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The UK job market continues to cool, with recent figures showing a slowdown in hiring and wage growth, suggesting the impact of higher business taxes and the National Living Wage increase is beginning to settle. The Office for National Statistics (ONS) revealed that the number of people on payrolls fell by 8,000 between June and July, the smallest decline since January. Economists had anticipated a larger drop of 20,000. The unemployment rate remained steady at 4.7 per cent, a four-year high, while job vacancies across the economy dropped by 44,000, marking the 37th consecutive month of decline.<h2>Higher employment costs, slower wage growth</h2>The cooling labour market followed significant changes in April, when the government raised payroll taxes for businesses and increased the national living wage from £11.44 ($15.39) to £12.21 ($16.42) per hour. These moves, alongside a rise in employer national insurance contributions, have increased operational costs for businesses, particularly in sectors such as retail and hospitality. While overall wage growth remained steady at 5 per cent, the rate of growth in private sector wages slowed to 4.8 per cent, the weakest increase since January 2022.The Bank of England is closely monitoring these trends, as wage growth is an important indicator of inflationary pressures. Despite the slowdown in earnings, the Bank’s Monetary Policy Committee recently voted to cut interest rates to 4 per cent, with further cuts expected as inflation continues to ease from its peak in 2022.<h2>Modest outlook amid cooling market</h2>Despite the challenges, some experts are seeing signs of stability. Economists noted that the modest decline in payrolls suggests that the worst impacts of tax hikes and wage increases may be passing. However, the falling number of vacancies, now at their lowest point since April 2021, indicates ongoing caution among employers. Retail and hospitality businesses, facing higher labour costs, are also adjusting their hiring strategies, with a shift towards hiring more experienced workers.While some others acknowledged the positive aspects of the data and emphasised the need for further work to reduce the high unemployment rate. Meanwhile, opposition figures criticised the government’s tax policy, blaming it for constraining business growth.&nbsp;(With inputs from agencies)

Economists had anticipated a larger drop of 20,000. The unemployment rate remained steady at 4.7 per cent, a four-year high, while job vacancies across the economy dropped by 44,000, marking the 37th consecutive month of decline.

The UK job market continues to cool, with recent figures showing a slowdown in hiring and wage growth, suggesting the impact of higher business taxes and the National Living Wage increase is beginning to settle. The Office for National Statistics (ONS) revealed that the number of people on payrolls fell by 8,000 between June and July, the smallest decline since January. Economists had anticipated a larger drop of 20,000. The unemployment rate remained steady at 4.7 per cent, a four-year high, while job vacancies across the economy dropped by 44,000, marking the 37th consecutive month of decline. Higher employment costs, slower wage growth The cooling labour market followed significant changes in April, when the government raised payroll taxes for businesses and increased the national living wage from £11.44 ($15.39) to £12.21 ($16.42) per hour. These moves, alongside a rise in employer national insurance contributions, have increased operational costs for businesses, particularly in sectors such as retail and hospitality. While overall wage growth remained steady at 5 per cent, the rate of growth in private sector wages slowed to 4.8 per cent, the weakest increase since January 2022. The Bank of England is closely monitoring these trends, as wage growth is an important indicator of inflationary pressures. Despite the slowdown in earnings, the Bank’s Monetary Policy Committee recently voted to cut interest rates to 4 per cent, with further cuts expected as inflation continues to ease from its peak in 2022. Modest outlook amid cooling market Despite the challenges, some experts are seeing signs of stability. Economists noted that the modest decline in payrolls suggests that the worst impacts of tax hikes and wage increases may be passing. However, the falling number of vacancies, now at their lowest point since April 2021, indicates ongoing caution among employers. Retail and hospitality businesses, facing higher labour costs, are also adjusting their hiring strategies, with a shift towards hiring more experienced workers. While some others acknowledged the positive aspects of the data and emphasised the need for further work to reduce the high unemployment rate. Meanwhile, opposition figures criticised the government’s tax policy, blaming it for constraining business growth. (With inputs from agencies)

Economists had anticipated a larger drop of 20,000. The unemployment rate remained steady at 4.7 per cent, a four-year high, while job vacancies across the economy dropped by 44,000, marking the 37th consecutive month of decline.

UK job market shows signs of easing as vacancies and payrolls fall

US consumer prices are expected to have increased only marginally in July, but rising costs for tariff-hit goods such as household furniture and apparel could push underlying inflation to its largest gain in six months. According to Reuters, the Labour Department’s Consumer Price Index (CPI) data which is due on Tuesday, comes amid mounting concerns over the reliability of official inflation and jobs statistics. Budget and staffing cuts at the Bureau of Labor Statistics (BLS) have forced the suspension of price collection in parts of the country, with missing data now filled in using statistical models.<h2>Tariffs, deportations, and price pressures</h2>The Reuters poll of economists shows the CPI likely rose 0.2 per cent in July, easing from June’s 0.3 per cent increase. Falling gasoline prices likely offset some of the gains from higher food costs. Analysts say labour shortages in agriculture,&nbsp;driven by President Donald Trump’s stepped-up deportations of undocumented migrants and import tariffs are keeping food prices elevated.&nbsp;Over the past 12 months, the CPI is forecast to have risen 2.8 per cent, compared with 2.7 per cent in June. Stripping out food and energy, the so-called core CPI is expected to have climbed 0.3 per cent month-on-month, the sharpest rise since January, Jason Pride, chief of investment strategy at Glenmede, told Reuters that consumers have so far absorbed about one-third of the tariff burden. But as pre-tariff inventories run down, companies may pass more costs onto households in the coming months.<h2>Fed rate cut speculation builds</h2>The Federal Reserve uses different inflation measures for its 2 per cent target. July’s CPI reading, if in line with forecasts, is unlikely to derail market expectations that the US central bank could resume cutting interest rates in September, after holding the benchmark rate at 4.25–4.50 per cent for five consecutive meetings.<h2>Data integrity under scrutiny</h2>Concerns over data quality intensified after Trump fired BLS Commissioner Erika McEntarfer earlier this month, following a dismal July jobs report that showed stall-speed employment growth and large downward revisions to earlier payroll data.&nbsp;The BLS has now fully halted CPI data collection in one city each in Nebraska, Utah, and New York, and suspended 15 per cent of sampling in other regions. Missing prices are increasingly filled through “different cell imputation," where data from other geographical areas is substituted,&nbsp;rather than “home cell” estimates from the same location.&nbsp;The share of CPI data based on such imputations surged to 35 per cent in June from just 8 per cent a year earlier. Economists warn that while these methods may not create bias, they do increase volatility and reliance on statistical assumptions over actual observed prices.&nbsp;Michael Gapen, chief US economist at Morgan Stanley, told Reuters: “A growing share of imputations in CPI means a larger portion of inflation is driven by models, assumptions, and estimates instead of sampling actual prices. Investors are right to have concerns.”&nbsp;(With inputs from the agencies)&nbsp;

CPI is projected to climb 0.2%, down from June’s 0.3%. Factors include labour shortages in agriculture, shaped by deportations and tariffs. 

US consumer prices are expected to have increased only marginally in July, but rising costs for tariff-hit goods such as household furniture and apparel could push underlying inflation to its largest gain in six months. According to Reuters, the Labour Department’s Consumer Price Index (CPI) data which is due on Tuesday, comes amid mounting concerns over the reliability of official inflation and jobs statistics. Budget and staffing cuts at the Bureau of Labor Statistics (BLS) have forced the suspension of price collection in parts of the country, with missing data now filled in using statistical models. Tariffs, deportations, and price pressures The Reuters poll of economists shows the CPI likely rose 0.2 per cent in July, easing from June’s 0.3 per cent increase. Falling gasoline prices likely offset some of the gains from higher food costs. Analysts say labour shortages in agriculture, driven by President Donald Trump’s stepped-up deportations of undocumented migrants and import tariffs are keeping food prices elevated. Over the past 12 months, the CPI is forecast to have risen 2.8 per cent, compared with 2.7 per cent in June. Stripping out food and energy, the so-called core CPI is expected to have climbed 0.3 per cent month-on-month, the sharpest rise since January, Jason Pride, chief of investment strategy at Glenmede, told Reuters that consumers have so far absorbed about one-third of the tariff burden. But as pre-tariff inventories run down, companies may pass more costs onto households in the coming months. Fed rate cut speculation builds The Federal Reserve uses different inflation measures for its 2 per cent target. July’s CPI reading, if in line with forecasts, is unlikely to derail market expectations that the US central bank could resume cutting interest rates in September, after holding the benchmark rate at 4.25–4.50 per cent for five consecutive meetings. Data integrity under scrutiny Concerns over data quality intensified after Trump fired BLS Commissioner Erika McEntarfer earlier this month, following a dismal July jobs report that showed stall-speed employment growth and large downward revisions to earlier payroll data. The BLS has now fully halted CPI data collection in one city each in Nebraska, Utah, and New York, and suspended 15 per cent of sampling in other regions. Missing prices are increasingly filled through “different cell imputation," where data from other geographical areas is substituted, rather than “home cell” estimates from the same location. The share of CPI data based on such imputations surged to 35 per cent in June from just 8 per cent a year earlier. Economists warn that while these methods may not create bias, they do increase volatility and reliance on statistical assumptions over actual observed prices. Michael Gapen, chief US economist at Morgan Stanley, told Reuters: “A growing share of imputations in CPI means a larger portion of inflation is driven by models, assumptions, and estimates instead of sampling actual prices. Investors are right to have concerns.” (With inputs from the agencies)

US consumer prices are anticipated to rise slightly in July, with tariffs on goods like furniture and apparel potentially causing underlying inflation to increase.

US inflation likely rose slightly in July as data quality concerns deepen

Chinese manufacturers are cutting shifts, reducing overtime pay, and relying more on temporary workers to stay afloat as US tariffs bite into profits, according to a Reuters report from Guangzhou. The strain is particularly visible in export hubs like Guangdong, where competition for non-US markets is intensifying. Mike Chai, who runs Cartia Global Manufacturing, a kitchen cabinet producer in Foshan, told Reuters he is aiming to cut wage costs by about 30% to keep up with Chinese rivals who have abandoned the US market due to steep tariffs. These competitors are now targeting his Australian customers, forcing him to shorten shifts and ask employees to take unpaid leave.&nbsp;Chai has already halved his workforce since the pandemic and says his factory is now operating at only half capacity. “We’re in survival mode,” he said. “You don’t want our factory to go broke… let’s do it together.”<h2>Tariff truce offers temporary relief</h2>The pressure comes even as Washington and Beijing extended a 90-day tariff truce this week, preventing duties from returning to April’s triple-digit levels. However, Reuters notes that while China’s official unemployment rate remains around 5%, underemployment is worsening, a trend economists say is eroding worker incomes, confidence, and spending power.&nbsp;Natixis Asia-Pacific chief economist Alicia Garcia-Herrero told Reuters that the export model is punishing workers rather than companies. “If you need to export at a loss, do not export,” she said, warning of a “spiral” of lower prices, lower wages, and weaker consumption.&nbsp;July data shows Chinese exports to the US dropped 21.7% year-on-year, while shipments rose to the EU (+9.2%), ASEAN (+16.6%), and Australia (+14.8%). But winning these markets means cutting prices further, Chai plans a 10% reduction and reducing overtime, which once made up more than a third of workers’ pay.<h2>Rise of temporary and lower-paid work</h2>Reuters reports that many factories are replacing full-time staff with temporary hires to avoid pension and insurance costs. Some workers, like Alan Zhang in Guangzhou, now earn less than half their 2021 daily rate and struggle to find more than two weeks of work per month.&nbsp;Pay rates for temp jobs have also fallen, from 16 yuan an hour last year to 14 yuan in some regions, while job seekers crowd factory recruitment markets in cities like Wuhan and Shenzhen. For some, conditions are so strained that they turn down work that falls short of advertised wages or requires upfront fees.&nbsp;Economists warn that if manufacturing wages continue to be squeezed, deflationary pressure could spread across China’s wider economy, particularly in lower-skill industries such as textiles, furniture, and simple electronics.&nbsp;(With inputs from the agencies)&nbsp;

While a tariff truce provides temporary relief, underemployment and lower incomes worsen. Many factories replace full-time staff with temp hires, leading to declining pay rates and increased job seeker competition, risking deflation in lower-skill industries.

Chinese manufacturers are cutting shifts, reducing overtime pay, and relying more on temporary workers to stay afloat as US tariffs bite into profits, according to a Reuters report from Guangzhou. The strain is particularly visible in export hubs like Guangdong, where competition for non-US markets is intensifying. Mike Chai, who runs Cartia Global Manufacturing, a kitchen cabinet producer in Foshan, told Reuters he is aiming to cut wage costs by about 30% to keep up with Chinese rivals who have abandoned the US market due to steep tariffs. These competitors are now targeting his Australian customers, forcing him to shorten shifts and ask employees to take unpaid leave. Chai has already halved his workforce since the pandemic and says his factory is now operating at only half capacity. “We’re in survival mode,” he said. “You don’t want our factory to go broke… let’s do it together.” Tariff truce offers temporary relief The pressure comes even as Washington and Beijing extended a 90-day tariff truce this week, preventing duties from returning to April’s triple-digit levels. However, Reuters notes that while China’s official unemployment rate remains around 5%, underemployment is worsening, a trend economists say is eroding worker incomes, confidence, and spending power. Natixis Asia-Pacific chief economist Alicia Garcia-Herrero told Reuters that the export model is punishing workers rather than companies. “If you need to export at a loss, do not export,” she said, warning of a “spiral” of lower prices, lower wages, and weaker consumption. July data shows Chinese exports to the US dropped 21.7% year-on-year, while shipments rose to the EU (+9.2%), ASEAN (+16.6%), and Australia (+14.8%). But winning these markets means cutting prices further, Chai plans a 10% reduction and reducing overtime, which once made up more than a third of workers’ pay. Rise of temporary and lower-paid work Reuters reports that many factories are replacing full-time staff with temporary hires to avoid pension and insurance costs. Some workers, like Alan Zhang in Guangzhou, now earn less than half their 2021 daily rate and struggle to find more than two weeks of work per month. Pay rates for temp jobs have also fallen, from 16 yuan an hour last year to 14 yuan in some regions, while job seekers crowd factory recruitment markets in cities like Wuhan and Shenzhen. For some, conditions are so strained that they turn down work that falls short of advertised wages or requires upfront fees. Economists warn that if manufacturing wages continue to be squeezed, deflationary pressure could spread across China’s wider economy, particularly in lower-skill industries such as textiles, furniture, and simple electronics. (With inputs from the agencies)

Chinese manufacturers are cutting shifts, reducing overtime, and hiring more temporary workers to cope with profits declining due to US tariffs, particularly in Guangdong.

China’s factories slash shifts and wages as US tariffs squeeze export margins

Australia’s central bank, the Reserve Bank of Australia (RBA), has announced a reduction in its benchmark interest rate by 25 basis points, bringing it to 3.6 per cent. This marks the third rate cut this year and reflects the ongoing challenges faced by the country’s economy. The move was made in response to weaker-than-expected economic growth and a continued decline in inflation, which the RBA is aiming to keep within its target range of 2-3 per cent. The central bank’s decision comes after inflation in Australia fell to 2.1 per cent in the second quarter, its lowest rate since March 2021. This drop has been attributed to tighter monetary policies and declining aggregate demand. The RBA governor, Michele Bullock, emphasised that inflation had “substantially” decreased from its peak in 2022, but the economy's overall growth has stalled, leading the RBA to adjust its economic forecasts.<h2>Economic growth forecast downgraded amid sluggish performance</h2>In addition to the interest rate cut, the RBA downgraded its growth forecast for the Australian economy to 1.7 per cent for the year, down from an earlier estimate of 2.1 per cent. This revision reflects weaker-than-expected public demand in early 2025, which is unlikely to be compensated by the rest of the year. The economy grew by just 1.3 per cent in the first quarter, falling short of the expected 1.5 per cent. On a quarterly basis, growth was even weaker, expanding by only 0.2 per cent, compared to the forecasted 0.4 per cent.This stagnation in growth has been attributed to several factors, including reduced public spending, weakening consumer demand, and lower export performance. Despite these challenges, inflation continues to move toward the RBA's target range, and the labour market remains relatively stable, although unemployment rose to 4.3 per cent in June from 4.1 per cent in February.<h2>Rate cuts expected to continue amid global economic uncertainty</h2>While the Australian economy faces challenges, the outlook for future rate cuts remains a topic of speculation. Analysts from the Commonwealth Bank of Australia predict another rate cut by November, with potential for further easing in early 2026. Some experts expect rates to fall to 2.85 per cent by mid-2026, largely due to the RBA’s revised inflation forecasts.International factors, including US trade tariffs and global economic conditions, also play a significant role in Australia’s monetary policy decisions. The RBA noted that while the risks of a “very damaging” global trade war have diminished, uncertainties persist. The weakening of the Australian dollar, down 0.15 per cent to 0.6501 against the US dollar, reflects the global economic pressures, despite the RBA’s efforts to stabilise inflation.&nbsp;(With inputs from agencies)

The RBA governor, Michele Bullock, emphasised that inflation had “substantially” decreased from its peak in 2022, but the economy's overall growth has stalled, leading the RBA to adjust its economic forecasts.

Australia’s central bank, the Reserve Bank of Australia (RBA), has announced a reduction in its benchmark interest rate by 25 basis points, bringing it to 3.6 per cent. This marks the third rate cut this year and reflects the ongoing challenges faced by the country’s economy. The move was made in response to weaker-than-expected economic growth and a continued decline in inflation, which the RBA is aiming to keep within its target range of 2-3 per cent. The central bank’s decision comes after inflation in Australia fell to 2.1 per cent in the second quarter, its lowest rate since March 2021. This drop has been attributed to tighter monetary policies and declining aggregate demand. The RBA governor, Michele Bullock, emphasised that inflation had “substantially” decreased from its peak in 2022, but the economy's overall growth has stalled, leading the RBA to adjust its economic forecasts. Economic growth forecast downgraded amid sluggish performance In addition to the interest rate cut, the RBA downgraded its growth forecast for the Australian economy to 1.7 per cent for the year, down from an earlier estimate of 2.1 per cent. This revision reflects weaker-than-expected public demand in early 2025, which is unlikely to be compensated by the rest of the year. The economy grew by just 1.3 per cent in the first quarter, falling short of the expected 1.5 per cent. On a quarterly basis, growth was even weaker, expanding by only 0.2 per cent, compared to the forecasted 0.4 per cent. This stagnation in growth has been attributed to several factors, including reduced public spending, weakening consumer demand, and lower export performance. Despite these challenges, inflation continues to move toward the RBA's target range, and the labour market remains relatively stable, although unemployment rose to 4.3 per cent in June from 4.1 per cent in February. Rate cuts expected to continue amid global economic uncertainty While the Australian economy faces challenges, the outlook for future rate cuts remains a topic of speculation. Analysts from the Commonwealth Bank of Australia predict another rate cut by November, with potential for further easing in early 2026. Some experts expect rates to fall to 2.85 per cent by mid-2026, largely due to the RBA’s revised inflation forecasts. International factors, including US trade tariffs and global economic conditions, also play a significant role in Australia’s monetary policy decisions. The RBA noted that while the risks of a “very damaging” global trade war have diminished, uncertainties persist. The weakening of the Australian dollar, down 0.15 per cent to 0.6501 against the US dollar, reflects the global economic pressures, despite the RBA’s efforts to stabilise inflation. (With inputs from agencies)

The RBA governor, Michele Bullock, emphasised that inflation had “substantially” decreased from its peak in 2022, but the economy's overall growth has stalled, leading the RBA to adjust its economic forecasts.

Australia cuts interest rates amid economic slowdown and inflation relief

Bank of America has lowered its US Treasury yield forecasts, citing weaker economic data and rising political risks that could push the Federal Reserve toward a more dovish policy stance. As per Bloomberg, interest-rate strategists led by Mark Cabana now expect two-year Treasury yields to end 2025 at 3.5 per cent, down from their earlier projection of 3.75 per cent. They see 10-year yields finishing the year at 4.25 per cent, compared with a previous forecast of 4.5 per cent.<h2>Weaker data shifts market outlook</h2>“Recent US data has meaningfully shifted market Fed pricing and our view on US rates,” Cabana wrote in a client note on Monday. He added that the risk of “Fed independence erosion," potentially leading to higher inflation tolerance and more policymakers advocating for lower rates is factored into the bank’s revised view.&nbsp;While Bank of America’s economics team still expects the Fed to hold rates steady until the second half of 2026, Cabana’s rates team highlighted that softer US labour market data has increased downside risks.&nbsp;The appointment of Stephen Miran, an ally of President Donald Trump, as a Fed governor is seen as another factor that could tilt the balance in favour of lower interest rates, Bloomberg reported.<h2>Market bets on rate cuts grow</h2>According to Bloomberg, the strategists are recommending bets on five-year overnight index swaps falling to 2.8 per cent from 3.46 per cent currently. They also advise “adding duration on any rate back up” and anticipate that breakeven rates, a measure of inflation expectations, will widen.Interest-rate swaps show traders have priced in more than two Fed rate cuts by December, with an 80 per cent probability of a quarter-point reduction as early as next month. While Bank of America sees September market pricing as “stretched,” the strategists said they are reluctant to bet against it due to the risk of a larger 50-basis-point cut,&nbsp;similar to the Fed’s surprise move in September 2024 when it began its easing cycle with a jumbo cut.<h2>Bank of America’s revised US Treasury yield forecasts</h2>The table below shows Bank of America’s old versus new year-end 2025 forecasts for US Treasury yields. The revision reflects expectations that the Fed could pivot to lower rates sooner, given softer economic data and political developments.

<figure class="table"><table><tbody><tr><td>Maturity</td><td>Previous Forecast (Dec 2025)</td><td>New Forecast (Dec 2025)</td></tr><tr><td>2-year</td><td>3.75%</td><td>3.50%</td></tr><tr><td>10-year</td><td>4.50%</td><td>4.25%</td></tr></tbody></table></figure>(Source: Bank of America projections, as per Bloomberg)

(With inputs from the agencies)&nbsp;

Two-year yields are now expected to finish 2025 at 3.5% (previously 3.75%), while 10-year yields are forecast at 4.25% (down from 4.5%). Increased bets on rate cuts reflect a dovish outlook for the Federal Reserve.

Bank of America has lowered its US Treasury yield forecasts, citing weaker economic data and rising political risks that could push the Federal Reserve toward a more dovish policy stance. As per Bloomberg, interest-rate strategists led by Mark Cabana now expect two-year Treasury yields to end 2025 at 3.5 per cent, down from their earlier projection of 3.75 per cent. They see 10-year yields finishing the year at 4.25 per cent, compared with a previous forecast of 4.5 per cent. Weaker data shifts market outlook “Recent US data has meaningfully shifted market Fed pricing and our view on US rates,” Cabana wrote in a client note on Monday. He added that the risk of “Fed independence erosion," potentially leading to higher inflation tolerance and more policymakers advocating for lower rates is factored into the bank’s revised view. While Bank of America’s economics team still expects the Fed to hold rates steady until the second half of 2026, Cabana’s rates team highlighted that softer US labour market data has increased downside risks. The appointment of Stephen Miran, an ally of President Donald Trump, as a Fed governor is seen as another factor that could tilt the balance in favour of lower interest rates, Bloomberg reported. Market bets on rate cuts grow According to Bloomberg, the strategists are recommending bets on five-year overnight index swaps falling to 2.8 per cent from 3.46 per cent currently. They also advise “adding duration on any rate back up” and anticipate that breakeven rates, a measure of inflation expectations, will widen. Interest-rate swaps show traders have priced in more than two Fed rate cuts by December, with an 80 per cent probability of a quarter-point reduction as early as next month. While Bank of America sees September market pricing as “stretched,” the strategists said they are reluctant to bet against it due to the risk of a larger 50-basis-point cut, similar to the Fed’s surprise move in September 2024 when it began its easing cycle with a jumbo cut. Bank of America’s revised US Treasury yield forecasts The table below shows Bank of America’s old versus new year-end 2025 forecasts for US Treasury yields. The revision reflects expectations that the Fed could pivot to lower rates sooner, given softer economic data and political developments.

Bank of America has revised its US Treasury yield forecasts downwards due to weaker economic data and rising political risks.

Bank of America cuts US rates outlook as weak data, Fed risks mount

India is hopeful that trade talks with the United States will proceed as planned, despite a recent escalation in tariffs that has raised tensions between the two countries. Last week, US President Donald Trump imposed an additional 25 per cent tariff on Indian exports, bringing the total tariff to 50 per cent on Indian goods, a move that has placed India among the highest taxed nations in terms of trade with the US. The new levies stem from India’s continued purchase of sanctioned Russian oil, a move that has strained relations between Washington and New Delhi.Despite the tariff hike, Indian lawmakers have expressed optimism about the continuation of trade discussions. A parliamentary panel on foreign affairs was briefed on the situation, with officials reaffirming the importance of the multi-dimensional relationship between the two nations. “Our relations with the US are multi-dimensional, and trade is just one aspect,” said one of the lawmakers, citing a briefing from the Indian government.India’s junior finance minister, Pankaj Chaudhary, provided estimates that around 55 per cent of India’s merchandise exports to the US would be impacted by the new tariffs, which include both the recent 25 per cent tariff and the initial 25 per cent levy. Despite these challenges, trade talks are set to continue, with a US trade delegation scheduled to visit New Delhi on August 25 for the sixth round of negotiations. “As of now, there is no change in the existing plans for the US delegation’s visit,” said Shashi Tharoor, chairman of the Parliamentary Committee on Foreign Affairs.<h2>India’s uncompromising stance on key sectors</h2>India’s government has made it clear that it will not back down on certain key sectors during the trade negotiations. In particular, the country is firm in its stance on agriculture and dairy, which it considers red lines. Officials emphasised this during the committee briefing, stating that India would not be pressured into opening these sectors for trade with the US. The government is also actively exploring alternative trade partnerships, including expedited talks with the European Union (EU) and other nations, to mitigate the economic impact of the tariffs.Commerce Secretary Sunil Barthwal outlined that US tariffs have been applied in three broad categories: global tariffs affecting all countries, sector-specific tariffs aimed at industries like textiles and automobiles, and revenue-oriented tariffs targeting sectors such as agriculture and oil. These tariffs are seen as both a challenge and an opportunity for India, which is already looking to diversify its export markets and reduce dependency on the US.<h2>Strategic implications and broader India-US relations</h2>While trade has dominated recent discussions, Indian officials stressed that the broader relationship with the US remains strong, with cooperation extending beyond just economic matters. In particular, India’s role in key international issues, including resolutions at the UN Security Council and collaborations in the Quad (Quadrilateral Security Dialogue), continues to strengthen ties. On the issue of Pakistan, however, India has expressed dissatisfaction with recent nuclear threats made by Pakistan’s army chief, Field Marshal Asim Munir, while on a visit to the US. The Indian government has firmly rejected such rhetoric, which was viewed as unhelpful to regional stability.On the trade front, India is also closely monitoring the impact of its continued purchase of Russian oil, which has contributed to the tariffs. In a significant development, India’s foreign ministry hinted that if the ongoing conflict between Russia and Ukraine comes to an end, a reduction of up to 25 per cent in tariffs could be possible, provided India can find a way to navigate the remaining 25 per cent impact.&nbsp;(With inputs from agencies)

India’s government has made it clear that it will not back down on certain key sectors during the trade negotiations. In particular, the country is firm in its stance on agriculture and dairy, which it considers red lines. 

India is hopeful that trade talks with the United States will proceed as planned, despite a recent escalation in tariffs that has raised tensions between the two countries. Last week, US President Donald Trump imposed an additional 25 per cent tariff on Indian exports, bringing the total tariff to 50 per cent on Indian goods, a move that has placed India among the highest taxed nations in terms of trade with the US. The new levies stem from India’s continued purchase of sanctioned Russian oil, a move that has strained relations between Washington and New Delhi. Despite the tariff hike, Indian lawmakers have expressed optimism about the continuation of trade discussions. A parliamentary panel on foreign affairs was briefed on the situation, with officials reaffirming the importance of the multi-dimensional relationship between the two nations. “Our relations with the US are multi-dimensional, and trade is just one aspect,” said one of the lawmakers, citing a briefing from the Indian government. India’s junior finance minister, Pankaj Chaudhary, provided estimates that around 55 per cent of India’s merchandise exports to the US would be impacted by the new tariffs, which include both the recent 25 per cent tariff and the initial 25 per cent levy. Despite these challenges, trade talks are set to continue, with a US trade delegation scheduled to visit New Delhi on August 25 for the sixth round of negotiations. “As of now, there is no change in the existing plans for the US delegation’s visit,” said Shashi Tharoor, chairman of the Parliamentary Committee on Foreign Affairs. India’s uncompromising stance on key sectors India’s government has made it clear that it will not back down on certain key sectors during the trade negotiations. In particular, the country is firm in its stance on agriculture and dairy, which it considers red lines. Officials emphasised this during the committee briefing, stating that India would not be pressured into opening these sectors for trade with the US. The government is also actively exploring alternative trade partnerships, including expedited talks with the European Union (EU) and other nations, to mitigate the economic impact of the tariffs. Commerce Secretary Sunil Barthwal outlined that US tariffs have been applied in three broad categories: global tariffs affecting all countries, sector-specific tariffs aimed at industries like textiles and automobiles, and revenue-oriented tariffs targeting sectors such as agriculture and oil. These tariffs are seen as both a challenge and an opportunity for India, which is already looking to diversify its export markets and reduce dependency on the US. Strategic implications and broader India-US relations While trade has dominated recent discussions, Indian officials stressed that the broader relationship with the US remains strong, with cooperation extending beyond just economic matters. In particular, India’s role in key international issues, including resolutions at the UN Security Council and collaborations in the Quad (Quadrilateral Security Dialogue), continues to strengthen ties. On the issue of Pakistan, however, India has expressed dissatisfaction with recent nuclear threats made by Pakistan’s army chief, Field Marshal Asim Munir, while on a visit to the US. The Indian government has firmly rejected such rhetoric, which was viewed as unhelpful to regional stability. On the trade front, India is also closely monitoring the impact of its continued purchase of Russian oil, which has contributed to the tariffs. In a significant development, India’s foreign ministry hinted that if the ongoing conflict between Russia and Ukraine comes to an end, a reduction of up to 25 per cent in tariffs could be possible, provided India can find a way to navigate the remaining 25 per cent impact. (With inputs from agencies)

India’s government has made it clear that it will not back down on certain key sectors during the trade negotiations. In particular, the country is firm in its stance on agriculture and dairy, which it considers red lines.&nbsp;

India draws ‘red line’ as the US trade negotiations proceed after 50% tariff hike

Gold prices inched higher on Tuesday, recovering some ground after a steep sell-off in the previous session, as investors awaited key US inflation data that could shape the Federal Reserve’s interest rate path. As per Reuters, spot gold rose 0.2 per cent to $3,350.03 per ounce at 0146 GMT, while US gold futures for December delivery were steady at $3,402.80. This followed Monday’s sharp losses, when spot prices fell 1.6 per cent and futures dropped over 2 per cent after US President Donald Trump said imported gold bars would not be subject to tariffs — easing fears that had rattled bullion markets.<h2>CPI data in focus</h2>Market attention is now on the US consumer price index (CPI) report due at 1230 GMT. Economists polled by Reuters expect core CPI to have risen 0.3 per cent in July, lifting the annual rate to 3 per cent, still well above the Fed’s 2 per cent target. “Market participants now will be definitely focusing on the upcoming Fed rate cut, which has been more or less priced in for September,” OANDA senior market analyst Kelvin Wong told Reuters.&nbsp;“If we start to see the core CPI data come in slightly below expectations, that could further support this rate cut outlook." Lower interest rates reduce the opportunity cost of holding non-yielding assets like gold. Wong also noted that long-term US Treasury yields remain capped below key resistance levels, which could provide additional support for bullion.<h2>Political backdrop and Fed pressure</h2>According to Reuters, traders are pricing in about an 85 per cent chance of a Fed rate cut in September, as per CME’s FedWatch tool. Gold tends to perform well during periods of policy easing and market uncertainty.&nbsp;Trump has repeatedly criticised the Fed for not cutting rates more aggressively, and markets are also watching who he will nominate to succeed current Chair Jerome Powell when his term ends in May next year.&nbsp;Meanwhile, a White House official confirmed to Reuters that Trump had signed an executive order on Monday extending a pause in sharply higher US tariffs on Chinese imports for another 90 days, a move that could ease fears of renewed trade tensions and reduce safe-haven demand.<h2>Broader precious metals market</h2>In other precious metals, spot silver gained 0.6 per cent to $37.81 per ounce, platinum rose 0.6 per cent to $1,334.24, and palladium climbed 0.7 per cent to $1,143.93, according to Reuters data.&nbsp;While Trump’s assurance that bullion imports would not face US tariffs calmed some market nerves, traders are still awaiting formal clarification following a recent federal court ruling that caused uncertainty in the sector.&nbsp;(With inputs from the agencies)&nbsp;

 Attention is on the CPI report due at 1230 GMT, with economists predicting a 0.3% rise. Market participants foresee an 85% chance of a Fed rate cut in September. Other precious metals like silver, platinum, and palladium also experienced gains.

Gold prices inched higher on Tuesday, recovering some ground after a steep sell-off in the previous session, as investors awaited key US inflation data that could shape the Federal Reserve’s interest rate path. As per Reuters, spot gold rose 0.2 per cent to $3,350.03 per ounce at 0146 GMT, while US gold futures for December delivery were steady at $3,402.80. This followed Monday’s sharp losses, when spot prices fell 1.6 per cent and futures dropped over 2 per cent after US President Donald Trump said imported gold bars would not be subject to tariffs — easing fears that had rattled bullion markets. CPI data in focus Market attention is now on the US consumer price index (CPI) report due at 1230 GMT. Economists polled by Reuters expect core CPI to have risen 0.3 per cent in July, lifting the annual rate to 3 per cent, still well above the Fed’s 2 per cent target. “Market participants now will be definitely focusing on the upcoming Fed rate cut, which has been more or less priced in for September,” OANDA senior market analyst Kelvin Wong told Reuters. “If we start to see the core CPI data come in slightly below expectations, that could further support this rate cut outlook." Lower interest rates reduce the opportunity cost of holding non-yielding assets like gold. Wong also noted that long-term US Treasury yields remain capped below key resistance levels, which could provide additional support for bullion. Political backdrop and Fed pressure According to Reuters, traders are pricing in about an 85 per cent chance of a Fed rate cut in September, as per CME’s FedWatch tool. Gold tends to perform well during periods of policy easing and market uncertainty. Trump has repeatedly criticised the Fed for not cutting rates more aggressively, and markets are also watching who he will nominate to succeed current Chair Jerome Powell when his term ends in May next year. Meanwhile, a White House official confirmed to Reuters that Trump had signed an executive order on Monday extending a pause in sharply higher US tariffs on Chinese imports for another 90 days, a move that could ease fears of renewed trade tensions and reduce safe-haven demand. Broader precious metals market In other precious metals, spot silver gained 0.6 per cent to $37.81 per ounce, platinum rose 0.6 per cent to $1,334.24, and palladium climbed 0.7 per cent to $1,143.93, according to Reuters data. While Trump’s assurance that bullion imports would not face US tariffs calmed some market nerves, traders are still awaiting formal clarification following a recent federal court ruling that caused uncertainty in the sector. (With inputs from the agencies)

Gold prices rose slightly on Tuesday after a significant sell-off, reaching $3,350.03 per ounce, as investors anticipated crucial US inflation data. Spot gold rebounded by 0.2%, while December futures held steady.

Gold edges higher ahead of US inflation data as rate cut bets build

US President Donald Trump has upended decades of national security policy with a controversial new deal involving chipmaker Nvidia. In exchange for allowing Nvidia to resume the sale of its H20 artificial intelligence (AI) chips to China, previously banned on national security grounds, Trump proposed that the US government take a 15 per cent cut of Nvidia’s sales in the country. The move has sparked intense debate and raised concerns about the future of US export controls.&nbsp;The deal, which also includes Nvidia’s smaller rival, AMD, is seen by some as the beginning of a new approach to managing sensitive technologies. Earlier, export controls on technologies like advanced semiconductors have been non-negotiable, with national security concerns driving the decision to limit or ban sales to adversarial nations. But under Trump’s administration, the rules seem to have shifted, leading to accusations of a “pay-for-play” framework.&nbsp;<h2>Legal and ethical questions surround the deal</h2>The legality of the deal remains unclear, as US law generally prohibits taxes or duties on exported goods, particularly those related to national security. Legal experts have expressed concerns about whether Trump’s deal constitutes an “export tax” or represents a novel form of revenue-sharing, which has never been implemented in US export policy before.While Nvidia has yet to publicly confirm details of the 15 per cent revenue-sharing arrangement, the company stated it “follows rules the US government sets for our participation in worldwide markets.” AMD, meanwhile, confirmed that it had received US approval for some AI processor exports to China but did not directly address the revenue-sharing terms.<h2>Potential impact on US chipmakers and global trade</h2>The financial implications of this deal could affect chipmakers, with analysts suggesting that the 15 per cent revenue cut could reduce margins on China-bound processors by 5 to 15 percentage points. Bernstein analysts warned that this could erode Nvidia and AMD’s overall margins by about a point. The deal could also introduce uncertainty for other industries exporting strategic products to China, as they may now face similar revenue-sharing demands from the US government.The latest move signals a new era in US export controls, with some experts predicting that more deals like this could follow. As the Trump administration continues to reshape export policy, the deal with Nvidia serves as a focal point for broader discussions on the balance between economic opportunities and national security risks.&nbsp;(With inputs from agencies)

The move has sparked intense debate and raised concerns about the future of US export controls. The deal, which also includes Nvidia’s smaller rival, AMD, is seen by some as the beginning of a new approach to managing sensitive technologies.

US President Donald Trump has upended decades of national security policy with a controversial new deal involving chipmaker Nvidia. In exchange for allowing Nvidia to resume the sale of its H20 artificial intelligence (AI) chips to China, previously banned on national security grounds, Trump proposed that the US government take a 15 per cent cut of Nvidia’s sales in the country. The move has sparked intense debate and raised concerns about the future of US export controls. The deal, which also includes Nvidia’s smaller rival, AMD, is seen by some as the beginning of a new approach to managing sensitive technologies. Earlier, export controls on technologies like advanced semiconductors have been non-negotiable, with national security concerns driving the decision to limit or ban sales to adversarial nations. But under Trump’s administration, the rules seem to have shifted, leading to accusations of a “pay-for-play” framework. Legal and ethical questions surround the deal The legality of the deal remains unclear, as US law generally prohibits taxes or duties on exported goods, particularly those related to national security. Legal experts have expressed concerns about whether Trump’s deal constitutes an “export tax” or represents a novel form of revenue-sharing, which has never been implemented in US export policy before. While Nvidia has yet to publicly confirm details of the 15 per cent revenue-sharing arrangement, the company stated it “follows rules the US government sets for our participation in worldwide markets.” AMD, meanwhile, confirmed that it had received US approval for some AI processor exports to China but did not directly address the revenue-sharing terms. Potential impact on US chipmakers and global trade The financial implications of this deal could affect chipmakers, with analysts suggesting that the 15 per cent revenue cut could reduce margins on China-bound processors by 5 to 15 percentage points. Bernstein analysts warned that this could erode Nvidia and AMD’s overall margins by about a point. The deal could also introduce uncertainty for other industries exporting strategic products to China, as they may now face similar revenue-sharing demands from the US government. The latest move signals a new era in US export controls, with some experts predicting that more deals like this could follow. As the Trump administration continues to reshape export policy, the deal with Nvidia serves as a focal point for broader discussions on the balance between economic opportunities and national security risks. (With inputs from agencies)

The move has sparked intense debate and raised concerns about the future of US export controls. The deal, which also includes Nvidia’s smaller rival, AMD, is seen by some as the beginning of a new approach to managing sensitive technologies.

Trump’s deal with Nvidia raises questions on US national security and export policy

US corporate defaults on privately placed debt rose in the second quarter of 2025, signalling growing stress among smaller and mid-sized companies facing high borrowing costs. According to Fitch Ratings, as quoted by Reuters, the default rate among roughly 1,200 corporate borrowers of private credit reached 5.5 per cent in Q2, up from 4.5 per cent in the first quarter. The ratings agency reported that eight borrowers defaulted between April and June, compared with four in the previous quarter.<h2>Stress factors driving defaults</h2>Fitch’s analysis showed that four of the eight Q2 defaults came from maturity extensions by “financially stressed” companies. Three defaults stemmed from interest deferrals and the use of payment-in-kind (non-cash) repayments, while one default was due to an “uncured payment default.”Lyle Margolis, head of private credit for corporates at Fitch Ratings, told Reuters that “smaller, private issuers remain particularly vulnerable to economic swings, GDP slowdowns, and persistent elevated interest rates, especially given their floating-rate structures.”<h2>Drop in middle-market debt issuance</h2>The second quarter also saw a 16 per cent drop in debt issuance in the US middle market, the group of mid-sized businesses that make up the bulk of private credit lending. As per Fitch data cited by Reuters, new middle-market debt volumes fell to $11.6 billion in Q2 from $13.7 billion a year earlier.&nbsp;Fitch noted that about 75 per cent of the private credit issuers it monitors belong to its rated middle-market collateralised loan obligation (CLO) portfolio, while the remaining 25 per cent are privately rated for insurance companies’ investment purposes.<h2>Rising pressure from higher rates</h2>The findings come against a backdrop of persistent high interest rates, which have pushed up financing costs for companies with floating-rate debt. Economists say that unless rates ease significantly or growth picks up, smaller corporate borrowers could face more repayment pressures in the coming quarters.&nbsp;(With inputs from the agencies)&nbsp;

Additionally, middle-market debt issuance fell 16% to $11.6 billion amid persistent high interest rates. Economists say that unless rates ease significantly or growth picks up, smaller corporate borrowers could face more repayment pressures in the coming quarters.

US corporate defaults on privately placed debt rose in the second quarter of 2025, signalling growing stress among smaller and mid-sized companies facing high borrowing costs. According to Fitch Ratings, as quoted by Reuters, the default rate among roughly 1,200 corporate borrowers of private credit reached 5.5 per cent in Q2, up from 4.5 per cent in the first quarter. The ratings agency reported that eight borrowers defaulted between April and June, compared with four in the previous quarter. Stress factors driving defaults Fitch’s analysis showed that four of the eight Q2 defaults came from maturity extensions by “financially stressed” companies. Three defaults stemmed from interest deferrals and the use of payment-in-kind (non-cash) repayments, while one default was due to an “uncured payment default.” Lyle Margolis, head of private credit for corporates at Fitch Ratings, told Reuters that “smaller, private issuers remain particularly vulnerable to economic swings, GDP slowdowns, and persistent elevated interest rates, especially given their floating-rate structures.” Drop in middle-market debt issuance The second quarter also saw a 16 per cent drop in debt issuance in the US middle market, the group of mid-sized businesses that make up the bulk of private credit lending. As per Fitch data cited by Reuters, new middle-market debt volumes fell to $11.6 billion in Q2 from $13.7 billion a year earlier. Fitch noted that about 75 per cent of the private credit issuers it monitors belong to its rated middle-market collateralised loan obligation (CLO) portfolio, while the remaining 25 per cent are privately rated for insurance companies’ investment purposes. Rising pressure from higher rates The findings come against a backdrop of persistent high interest rates, which have pushed up financing costs for companies with floating-rate debt. Economists say that unless rates ease significantly or growth picks up, smaller corporate borrowers could face more repayment pressures in the coming quarters. (With inputs from the agencies)

In Q2 2025, US corporate defaults on privately placed debt rose to 5.5%, up from 4.5% in Q1. Eight defaults were reported, with factors including maturity extensions and interest deferrals.

US corporate defaults on private debt climb to 5.5% in Q2, Fitch report says

Elon Musk, the billionaire founder of xAI, has escalated his public feud with Apple, accusing the tech giant of antitrust violations in the way it manages its App Store rankings. Musk claimed on August 11 that Apple is deliberately hindering any AI company, except for OpenAI, from reaching the top spot in the App Store, describing it as an “unequivocal antitrust violation.” The outspoken entrepreneur posted the accusations on his social media platform, X, where he also vowed that xAI would take immediate legal action against Apple.&nbsp;“Apple is behaving in a manner that makes it impossible for any AI company besides OpenAI to reach #1 in the App Store,” Musk said, adding that xAI would not stand for such “monopolistic behaviour”. Musk did not provide any concrete evidence to support these claims, and both Apple and xAI were unavailable for immediate comment on the matter. OpenAI, which has a close partnership with Apple to integrate its ChatGPT model into Apple devices, also did not respond to enquiries.As of now, ChatGPT holds the top position in the US iPhone App Store’s “Top Free Apps” section, while Musk’s AI startup, xAI, ranks fifth with its Grok app. Google’s Gemini chatbot lags far behind in 57th place. ChatGPT also leads in rankings on the Google Play Store, according to Sensor Tower data. Musk’s grievance is primarily that despite these rankings, his own products, like X and Grok, are not receiving prominent placement in Apple's “Must Have” section, despite their high popularity. Musk has accused Apple of playing “politics” by ignoring these apps, which are top contenders in their categories.<h2>The growing tensions between Musk and OpenAI</h2>Musk’s comments come amid rising tension between his xAI and OpenAI, two major players in the AI industry. Musk's comments about Apple's bias have reignited the ongoing rivalry between the two companies, especially in the wake of OpenAI's recent launch of its GPT-5 model. In contrast, xAI launched its Grok 4 model last month and, according to Musk, continues to outperform OpenAI’s offerings despite GPT-5's recent release.While Musk has not shared detailed evidence regarding his antitrust allegations against Apple, the criticism is not isolated. His remarks came shortly after OpenAI CEO Sam Altman hit back at Musk’s accusations, questioning Musk's own practices on social media. Altman criticised Musk's management of X, asserting that Musk manipulates the platform to benefit his own ventures and harm his competitors. In a pointed post, Altman suggested that Musk’s behaviour in controlling X’s algorithm has raised concerns regarding fairness in competition.“This is a remarkable claim given what I have heard alleged that Elon does to manipulate X to benefit himself and his own companies and harm his competitors and people he doesn’t like,” Altman wrote in a post on X. He added that OpenAI would stay focused on developing its AI products while also calling for “counter-discovery” regarding Musk’s claims of unfair practices.<h2>Regulatory scrutiny of Apple's App Store</h2>Musk’s accusations also coincide with growing scrutiny of Apple’s control over its App Store. In April, a US judge ruled that Apple had violated antitrust regulations and referred the company for a criminal contempt investigation in connection with a case brought by Epic Games, the creator of “Fortnite”. Furthermore, in the same month, the European Union fined Apple €500 million ($587 million) for restricting developers’ ability to direct users to cheaper deals outside the App Store, a practice that violated the Digital Markets Act.As the battle between Musk’s xAI and OpenAI intensifies, so too does the scrutiny on Apple’s App Store practices. While Musk’s claims about a “monopolistic” approach to rankings remain unproven, they highlight the ongoing challenges faced by major tech platforms in navigating competition law and regulatory requirements.&nbsp;(With inputs from agencies)

Elon Musk’s grievance is primarily that, despite good rankings, products like X and Grok are not receiving prominent placement in Apple's 'Must Have' section, despite their high popularity. He accused Apple of playing politics by ignoring the apps, which are top contenders in their categories

Elon Musk, the billionaire founder of xAI, has escalated his public feud with Apple, accusing the tech giant of antitrust violations in the way it manages its App Store rankings. Musk claimed on August 11 that Apple is deliberately hindering any AI company, except for OpenAI, from reaching the top spot in the App Store, describing it as an “unequivocal antitrust violation.” The outspoken entrepreneur posted the accusations on his social media platform, X, where he also vowed that xAI would take immediate legal action against Apple. “Apple is behaving in a manner that makes it impossible for any AI company besides OpenAI to reach #1 in the App Store,” Musk said, adding that xAI would not stand for such “monopolistic behaviour”. Musk did not provide any concrete evidence to support these claims, and both Apple and xAI were unavailable for immediate comment on the matter. OpenAI, which has a close partnership with Apple to integrate its ChatGPT model into Apple devices, also did not respond to enquiries. As of now, ChatGPT holds the top position in the US iPhone App Store’s “Top Free Apps” section, while Musk’s AI startup, xAI, ranks fifth with its Grok app. Google’s Gemini chatbot lags far behind in 57th place. ChatGPT also leads in rankings on the Google Play Store, according to Sensor Tower data. Musk’s grievance is primarily that despite these rankings, his own products, like X and Grok, are not receiving prominent placement in Apple's “Must Have” section, despite their high popularity. Musk has accused Apple of playing “politics” by ignoring these apps, which are top contenders in their categories. The growing tensions between Musk and OpenAI Musk’s comments come amid rising tension between his xAI and OpenAI, two major players in the AI industry. Musk's comments about Apple's bias have reignited the ongoing rivalry between the two companies, especially in the wake of OpenAI's recent launch of its GPT-5 model. In contrast, xAI launched its Grok 4 model last month and, according to Musk, continues to outperform OpenAI’s offerings despite GPT-5's recent release. While Musk has not shared detailed evidence regarding his antitrust allegations against Apple, the criticism is not isolated. His remarks came shortly after OpenAI CEO Sam Altman hit back at Musk’s accusations, questioning Musk's own practices on social media. Altman criticised Musk's management of X, asserting that Musk manipulates the platform to benefit his own ventures and harm his competitors. In a pointed post, Altman suggested that Musk’s behaviour in controlling X’s algorithm has raised concerns regarding fairness in competition. “This is a remarkable claim given what I have heard alleged that Elon does to manipulate X to benefit himself and his own companies and harm his competitors and people he doesn’t like,” Altman wrote in a post on X. He added that OpenAI would stay focused on developing its AI products while also calling for “counter-discovery” regarding Musk’s claims of unfair practices. Regulatory scrutiny of Apple's App Store Musk’s accusations also coincide with growing scrutiny of Apple’s control over its App Store. In April, a US judge ruled that Apple had violated antitrust regulations and referred the company for a criminal contempt investigation in connection with a case brought by Epic Games, the creator of “Fortnite”. Furthermore, in the same month, the European Union fined Apple €500 million ($587 million) for restricting developers’ ability to direct users to cheaper deals outside the App Store, a practice that violated the Digital Markets Act. As the battle between Musk’s xAI and OpenAI intensifies, so too does the scrutiny on Apple’s App Store practices. While Musk’s claims about a “monopolistic” approach to rankings remain unproven, they highlight the ongoing challenges faced by major tech platforms in navigating competition law and regulatory requirements. (With inputs from agencies)

Elon Musk’s grievance is primarily that, despite good rankings, products like X and Grok are not receiving prominent placement in Apple's 'Must Have' section, despite their high popularity. He accused Apple of playing politics by ignoring the apps, which are top contenders in their categories

Elon Musk threatens legal action against Apple over app store rankings

The US dollar held steady on Tuesday as investors braced for a critical inflation report that could shape expectations for Federal Reserve interest rate cuts next month. The Australian dollar also remained flat ahead of the Reserve Bank of Australia’s (RBA) closely watched policy decision. As per Reuters, the US dollar index, which tracks the greenback against six major currencies, including the euro and yen, was stable at 98.497 as of 0046 GMT, after gaining 0.5 per cent over the past two sessions. The rise followed earlier losses sparked by US President Donald Trump’s dovish-leaning pick to replace a Fed governor and similarly inclined potential candidates for chairman, which led traders to increase bets on monetary easing.<h2>Fed rate cut speculation builds ahead of CPI release</h2>Federal Reserve officials have signalled growing concerns over the US labour market, hinting at a possible interest rate cut as early as September. Market pricing reflects about an 89 per cent probability of a quarter-point reduction on September 17, according to Reuters data. Cooling inflation could strengthen the case for a cut, but analysts warn that any signs Trump’s tariffs are fuelling price pressures may keep the Fed on hold.&nbsp;Economists polled by Reuters expect core US consumer price inflation to have risen 0.3 per cent in July, pushing the annual rate to 3 per cent. TD Securities strategists wrote in a research note that the “risk-reward heading into US CPI this week is for a modest USD bounce,” as an upside surprise could challenge expectations for an almost fully priced-in rate cut. They added that a downside miss would likely have less impact on the dollar, with a larger 50-basis-point cut more likely to be triggered by further labour market deterioration rather than soft CPI figures.<h2>Currency market snapshot</h2>On Tuesday, the greenback inched 0.1 per cent higher to 148.28 yen, while the euro was unchanged at $1.1615. The yuan traded flat at 7.1935 per dollar in offshore markets. According to Reuters, the dollar’s moves were largely unaffected by Trump’s Monday executive order extending a 90-day pause on sharply higher tariffs for Chinese imports, a decision widely anticipated by traders.&nbsp;The US and China are working to finalise a deal that would avert triple-digit import duties. A US official told Reuters that American chipmakers Nvidia and AMD had agreed to allocate 15 per cent of their China sales revenues to the US government to secure export licences for semiconductors.&nbsp;The Australian dollar traded at $0.6518; little changed from Monday’s levels. Economists widely expect the RBA to cut rates by a quarter point following weaker-than-expected second-quarter inflation data and a rise in unemployment to a three-and-a-half-year high.However, as per Reuters, last month’s surprise hold has left traders cautious, with a recent shift in the central bank’s decision-making process adding uncertainty to the outcome.&nbsp;In cryptocurrency markets, bitcoin was steady at around $118,845, after surging as high as $122,308.25 on Monday , close to its all-time high of $123,153.22 reached in mid-July.&nbsp;(With inputs from the agencies)&nbsp; &nbsp;

The dollar index remained at 98.497. Speculation of a September rate cut increased due to concerns over the labour market and expected core inflation rises. The greenback rose slightly against the yen while the euro remained unchanged. 

The US dollar held steady on Tuesday as investors braced for a critical inflation report that could shape expectations for Federal Reserve interest rate cuts next month. The Australian dollar also remained flat ahead of the Reserve Bank of Australia’s (RBA) closely watched policy decision. As per Reuters, the US dollar index, which tracks the greenback against six major currencies, including the euro and yen, was stable at 98.497 as of 0046 GMT, after gaining 0.5 per cent over the past two sessions. The rise followed earlier losses sparked by US President Donald Trump’s dovish-leaning pick to replace a Fed governor and similarly inclined potential candidates for chairman, which led traders to increase bets on monetary easing. Fed rate cut speculation builds ahead of CPI release Federal Reserve officials have signalled growing concerns over the US labour market, hinting at a possible interest rate cut as early as September. Market pricing reflects about an 89 per cent probability of a quarter-point reduction on September 17, according to Reuters data. Cooling inflation could strengthen the case for a cut, but analysts warn that any signs Trump’s tariffs are fuelling price pressures may keep the Fed on hold. Economists polled by Reuters expect core US consumer price inflation to have risen 0.3 per cent in July, pushing the annual rate to 3 per cent. TD Securities strategists wrote in a research note that the “risk-reward heading into US CPI this week is for a modest USD bounce,” as an upside surprise could challenge expectations for an almost fully priced-in rate cut. They added that a downside miss would likely have less impact on the dollar, with a larger 50-basis-point cut more likely to be triggered by further labour market deterioration rather than soft CPI figures. Currency market snapshot On Tuesday, the greenback inched 0.1 per cent higher to 148.28 yen, while the euro was unchanged at $1.1615. The yuan traded flat at 7.1935 per dollar in offshore markets. According to Reuters, the dollar’s moves were largely unaffected by Trump’s Monday executive order extending a 90-day pause on sharply higher tariffs for Chinese imports, a decision widely anticipated by traders. The US and China are working to finalise a deal that would avert triple-digit import duties. A US official told Reuters that American chipmakers Nvidia and AMD had agreed to allocate 15 per cent of their China sales revenues to the US government to secure export licences for semiconductors. The Australian dollar traded at $0.6518; little changed from Monday’s levels. Economists widely expect the RBA to cut rates by a quarter point following weaker-than-expected second-quarter inflation data and a rise in unemployment to a three-and-a-half-year high. However, as per Reuters, last month’s surprise hold has left traders cautious, with a recent shift in the central bank’s decision-making process adding uncertainty to the outcome. In cryptocurrency markets, bitcoin was steady at around $118,845, after surging as high as $122,308.25 on Monday , close to its all-time high of $123,153.22 reached in mid-July. (With inputs from the agencies)

The US dollar stabilized as investors anticipated an important inflation report influencing potential Federal Reserve interest rate cuts.&nbsp;&nbsp;

Dollar holds gains on Fed cut bets; RBA decision keeps Aussie in check

Oil prices saw modest gains on August 12 as optimism over a trade truce between the United States and China helped stabilise market sentiment, easing fears of a prolonged economic slowdown. Brent crude futures rose by 26 cents, or 0.39 per cent, to $66.89 per barrel, while US West Texas Intermediate (WTI) crude climbed 22 cents, or 0.34 per cent, to $64.18 a barrel. The market was buoyed by news that US President Donald Trump had extended the tariff truce with China by another 90 days, postponing the implementation of higher tariffs on Chinese goods. This move calmed concerns that a renewed trade war could disrupt global economic growth and, in turn, dampen oil demand. Retailers in the US were particularly relieved as the decision allows for smoother preparations for the upcoming holiday season.<h2>US-Russia talks over Ukraine and potential sanctions</h2>Another focal point for the oil market this week is the meeting between US President Donald Trump and Russian President Vladimir Putin, scheduled for Friday in Alaska. The summit is expected to center around the ongoing war in Ukraine, with the potential for a ceasefire deal. The outcome of the talks could have significant implications for the oil market, especially as Washington continues to pressure major Russian oil buyers such as China and India.Trump had previously threatened to impose secondary sanctions on Russia’s oil customers if the conflict persists. Any peace deal between Russia and Ukraine could reduce the risk of disruptions to Russian oil exports, which have been a major concern for traders since the war’s onset. A de-escalation in the conflict could lead to a normalisation of oil supplies from Russia, potentially stabilising global crude markets.<h2>US inflation data and future interest rate cuts</h2>Investors are also closely watching the release of US inflation data later today, which could provide hints on the Federal Reserve’s future interest rate decisions. Any indication that the Fed might cut rates in the near future would likely support crude prices, as lower interest rates tend to boost demand for oil. In the broader market, oil prices have been under pressure in recent months, with crude prices falling more than 10 per cent this year due to concerns about global oversupply and slowing economic growth. Traders are hoping that geopolitical developments, particularly the US-Russia talks, could offer some relief to the market in the near term.&nbsp;(With inputs from agencies)

Brent crude futures rose by 26 cents, or 0.39 per cent, to $66.89 per barrel, while US WTI crude climbed 22 cents, or 0.34 per cent, to $64.18 a barrel. The market was buoyed by news that US President Donald Trump had extended the tariff truce with China by another 90 days. 

Oil prices saw modest gains on August 12 as optimism over a trade truce between the United States and China helped stabilise market sentiment, easing fears of a prolonged economic slowdown. Brent crude futures rose by 26 cents, or 0.39 per cent, to $66.89 per barrel, while US West Texas Intermediate (WTI) crude climbed 22 cents, or 0.34 per cent, to $64.18 a barrel. The market was buoyed by news that US President Donald Trump had extended the tariff truce with China by another 90 days, postponing the implementation of higher tariffs on Chinese goods. This move calmed concerns that a renewed trade war could disrupt global economic growth and, in turn, dampen oil demand. Retailers in the US were particularly relieved as the decision allows for smoother preparations for the upcoming holiday season. US-Russia talks over Ukraine and potential sanctions Another focal point for the oil market this week is the meeting between US President Donald Trump and Russian President Vladimir Putin, scheduled for Friday in Alaska. The summit is expected to center around the ongoing war in Ukraine, with the potential for a ceasefire deal. The outcome of the talks could have significant implications for the oil market, especially as Washington continues to pressure major Russian oil buyers such as China and India. Trump had previously threatened to impose secondary sanctions on Russia’s oil customers if the conflict persists. Any peace deal between Russia and Ukraine could reduce the risk of disruptions to Russian oil exports, which have been a major concern for traders since the war’s onset. A de-escalation in the conflict could lead to a normalisation of oil supplies from Russia, potentially stabilising global crude markets. US inflation data and future interest rate cuts Investors are also closely watching the release of US inflation data later today, which could provide hints on the Federal Reserve’s future interest rate decisions. Any indication that the Fed might cut rates in the near future would likely support crude prices, as lower interest rates tend to boost demand for oil. In the broader market, oil prices have been under pressure in recent months, with crude prices falling more than 10 per cent this year due to concerns about global oversupply and slowing economic growth. Traders are hoping that geopolitical developments, particularly the US-Russia talks, could offer some relief to the market in the near term. (With inputs from agencies)

Brent crude futures rose by 26 cents, or 0.39 per cent, to $66.89 per barrel, while US WTI crude climbed 22 cents, or 0.34 per cent, to $64.18 a barrel. The market was buoyed by news that US President Donald Trump had extended the tariff truce with China by another 90 days.&nbsp;

Oil prices stabilise amid US-China trade truce extension and awaited US-Russia talks

The United States and China have agreed to extend their tariff truce by 90 days, delaying a surge in import duties that threatened to escalate into a near-total trade freeze between the world’s two largest economies. US President Donald Trump announced on his Truth Social platform on Monday that he had signed an executive order suspending the imposition of higher tariffs until November 10 at 12:01 a.m. EST (0501 GMT). All other elements of the truce will remain in place.

China’s Commerce Ministry issued a matching statement early on Tuesday, postponing for 90 days the implementation of additional tariffs on US goods and delaying the addition of American companies to its trade and investment restriction lists. Beijing described the move as a step to implement the “important consensus” reached by President Xi Jinping and Trump during their June 5 call.<h2>Surge in tariffs averted</h2>Without the extension, US tariffs on Chinese goods were set to jump to 145%, while Chinese tariffs on American imports were due to rise to 125 per cent, levels that analysts say would have amounted to a “virtual trade embargo.”&nbsp;The truce locks in current tariff levels of 30% on Chinese imports to the US, and 10% on US goods entering China. The extension is expected to benefit American retailers preparing for the autumn and Christmas shopping season, as it allows them to import electronics, clothing, and toys at lower tariff rates. “This will undoubtedly lower anxiety on both sides as talks continue,” said Ryan Majerus, a former US trade official, as quoted by Reuters.<h2>Political backdrop and negotiation push</h2>The decision follows a series of high-level negotiations, including talks in Geneva in May and in Stockholm in July. As per Reuters, US Treasury Secretary Scott Bessent had repeatedly warned that the triple-digit duties introduced in the spring were “untenable,” essentially imposing a trade freeze.&nbsp;Former White House trade adviser Kelly Ann Shaw noted that the extension was typical of Trump’s style of brinkmanship, suggesting that the president pushed for further concessions from China before agreeing. According to Reuters, Trump had urged Beijing to quadruple its soybean purchases over the weekend, though he did not repeat this demand on Monday.Trump told a news conference that he has a “good relationship” with Xi Jinping and hinted that a face-to-face meeting could happen before the end of the year if progress is made.<h2>Economic impact</h2>According to US Commerce Department data cited by Reuters, imports from China surged earlier this year as firms rushed to beat tariff deadlines, but fell sharply in June. The US trade deficit with China narrowed by roughly one-third that month to $9.5 billion — the lowest since February 2004 and has shrunk by $22.2 billion over the past five months, a 70% reduction from a year earlier. Beyond tariffs, Washington has been pressing Beijing to reduce purchases of Russian oil as part of its broader strategy to pressure Moscow over the Ukraine war. Trump has also threatened to impose secondary tariffs on China if it continues buying Russian crude.&nbsp;Analysts see the 90-day pause as a temporary relief for global markets, but one that could just as easily expire without a deal. “Combined with some of the de-escalatory steps both the United States and China have taken in recent weeks, it demonstrates that both sides are trying to see if they can reach some kind of deal,” said Wendy Cutler, a former senior US trade official, as per Reuters.&nbsp;(With inputs from the agencies)&nbsp;

Current tariffs remain at 30% on Chinese imports to the US and 10% on US goods to China, benefiting American retailers ahead of the holiday season. Analysts view this extension as temporary relief, raising hopes for a potential deal amidst ongoing negotiations.

The United States and China have agreed to extend their tariff truce by 90 days, delaying a surge in import duties that threatened to escalate into a near-total trade freeze between the world’s two largest economies. US President Donald Trump announced on his Truth Social platform on Monday that he had signed an executive order suspending the imposition of higher tariffs until November 10 at 12:01 a.m. EST (0501 GMT). All other elements of the truce will remain in place.

The US and China have extended their tariff truce for 90 days, preventing a potential trade freeze. President Trump signed an executive order delaying higher tariffs until November 10.

US, China extend tariff truce by 90 days, avert near-total trade freeze

The New Income Tax Bill 2025 was passed by the Lok Sabha on Monday after Finance Minister Nirmala Sitharaman introduced a revised version that incorporated most of the recommendations made by the Select Committee headed by MP Baijayant Panda. The bill was tabled on Monday after the government decided to withdraw the Income-Tax Bill, 2025, which was presented on February 13 to replace the six-decade-old Income-Tax Act, 1961. The bill must be passed by the Rajya Sabha and will then seek the President’s nod.&nbsp;The new bill is designed to simplify and update India’s taxation system, replacing legislation that had been in effect for over 60 years. It includes a revised structure, provisions for digital taxation, systems for resolving disputes, and initiatives to expand tax collection through technological and data-driven methods. While presenting The Income-Tax (No.2) Bill, 2025, Sitharaman explained that this legislation aims to streamline and update income tax regulations, replacing the existing Income Tax Act, 1961.&nbsp;The new version, which includes the majority of 285 recommendations made by the Parliamentary Select Committee led by BJP MP Baijayant Panda, was presented on Monday and passed promptly.&nbsp;

<blockquote class="twitter-tweet"><a href="https://twitter.com/hashtag/monsoonsession2025?src=hash&amp;ref_src=twsrc%5Etfw">#monsoonsession2025</a> <a href="https://twitter.com/hashtag/LokSabha?src=hash&amp;ref_src=twsrc%5Etfw">#LokSabha</a> passes The Income-Tax (No.2) Bill, 2025. The Bill consolidates and amends the law relating to income tax.<a href="https://twitter.com/nsitharamanoffc?ref_src=twsrc%5Etfw">@nsitharamanoffc</a> <a href="https://twitter.com/nsitharaman?ref_src=twsrc%5Etfw">@nsitharaman</a> <a href="https://twitter.com/LokSabhaSectt?ref_src=twsrc%5Etfw">@LokSabhaSectt</a><a href="https://twitter.com/loksabhaspeaker?ref_src=twsrc%5Etfw">@loksabhaspeaker</a> <a href="https://t.co/wqYeCrWk9G">pic.twitter.com/wqYeCrWk9G</a>&mdash; SansadTV (@sansad_tv) <a href="https://twitter.com/sansad_tv/status/1954858998148046911?ref_src=twsrc%5Etfw">August 11, 2025</a></blockquote> <script async src="https://platform.twitter.com/widgets.js" charset="utf-8"></script>

<h2>Select Committee presented 4,575-page report</h2> The Parliamentary Select Committee, comprising 31 members, presented their comprehensive 4,575-page findings last month. Their recommendations include both small adjustments and 32 significant modifications. The parliamentary panel had flagged multiple drafting errors and suggested amendments to reduce ambiguity. The committee said the changes would improve fairness and clarity while aligning the law with existing provisions. FM Sitharaman said the earlier bill was pulled back to avoid confusion and that the fresh draft will serve as the basis for replacing the 1961 Act. <h2>Significant reforms in direct tax code in over 60 years</h2> The draft bill introduced in February was described as the most significant reform of India’s direct tax code in over 60 years. Its key features were simplified language, consolidation of deductions, and shorter provisions to ease compliance. It also included lower penalties for certain offences to make the system more taxpayer-friendly and reduction in litigation through a “trust first, scrutinise later” approach. The earlier draft had 23 chapters, 536 sections, and 16 schedules, using tables and formulas for easier interpretation. It also proposed streamlined TDS rules, simplified depreciation provisions, and retention of residency criteria and financial year timelines.

The Parliamentary Select Committee, comprising 31 members, presented their comprehensive 4,575-page findings last month. The recommendations of the committee include both small adjustments and 32 significant modifications.

The New Income Tax Bill 2025 was passed by the Lok Sabha on Monday after Finance Minister Nirmala Sitharaman introduced a revised version that incorporated most of the recommendations made by the Select Committee headed by MP Baijayant Panda. The bill was tabled on Monday after the government decided to withdraw the Income-Tax Bill, 2025, which was presented on February 13 to replace the six-decade-old Income-Tax Act, 1961. The bill must be passed by the Rajya Sabha and will then seek the President’s nod. The new bill is designed to simplify and update India’s taxation system, replacing legislation that had been in effect for over 60 years. It includes a revised structure, provisions for digital taxation, systems for resolving disputes, and initiatives to expand tax collection through technological and data-driven methods. While presenting The Income-Tax (No.2) Bill, 2025, Sitharaman explained that this legislation aims to streamline and update income tax regulations, replacing the existing Income Tax Act, 1961. The new version, which includes the majority of 285 recommendations made by the Parliamentary Select Committee led by BJP MP Baijayant Panda, was presented on Monday and passed promptly.

The Parliamentary Select Committee, comprising 31 members, presented their comprehensive 4,575-page findings last month. The recommendations of the committee include both small adjustments and 32 significant modifications.

New Income Tax Bill 2025 gets Lok Sabha nod, includes parliamentary panel’s most suggestions

Chinese youth and companies have come up with a creative yet controversial response to rising unemployment and societal pressure to appear employed: hire space in offices and pretend to work. Here is what it means:<h2>What is ‘pretend to work’ trend in China?</h2>People aged between 16 and 24 in China are paying to rent office spaces that simulate real workplaces. These pretend-work offices are complete with desks, Wi-Fi, computers, meeting rooms and sometimes, even food.The youth, in order to avoid the social stigma of unemployment, go to these places and spend time there. They do this to ease family pressure amid a youth jobless rate in China that hit 16 per cent as of March this year.<h2>How popular is the ‘pretend to work’ trend in China?</h2>There are pretend-work offices in Beijing, Shanghai, Shenzhen and industrial hubs like Taiyuan, according to recent reports. These offices are being hosted in unused law offices, old livestream studios, and even farms offering outdoor work, said the reports.Such workspaces fill up within a month of opening, according to some reports. For instance, The Pretend To Work Company in Dongguan, launched in April 2025, was full in a month. The Shuangjing Office in Beijing is a converted law firm space, while farm-based workspaces combine desk work with physical farm tasks. Operators like Feiyu described the pretend-work trend as a social experiment. Social media content on 'pretend office life' is going viral, clocking millions of views.<h2>How does the pretend-work system operate in China?</h2>Up to 40 per cent of the youth who pay to be in pretend-work offices are recent graduates, while the remaining 60 per cent are freelancers or digital nomads, according to reports. Their ages typically range from 25 to 30 years.The ‘applicants’ can pay a daily rate of between 30 to 50 yuan or $4 to $7, or choose monthly plans costing around 400 yuan. They get basic office amenities or can go premium, with even fake supervisors, staged photos. Some stints can end with fake employment certificates. Those going to these offices spend time between 8 PM to 11 PM. During their time in the offices, they hunt of jobs, network, or work on personal projects, often organising group dinners and fostering a sense of community.<h2>Why is pretend work so popular in China?</h2>Layoffs in tech, real estate and education sectors pushed overall urban unemployment in China to 5.3 per cent in the first quarter of 2025. Amid this, the pretend-work centres are sanctuaries offering routine, mental structure and emotional relief.&nbsp;It’s a temporary coping mechanism, but some see it as delaying real career progress. Some do use this time to learn new skills like AI tools.<a href="https://www.wionews.com/videos/new-survey-shows-employees-worldwide-prioritize-work-life-balance-over-payment-8175219/embed">https://www.wionews.com/videos/new-survey-shows-employees-worldwide-prioritize-work-life-balance-over-payment-8175219/embed</a><h2>Pretend-work trend in China exposes a deeper malaise</h2>The pretend work trend is symptomatic of the disconnect between education and labour market needs in China.&nbsp; It also highlights cultural pressures where unemployment carries shame, prompting the youth to engage in this elaborate self-deception.While it can be a short-term relief from reality, the trend underscores deeper systemic issues in China that are unresolved.

There are pretend-work offices in Beijing, Shanghai, Shenzhen and industrial hubs like Taiyuan, according to recent reports. These offices are being hosted in unused law offices, old livestream studios, and even farms 

Chinese youth and companies have come up with a creative yet controversial response to rising unemployment and societal pressure to appear employed: hire space in offices and pretend to work. Here is what it means: What is ‘pretend to work’ trend in China? People aged between 16 and 24 in China are paying to rent office spaces that simulate real workplaces. These pretend-work offices are complete with desks, Wi-Fi, computers, meeting rooms and sometimes, even food. The youth, in order to avoid the social stigma of unemployment, go to these places and spend time there. They do this to ease family pressure amid a youth jobless rate in China that hit 16 per cent as of March this year. How popular is the ‘pretend to work’ trend in China? There are pretend-work offices in Beijing, Shanghai, Shenzhen and industrial hubs like Taiyuan, according to recent reports. These offices are being hosted in unused law offices, old livestream studios, and even farms offering outdoor work, said the reports. Such workspaces fill up within a month of opening, according to some reports. For instance, The Pretend To Work Company in Dongguan, launched in April 2025, was full in a month. The Shuangjing Office in Beijing is a converted law firm space, while farm-based workspaces combine desk work with physical farm tasks. Operators like Feiyu described the pretend-work trend as a social experiment. Social media content on 'pretend office life' is going viral, clocking millions of views. How does the pretend-work system operate in China? Up to 40 per cent of the youth who pay to be in pretend-work offices are recent graduates, while the remaining 60 per cent are freelancers or digital nomads, according to reports. Their ages typically range from 25 to 30 years. The ‘applicants’ can pay a daily rate of between 30 to 50 yuan or $4 to $7, or choose monthly plans costing around 400 yuan. They get basic office amenities or can go premium, with even fake supervisors, staged photos. Some stints can end with fake employment certificates. Those going to these offices spend time between 8 PM to 11 PM. During their time in the offices, they hunt of jobs, network, or work on personal projects, often organising group dinners and fostering a sense of community. Why is pretend work so popular in China? Layoffs in tech, real estate and education sectors pushed overall urban unemployment in China to 5.3 per cent in the first quarter of 2025. Amid this, the pretend-work centres are sanctuaries offering routine, mental structure and emotional relief. It’s a temporary coping mechanism, but some see it as delaying real career progress. Some do use this time to learn new skills like AI tools. https://www.wionews.com/videos/new-survey-shows-employees-worldwide-prioritize-work-life-balance-over-payment-8175219/embed Pretend-work trend in China exposes a deeper malaise The pretend work trend is symptomatic of the disconnect between education and labour market needs in China. It also highlights cultural pressures where unemployment carries shame, prompting the youth to engage in this elaborate self-deception. While it can be a short-term relief from reality, the trend underscores deeper systemic issues in China that are unresolved.

There are pretend-work offices in Beijing, Shanghai, Shenzhen and industrial hubs like Taiyuan, according to recent reports. These offices are being hosted in unused law offices, old livestream studios, and even farms&nbsp;

In this country, people are paying companies so that they can 'pretend to work'

Saudi Arabia’s industrial production surged to its highest level since late 2022, with a notable 7.9 per cent year-on-year increase in June 2025, according to the latest data from the General Authority for Statistics (GASTAT). The growth, fuelled by a robust recovery in manufacturing and a rise in crude output, signals continued momentum in the kingdom’s industrial sector and underscores the broader economic expansion that aligns with the country’s Vision 2030 diversification goals.<h2>Manufacturing and oil drive strong growth</h2>The Industrial Production Index (IPI) for June 2025 hit 111.9, up 1.6 per cent from the previous month. The rise was predominantly driven by a sharp rebound in manufacturing activities, which jumped by 11.1 per cent from the same month last year. The production of refined petroleum products and chemicals led the way, with the manufacture of coke and refined petroleum products soaring 15.3 per cent andchemicals rising 18.7 per cent.Mining and quarrying, which includes crude oil production, also saw significant growth, increasing by 6 per cent year-on-year. Saudi oil output reached 9.36 million barrels per day (bpd) in June, up from 8.83 million bpd in June 2024. The expansion in oil production comes as Saudi Arabia ramps up its output under the new OPEC+ supply policy, reversing a contraction seen in the first quarter of 2025.<h2>Non-oil sector shows continued strength</h2>In addition to the boost in oil-related activities, the kingdom's non-oil sector continues to play a pivotal role in driving economic growth. The non-oil segment of the industrial production index grew by 8.6 per cent in June 2025, further demonstrating Saudi Arabia's progress toward reducing its reliance on crude revenues. Notable gains were also recorded in utilities, including a 5.6 per cent increase in electricity, gas, steam, and air-conditioning supply, as well as a 6.9 per cent rise in water supply and waste management activities.This growth aligns with the broader economic trajectory, as Saudi Arabia’s gross domestic product (GDP) increased by nearly 4 per cent year-on-year in the second quarter, driven by both oil and non-oil activities. With continued investment in industrial diversification, Saudi Arabia is on track to meet its Vision 2030 targets, which aim to reduce the kingdom’s dependency on oil revenues.As global oil prices remain a key factor in Saudi Arabia’s fiscal health, the government’s focus on economic diversification is becoming increasingly critical. The kingdom's fiscal breakeven oil price stands at $96 per barrel, higher than in previous years, reflecting the evolving economic landscape.&nbsp;(With inputs from agencies)

The growth in Saudi's industrial production, fuelled by a robust recovery in manufacturing and a rise in crude output, signals continued momentum in the kingdom’s industrial sector and underscores the broader economic expansion that aligns with the country’s Vision 2030 diversification goals.

Saudi Arabia’s industrial production surged to its highest level since late 2022, with a notable 7.9 per cent year-on-year increase in June 2025, according to the latest data from the General Authority for Statistics (GASTAT). The growth, fuelled by a robust recovery in manufacturing and a rise in crude output, signals continued momentum in the kingdom’s industrial sector and underscores the broader economic expansion that aligns with the country’s Vision 2030 diversification goals. Manufacturing and oil drive strong growth The Industrial Production Index (IPI) for June 2025 hit 111.9, up 1.6 per cent from the previous month. The rise was predominantly driven by a sharp rebound in manufacturing activities, which jumped by 11.1 per cent from the same month last year. The production of refined petroleum products and chemicals led the way, with the manufacture of coke and refined petroleum products soaring 15.3 per cent andchemicals rising 18.7 per cent. Mining and quarrying, which includes crude oil production, also saw significant growth, increasing by 6 per cent year-on-year. Saudi oil output reached 9.36 million barrels per day (bpd) in June, up from 8.83 million bpd in June 2024. The expansion in oil production comes as Saudi Arabia ramps up its output under the new OPEC+ supply policy, reversing a contraction seen in the first quarter of 2025. Non-oil sector shows continued strength In addition to the boost in oil-related activities, the kingdom's non-oil sector continues to play a pivotal role in driving economic growth. The non-oil segment of the industrial production index grew by 8.6 per cent in June 2025, further demonstrating Saudi Arabia's progress toward reducing its reliance on crude revenues. Notable gains were also recorded in utilities, including a 5.6 per cent increase in electricity, gas, steam, and air-conditioning supply, as well as a 6.9 per cent rise in water supply and waste management activities. This growth aligns with the broader economic trajectory, as Saudi Arabia’s gross domestic product (GDP) increased by nearly 4 per cent year-on-year in the second quarter, driven by both oil and non-oil activities. With continued investment in industrial diversification, Saudi Arabia is on track to meet its Vision 2030 targets, which aim to reduce the kingdom’s dependency on oil revenues. As global oil prices remain a key factor in Saudi Arabia’s fiscal health, the government’s focus on economic diversification is becoming increasingly critical. The kingdom's fiscal breakeven oil price stands at $96 per barrel, higher than in previous years, reflecting the evolving economic landscape. (With inputs from agencies)

The growth in Saudi's industrial production, fuelled by a robust recovery in manufacturing and a rise in crude output, signals continued momentum in the kingdom’s industrial sector and underscores the broader economic expansion that aligns with the country’s Vision 2030 diversification goals.

Saudi's industrial production soars to highest level since 2022

Amid US tariffs pressure, the iron ore prices rose in Asian trade on Monday after reports that several Chinese steel mills will temporarily halt production later this month to curb air pollution ahead of a key national event. According to a report by consultancy Mysteel, cited by Bloomberg, authorities have instructed some mills in Tangshan, China’s top steel-producing hub to stop operations from August 25. The move aims to ensure cleaner air for the September 3 military parade in Beijing, which is located nearby.<h2>Production cuts seen as market positive</h2>As per Bloomberg, futures for iron ore in Singapore gained as much as 1.6 per cent, extending a 2.1 per cent rise last week. Atilla Widnell, managing director at Navigate Commodities, told Bloomberg that such production cuts are being interpreted positively by domestic markets. Higher steel prices and improving profit margins, he said, are easing pressure on mills facing elevated costs. Widnell said that “Steel-production cuts have counter-intuitively been digested as a positive by onshore markets, given that increasing steel prices and margins are relieving pressure on a heavily suppressed cost base," as quoted by Bloomberg.&nbsp;&nbsp;Iron ore has been edging higher since the start of the year, with Beijing’s broader campaign against industrial overcapacity dubbed “anti-involution," supporting prices of steel and other industrial materials, as reported by Bloomberg. The policy has also boosted profitability at mills that have struggled with thin margins in recent years.<h2>Metals rally extends beyond iron ore</h2>As of 11:12 a.m. Singapore time, iron ore futures in Singapore were up 1.4 per cent at $103.50 a ton. Yuan-denominated contracts in Dalian also gained, alongside steel prices in Shanghai, as per Bloomberg.&nbsp;On the London Metal Exchange, most industrial commodities traded higher. Copper rose 0.2 per cent to $9,783 a ton, marking its fourth consecutive daily increase, Bloomberg data showed.&nbsp;(With inputs from the agencies)

Futures gained 1.6%, with production cuts seen positively, leading to higher steel prices and improved profit margins for mills amid ongoing market pressures.

Amid US tariffs pressure, the iron ore prices rose in Asian trade on Monday after reports that several Chinese steel mills will temporarily halt production later this month to curb air pollution ahead of a key national event. According to a report by consultancy Mysteel, cited by Bloomberg, authorities have instructed some mills in Tangshan, China’s top steel-producing hub to stop operations from August 25. The move aims to ensure cleaner air for the September 3 military parade in Beijing, which is located nearby. Production cuts seen as market positive As per Bloomberg, futures for iron ore in Singapore gained as much as 1.6 per cent, extending a 2.1 per cent rise last week. Atilla Widnell, managing director at Navigate Commodities, told Bloomberg that such production cuts are being interpreted positively by domestic markets. Higher steel prices and improving profit margins, he said, are easing pressure on mills facing elevated costs. Widnell said that “Steel-production cuts have counter-intuitively been digested as a positive by onshore markets, given that increasing steel prices and margins are relieving pressure on a heavily suppressed cost base," as quoted by Bloomberg. Iron ore has been edging higher since the start of the year, with Beijing’s broader campaign against industrial overcapacity dubbed “anti-involution," supporting prices of steel and other industrial materials, as reported by Bloomberg. The policy has also boosted profitability at mills that have struggled with thin margins in recent years. Metals rally extends beyond iron ore As of 11:12 a.m. Singapore time, iron ore futures in Singapore were up 1.4 per cent at $103.50 a ton. Yuan-denominated contracts in Dalian also gained, alongside steel prices in Shanghai, as per Bloomberg. On the London Metal Exchange, most industrial commodities traded higher. Copper rose 0.2 per cent to $9,783 a ton, marking its fourth consecutive daily increase, Bloomberg data showed. (With inputs from the agencies)

Iron ore prices rose in Asian trade as Chinese mills prepare to halt production to reduce air pollution for a military parade.

Iron ore prices climb as China orders temporary steel mill shutdowns

The European Central Bank (ECB) is expected to wait until December before making what economists believe will be its final interest rate cut in the current cycle, according to a Bloomberg survey.&nbsp;The findings mark a three-month delay compared with similar polling in July, as policymakers opt for more time to gauge the economic impact of trade disruptions triggered by US President Donald Trump’s tariff measures. Economists now see the ECB’s deposit rate falling to 1.75 per cent by year-end, remaining there for nine to ten months before rising again as demand picks up.<h2>Waiting for a clearer picture</h2>As per Bloomberg, delaying the move until the final meeting of 2025 would allow the ECB to assess how the eurozone economy fared in the third quarter,&nbsp;stripping out distortions from businesses rushing to beat US tariffs earlier this year. December’s meeting will also bring fresh growth and inflation forecasts extending to 2028, giving policymakers a longer-term view.&nbsp;Global central banks are also in a wait-and-watch mode. The US Federal Reserve has held rates steady throughout 2025 so far, while the Bank of England governor recently admitted there was “genuine uncertainty” over the timing of its next cut.<h2>Market bets shift</h2>The ECB kept rates unchanged last month, and several policymakers have since argued that further reductions are unnecessary for now. Traders have scaled back expectations for a September cut, pricing in just over a 50 per cent chance of a quarter-point move in December. Economists at TD Securities, Julie Ioffe and James Rossiter, told Bloomberg that only if data shows clear weakness from shifting global trade patterns would the ECB act sooner,&nbsp;and even then, December is the likeliest moment.&nbsp;If officials choose not to move at year-end, financial markets may conclude that the ECB has reached the floor for rates. A prior Bloomberg survey suggested traders would tolerate up to three consecutive meetings without action before assuming the rate cycle is over.&nbsp;(With inputs from the agencies)

Economists expect a drop to 1.75% by year-end. Global central banks, including the US Federal Reserve, are also maintaining steady rates amid uncertainty. Market expectations for a cut have shifted.

The European Central Bank (ECB) is expected to wait until December before making what economists believe will be its final interest rate cut in the current cycle, according to a Bloomberg survey. The findings mark a three-month delay compared with similar polling in July, as policymakers opt for more time to gauge the economic impact of trade disruptions triggered by US President Donald Trump’s tariff measures. Economists now see the ECB’s deposit rate falling to 1.75 per cent by year-end, remaining there for nine to ten months before rising again as demand picks up. Waiting for a clearer picture As per Bloomberg, delaying the move until the final meeting of 2025 would allow the ECB to assess how the eurozone economy fared in the third quarter, stripping out distortions from businesses rushing to beat US tariffs earlier this year. December’s meeting will also bring fresh growth and inflation forecasts extending to 2028, giving policymakers a longer-term view. Global central banks are also in a wait-and-watch mode. The US Federal Reserve has held rates steady throughout 2025 so far, while the Bank of England governor recently admitted there was “genuine uncertainty” over the timing of its next cut. Market bets shift The ECB kept rates unchanged last month, and several policymakers have since argued that further reductions are unnecessary for now. Traders have scaled back expectations for a September cut, pricing in just over a 50 per cent chance of a quarter-point move in December. Economists at TD Securities, Julie Ioffe and James Rossiter, told Bloomberg that only if data shows clear weakness from shifting global trade patterns would the ECB act sooner, and even then, December is the likeliest moment. If officials choose not to move at year-end, financial markets may conclude that the ECB has reached the floor for rates. A prior Bloomberg survey suggested traders would tolerate up to three consecutive meetings without action before assuming the rate cycle is over. (With inputs from the agencies)

The European Central Bank is likely to delay its final interest rate cut until December, as it assesses trade disruptions caused by US tariffs.

ECB likely to delay final rate cut of cycle until December

US President Donald Trump’s recent proposal to impose a 100 per cent tariff on chips and semiconductors may not achieve its intended goal of boosting advanced chip manufacturing in the United States, industry analysts warn. While the tariff would be waived for companies committing to build production facilities within the US, the policy fails to address deeper structural issues that are hindering the country’s ability to become a leader in cutting-edge chip production.<h2>Tariffs likely to have minimal impact</h2>The US has already seen major investments from global semiconductor giants, including Taiwan Semiconductor Manufacturing (TSMC) and South Korea’s Samsung Electronics, who are building multi-billion-dollar chip factories in Arizona and Texas, respectively. These projects, driven in part by previous US subsidies, aim to strengthen the domestic supply chain and reduce reliance on foreign-made chips. However, Trump’s tariffs may not spur additional investment, as many of these companies have already committed to US production in exchange for financial incentives.TSMC’s $165 billion investment in US manufacturing, for example, may help it avoid tariffs, but these efforts are unlikely to be expanded further due to the higher costs of production in the US. The company has already stated that the Arizona fabs will operate with older chip-making technology, underscoring the difficulty in competing with the more advanced processes employed at TSMC’s Taiwanese facilities. Experts note that, for some companies, the tariffs could result in a situation where the minimum amount of US investment is made to comply with the rules, while the majority of the chips are still produced abroad.<h2>Higher prices for consumers and electronics firms</h2>While the tariffs might encourage some companies to establish US-based operations, the broader implications could harm US consumers and companies relying on imported components. Electronics giants like Apple have already secured tariff exemptions through hefty investment pledges, but smaller firms may struggle with the added costs of tariffs on imported chips. Analysts warn that these costs could trickle down to consumers in the form of higher prices for electronics, such as smartphones, laptops, and even automobiles.Apple, for instance, has been a significant player in US chip manufacturing, relying on TSMC’s Arizona facilities for chip production. However, much of Apple’s investment, such as expanding data centres and server production, has little impact on advanced semiconductor manufacturing. Furthermore, much of Apple’s commitment to US-based production was already in progress before the tariff threat, suggesting that the tariffs themselves may not be the driving force behind its manufacturing decisions.<h2>Geopolitical factors and strategic supply chain investments</h2>Ultimately, it’s not the tariffs but broader geopolitical and economic factors that are driving chip manufacturers to establish operations in the US. The growing risks of political instability, particularly tensions with China and the possibility of conflicts in West Asia, have encouraged semiconductor companies to bring their supply chains closer to home. Additionally, subsidies like the 2022 Chips Act and US tax incentives for equipment purchases continue to be more effective at enticing foreign manufacturers to set up shop in the US than the tariff proposal itself.Industry experts argue that while the US may continue to see growth in domestic semiconductor production, this will be driven by economic incentives and geopolitical strategy, not tariffs. If the aim is to secure more advanced chip manufacturing in the US, the tariff regime proposed by Trump may fall short of its intended goals, creating more risks than rewards for the broader economy.&nbsp;(With inputs from agencies)

While the US tariffs might encourage some companies to establish US-based operations, the broader implications could harm US consumers and companies relying on imported components.

US President Donald Trump’s recent proposal to impose a 100 per cent tariff on chips and semiconductors may not achieve its intended goal of boosting advanced chip manufacturing in the United States, industry analysts warn. While the tariff would be waived for companies committing to build production facilities within the US, the policy fails to address deeper structural issues that are hindering the country’s ability to become a leader in cutting-edge chip production. Tariffs likely to have minimal impact The US has already seen major investments from global semiconductor giants, including Taiwan Semiconductor Manufacturing (TSMC) and South Korea’s Samsung Electronics, who are building multi-billion-dollar chip factories in Arizona and Texas, respectively. These projects, driven in part by previous US subsidies, aim to strengthen the domestic supply chain and reduce reliance on foreign-made chips. However, Trump’s tariffs may not spur additional investment, as many of these companies have already committed to US production in exchange for financial incentives. TSMC’s $165 billion investment in US manufacturing, for example, may help it avoid tariffs, but these efforts are unlikely to be expanded further due to the higher costs of production in the US. The company has already stated that the Arizona fabs will operate with older chip-making technology, underscoring the difficulty in competing with the more advanced processes employed at TSMC’s Taiwanese facilities. Experts note that, for some companies, the tariffs could result in a situation where the minimum amount of US investment is made to comply with the rules, while the majority of the chips are still produced abroad. Higher prices for consumers and electronics firms While the tariffs might encourage some companies to establish US-based operations, the broader implications could harm US consumers and companies relying on imported components. Electronics giants like Apple have already secured tariff exemptions through hefty investment pledges, but smaller firms may struggle with the added costs of tariffs on imported chips. Analysts warn that these costs could trickle down to consumers in the form of higher prices for electronics, such as smartphones, laptops, and even automobiles. Apple, for instance, has been a significant player in US chip manufacturing, relying on TSMC’s Arizona facilities for chip production. However, much of Apple’s investment, such as expanding data centres and server production, has little impact on advanced semiconductor manufacturing. Furthermore, much of Apple’s commitment to US-based production was already in progress before the tariff threat, suggesting that the tariffs themselves may not be the driving force behind its manufacturing decisions. Geopolitical factors and strategic supply chain investments Ultimately, it’s not the tariffs but broader geopolitical and economic factors that are driving chip manufacturers to establish operations in the US. The growing risks of political instability, particularly tensions with China and the possibility of conflicts in West Asia, have encouraged semiconductor companies to bring their supply chains closer to home. Additionally, subsidies like the 2022 Chips Act and US tax incentives for equipment purchases continue to be more effective at enticing foreign manufacturers to set up shop in the US than the tariff proposal itself. Industry experts argue that while the US may continue to see growth in domestic semiconductor production, this will be driven by economic incentives and geopolitical strategy, not tariffs. If the aim is to secure more advanced chip manufacturing in the US, the tariff regime proposed by Trump may fall short of its intended goals, creating more risks than rewards for the broader economy. (With inputs from agencies)

While the US tariffs might encourage some companies to establish US-based operations, the broader implications could harm US consumers and companies relying on imported components.

Trump’s tariff proposal risks harming US chip industry, experts say

Amid global tension on tariffs chaos, Pakistan and the United States are pressing forward with discussions on a new trade and investment framework, after Islamabad secured what it calls the lowest tariff rate among major South Asian economies. Speaking to Bloomberg TV, Pakistan’s Minister of State for Finance Bilal Azhar Kayani said that the Prime Minister Shehbaz Sharif’s government is seeking improved tariff terms on certain exports as part of the ongoing negotiations. The talks aim to finalise investment provisions alongside the trade deal, which was agreed in principle last month.<h2>Tariff win boosts Islamabad’s negotiating position</h2>As per Bloomberg, Pakistan reached the agreement with Washington at a 19 per cent tariff rate, lower than that of its regional peers. The development comes amid an upswing in bilateral relations, underscored by a rare meeting at the White House between US President Donald Trump and Pakistan’s army chief, General Asim Munir, who is making his second visit to the US in just a few months.<h2>Oil partnership on the horizon</h2>Announcing the trade pact last month, President Trump said the US would also work with Pakistan to tap what he described as the country’s “massive oil reserves.” According to Bloomberg, Washington is in the process of selecting a US oil company to lead the partnership.<h2>Strategic reset in ties</h2>The trade negotiations reflect a broader warming of the US–Pakistan relations after years of strained ties. Analysts see the tariff concession and potential energy cooperation as signs of a strategic reset, with Islamabad hoping to boost foreign investment and diversify its export markets.&nbsp;If finalised, the US agreement could mark one of Pakistan’s most significant economic wins in recent years, potentially opening the door for expanded trade flows, energy development, and deeper geopolitical engagement with Washington.&nbsp;(With inputs from the agencies)

The deal aims to enhance investment and trade, reflecting improved bilateral relations and potential energy cooperation. The trade negotiations reflect a broader warming of the US–Pakistan relations after years of strained ties. 

Amid global tension on tariffs chaos, Pakistan and the United States are pressing forward with discussions on a new trade and investment framework, after Islamabad secured what it calls the lowest tariff rate among major South Asian economies. Speaking to Bloomberg TV, Pakistan’s Minister of State for Finance Bilal Azhar Kayani said that the Prime Minister Shehbaz Sharif’s government is seeking improved tariff terms on certain exports as part of the ongoing negotiations. The talks aim to finalise investment provisions alongside the trade deal, which was agreed in principle last month. Tariff win boosts Islamabad’s negotiating position As per Bloomberg, Pakistan reached the agreement with Washington at a 19 per cent tariff rate, lower than that of its regional peers. The development comes amid an upswing in bilateral relations, underscored by a rare meeting at the White House between US President Donald Trump and Pakistan’s army chief, General Asim Munir, who is making his second visit to the US in just a few months. Oil partnership on the horizon Announcing the trade pact last month, President Trump said the US would also work with Pakistan to tap what he described as the country’s “massive oil reserves.” According to Bloomberg, Washington is in the process of selecting a US oil company to lead the partnership. Strategic reset in ties The trade negotiations reflect a broader warming of the US–Pakistan relations after years of strained ties. Analysts see the tariff concession and potential energy cooperation as signs of a strategic reset, with Islamabad hoping to boost foreign investment and diversify its export markets. If finalised, the US agreement could mark one of Pakistan’s most significant economic wins in recent years, potentially opening the door for expanded trade flows, energy development, and deeper geopolitical engagement with Washington. (With inputs from the agencies)

Pakistan and the US are negotiating a new trade and investment framework, with Islamabad securing a 19% tariff rate, the lowest in South Asia.

Pakistan, US in final stretch of trade deal talks after 19% tariff win

South Korea and Vietnam have set an ambitious target to nearly double their bilateral trade to $150 billion annually by 2030. The announcement was made during a high-profile summit between South Korean President Lee Jae Myung and Vietnamese Communist Party chief To Lam in Seoul on August 11. The two leaders emphasised the importance of their growing economic ties, particularly as both nations face challenges from global trade uncertainties, including US tariffs.President Lee highlighted that Vietnam is a “very important neighbouring country” for South Korea, not only for trade but also for security. “We agreed to accelerate the mutually beneficial economic cooperation that has served as a solid foundation for our bilateral relations,” Lee said. Lam’s visit marks the first by a foreign leader to South Korea since Lee took office in June, underscoring the strategic significance of their partnership.<h2>Key areas of collaboration and infrastructure development</h2>The two leaders discussed strengthening cooperation in key sectors, including critical minerals, national defence, and infrastructure development. South Korean companies, particularly in the fields of technology and heavy industry, are expected to play a crucial role in major Vietnamese projects such as city construction, high-speed railways, and nuclear power plants.Vietnam is already South Korea's largest investor, with over 10,000 registered investment projects worth a total of $94 billion. Bilateral trade between the two nations reached $81.5 billion in 2024, a 7.3 per cent year-over-year increase. The countries plan to sign at least 10 memoranda of understanding during this summit, covering areas such as nuclear and renewable energy, financial policies, and science and technology.<h2>Facing trade challenges amid US tariffs</h2>The growing trade ties between South Korea and Vietnam come at a time of heightened uncertainty due to recent US tariffs on both nations. The Trump administration has imposed a 15 per cent tariff on South Korean exports and a 20 per cent tariff on Vietnamese goods. Both countries are seeking ways to mitigate the impact of these tariffs, which have raised concerns about future business prospects.Despite these challenges, the strategic cooperation between the two countries is expected to remain strong. Vietnamese officials have pointed to an increasing focus on areas like semiconductors and artificial intelligence as new opportunities for collaboration. South Korean companies, such as Samsung Electronics, have long used Vietnam as a key export hub, benefiting from lower labour costs and favourable tax policies. The leadership summit is seen as a step toward solidifying these business relationships and fostering new investments in infrastructure and energy sectors.

South Korea and Vietnam plan to sign at least 10 memoranda of understanding during this summit, covering areas such as nuclear and renewable energy, financial policies, and science and technology.

South Korea and Vietnam have set an ambitious target to nearly double their bilateral trade to $150 billion annually by 2030. The announcement was made during a high-profile summit between South Korean President Lee Jae Myung and Vietnamese Communist Party chief To Lam in Seoul on August 11. The two leaders emphasised the importance of their growing economic ties, particularly as both nations face challenges from global trade uncertainties, including US tariffs. President Lee highlighted that Vietnam is a “very important neighbouring country” for South Korea, not only for trade but also for security. “We agreed to accelerate the mutually beneficial economic cooperation that has served as a solid foundation for our bilateral relations,” Lee said. Lam’s visit marks the first by a foreign leader to South Korea since Lee took office in June, underscoring the strategic significance of their partnership. Key areas of collaboration and infrastructure development The two leaders discussed strengthening cooperation in key sectors, including critical minerals, national defence, and infrastructure development. South Korean companies, particularly in the fields of technology and heavy industry, are expected to play a crucial role in major Vietnamese projects such as city construction, high-speed railways, and nuclear power plants. Vietnam is already South Korea's largest investor, with over 10,000 registered investment projects worth a total of $94 billion. Bilateral trade between the two nations reached $81.5 billion in 2024, a 7.3 per cent year-over-year increase. The countries plan to sign at least 10 memoranda of understanding during this summit, covering areas such as nuclear and renewable energy, financial policies, and science and technology. Facing trade challenges amid US tariffs The growing trade ties between South Korea and Vietnam come at a time of heightened uncertainty due to recent US tariffs on both nations. The Trump administration has imposed a 15 per cent tariff on South Korean exports and a 20 per cent tariff on Vietnamese goods. Both countries are seeking ways to mitigate the impact of these tariffs, which have raised concerns about future business prospects. Despite these challenges, the strategic cooperation between the two countries is expected to remain strong. Vietnamese officials have pointed to an increasing focus on areas like semiconductors and artificial intelligence as new opportunities for collaboration. South Korean companies, such as Samsung Electronics, have long used Vietnam as a key export hub, benefiting from lower labour costs and favourable tax policies. The leadership summit is seen as a step toward solidifying these business relationships and fostering new investments in infrastructure and energy sectors.

South Korea and Vietnam plan to sign at least 10 memoranda of understanding during this summit, covering areas such as nuclear and renewable energy, financial policies, and science and technology.

South Korea and Vietnam aim to boost bilateral trade to $150 billion by 2030

Indian equity markets opened the week on a cautious note, with the Nifty index logging its sixth consecutive week of declines and sentiment weighed down by weak earnings commentary and global trade uncertainty. As per Bloomberg, chart analysts are closely watching the 200-day moving average, now just within reach a level that could offer some technical support if it holds.&nbsp;As per Bloomberg, India’s electronics contract manufacturing sector is starting to show cracks, even before the full impact of US tariffs is felt. Bloomberg reports that PG Electroplast shocked investors on Friday by slashing both profit and revenue forecasts for the current fiscal year, citing weaker air-conditioner demand due to an early monsoon. The announcement sparked selling across the industry, with shares of Amber Enterprises, Syrma SGS, and Dixon Technologies coming under pressure.<h2>SBI cautious but confident</h2>State Bank of India, the country’s largest lender, delivered a mixed outlook. As per Bloomberg, while its June-quarter retail and corporate loan growth outpaced the industry average, management warned of short-term margin pressure and flagged the risk that US tariffs could slow investments and consumer spending. Even so, SBI remains upbeat about mortgage demand and corporate lending, projecting a recovery in net interest margins by the fourth quarter, Bloomberg noted.<h2>Hotels post strong metrics but lag in market</h2>India’s hospitality sector is reportedly maintaining steady operational performance with stable room rates, rising occupancy levels, and a robust expansion pipeline, particularly in smaller cities, according to Yes Securities data cited by Bloomberg. Yet, hotel stocks have underperformed the broader market this year, suggesting valuations already price in much of the sector’s growth potential.<h2>Tariff tensions weigh on India’s market position</h2>The escalating tariff standoff between US President Donald Trump and India is emerging as another headwind for investors. Bloomberg data shows that India’s equity market now trails China’s onshore market by $6.3 trillion, the widest gap since March and is on track for its biggest annual underperformance versus China since 2017. Analysts warn that unless trade tensions ease, India’s bid to position itself as the next global growth engine could face further setbacks.&nbsp;(With inputs from the agencies)

PG Electroplast profit forecast cut hurt electronics manufacturing. SBI has mixed signals with growth but warns of margin pressure. The hospitality sector performs steadily, yet underperforms market, while tariff tensions hinder India growth prospects.

Indian equity markets opened the week on a cautious note, with the Nifty index logging its sixth consecutive week of declines and sentiment weighed down by weak earnings commentary and global trade uncertainty. As per Bloomberg, chart analysts are closely watching the 200-day moving average, now just within reach a level that could offer some technical support if it holds. As per Bloomberg, India’s electronics contract manufacturing sector is starting to show cracks, even before the full impact of US tariffs is felt. Bloomberg reports that PG Electroplast shocked investors on Friday by slashing both profit and revenue forecasts for the current fiscal year, citing weaker air-conditioner demand due to an early monsoon. The announcement sparked selling across the industry, with shares of Amber Enterprises, Syrma SGS, and Dixon Technologies coming under pressure. SBI cautious but confident State Bank of India, the country’s largest lender, delivered a mixed outlook. As per Bloomberg, while its June-quarter retail and corporate loan growth outpaced the industry average, management warned of short-term margin pressure and flagged the risk that US tariffs could slow investments and consumer spending. Even so, SBI remains upbeat about mortgage demand and corporate lending, projecting a recovery in net interest margins by the fourth quarter, Bloomberg noted. Hotels post strong metrics but lag in market India’s hospitality sector is reportedly maintaining steady operational performance with stable room rates, rising occupancy levels, and a robust expansion pipeline, particularly in smaller cities, according to Yes Securities data cited by Bloomberg. Yet, hotel stocks have underperformed the broader market this year, suggesting valuations already price in much of the sector’s growth potential. Tariff tensions weigh on India’s market position The escalating tariff standoff between US President Donald Trump and India is emerging as another headwind for investors. Bloomberg data shows that India’s equity market now trails China’s onshore market by $6.3 trillion, the widest gap since March and is on track for its biggest annual underperformance versus China since 2017. Analysts warn that unless trade tensions ease, India’s bid to position itself as the next global growth engine could face further setbacks. (With inputs from the agencies)

Amid US tariffs tension, Indian equity markets showed caution, with Nifty declining for six weeks due to weak earnings and global trade uncertainty.

Indian electronics makers lose steam as US tariff risks loom

Asian markets showed modest gains on August 11 as investors remained cautious ahead of a key US inflation report and the looming deadline for a potential extension of US tariffs on Chinese exports. While Japan's stock market was closed for a holiday, futures indicated a positive outlook, with Japan’s Nikkei 225 pushing towards its all-time high of 42,426, suggesting possible gains for the week. Stock futures in Europe also climbed, with EUROSTOXX 50 futures rising 0.2 per cent, while FTSE and DAX futures edged up 0.1 per cent and 0.2 per cent, respectively. Market attention is firmly on the US consumer price index (CPI) report, expected on August 12. Analysts forecast a 0.3 per cent monthly rise in the core CPI, pushing the annual rate to 3.0 per cent, which is above the Federal Reserve's 2 per cent target. An upside surprise could challenge market expectations for a rate cut in September.<h2>Trade and geopolitical risks shape sentiment</h2>Amid these economic uncertainties, global trade and geopolitics remain in focus. A crucial deadline for US tariffs on Chinese imports is set for August 12, with widespread expectations that the deadline will be extended once again. Geopolitical tensions are also high, with US President Donald Trump and Russian President Vladimir Putin scheduled to meet in Alaska later this week to discuss the ongoing Ukraine conflict. Markets will closely watch these discussions for any potential developments regarding US sanctions on Russian oil exports.In Asia, South Korea’s market fluctuated as it digested the news that tech giants Nvidia and AMD have reportedly agreed to pay 15 per cent of their revenue from chip sales to China to the US government as part of securing export licences. Meanwhile, Chinese stocks saw a modest uptick, buoyed by consumer price inflation data that showed a slight increase in July. However, producer prices continued to decline, signalling ongoing weakness in the country’s manufacturing sector.<h2>Oil and commodity markets in focus</h2>Commodity markets saw mixed movements. Oil prices continued their downward trajectory, with Brent crude slipping 0.6 per cent to $66.22 per barrel, while US crude eased by 0.7 per cent to $63.44. The declines come amid speculation that US-Russia talks could lead to progress in resolving the Ukraine crisis and a potential easing of sanctions on Russian oil exports. In the gold market, futures steadied as traders awaited clarification from the US government regarding its tariff policy on gold imports, particularly from Switzerland.&nbsp;(With inputs from agencies)

Chinese stocks saw a modest uptick, buoyed by consumer price inflation data that showed a slight increase in July. However, producer prices continued to decline, signalling ongoing weakness in the country’s manufacturing sector.

Asian markets showed modest gains on August 11 as investors remained cautious ahead of a key US inflation report and the looming deadline for a potential extension of US tariffs on Chinese exports. While Japan's stock market was closed for a holiday, futures indicated a positive outlook, with Japan’s Nikkei 225 pushing towards its all-time high of 42,426, suggesting possible gains for the week. Stock futures in Europe also climbed, with EUROSTOXX 50 futures rising 0.2 per cent, while FTSE and DAX futures edged up 0.1 per cent and 0.2 per cent, respectively. Market attention is firmly on the US consumer price index (CPI) report, expected on August 12. Analysts forecast a 0.3 per cent monthly rise in the core CPI, pushing the annual rate to 3.0 per cent, which is above the Federal Reserve's 2 per cent target. An upside surprise could challenge market expectations for a rate cut in September. Trade and geopolitical risks shape sentiment Amid these economic uncertainties, global trade and geopolitics remain in focus. A crucial deadline for US tariffs on Chinese imports is set for August 12, with widespread expectations that the deadline will be extended once again. Geopolitical tensions are also high, with US President Donald Trump and Russian President Vladimir Putin scheduled to meet in Alaska later this week to discuss the ongoing Ukraine conflict. Markets will closely watch these discussions for any potential developments regarding US sanctions on Russian oil exports. In Asia, South Korea’s market fluctuated as it digested the news that tech giants Nvidia and AMD have reportedly agreed to pay 15 per cent of their revenue from chip sales to China to the US government as part of securing export licences. Meanwhile, Chinese stocks saw a modest uptick, buoyed by consumer price inflation data that showed a slight increase in July. However, producer prices continued to decline, signalling ongoing weakness in the country’s manufacturing sector. Oil and commodity markets in focus Commodity markets saw mixed movements. Oil prices continued their downward trajectory, with Brent crude slipping 0.6 per cent to $66.22 per barrel, while US crude eased by 0.7 per cent to $63.44. The declines come amid speculation that US-Russia talks could lead to progress in resolving the Ukraine crisis and a potential easing of sanctions on Russian oil exports. In the gold market, futures steadied as traders awaited clarification from the US government regarding its tariff policy on gold imports, particularly from Switzerland. (With inputs from agencies)

Chinese stocks saw a modest uptick, buoyed by consumer price inflation data that showed a slight increase in July. However, producer prices continued to decline, signalling ongoing weakness in the country’s manufacturing sector.

Asian markets edge higher ahead of key US economic data and trade developments

Nvidia and AMD, the leading American semiconductor firms, are reportedly going to hand over 15 per cent of their revenues from Artificial Intelligence chip sales from China to the US government. This is unprecedented if true, and is sure to stun both the business and political leaderships across the world. Why is it a strange deal? Find out below:&nbsp;<h2>What's the 15 per cent revenue deal of Nvidia and AMD with US govt?</h2>

If media reports are to be believed, the chipmaking leaders will hand over 15 per cent of their China chip revenue to the US government. It's not a tax or a fine, but just a ‘deal’ to make sure they are allowed to keep selling certain AI chips to China.That's important for them, because they desperately want to export to China, which the US government has been restricting.&nbsp;The never-before deal will likely allow them to continue with China exports, a sort of "pay-to-play' arrangement in a legal grey zone.<h2>Nvidia - AMD deal with US : Why is it strange?</h2>This is an instance of the US government not just regulating but also profiteering. It’s going to take a cut of private business like a silent shareholder, something relatively unheard of in American capitalism.Critics say the ‘arrangement’ looks more like a cash grab than a security safeguard.This extra cost may be baked into the price of the chips, which might make Chinese buyers look elsewhere or speed up their own domestic chip production.<h2>Nvidia-AMD payments: Is it a deal with Trump’s fingerprints?</h2>The deal was reportedly hammered out during Donald Trump’s meetings with tech giants, with Nvidia’s CEO meeting the US president directly. The whole thing is causing questions of a “quid pro quo.”<h2>Why Nvidia-AMD payment news is a dangerous new precedent</h2>With the deal, Nvidia and AMD can potentially stay in the massive Chinese market, albeit with more red tape, higher compliance costs, and public and regulatory scrutiny.For the US government, it is a way to make money off tech exports while keeping China in check.&nbsp;For China, the move could push it to double down on homegrown AI chip technology, cutting out US firms altogether in the future.Other countries might also copy this model, thus turning the global tech industry in the age of AI into a battlefield of profit-sharing and protectionism.<a href="https://www.wionews.com/videos/tech-giant-nvidia-releases-a-statement-denying-the-existence-of-kill-switch-in-ai-chips-1754502261887/embed">https://www.wionews.com/videos/tech-giant-nvidia-releases-a-statement-denying-the-existence-of-kill-switch-in-ai-chips-1754502261887/embed</a><h2>Shakedown in a suit: Why the Nvidia-AMD China deal is raising fears&nbsp;</h2>This 15 per cent deal isn’t just unusual, it’s a game-changer as the US government is acting like a business partner in private tech sales. Critics say it’s a shakedown in a suit, blurring the lines between national security and national profit, with some feeling it could even be unconstituional.&nbsp;

The never-before deal will likely allow them to continue with China exports, a sort of "pay-to-play' arrangement in a legal grey zone.

Nvidia and AMD, the leading American semiconductor firms, are reportedly going to hand over 15 per cent of their revenues from Artificial Intelligence chip sales from China to the US government. This is unprecedented if true, and is sure to stun both the business and political leaderships across the world. Why is it a strange deal? Find out below: What's the 15 per cent revenue deal of Nvidia and AMD with US govt?

The never-before deal will likely allow them to continue with China exports, a sort of "pay-to-play' arrangement in a legal grey zone.

Strange times, stranger deals: Why Nvidia, AMD plan to give 15 per cent China revenue to Trump govt is as weird as it gets

US chipmakers Nvidia and AMD have agreed to hand over 15 per cent of their revenues from sales of certain advanced artificial intelligence chips to China, as a condition for obtaining export licences, according to a US official quoted by Reuters. The arrangement covers products such as Nvidia’s H20 chips and AMD’s MI308 processors, high-performance semiconductors designed for AI applications. The Financial Times first reported the deal on Sunday, saying the Trump administration has yet to decide how the collected funds will be used.<h2>Sales ban lifted after April halt</h2>In April, Washington halted sales of Nvidia’s H20 chips to China over export control concerns. However, Reuters reports that the US government last month gave Nvidia the green light to resume sales, with deliveries expected to begin soon. The Commerce Department began issuing export licences for the H20 last week.&nbsp;A Nvidia spokesperson told Reuters the company “follows rules the US government sets for our participation in worldwide markets” and expressed hope that export control rules would allow America to “compete in China and worldwide.” AMD did not comment on the report.<h2>Balancing national security and market access</h2>The unusual revenue-sharing requirement has drawn mixed reactions. Geoff Gertz, a senior fellow at the Center for New American Security, told Reuters the policy seemed contradictory: “Either selling H20 chips to China is a national security risk, in which case we shouldn’t be doing it, or it’s not, in which case why are we putting this extra penalty on the sale?” Commerce Secretary Howard Lutnick has defended the move, calling it part of broader US–China negotiations over access to rare earths.&nbsp;In an interview with CNBC last month, Lutnick described the H20 as Nvidia’s “fourth-best chip” and said it was in US interests for Chinese companies to use American technology, even if the most advanced designs remain banned from export. A US official told Reuters the administration does not view the sale of H20 or similar chips as a compromise to national security. However, critics like Alasdair Phillips-Robins, a former adviser at the Commerce Department during Joe Biden’s presidency, argue the deal trades away “national security protections for revenue for the Treasury.”<h2>AI chip sales remain a geopolitical flashpoint</h2>The export of high-end semiconductors to China remains a core battleground in US–China trade and tech relations. While Washington has tightened restrictions on the most advanced AI chips, it is also seeking to maintain market share for American firms in China’s lucrative technology sector.With the 15 per cent revenue arrangement now in place, the Trump administration is attempting to walk a fine line, leveraging technology access for strategic gains, while keeping a close eye on national security thresholds.&nbsp;(With inputs from the agencies)&nbsp;

Sales were previously halted in April but have resumed. The revenue-sharing requirement is mixed, with concerns over national security. Critics argue it compromises protections for Treasury gains while the US aims to balance tech access and security in ongoing US-China relations.

US chipmakers Nvidia and AMD have agreed to hand over 15 per cent of their revenues from sales of certain advanced artificial intelligence chips to China, as a condition for obtaining export licences, according to a US official quoted by Reuters. The arrangement covers products such as Nvidia’s H20 chips and AMD’s MI308 processors, high-performance semiconductors designed for AI applications. The Financial Times first reported the deal on Sunday, saying the Trump administration has yet to decide how the collected funds will be used. Sales ban lifted after April halt In April, Washington halted sales of Nvidia’s H20 chips to China over export control concerns. However, Reuters reports that the US government last month gave Nvidia the green light to resume sales, with deliveries expected to begin soon. The Commerce Department began issuing export licences for the H20 last week. A Nvidia spokesperson told Reuters the company “follows rules the US government sets for our participation in worldwide markets” and expressed hope that export control rules would allow America to “compete in China and worldwide.” AMD did not comment on the report. Balancing national security and market access The unusual revenue-sharing requirement has drawn mixed reactions. Geoff Gertz, a senior fellow at the Center for New American Security, told Reuters the policy seemed contradictory: “Either selling H20 chips to China is a national security risk, in which case we shouldn’t be doing it, or it’s not, in which case why are we putting this extra penalty on the sale?” Commerce Secretary Howard Lutnick has defended the move, calling it part of broader US–China negotiations over access to rare earths. In an interview with CNBC last month, Lutnick described the H20 as Nvidia’s “fourth-best chip” and said it was in US interests for Chinese companies to use American technology, even if the most advanced designs remain banned from export. A US official told Reuters the administration does not view the sale of H20 or similar chips as a compromise to national security. However, critics like Alasdair Phillips-Robins, a former adviser at the Commerce Department during Joe Biden’s presidency, argue the deal trades away “national security protections for revenue for the Treasury.” AI chip sales remain a geopolitical flashpoint The export of high-end semiconductors to China remains a core battleground in US–China trade and tech relations. While Washington has tightened restrictions on the most advanced AI chips, it is also seeking to maintain market share for American firms in China’s lucrative technology sector. With the 15 per cent revenue arrangement now in place, the Trump administration is attempting to walk a fine line, leveraging technology access for strategic gains, while keeping a close eye on national security thresholds. (With inputs from the agencies)

US chipmakers Nvidia and AMD will give 15% of revenue from certain AI chip sales to China for export licenses. This includes Nvidia’s H20 and AMD’s MI308 chips.

Nvidia, AMD to pay US 15% of China AI chip sales under export deal

China, the world’s largest importer of soybeans, is undergoing a strategic shift in its agricultural trade practices, largely in response to a domestic glut of soybean oil and intensifying trade tensions with the United States. Once reliant on American soybeans, China is now exploring alternative supply chains to reduce its dependence on US imports, a trend that marks a significant departure from long-established trade flows. In the first half of 2024, China exported a surprising 127,000 tonnes of soybean oil, already surpassing full-year expectations. These exports, primarily bound for markets in South Korea, Malaysia, and India, are a response to domestic overproduction.&nbsp;Rising global demand for biofuels, particularly in the US, has boosted soybean oil prices, allowing China to capitalise on surplus stock while meeting the needs of its own biodiesel market. At the same time, China is increasingly turning to soybean meal imports from Argentina, testing deliveries for the first time after years of trade disruptions. This shift in China’s soybean strategy reflects broader economic concerns. As Chinese consumers cut back on dining out and livestock demand wanes, the country is looking to find ways to streamline its imports and avoid future disruptions linked to ongoing trade conflicts with Washington.<h2>US soybean exports hit hard by Chinese pivot</h2>The US, once the dominant supplier of soybeans to China, now faces a dramatic decline in market share. In 2009, the US accounted for 51 per cent of China's soybean imports. By 2024, this share has fallen to just 21 per cent, as Beijing turns to Brazil and Argentina for more competitive alternatives. The shift comes as China seeks to mitigate risks associated with potential trade wars, especially following the strained relationship between Washington and Beijing during the Trump administration.In 2024, Chinese processors are notably bypassing US soybeans entirely, with no cargoes booked for February and March 2025. Instead, Brazil’s production, set to reach 169.3 million tonnes, and Argentina’s growing share, projected at 4.1 million tonnes, are filling the void. Brazil’s infrastructure investments, such as the $2.5 billion modernisation of the Port of Santos, and Argentina's move to reduce export tariffs have positioned these countries as formidable competitors, threatening the US soybean market’s long-term viability.<h2>The impact on agribusiness and investment strategies</h2>This shift is not only reshaping global soy trade but also creating new opportunities and risks for agribusinesses and investors. US agribusinesses are looking to Southeast Asia and renewable fuels to offset losses from China, but this will likely not fully recover the lost market share. Brazilian agribusinesses, benefiting from lower production costs and a favourable exchange rate, are in a strong position, though they face potential regulatory risks from the European Union’s new deforestation laws, set to take effect in late 2025.Argentina’s agribusiness sector, despite facing internal challenges such as inflation and currency volatility, remains a key player. However, its ability to maintain growth hinges on improving its domestic economic situation and port efficiency. For investors, the key will be diversification, hedging against geopolitical risks, volatility in soybean markets, and supply chain disruptions. Opportunities include investing in Brazilian infrastructure or targeting US firms that are tapping into renewable fuel markets.&nbsp;(With inputs from agencies)

The shift in China’s soybean strategy reflects broader economic concerns. As Chinese consumers cut back on dining out and livestock demand wanes, the country is looking to find ways to streamline its imports and avoid future disruptions linked to ongoing trade conflicts with Washington.

China, the world’s largest importer of soybeans, is undergoing a strategic shift in its agricultural trade practices, largely in response to a domestic glut of soybean oil and intensifying trade tensions with the United States. Once reliant on American soybeans, China is now exploring alternative supply chains to reduce its dependence on US imports, a trend that marks a significant departure from long-established trade flows. In the first half of 2024, China exported a surprising 127,000 tonnes of soybean oil, already surpassing full-year expectations. These exports, primarily bound for markets in South Korea, Malaysia, and India, are a response to domestic overproduction. Rising global demand for biofuels, particularly in the US, has boosted soybean oil prices, allowing China to capitalise on surplus stock while meeting the needs of its own biodiesel market. At the same time, China is increasingly turning to soybean meal imports from Argentina, testing deliveries for the first time after years of trade disruptions. This shift in China’s soybean strategy reflects broader economic concerns. As Chinese consumers cut back on dining out and livestock demand wanes, the country is looking to find ways to streamline its imports and avoid future disruptions linked to ongoing trade conflicts with Washington. US soybean exports hit hard by Chinese pivot The US, once the dominant supplier of soybeans to China, now faces a dramatic decline in market share. In 2009, the US accounted for 51 per cent of China's soybean imports. By 2024, this share has fallen to just 21 per cent, as Beijing turns to Brazil and Argentina for more competitive alternatives. The shift comes as China seeks to mitigate risks associated with potential trade wars, especially following the strained relationship between Washington and Beijing during the Trump administration. In 2024, Chinese processors are notably bypassing US soybeans entirely, with no cargoes booked for February and March 2025. Instead, Brazil’s production, set to reach 169.3 million tonnes, and Argentina’s growing share, projected at 4.1 million tonnes, are filling the void. Brazil’s infrastructure investments, such as the $2.5 billion modernisation of the Port of Santos, and Argentina's move to reduce export tariffs have positioned these countries as formidable competitors, threatening the US soybean market’s long-term viability. The impact on agribusiness and investment strategies This shift is not only reshaping global soy trade but also creating new opportunities and risks for agribusinesses and investors. US agribusinesses are looking to Southeast Asia and renewable fuels to offset losses from China, but this will likely not fully recover the lost market share. Brazilian agribusinesses, benefiting from lower production costs and a favourable exchange rate, are in a strong position, though they face potential regulatory risks from the European Union’s new deforestation laws, set to take effect in late 2025. Argentina’s agribusiness sector, despite facing internal challenges such as inflation and currency volatility, remains a key player. However, its ability to maintain growth hinges on improving its domestic economic situation and port efficiency. For investors, the key will be diversification, hedging against geopolitical risks, volatility in soybean markets, and supply chain disruptions. Opportunities include investing in Brazilian infrastructure or targeting US firms that are tapping into renewable fuel markets. (With inputs from agencies)

The shift in China’s soybean strategy reflects broader economic concerns. As Chinese consumers cut back on dining out and livestock demand wanes, the country is looking to find ways to streamline its imports and avoid future disruptions linked to ongoing trade conflicts with Washington.

China reshapes soybean trade amid economic slump and rising tensions with the US