members must pay a registration fee of $149. Register today as space for each webinar is limited!
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