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Good morning. Philip Morris gets close to a controversial takeover, the outlook for oil demand softens, the U.K. sees positive economic data and Musk points fingers at chip makers. Here’s what’s moving markets.

Tobacco giant Philip Morris is closer to buying U.K.-based asthma drug maker Vectura. The latter’s board backed Philip Morris’ takeover offer over a lower bid from Carlyle. Scientific organizations and health charities have questioned whether a seller of cigarettes is a suitable parent for a drugs company. The deal is also a test of the environmental, social and governance credentials of investors — some asset managers are outright barred from doing business with tobacco giants due to ESG rules.