Tesla shares dropped by 14% following a public conflict between Donald Trump and Elon Musk. The stock had previously surged after the 2020 presidential election due to investor optimism that Trump would support Musk’s ventures. However, the recent spat highlights the potential damage Trump could inflict, particularly if he decides to target Musk’s companies out…
P&G to Cut 7,000 Jobs and Raise Prices as Tariff Pressures Reshape Strategy
Procter & Gamble (P&G) announced a major restructuring plan that will reduce its workforce by about 7,000 jobs, or roughly 6%, over the next two years. This move aims to streamline operations as the company exits certain product categories in select markets. The initiative is part of P&G’s strategy to adapt to an increasingly challenging…
Fed’s Beige Book Signals Slowing U.S. Economy as Tariffs Drive Caution, Weigh on Hiring and Prices
The U.S. economy has shown signs of contraction over the past six weeks, as detailed in the Federal Reserve’s latest Beige Book report. Economic activity declined slightly since late April, with widespread caution among consumers and businesses. This hesitancy is largely driven by concerns about tariff-related price increases and broader economic and policy uncertainty across…
ECB Poised for Rate Cut as Inflation Stabilizes but Global Trade Uncertainty Clouds Future Moves
The European Central Bank (ECB) is expected to lower its key interest rate during its upcoming meeting, with market data from LSEG indicating a near certainty — a 99% chance — of a 25-basis-point reduction. This would bring the ECB’s deposit facility rate down to 2%, half of its 2023 peak of 4%. The rate…
China Tightens Grip on Rare Earth Magnets with New Tracking System and Export Controls
China has implemented a national tracking system for its rare earth magnet sector, a move that signals a deeper level of control over this critical industry. According to sources familiar with the matter, the system, introduced last week, mandates producers to report detailed data online, including trade volumes and client identities. This new requirement comes…
Staffing Shortages and Hiring Freeze Undermine Confidence in U.S. Inflation Data Accuracy
The Bureau of Labor Statistics (BLS), the agency responsible for producing key U.S. economic indicators, has reduced its data collection efforts due to staffing shortages. These shortages stem from a federal hiring freeze implemented by President Trump on January 20, upon his return to office. As a result, starting in April, the BLS scaled back…
Baggage Fee Backlash Grows as Airlines Expand Charges and Travelers Shift to Carry-On-Only Strategy
Air Canada and Southwest Airlines have joined a growing list of carriers now charging passengers for checked-in luggage, a trend that has drawn widespread criticism. Politicians and consumer groups are voicing their frustrations over what they call “junk fees,” which significantly increase the total cost of flying. Travelers like Lauren Alexander and Sage Riley express…
Charlie Scharf Gets Candid as Wells Fargo Emerges from Asset Cap and Plots Post-Scandal Growth
Charlie Scharf, CEO of Wells Fargo, admitted to feeling unexpectedly emotional after regulators lifted a $1.95 trillion asset cap that had long constrained the bank. Known for his stern demeanor, Scharf described the moment as deeply personal, reflecting on the hardships endured by employees and the bank’s protracted struggle since the fake-accounts scandal emerged in…
Markets Mixed as Trade Tensions Mount, Job Growth Slows, and Inflation Concerns Resurface
U.S. stock markets delivered mixed results on Wednesday as investors weighed ongoing trade negotiations and anticipated Friday’s employment report. The Nasdaq edged higher thanks to tech sector gains, while the S&P 500 remained mostly flat and the Dow slipped slightly. Treasury yields dropped, providing some relief to equity markets, as analysts observed a potential cap…
Treasury Yields Fluctuate as OECD Slashes U.S. Growth Forecast and Global Trade Tensions Mount
U.S. Treasury yields initially fell on Tuesday but later pared gains as investors assessed the implications of downgraded U.S. economic growth forecasts. The 10-year Treasury yield edged up slightly by 1 basis point to 4.464%, after earlier falling more than 4 basis points. The 30-year yield, however, dipped by 1 basis point to 4.985%. Yields,…