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A senior Bank of Japan policymaker has called for resuming interest rate hikes following a temporary pause to evaluate the impact of US tariffs, in a sign the central bank remains committed to moving away from its ultra-loose monetary policy as inflation pressures gather strength. According to Reuters, BOJ board member Hajime Takata said on Thursday that Japan was making steady progress toward achieving the central bank’s 2 per cent inflation target. He cited robust corporate profits and persistent labour shortages driving wages higher factors underpinning what he described as “home-made inflation.”&nbsp;While acknowledging the need to “wait and see” due to uncertainties over US trade policy under President Donald Trump, Takata emphasised that the BOJ should be ready to shift policy “nimbly” in response to any changes in the global economic environment. “My view is that the BOJ is currently only pausing its policy interest rate hike cycle, and should continue to make a gear shift after a certain period of ‘wait and see’,” Takata said in a speech on Thursday, as quoted by Reuters.<h2>Cautious optimism despite tariff risks</h2>Takata’s remarks, reported by Reuters, highlight the delicate balancing act facing the BOJ. The central bank ended its massive stimulus programme last year and raised short-term interest rates to 0.5 per cent in January, its first hike in over a decade. However, concerns about the economic impact of US tariffs prompted the BOJ to cut its growth forecasts in May.&nbsp;According to Reuters, while the BOJ remains cautious about external headwinds, Takata expressed optimism that Japan’s domestic inflation dynamics are strengthening. He argued that medium- and long-term price expectations are steadily rising, not only due to higher raw material costs but also sustained wage increases.&nbsp;“Japan is finally seeing signs of home-made inflation, a prerequisite for rate hikes,” Takata said, as per Reuters. However, he cautioned that US tariffs could weigh on Japan’s exports, capital expenditure, and corporate appetite for wage growth. Takata stated that the BOJ must assess these risks carefully before proceeding with further policy tightening.<h2>No clear timeline for the next hike</h2>Despite suggesting that rate hikes should resume, Takata offered no specifics on the timing of the BOJ’s next move, citing persistent uncertainty over the direction of US economic policy. “We can’t say now with any pre-set idea,” he said when asked about the prospect of another rate increase this year, according to Reuters.&nbsp;Takata also noted that if the US Federal Reserve were to cut interest rates to support the American economy, the divergence between the Fed’s easing bias and the BOJ’s tightening stance could drive up the yen and hit Japanese corporate profits.<h2>Breaking free from ‘false dawns’</h2>Takata underscored, as reported by Reuters, that Japan’s economy has experienced repeated “false dawns” in the past, brief recoveries derailed by global demand shocks. But he expressed confidence that this time could be different, with Japanese firms increasingly willing to raise both prices and wages. “My expectation is that Japan will see a ‘true dawn’ this time,” Takata said, according to Reuters.&nbsp;He added that while the long-term damage from US tariffs may be limited compared with the bilateral trade tensions of the 1990s, since Trump’s levies target a wide range of countries, the BOJ still needed to move cautiously. “I believe the BOJ should gradually and cautiously shift gears in its monetary policy,” he concluded, signalling support for a full, though careful, withdrawal of the central bank’s unconventional easing programme, as quoted by Reuters.&nbsp;(With inputs from the agencies) &nbsp;

Bank of Japan board member Hajime Takata urges a cautious return to rate hikes, highlighting Japan shift toward sustained, home grown inflation amid global trade uncertainties.

A senior Bank of Japan policymaker has called for resuming interest rate hikes following a temporary pause to evaluate the impact of US tariffs, in a sign the central bank remains committed to moving away from its ultra-loose monetary policy as inflation pressures gather strength. According to Reuters, BOJ board member Hajime Takata said on Thursday that Japan was making steady progress toward achieving the central bank’s 2 per cent inflation target. He cited robust corporate profits and persistent labour shortages driving wages higher factors underpinning what he described as “home-made inflation.” While acknowledging the need to “wait and see” due to uncertainties over US trade policy under President Donald Trump, Takata emphasised that the BOJ should be ready to shift policy “nimbly” in response to any changes in the global economic environment. “My view is that the BOJ is currently only pausing its policy interest rate hike cycle, and should continue to make a gear shift after a certain period of ‘wait and see’,” Takata said in a speech on Thursday, as quoted by Reuters. Cautious optimism despite tariff risks Takata’s remarks, reported by Reuters, highlight the delicate balancing act facing the BOJ. The central bank ended its massive stimulus programme last year and raised short-term interest rates to 0.5 per cent in January, its first hike in over a decade. However, concerns about the economic impact of US tariffs prompted the BOJ to cut its growth forecasts in May. According to Reuters, while the BOJ remains cautious about external headwinds, Takata expressed optimism that Japan’s domestic inflation dynamics are strengthening. He argued that medium- and long-term price expectations are steadily rising, not only due to higher raw material costs but also sustained wage increases. “Japan is finally seeing signs of home-made inflation, a prerequisite for rate hikes,” Takata said, as per Reuters. However, he cautioned that US tariffs could weigh on Japan’s exports, capital expenditure, and corporate appetite for wage growth. Takata stated that the BOJ must assess these risks carefully before proceeding with further policy tightening. No clear timeline for the next hike Despite suggesting that rate hikes should resume, Takata offered no specifics on the timing of the BOJ’s next move, citing persistent uncertainty over the direction of US economic policy. “We can’t say now with any pre-set idea,” he said when asked about the prospect of another rate increase this year, according to Reuters. Takata also noted that if the US Federal Reserve were to cut interest rates to support the American economy, the divergence between the Fed’s easing bias and the BOJ’s tightening stance could drive up the yen and hit Japanese corporate profits. Breaking free from ‘false dawns’ Takata underscored, as reported by Reuters, that Japan’s economy has experienced repeated “false dawns” in the past, brief recoveries derailed by global demand shocks. But he expressed confidence that this time could be different, with Japanese firms increasingly willing to raise both prices and wages. “My expectation is that Japan will see a ‘true dawn’ this time,” Takata said, according to Reuters. He added that while the long-term damage from US tariffs may be limited compared with the bilateral trade tensions of the 1990s, since Trump’s levies target a wide range of countries, the BOJ still needed to move cautiously. “I believe the BOJ should gradually and cautiously shift gears in its monetary policy,” he concluded, signalling support for a full, though careful, withdrawal of the central bank’s unconventional easing programme, as quoted by Reuters. (With inputs from the agencies)

BOJ’s Hajime Takata signals resumption of rate hikes, citing rising domestic inflation and wage growth despite US tariff risks.

BOJ board member signals rate hikes after pause to assess US tariffs

India's services sector has achieved its strongest growth in 10 months, with the HSBC India Services PMI Business Activity Index rising to 60.4 in June, up from 58.8 in May. This marks the highest level of expansion since August 2024, fuelled by a surge in new orders, both domestically and internationally. The robust increase in new business orders, particularly in the domestic market, contributed significantly to the growth in June. Service providers reported positive demand trends, with new orders expanding at the fastest rate since August 2024. Export orders also saw a rise, though at a slower pace, driven by growing demand from Asian, Middle Eastern, and US markets.Pranjul Bhandari, Chief India Economist at HSBC, noted, “The Services PMI business activity index was up to a 10-month high, led by a sharp rise in new domestic orders. New export orders also expanded, albeit at a softer pace.” The overall expansion was broadly spread across sectors, with Finance &amp; Insurance leading the growth, while Real Estate &amp; Business Services saw the slowest increases.<h2>Employment growth and easing price pressures</h2>The ongoing expansion in the service sector continued to support job creation, marking the 37th consecutive month of employment growth in June. While the rate of job creation slowed slightly compared to May's record pace, it still outpaced the long-run average.On the price front, inflationary pressures eased, with both input cost and output charge inflation softening from May. However, the Consumer Services sector experienced the highest cost pressures, while Finance &amp; Insurance saw the steepest rise in output charges. Despite the easing in price pressures, service providers remained optimistic about future growth, although their confidence slightly waned compared to earlier in the year.<h2>Mixed outlook for India's economy</h2>While the service sector showed strong growth, overall optimism regarding future output levels has softened. According to the survey, only 18 per cent of service providers are forecasting growth in the next 12 months, down from earlier highs. Despite this, the overall expansion in the services and manufacturing sectors helped the HSBC India Composite PMI Output Index rise to 61.0, its highest level in 14 months.India’s services sector, which represents more than half of the country’s GDP, remains a key driver of economic performance, especially as international demand continues to grow. However, the slowdown in GDP growth expectations, coupled with fluctuating confidence, signals a cautious outlook as the country navigates an uncertain global economic environment.

The robust increase in new business orders contributed significantly to the growth in services activity in June. Service providers reported positive demand trends, with new orders expanding at the fastest rate since August 2024.

India's services sector has achieved its strongest growth in 10 months, with the HSBC India Services PMI Business Activity Index rising to 60.4 in June, up from 58.8 in May. This marks the highest level of expansion since August 2024, fuelled by a surge in new orders, both domestically and internationally. The robust increase in new business orders, particularly in the domestic market, contributed significantly to the growth in June. Service providers reported positive demand trends, with new orders expanding at the fastest rate since August 2024. Export orders also saw a rise, though at a slower pace, driven by growing demand from Asian, Middle Eastern, and US markets. Pranjul Bhandari, Chief India Economist at HSBC, noted, “The Services PMI business activity index was up to a 10-month high, led by a sharp rise in new domestic orders. New export orders also expanded, albeit at a softer pace.” The overall expansion was broadly spread across sectors, with Finance & Insurance leading the growth, while Real Estate & Business Services saw the slowest increases. Employment growth and easing price pressures The ongoing expansion in the service sector continued to support job creation, marking the 37th consecutive month of employment growth in June. While the rate of job creation slowed slightly compared to May's record pace, it still outpaced the long-run average. On the price front, inflationary pressures eased, with both input cost and output charge inflation softening from May. However, the Consumer Services sector experienced the highest cost pressures, while Finance & Insurance saw the steepest rise in output charges. Despite the easing in price pressures, service providers remained optimistic about future growth, although their confidence slightly waned compared to earlier in the year. Mixed outlook for India's economy While the service sector showed strong growth, overall optimism regarding future output levels has softened. According to the survey, only 18 per cent of service providers are forecasting growth in the next 12 months, down from earlier highs. Despite this, the overall expansion in the services and manufacturing sectors helped the HSBC India Composite PMI Output Index rise to 61.0, its highest level in 14 months. India’s services sector, which represents more than half of the country’s GDP, remains a key driver of economic performance, especially as international demand continues to grow. However, the slowdown in GDP growth expectations, coupled with fluctuating confidence, signals a cautious outlook as the country navigates an uncertain global economic environment.

The robust increase in new business orders contributed significantly to the growth in services activity in June. Service providers reported positive demand trends, with new orders expanding at the fastest rate since August 2024.

India’s services sector growth hits 10-month high in June

The US government has cleared the way for Enterprise Products Partners to resume ethane exports to China, lifting a licensing restriction imposed just weeks earlier. The decision marks a shift in US-China trade relations as tensions between the two countries ease following a dispute over rare earth minerals. In late May and early June, the US had introduced new controls on various exports, including ethane, in response to China’s delays in sending critical rare earth materials to the US. These rare earths are essential for industries like automotive manufacturing. The new curbs on ethane had a direct impact on both US exporters and Chinese petrochemical producers, as China is a major consumer of US ethane, which is primarily used in the production of plastics and chemicals.However, after the US and China reached an agreement last week over the flow of rare earth minerals and magnets to the US, the restrictions on ethane were revoked. The US Department of Commerce sent a letter on July 2 to Enterprise Products Partners, Energy Transfer, and other key exporters, informing them that they could resume loading ethane on vessels bound for China without the need for further US authorisation. This move is seen as a positive step in the current phase of US-China relations, which are showing signs of improvement.<h2>Impact on the US ethane market</h2>Ethane, a natural gas liquid extracted from shale gas, has become increasingly important in the global petrochemical industry. Prior to the restrictions, about half of all US ethane exports went to China, where it is used as a cheaper feedstock for plastic manufacturing. The halt in shipments caused a significant dip in exports, with June exports falling to just 57,000 barrels per day, the lowest level ever recorded.The rollback of export restrictions is a welcome relief for US energy producers, who had been facing the prospect of a prolonged trade disruption. It also signals a potential thaw in the broader US-China trade tensions, offering hope for more stable trade relations moving forward.

Prior to the restrictions imposed by the US on ethane exports, about half of all US ethane exports went to China, where it is used as a cheaper feedstock for plastic manufacturing. 

The US government has cleared the way for Enterprise Products Partners to resume ethane exports to China, lifting a licensing restriction imposed just weeks earlier. The decision marks a shift in US-China trade relations as tensions between the two countries ease following a dispute over rare earth minerals. In late May and early June, the US had introduced new controls on various exports, including ethane, in response to China’s delays in sending critical rare earth materials to the US. These rare earths are essential for industries like automotive manufacturing. The new curbs on ethane had a direct impact on both US exporters and Chinese petrochemical producers, as China is a major consumer of US ethane, which is primarily used in the production of plastics and chemicals. However, after the US and China reached an agreement last week over the flow of rare earth minerals and magnets to the US, the restrictions on ethane were revoked. The US Department of Commerce sent a letter on July 2 to Enterprise Products Partners, Energy Transfer, and other key exporters, informing them that they could resume loading ethane on vessels bound for China without the need for further US authorisation. This move is seen as a positive step in the current phase of US-China relations, which are showing signs of improvement. Impact on the US ethane market Ethane, a natural gas liquid extracted from shale gas, has become increasingly important in the global petrochemical industry. Prior to the restrictions, about half of all US ethane exports went to China, where it is used as a cheaper feedstock for plastic manufacturing. The halt in shipments caused a significant dip in exports, with June exports falling to just 57,000 barrels per day, the lowest level ever recorded. The rollback of export restrictions is a welcome relief for US energy producers, who had been facing the prospect of a prolonged trade disruption. It also signals a potential thaw in the broader US-China trade tensions, offering hope for more stable trade relations moving forward.

Prior to the restrictions imposed by the US on ethane exports, about half of all US ethane exports went to China, where it is used as a cheaper feedstock for plastic manufacturing.&nbsp;

Enterprise Products gets US approval to resume ethane exports to China

Microsoft Corp. has confirmed that it will lay off approximately 9,000 workers, marking its second mass layoff this year. The company cited the move as part of its ongoing efforts to align the organisation with changing market dynamics and focus on strategic growth areas, particularly in artificial intelligence (AI) and cloud computing. The layoffs, which affect multiple divisions, are part of broader organisational changes that include eliminating management layers and streamlining operations. The announcement came on July 2, as Microsoft entered its 2026 fiscal year, typically a time when the company reviews its internal structure and priorities. This latest round of cuts represents about 4 per cent of its global workforce, which stood at 228,000 employees as of June 2024.<h2>Gaming to bear the brunt</h2>The job reductions will have a significant impact across various business units, with particular attention on Microsoft’s gaming division. The company’s Xbox business is expected to be one of the hardest hit, following a trend of job cuts in recent years as Microsoft pivots to prioritise AI development.The gaming division, which includes subsidiaries such as King, the makers of Candy Crush, ZeniMax, Raven Software, and 343 Industries (the developer behind Halo), will see substantial workforce reductions. King, based in Stockholm, is laying off 10 per cent of its staff, or around 200 employees. Several other gaming studios under the Xbox umbrella, including those working on high-profile projects like Perfect Dark and Everwild, have been impacted by project cancellations.Phil Spencer, CEO of Microsoft Gaming, wrote in a memo to staff that these decisions were made to prioritise the company’s strongest opportunities in the rapidly changing gaming industry. He emphasised that the gaming division would focus on areas that are poised for long-term success, despite the cancellation of several in-progress projects.<h2>Company’s focus on artificial intelligence</h2>While the layoffs come as a shock to many, they also reflect Microsoft's ongoing shift toward AI, a sector that the company sees as integral to its future success. Microsoft is investing billions of dollars in expanding its AI capabilities, including developing massive data centres and AI models. In fact, the company recently announced an $80 billion investment in its AI infrastructure. This focus on AI has reshaped the company’s workforce needs, with high-cost employees in non-core areas being let go to make room for the company’s new priorities.Microsoft’s AI division is led by Mustafa Suleyman, who was brought in last year to spearhead efforts in machine learning and AI. As part of its AI push, Microsoft is also making significant investments in cloud-based services, which it expects to drive long-term growth. The company has also been expanding its stake in OpenAI, the parent company behind the popular ChatGPT chatbot.Despite these strategic shifts, Microsoft has faced challenges in selling its AI-driven products, such as Copilot, to enterprise clients, with reports suggesting that many office workers still prefer ChatGPT over Microsoft’s offerings. This has led to tensions between Microsoft and OpenAI, as the two companies struggle to define their relationship moving forward.<h2>A trend across the tech industry</h2>Microsoft’s layoffs are part of a broader trend of workforce reductions across the tech industry. Other major players, including Meta, Amazon, and Autodesk, have also cut jobs this year, often in response to shifting priorities toward AI and automation. Microsoft itself had already conducted three rounds of layoffs in 2025, including a 6,000-job reduction in May and a smaller cut in June.While the company remains profitable, posting $26 billion in net income for the March quarter, executives have emphasised that reducing management layers and cutting costs in non-strategic areas are necessary steps for maintaining long-term success. Microsoft’s stock closed at a record high of $497.45 per share on June 26, despite the uncertainty surrounding its workforce changes.The latest layoffs mark a significant moment in Microsoft’s ongoing transformation as it pivots toward AI and cloud computing. While the company continues to report strong financials, including revenue growth in its Azure and productivity software divisions, these restructuring efforts reflect the broader shifts occurring in the tech landscape.For Microsoft employees affected by the cuts, the future remains uncertain, but the company has promised to prioritise affected workers for new roles within the organisation. As the company braces for the future of AI and the next phase of digital transformation, its workforce realignment shows just how quickly the tech giant is adapting to a rapidly changing marketplace.

The layoffs announced by Microsoft, which affect multiple divisions, are part of broader organisational changes that include eliminating management layers and streamlining operations. 

Microsoft Corp. has confirmed that it will lay off approximately 9,000 workers, marking its second mass layoff this year. The company cited the move as part of its ongoing efforts to align the organisation with changing market dynamics and focus on strategic growth areas, particularly in artificial intelligence (AI) and cloud computing. The layoffs, which affect multiple divisions, are part of broader organisational changes that include eliminating management layers and streamlining operations. The announcement came on July 2, as Microsoft entered its 2026 fiscal year, typically a time when the company reviews its internal structure and priorities. This latest round of cuts represents about 4 per cent of its global workforce, which stood at 228,000 employees as of June 2024. Gaming to bear the brunt The job reductions will have a significant impact across various business units, with particular attention on Microsoft’s gaming division. The company’s Xbox business is expected to be one of the hardest hit, following a trend of job cuts in recent years as Microsoft pivots to prioritise AI development. The gaming division, which includes subsidiaries such as King, the makers of Candy Crush, ZeniMax, Raven Software, and 343 Industries (the developer behind Halo), will see substantial workforce reductions. King, based in Stockholm, is laying off 10 per cent of its staff, or around 200 employees. Several other gaming studios under the Xbox umbrella, including those working on high-profile projects like Perfect Dark and Everwild, have been impacted by project cancellations. Phil Spencer, CEO of Microsoft Gaming, wrote in a memo to staff that these decisions were made to prioritise the company’s strongest opportunities in the rapidly changing gaming industry. He emphasised that the gaming division would focus on areas that are poised for long-term success, despite the cancellation of several in-progress projects. Company’s focus on artificial intelligence While the layoffs come as a shock to many, they also reflect Microsoft's ongoing shift toward AI, a sector that the company sees as integral to its future success. Microsoft is investing billions of dollars in expanding its AI capabilities, including developing massive data centres and AI models. In fact, the company recently announced an $80 billion investment in its AI infrastructure. This focus on AI has reshaped the company’s workforce needs, with high-cost employees in non-core areas being let go to make room for the company’s new priorities. Microsoft’s AI division is led by Mustafa Suleyman, who was brought in last year to spearhead efforts in machine learning and AI. As part of its AI push, Microsoft is also making significant investments in cloud-based services, which it expects to drive long-term growth. The company has also been expanding its stake in OpenAI, the parent company behind the popular ChatGPT chatbot. Despite these strategic shifts, Microsoft has faced challenges in selling its AI-driven products, such as Copilot, to enterprise clients, with reports suggesting that many office workers still prefer ChatGPT over Microsoft’s offerings. This has led to tensions between Microsoft and OpenAI, as the two companies struggle to define their relationship moving forward. A trend across the tech industry Microsoft’s layoffs are part of a broader trend of workforce reductions across the tech industry. Other major players, including Meta, Amazon, and Autodesk, have also cut jobs this year, often in response to shifting priorities toward AI and automation. Microsoft itself had already conducted three rounds of layoffs in 2025, including a 6,000-job reduction in May and a smaller cut in June. While the company remains profitable, posting $26 billion in net income for the March quarter, executives have emphasised that reducing management layers and cutting costs in non-strategic areas are necessary steps for maintaining long-term success. Microsoft’s stock closed at a record high of $497.45 per share on June 26, despite the uncertainty surrounding its workforce changes. The latest layoffs mark a significant moment in Microsoft’s ongoing transformation as it pivots toward AI and cloud computing. While the company continues to report strong financials, including revenue growth in its Azure and productivity software divisions, these restructuring efforts reflect the broader shifts occurring in the tech landscape. For Microsoft employees affected by the cuts, the future remains uncertain, but the company has promised to prioritise affected workers for new roles within the organisation. As the company braces for the future of AI and the next phase of digital transformation, its workforce realignment shows just how quickly the tech giant is adapting to a rapidly changing marketplace.

The layoffs announced by Microsoft, which affect multiple divisions, are part of broader organisational changes that include eliminating management layers and streamlining operations.&nbsp;

Microsoft trims 4% of workforce amid growing AI focus

In a significant development in US-Vietnam trade relations, President Donald Trump announced on July 2 that a trade deal has been reached with the Southeast Asian nation. Under the terms of the agreement, Vietnamese exports to the United States will now be subject to a 20 per cent tariff, significantly lower than the 46 per cent levy initially planned. The deal also sets a 40 per cent tariff on goods transshipped through Vietnam, a measure aimed at curbing the practice of circumventing tariffs by routing Chinese goods through the country. In return, Vietnam will offer the United States zero-tariff access to its markets, a significant step forward in trade cooperation between the two nations.The agreement, which came after weeks of tense negotiations, is seen as a key moment in the Trump administration’s broader strategy of imposing tariffs and negotiating trade deals with countries that are seen as not reciprocating US market access on equal terms. Trump took to the social media platform Truth Social to announce the deal, writing, “It is my great honor to announce that I have just made a trade deal with the Socialist Republic of Vietnam... It will be a great deal of cooperation between our two countries.”The deal marks a win for the Trump administration, which had warned that without an agreement, the new 46 per cent tariffs on Vietnamese goods would go into effect on July 9. This would have added significant costs to US importers, with the potential to raise prices for consumers. The final deal represents a much-needed diplomatic breakthrough with Vietnam, which has seen its exports to the US soar in recent years, largely due to trade diversion from China.<h2>Impact on US imports and exports</h2>The newly agreed-upon tariff levels will affect the flow of goods between the two nations. While Vietnam will face a 20 per cent tariff on most of its exports to the US, the 40 per cent levy on transshipped goods could have a more far-reaching impact. Transshipping involves routing goods through Vietnam from third-party countries, particularly China, to avoid higher tariffs. This provision seeks to close loopholes in the enforcement of tariffs, ensuring that goods primarily made in China do not circumvent US duties by using Vietnam as an intermediary.Vietnamese exports to the United States have skyrocketed in recent years, as US companies shifted their production lines from China to Vietnam to evade the Trump administration’s tariffs on Chinese goods. This trade diversification strategy has benefitted Vietnam, but it has also strained relations between the two countries. With the new deal, the US seeks to prevent abuse of the transshipment system while still benefiting from Vietnam’s growing role as a manufacturing hub in Asia.On the other hand, the US will gain substantial market access to Vietnam, with zero tariffs on US exports to the country. This could provide new opportunities for American manufacturers, especially in sectors like automotive and agriculture. Trump made the case for US auto exports to Vietnam, particularly large-engine vehicles, which he believes will be a valuable addition to the Vietnamese market.<h2>Strategic importance of the deal</h2>Beyond the economic factors, the deal with Vietnam has strategic implications. Vietnam is one of the key nations in Southeast Asia that the US sees as a crucial partner in balancing China’s growing influence in the region. While the trade agreement focuses on tariffs and market access, it also sets the stage for deeper diplomatic and military cooperation. Trump’s decision to strike a deal with Vietnam comes amid heightened tensions between the US and China, and Vietnam plays an important role as a counterbalance to China’s dominance in the region.Additionally, Vietnam has long lobbied the US to recognise its market economy status and remove restrictions on the export of high-tech products to the country. This remains an ongoing issue, but the trade deal is a step toward resolving those concerns, which could pave the way for further economic exchanges.The deal also includes provisions to address Vietnam’s concerns regarding its own access to US markets. Trump’s announcement noted that the country would enjoy full tariff-free access to US markets, opening opportunities for Vietnamese goods to reach American consumers without the burden of tariffs.<h2>Uncertainty looms as details remain sparse</h2>Despite the optimistic announcement, several details of the agreement remain unclear. Both the White House and the Vietnamese trade ministry have not provided full clarity on the specific products that will be affected by the 20 per cent tariff or how the transshipment provisions will be implemented in practice. The Trump administration has yet to release a formal trade agreement or term sheet, meaning that much of the deal remains in a framework stage, similar to previous trade agreements with other countries like China and the UK.Vietnam ranks fifth among the countries that the US has the highest trade deficit with, and its growing trade surplus with the US has been a contentious issue, with Trump signalling that these tariffs were necessary to correct what he described as an “unfair” trading relationship. With the trade deal, Vietnam hopes to secure greater access to US markets, especially in sectors like agriculture and automotive manufacturing, while addressing the concerns of the US over trade imbalances and transshipment practices.

Vietnamese exports to the United States have skyrocketed in recent years, as US companies shifted their production lines from China to Vietnam to evade the Trump administration’s tariffs on Chinese goods, but the deal also sets a 40 per cent tariff on goods transshipped through Vietnam.

In a significant development in US-Vietnam trade relations, President Donald Trump announced on July 2 that a trade deal has been reached with the Southeast Asian nation. Under the terms of the agreement, Vietnamese exports to the United States will now be subject to a 20 per cent tariff, significantly lower than the 46 per cent levy initially planned. The deal also sets a 40 per cent tariff on goods transshipped through Vietnam, a measure aimed at curbing the practice of circumventing tariffs by routing Chinese goods through the country. In return, Vietnam will offer the United States zero-tariff access to its markets, a significant step forward in trade cooperation between the two nations. The agreement, which came after weeks of tense negotiations, is seen as a key moment in the Trump administration’s broader strategy of imposing tariffs and negotiating trade deals with countries that are seen as not reciprocating US market access on equal terms. Trump took to the social media platform Truth Social to announce the deal, writing, “It is my great honor to announce that I have just made a trade deal with the Socialist Republic of Vietnam... It will be a great deal of cooperation between our two countries.” The deal marks a win for the Trump administration, which had warned that without an agreement, the new 46 per cent tariffs on Vietnamese goods would go into effect on July 9. This would have added significant costs to US importers, with the potential to raise prices for consumers. The final deal represents a much-needed diplomatic breakthrough with Vietnam, which has seen its exports to the US soar in recent years, largely due to trade diversion from China. Impact on US imports and exports The newly agreed-upon tariff levels will affect the flow of goods between the two nations. While Vietnam will face a 20 per cent tariff on most of its exports to the US, the 40 per cent levy on transshipped goods could have a more far-reaching impact. Transshipping involves routing goods through Vietnam from third-party countries, particularly China, to avoid higher tariffs. This provision seeks to close loopholes in the enforcement of tariffs, ensuring that goods primarily made in China do not circumvent US duties by using Vietnam as an intermediary. Vietnamese exports to the United States have skyrocketed in recent years, as US companies shifted their production lines from China to Vietnam to evade the Trump administration’s tariffs on Chinese goods. This trade diversification strategy has benefitted Vietnam, but it has also strained relations between the two countries. With the new deal, the US seeks to prevent abuse of the transshipment system while still benefiting from Vietnam’s growing role as a manufacturing hub in Asia. On the other hand, the US will gain substantial market access to Vietnam, with zero tariffs on US exports to the country. This could provide new opportunities for American manufacturers, especially in sectors like automotive and agriculture. Trump made the case for US auto exports to Vietnam, particularly large-engine vehicles, which he believes will be a valuable addition to the Vietnamese market. Strategic importance of the deal Beyond the economic factors, the deal with Vietnam has strategic implications. Vietnam is one of the key nations in Southeast Asia that the US sees as a crucial partner in balancing China’s growing influence in the region. While the trade agreement focuses on tariffs and market access, it also sets the stage for deeper diplomatic and military cooperation. Trump’s decision to strike a deal with Vietnam comes amid heightened tensions between the US and China, and Vietnam plays an important role as a counterbalance to China’s dominance in the region. Additionally, Vietnam has long lobbied the US to recognise its market economy status and remove restrictions on the export of high-tech products to the country. This remains an ongoing issue, but the trade deal is a step toward resolving those concerns, which could pave the way for further economic exchanges. The deal also includes provisions to address Vietnam’s concerns regarding its own access to US markets. Trump’s announcement noted that the country would enjoy full tariff-free access to US markets, opening opportunities for Vietnamese goods to reach American consumers without the burden of tariffs. Uncertainty looms as details remain sparse Despite the optimistic announcement, several details of the agreement remain unclear. Both the White House and the Vietnamese trade ministry have not provided full clarity on the specific products that will be affected by the 20 per cent tariff or how the transshipment provisions will be implemented in practice. The Trump administration has yet to release a formal trade agreement or term sheet, meaning that much of the deal remains in a framework stage, similar to previous trade agreements with other countries like China and the UK. Vietnam ranks fifth among the countries that the US has the highest trade deficit with, and its growing trade surplus with the US has been a contentious issue, with Trump signalling that these tariffs were necessary to correct what he described as an “unfair” trading relationship. With the trade deal, Vietnam hopes to secure greater access to US markets, especially in sectors like agriculture and automotive manufacturing, while addressing the concerns of the US over trade imbalances and transshipment practices.

Vietnamese exports to the United States have skyrocketed in recent years, as US firms shifted their production lines from China to Vietnam to evade the Trump tariffs on Chinese goods, but the deal also sets a 40 per cent tariff on goods transshipped via Vietnam to curb the practice.

Trump tariffs on Vietnamese goods slashed to 20%, while US faces zero levy

Production houses are moving to other states or even to other countries. Why is Hollywood dying? There are a multitude of reasons. Here is what you should know


Hollywood is dying. Why the Mecca of world entertainment is in decline, in 8 slides

US President Donald Trump has given the green light to a Russia sanctions bill that could impose tariffs of up to 500 per cent on countries still engaged in energy and oil trade with Russia. Senator Lindsey Graham, while speaking to ABC News, said that buying products from Russia is not helping Ukraine. Moscow has been engaged in a full-scale war with Kyiv since February 24, 2022.&nbsp;"Big breakthrough here. So, what does this bill do? If you’re buying products from Russia and you’re not helping Ukraine, then there’s a 500 per cent tariff on your products coming into the United States. India and China buy 70 per cent of Putin’s oil. They keep his war machine going," said Lindsey Graham.&nbsp;The bill, according to Senator Graham, has 84 co-sponsor which intends to weaken Russia's war economy by pressuring countries which are engaged in trade with it. Thus forcing Moscow to negotiate peace with Kyiv.<h2>How will it impact India?</h2>Last month, India purchased 1.96 barrels per day from Russia, exceeding its limit, making Russia the primary supplier ahead of the Gulf countries like Iraq and Saudi Arabia. India was historically dependent on the Gulf countries as its primary supplier. But since February 2022, it has started to diversify its dependence on Gulf countries. This was primarily because, following Western sanctions on Russia, India negotiated a significantly discounted price with Moscow to procure oil. This allows India to save billions of dollars. According to a study by marketing research firm ICRA, India saved almost $13 billion by purchasing discounted crude between 2022 and 2024. In FY24, India imported 36 per cent of its Crude petroleum from Russia. As the world's third-largest oil consumer and fourth-largest economy, India has a growing oil demand and is buying from Russia, optimising its cost.The proposed 500 per cent tariff, if implemented, could have serious diplomatic, economic and strategic repercussions. As the United States was its largest trade partner for the fourth consecutive year. For FY 24-25, the trade stood at $131.84 billion, with an estimated $41.18 billion trade surplus between the two. India is expected to reach $500 billion in bilateral trade with the US by 2030. India's overall trade deficit stands at $94.26 billion for the FY24-25, so having a surplus with the US is important for. With a 500 per cent tariff implemented; this figure will widen more, pushing India towards a crisis.&nbsp;&nbsp;

The US President Donald Trump has given the nod to a Russia sanctions bill that will implement a 500 per cent tariff on countries that are engaged in energy and oil trade with Russia. What could it mean for India, as India imports 36 per cent of its Crude petroleum from Russia?

US President Donald Trump has given the green light to a Russia sanctions bill that could impose tariffs of up to 500 per cent on countries still engaged in energy and oil trade with Russia. Senator Lindsey Graham, while speaking to ABC News, said that buying products from Russia is not helping Ukraine. Moscow has been engaged in a full-scale war with Kyiv since February 24, 2022. "Big breakthrough here. So, what does this bill do? If you’re buying products from Russia and you’re not helping Ukraine, then there’s a 500 per cent tariff on your products coming into the United States. India and China buy 70 per cent of Putin’s oil. They keep his war machine going," said Lindsey Graham. The bill, according to Senator Graham, has 84 co-sponsor which intends to weaken Russia's war economy by pressuring countries which are engaged in trade with it. Thus forcing Moscow to negotiate peace with Kyiv. How will it impact India? Last month, India purchased 1.96 barrels per day from Russia, exceeding its limit, making Russia the primary supplier ahead of the Gulf countries like Iraq and Saudi Arabia. India was historically dependent on the Gulf countries as its primary supplier. But since February 2022, it has started to diversify its dependence on Gulf countries. This was primarily because, following Western sanctions on Russia, India negotiated a significantly discounted price with Moscow to procure oil. This allows India to save billions of dollars. According to a study by marketing research firm ICRA, India saved almost $13 billion by purchasing discounted crude between 2022 and 2024. In FY24, India imported 36 per cent of its Crude petroleum from Russia. As the world's third-largest oil consumer and fourth-largest economy, India has a growing oil demand and is buying from Russia, optimising its cost. The proposed 500 per cent tariff, if implemented, could have serious diplomatic, economic and strategic repercussions. As the United States was its largest trade partner for the fourth consecutive year. For FY 24-25, the trade stood at $131.84 billion, with an estimated $41.18 billion trade surplus between the two. India is expected to reach $500 billion in bilateral trade with the US by 2030. India's overall trade deficit stands at $94.26 billion for the FY24-25, so having a surplus with the US is important for. With a 500 per cent tariff implemented; this figure will widen more, pushing India towards a crisis.

The US President Donald Trump has given the nod to a Russia sanctions bill that will implement a 500 per cent tariff on countries that are engaged in energy and oil trade with Russia. What could it mean for India, as India imports 36 per cent of its Crude petroleum from Russia?

US plans 500% tariffs on top Russian oil buyers. How it will affect India

Infosys, one of the largest IT firms in India, has launched a new work policy that prioritises the health and well-being of its employees over long working hours. The new internal policy on ‘work-life balance’ is in contrast with Infosys co-founder Narayana Murthy’s 70-hour work pitch. The company is urging its employees to take care of their physical and mental health and stick to the standard working hours, even if they are working remotely. Following the policy, the HR team of the company sends personalised emails if any employee exceeds the work duration. The policy is in contrast with the statement made by co-founder Narayana Murthy last year when he advocated for a 70-hour work pitch and urged the youth of India to work hard.&nbsp;<h2>HR sends emails if employees work long hours&nbsp;</h2>&nbsp;The regular working schedule is 9.15 hours a day, 5 days a week, even when working from home. The HR team tracks the logged-in hours of the employees working remotely and sends individual emails, reminding them to adhere to the schedule and focus on their health. The email includes details like working hours, total logged-in hours, and average daily hours.“We must work for 9.15 hours a day for five days a week, and if we overshoot this while working remotely, it prompts a trigger,” an employee told the Economic Times.&nbsp;<h2>‘Policy emphasises employees’ better health and professional longevity’</h2>&nbsp;Infosys claims that this policy emphasises employees’ better health and professional longevity.“While we appreciate your commitment, we also believe that maintaining a healthy work-life balance is crucial for both your well-being and long-term professional success,” said an HR communication.“Take regular breaks during your workday; Let your manager know if you are feeling overwhelmed or need support with reviewing priorities. Speak to your manager about delegating tasks or redistributing some responsibilities as appropriate; Take time to recharge during off hours, minimising work-related interactions whenever possible,” read an email.&nbsp;Infosys has revised its policy after adopting a hybrid work culture in November 2023. As per the new policy, the employees are required to work from the office for at least 10 days each month. The company took the initiative amid the growing health concerns, especially among young professionals, that make them vulnerable to stress and health-related issues.&nbsp;&nbsp;<h2>Narayana Murthy batted for 70-hour work, urged youth to work hard</h2>&nbsp;The policy is in contrast with the statement made by co-founder Narayana Murthy last year when he advocated for a 70-hour work pitch and urged the youth of India to work hard. “We have to set our aspirations high because 800 million Indians get free rations. That means 800 million Indians are in poverty. If we are not in a position to work hard, then who will work hard?” Murthy said at the centenary celebrations of the Indian Chambers of Commerce in Kolkata in December 2024.Later on, he also stated that he did not believe in the concept of ‘work-life balance’ and emphasised putting rigorous effort into achieving success.&nbsp;Since then, there has been a series of debates on ‘work-life balance’—both nationally and internationally.

The new work policy of Infosys is in contrast with the statement made by co-founder Narayana Murthy last year when he advocated for a 70-hour work pitch and urged the youth of India to work hard. Later, he also stated that he did not believe in the concept of ‘work-life balance’.

Infosys, one of the largest IT firms in India, has launched a new work policy that prioritises the health and well-being of its employees over long working hours. The new internal policy on ‘work-life balance’ is in contrast with Infosys co-founder Narayana Murthy’s 70-hour work pitch. The company is urging its employees to take care of their physical and mental health and stick to the standard working hours, even if they are working remotely. Following the policy, the HR team of the company sends personalised emails if any employee exceeds the work duration. The policy is in contrast with the statement made by co-founder Narayana Murthy last year when he advocated for a 70-hour work pitch and urged the youth of India to work hard. HR sends emails if employees work long hours The regular working schedule is 9.15 hours a day, 5 days a week, even when working from home. The HR team tracks the logged-in hours of the employees working remotely and sends individual emails, reminding them to adhere to the schedule and focus on their health. The email includes details like working hours, total logged-in hours, and average daily hours. “We must work for 9.15 hours a day for five days a week, and if we overshoot this while working remotely, it prompts a trigger,” an employee told the Economic Times. ‘Policy emphasises employees’ better health and professional longevity’ Infosys claims that this policy emphasises employees’ better health and professional longevity. “While we appreciate your commitment, we also believe that maintaining a healthy work-life balance is crucial for both your well-being and long-term professional success,” said an HR communication. “Take regular breaks during your workday; Let your manager know if you are feeling overwhelmed or need support with reviewing priorities. Speak to your manager about delegating tasks or redistributing some responsibilities as appropriate; Take time to recharge during off hours, minimising work-related interactions whenever possible,” read an email. Infosys has revised its policy after adopting a hybrid work culture in November 2023. As per the new policy, the employees are required to work from the office for at least 10 days each month. The company took the initiative amid the growing health concerns, especially among young professionals, that make them vulnerable to stress and health-related issues. Narayana Murthy batted for 70-hour work, urged youth to work hard The policy is in contrast with the statement made by co-founder Narayana Murthy last year when he advocated for a 70-hour work pitch and urged the youth of India to work hard. “We have to set our aspirations high because 800 million Indians get free rations. That means 800 million Indians are in poverty. If we are not in a position to work hard, then who will work hard?” Murthy said at the centenary celebrations of the Indian Chambers of Commerce in Kolkata in December 2024. Later on, he also stated that he did not believe in the concept of ‘work-life balance’ and emphasised putting rigorous effort into achieving success. Since then, there has been a series of debates on ‘work-life balance’—both nationally and internationally.

The new work policy of Infosys is in contrast with the statement made by co-founder Narayana Murthy last year when he advocated for a 70-hour work pitch and urged the youth of India to work hard. Later, he also stated that he did not believe in the concept of ‘work-life balance’.

Infosys new work policy differs with Narayana Murthy’s 70-hour work pitch, advocates employee health

India’s finished steel imports fell sharply in April and May, driven by a steep decline in shipments from China and Japan. Provisional government data reviewed by Reuters show imports during the first two months of the financial year fell 27.6 per cent year-on-year to 0.9 million metric tonnes.&nbsp;The decline follows New Delhi’s decision in April to impose a 12 per cent temporary tariff, known locally as a safeguard duty, aimed at stemming the surge in cheaper steel shipments, particularly from China.According to the data cited by Reuters, China’s finished steel exports to India fell 47.7 per cent year-on-year to 0.2 million metric tonnes over April and May. Japan saw an even sharper decline, with shipments dropping 65.6 per cent to 0.1 million metric tonnes during the same period.&nbsp;Despite the declines from China and Japan, South Korea emerged as India’s top finished steel exporter. Shipments from South Korea rose 8.2 per cent to 0.4 million metric tonnes, indicating a shift in sourcing patterns even as overall import volumes contracted.&nbsp;Imports from China, Japan and South Korea together accounted for 74.4 per cent of India’s total finished steel imports during April and May, the data showed. Hot-rolled coils or strips remained India’s largest import category.<h2>Exports also decline</h2>India was a net importer of finished steel during the period, as its own exports fell 18.1 per cent year-on-year to 0.8 million metric tonnes, Reuters reported.&nbsp;Galvanised plain or corrugated sheets or coils remained India’s top steel export products. Belgium was India’s largest export market for finished steel during the period, with shipments rising 12.4 per cent to 0.15 million metric tonnes. However, there were significant divergences among key markets. Exports to Italy slumped 53.7 per cent, while shipments to Nepal and Spain registered increases.<h2>Domestic demand and production rise</h2>Despite weaker imports and exports, India’s domestic steel demand remained resilient. Finished steel consumption in April-May rose 7.1 per cent year-on-year to 25.1 million metric tonnes. Meanwhile, crude steel production increased 9.5 per cent to 26.9 million metric tonnes, underlining the strength of India’s domestic production capacity.&nbsp;India is the world’s second-largest crude steel producer and has taken measures in recent years to protect its domestic industry from a flood of cheaper imports, particularly from China. The temporary safeguard duty introduced in April is the latest in a series of trade measures aimed at balancing import competition with the needs of India’s growing infrastructure and construction sectors.&nbsp;(With inputs from the agencies) &nbsp;

India finished steel imports fell sharply in April to May 2025 due to new safeguard duties, with imports from China and Japan plunging. Domestic demand rose 7.1% as production grew, highlighting India push to protect local industry.

India’s finished steel imports fell sharply in April and May, driven by a steep decline in shipments from China and Japan. Provisional government data reviewed by Reuters show imports during the first two months of the financial year fell 27.6 per cent year-on-year to 0.9 million metric tonnes. The decline follows New Delhi’s decision in April to impose a 12 per cent temporary tariff, known locally as a safeguard duty, aimed at stemming the surge in cheaper steel shipments, particularly from China. According to the data cited by Reuters, China’s finished steel exports to India fell 47.7 per cent year-on-year to 0.2 million metric tonnes over April and May. Japan saw an even sharper decline, with shipments dropping 65.6 per cent to 0.1 million metric tonnes during the same period. Despite the declines from China and Japan, South Korea emerged as India’s top finished steel exporter. Shipments from South Korea rose 8.2 per cent to 0.4 million metric tonnes, indicating a shift in sourcing patterns even as overall import volumes contracted. Imports from China, Japan and South Korea together accounted for 74.4 per cent of India’s total finished steel imports during April and May, the data showed. Hot-rolled coils or strips remained India’s largest import category. Exports also decline India was a net importer of finished steel during the period, as its own exports fell 18.1 per cent year-on-year to 0.8 million metric tonnes, Reuters reported. Galvanised plain or corrugated sheets or coils remained India’s top steel export products. Belgium was India’s largest export market for finished steel during the period, with shipments rising 12.4 per cent to 0.15 million metric tonnes. However, there were significant divergences among key markets. Exports to Italy slumped 53.7 per cent, while shipments to Nepal and Spain registered increases. Domestic demand and production rise Despite weaker imports and exports, India’s domestic steel demand remained resilient. Finished steel consumption in April-May rose 7.1 per cent year-on-year to 25.1 million metric tonnes. Meanwhile, crude steel production increased 9.5 per cent to 26.9 million metric tonnes, underlining the strength of India’s domestic production capacity. India is the world’s second-largest crude steel producer and has taken measures in recent years to protect its domestic industry from a flood of cheaper imports, particularly from China. The temporary safeguard duty introduced in April is the latest in a series of trade measures aimed at balancing import competition with the needs of India’s growing infrastructure and construction sectors. (With inputs from the agencies)

India’s finished steel imports dropped 27.6% in April–May as safeguard tariffs curbed Chinese and Japanese shipments, while domestic demand and production surged.

India’s steel imports drop sharply as China and Japan exports decline

Alphabet’s Google has warned European regulators that landmark European Union rules designed to curb Big Tech are having unintended consequences for users and businesses, arguing they are stifling innovation and making online services worse for Europeans. According to Reuters, Google is set to deliver a strong message at a workshop hosted by the European Commission in Brussels on Tuesday, urging officials to provide clearer guidance on how to comply with the EU’s Digital Markets Act (DMA). The company is also challenging its critics to present concrete evidence of the costs and benefits of the sweeping new rules.&nbsp;The Digital Markets Act aims to rein in the power of major technology companies accused of abusing their dominance by favouring their own services. Google is under scrutiny for allegedly prioritising Google Shopping, Google Hotels and Google Flights over rival platforms in search results.EU regulators have already charged Google under the DMA, which allows for fines of up to 10 per cent of its global annual revenue if found guilty of breaching the rules.<h2>Concerns over travel costs and online experience</h2>In a prepared speech seen by Reuters, Google’s lawyer Clare Kelly plans to argue that the reforms imposed on the company after discussions with the European Commission and industry critics have actually made things worse for European consumers.&nbsp;“We remain genuinely concerned about real world consequences of the DMA, which are leading to worse online products and experiences for Europeans,” Kelly is expected to say, as per Reuters.&nbsp;&nbsp;She will claim changes made by Google so far have driven up the cost of travel tickets by making it harder for users to access airline sites directly. European airlines, hotels and restaurants have reportedly suffered up to a 30 per cent drop in direct booking traffic, while customers have complained about cumbersome workarounds and more confusing search results, according to Reuters.&nbsp;<h2>Google asks for clear compliance rules</h2>Google has also proposed further changes to its search results to better highlight rival products, but critics maintain these steps fall short of ensuring a level playing field.&nbsp;Oliver Bethell, another Google lawyer, will use the workshop to call on regulators to spell out precisely what compliance should look like in practice. “If we can understand precisely what compliance looks like, not just in theory, but taking account of on the ground experience, we can launch compliant services quickly and confidently across the EEA,” Bethell will say, as quoted by Reuters. He will add that critics need to present “real evidence of costs and benefits” that the company and the Commission can properly evaluate.&nbsp;The day-long European Commission workshop, which begins at 0700 GMT, has been convened specifically to allow Google’s rivals and critics to raise questions and seek clarifications on the company’s compliance plans. The European Commission has repeatedly insisted that the DMA is crucial to opening up digital markets, boosting competition, and protecting consumers. But the pushback from Google underscores the growing tension between Big Tech and European regulators as they grapple with the practical implications of the EU’s toughest ever rules on dominant digital platforms.&nbsp;(With inputs from the agencies)

Google urges EU regulators to clarify Digital Markets Act rules, claiming reforms have worsened user experience and hurt businesses. Tensions rise over Big Tech regulation in Europe.

Alphabet’s Google has warned European regulators that landmark European Union rules designed to curb Big Tech are having unintended consequences for users and businesses, arguing they are stifling innovation and making online services worse for Europeans. According to Reuters, Google is set to deliver a strong message at a workshop hosted by the European Commission in Brussels on Tuesday, urging officials to provide clearer guidance on how to comply with the EU’s Digital Markets Act (DMA). The company is also challenging its critics to present concrete evidence of the costs and benefits of the sweeping new rules. The Digital Markets Act aims to rein in the power of major technology companies accused of abusing their dominance by favouring their own services. Google is under scrutiny for allegedly prioritising Google Shopping, Google Hotels and Google Flights over rival platforms in search results. EU regulators have already charged Google under the DMA, which allows for fines of up to 10 per cent of its global annual revenue if found guilty of breaching the rules. Concerns over travel costs and online experience In a prepared speech seen by Reuters, Google’s lawyer Clare Kelly plans to argue that the reforms imposed on the company after discussions with the European Commission and industry critics have actually made things worse for European consumers. “We remain genuinely concerned about real world consequences of the DMA, which are leading to worse online products and experiences for Europeans,” Kelly is expected to say, as per Reuters. She will claim changes made by Google so far have driven up the cost of travel tickets by making it harder for users to access airline sites directly. European airlines, hotels and restaurants have reportedly suffered up to a 30 per cent drop in direct booking traffic, while customers have complained about cumbersome workarounds and more confusing search results, according to Reuters. Google asks for clear compliance rules Google has also proposed further changes to its search results to better highlight rival products, but critics maintain these steps fall short of ensuring a level playing field. Oliver Bethell, another Google lawyer, will use the workshop to call on regulators to spell out precisely what compliance should look like in practice. “If we can understand precisely what compliance looks like, not just in theory, but taking account of on the ground experience, we can launch compliant services quickly and confidently across the EEA,” Bethell will say, as quoted by Reuters. He will add that critics need to present “real evidence of costs and benefits” that the company and the Commission can properly evaluate. The day-long European Commission workshop, which begins at 0700 GMT, has been convened specifically to allow Google’s rivals and critics to raise questions and seek clarifications on the company’s compliance plans. The European Commission has repeatedly insisted that the DMA is crucial to opening up digital markets, boosting competition, and protecting consumers. But the pushback from Google underscores the growing tension between Big Tech and European regulators as they grapple with the practical implications of the EU’s toughest ever rules on dominant digital platforms. (With inputs from the agencies)

Google warns EU that Digital Markets Act is harming users and businesses, calling for clearer compliance rules and evidence of real-world benefits.

Google says EU digital rules stifle innovation, demands clarity

Chinese automakers achieved a new milestone in Europe in May, seizing record market share in hybrid vehicles and making significant inroads in electric cars, according to data from industry researcher Dataforce. Manufacturers led by BYD and SAIC Motor’s MG brand captured more than 9 per cent of Europe’s hybrid and electric vehicle (EV) market, the highest levels ever recorded for Chinese companies. Overall, Chinese-branded vehicles, including those with combustion engines, accounted for more than 5 per cent of all new car registrations in Europe for the first time.&nbsp;The latest figures highlight how Chinese carmakers are solidifying their presence in one of the world’s most competitive auto markets, leveraging strengths in battery technology and software to push forward despite regulatory hurdles. The strongest growth has come from hybrid models, which are not subject to the European Union’s (EU) recent tariffs on Chinese-made EVs. In May 2023, Chinese brands held just 1 per cent of the plug-in hybrid segment. By May 2024, they had claimed 12 per cent of plug-in hybrid sales and 7 per cent of the mild hybrid market.&nbsp;BYD has emerged as a standout performer. The company, which has named Europe its most important international market, has expanded its footprint even after the EU’s tariff imposition. “Instead of stopping them, the tariffs are forcing brands such as BYD to introduce more affordable models in the entry segments,” Felipe Munoz, an analyst at Jato Dynamics, told Bloomberg.&nbsp;To adapt, BYD is targeting mass-market categories with new models like the Dolphin Surf, an urban compact, and the Atto 2, a small SUV aimed at value-conscious buyers. MG, originally a British sports car marque now owned by SAIC, was among the hardest hit by the EU tariffs, facing duties of 45 per cent on its EVs. In response, MG has pivoted away from pure electric models, increasing its focus on hybrids.&nbsp;Despite regulatory headwinds, sales of Chinese vehicles in Europe rose 85 per cent in May to over 60,000 units, reaching levels not seen since mid-2024. Analysts say the growth trajectory of Chinese automakers in Europe is likely to continue, especially in hybrid segments that remain tariff-free.

Manufacturers led by BYD and SAIC Motor’s MG brand captured more than 9 per cent of Europe’s hybrid and electric vehicle market, the highest levels ever recorded for Chinese companies. 

Chinese automakers achieved a new milestone in Europe in May, seizing record market share in hybrid vehicles and making significant inroads in electric cars, according to data from industry researcher Dataforce. Manufacturers led by BYD and SAIC Motor’s MG brand captured more than 9 per cent of Europe’s hybrid and electric vehicle (EV) market, the highest levels ever recorded for Chinese companies. Overall, Chinese-branded vehicles, including those with combustion engines, accounted for more than 5 per cent of all new car registrations in Europe for the first time. The latest figures highlight how Chinese carmakers are solidifying their presence in one of the world’s most competitive auto markets, leveraging strengths in battery technology and software to push forward despite regulatory hurdles. The strongest growth has come from hybrid models, which are not subject to the European Union’s (EU) recent tariffs on Chinese-made EVs. In May 2023, Chinese brands held just 1 per cent of the plug-in hybrid segment. By May 2024, they had claimed 12 per cent of plug-in hybrid sales and 7 per cent of the mild hybrid market. BYD has emerged as a standout performer. The company, which has named Europe its most important international market, has expanded its footprint even after the EU’s tariff imposition. “Instead of stopping them, the tariffs are forcing brands such as BYD to introduce more affordable models in the entry segments,” Felipe Munoz, an analyst at Jato Dynamics, told Bloomberg. To adapt, BYD is targeting mass-market categories with new models like the Dolphin Surf, an urban compact, and the Atto 2, a small SUV aimed at value-conscious buyers. MG, originally a British sports car marque now owned by SAIC, was among the hardest hit by the EU tariffs, facing duties of 45 per cent on its EVs. In response, MG has pivoted away from pure electric models, increasing its focus on hybrids. Despite regulatory headwinds, sales of Chinese vehicles in Europe rose 85 per cent in May to over 60,000 units, reaching levels not seen since mid-2024. Analysts say the growth trajectory of Chinese automakers in Europe is likely to continue, especially in hybrid segments that remain tariff-free.

Manufacturers led by BYD and SAIC Motor’s MG brand captured more than 9 per cent of Europe’s hybrid and electric vehicle market, the highest levels ever recorded for Chinese companies.&nbsp;

Chinese carmakers hit record hybrid market share in Europe

Apple Inc. is considering a major shift in its artificial intelligence (AI) strategy by evaluating whether to use external large language models (LLMs) developed by OpenAI or Anthropic to power a new version of Siri, according to a report by Bloomberg. The move could sideline Apple’s internal AI models and marks a significant reversal in the company’s long-standing preference for proprietary technology. According to Bloomberg, Apple has already begun early-stage discussions with both OpenAI and Anthropic about potentially deploying their LLMs, ChatGPT and Claude respectively, for use within Siri. The models would be trained and tested on Apple’s own private cloud compute infrastructure, a system built to ensure enhanced privacy using the company’s proprietary chips and servers.&nbsp;&nbsp;The goal is to upgrade Siri’s capabilities, which have lagged behind recent advances in generative AI on competing platforms. While no final decision has been made, sources indicate that Apple executives see Anthropic’s Claude as the most promising option following multiple rounds of internal testing. The Claude model reportedly performed better in Apple’s evaluation of core Siri use cases compared to OpenAI’s ChatGPT and Google’s Gemini.&nbsp;<h2>Shift comes amid AI delays and management changes</h2>&nbsp;The potential reliance on third-party models reflects Apple’s struggle to keep pace in the generative AI space. Its own large language model initiative, known as LLM Siri, was originally slated to launch in early 2025 but has since been delayed to spring 2026 due to engineering challenges. Apple’s lacklustre debut of Apple Intelligence and AI-integrated Siri features earlier this year triggered a broader management reshuffle.&nbsp;Responsibility for Siri and AI development was reassigned from Apple’s AI chief John Giannandrea to Mike Rockwell, the executive who led development of the Vision Pro headset. Rockwell, along with software chief Craig Federighi, subsequently launched the initiative to test external LLMs against Apple’s own models. Their findings have reportedly tilted internal sentiment toward adopting a hybrid strategy using third-party AI in the near term.&nbsp;Rockwell’s team has reportedly been in discussions with Anthropic’s leadership, including Apple’s VP of corporate development Adrian Perica, about integrating Claude into Siri. Financial negotiations are ongoing, with Anthropic reportedly seeking a multibillion-dollar annual fee for long-term usage rights. Apple, meanwhile, has kept the door open to partnering with OpenAI or other model providers if it cannot finalise favourable terms with Anthropic.<h2>Implications for Apple’s AI future</h2>&nbsp;If Apple does adopt an external LLM for Siri, it would represent a departure from the company’s traditional approach of end-to-end control over its software and hardware. However, Apple believes running third-party models on its own servers, rather than on external cloud infrastructure, would allow it to maintain user privacy, a long-held cornerstone of its product design philosophy.&nbsp;Apple’s internal AI development has been under increasing pressure. Bloomberg reports that morale within the foundation models team has declined, with some engineers exploring offers from rivals like Meta and OpenAI that far exceed Apple’s current compensation. The company narrowly avoided the defection of the team behind MLX, its core open-source machine learning system, after making counteroffers.&nbsp;Meanwhile, Apple continues to roll out incremental AI enhancements via ChatGPT integration in features like Siri web search, Writing Tools, and on-screen image generation in the upcoming iOS 26. It is also allowing developers to access on-device Apple Intelligence models but has held off on opening access to its more powerful cloud-based models due to capacity limitations.&nbsp;A partnership with OpenAI or Anthropic would mirror strategies already used by competitors. Samsung’s Galaxy AI uses Google’s Gemini under the hood, while Amazon’s Alexa+ taps Anthropic’s Claude. Apple’s openness to external AI signals a more flexible strategy as it seeks to remain competitive in the fast-moving AI landscape.&nbsp;Despite the multibillion-dollar investment already earmarked for its in-house AI initiatives through 2026, Apple executives now appear increasingly convinced that external collaboration may offer the fastest route to delivering an upgraded Siri experience that can rival leading AI assistants on the market.

Apple's shift signals potential retreat from in-house AI model efforts and marks a significant reversal in the company’s long-standing preference for proprietary technology.

Apple Inc. is considering a major shift in its artificial intelligence (AI) strategy by evaluating whether to use external large language models (LLMs) developed by OpenAI or Anthropic to power a new version of Siri, according to a report by Bloomberg. The move could sideline Apple’s internal AI models and marks a significant reversal in the company’s long-standing preference for proprietary technology. According to Bloomberg, Apple has already begun early-stage discussions with both OpenAI and Anthropic about potentially deploying their LLMs, ChatGPT and Claude respectively, for use within Siri. The models would be trained and tested on Apple’s own private cloud compute infrastructure, a system built to ensure enhanced privacy using the company’s proprietary chips and servers. The goal is to upgrade Siri’s capabilities, which have lagged behind recent advances in generative AI on competing platforms. While no final decision has been made, sources indicate that Apple executives see Anthropic’s Claude as the most promising option following multiple rounds of internal testing. The Claude model reportedly performed better in Apple’s evaluation of core Siri use cases compared to OpenAI’s ChatGPT and Google’s Gemini. Shift comes amid AI delays and management changes The potential reliance on third-party models reflects Apple’s struggle to keep pace in the generative AI space. Its own large language model initiative, known as LLM Siri, was originally slated to launch in early 2025 but has since been delayed to spring 2026 due to engineering challenges. Apple’s lacklustre debut of Apple Intelligence and AI-integrated Siri features earlier this year triggered a broader management reshuffle. Responsibility for Siri and AI development was reassigned from Apple’s AI chief John Giannandrea to Mike Rockwell, the executive who led development of the Vision Pro headset. Rockwell, along with software chief Craig Federighi, subsequently launched the initiative to test external LLMs against Apple’s own models. Their findings have reportedly tilted internal sentiment toward adopting a hybrid strategy using third-party AI in the near term. Rockwell’s team has reportedly been in discussions with Anthropic’s leadership, including Apple’s VP of corporate development Adrian Perica, about integrating Claude into Siri. Financial negotiations are ongoing, with Anthropic reportedly seeking a multibillion-dollar annual fee for long-term usage rights. Apple, meanwhile, has kept the door open to partnering with OpenAI or other model providers if it cannot finalise favourable terms with Anthropic. Implications for Apple’s AI future If Apple does adopt an external LLM for Siri, it would represent a departure from the company’s traditional approach of end-to-end control over its software and hardware. However, Apple believes running third-party models on its own servers, rather than on external cloud infrastructure, would allow it to maintain user privacy, a long-held cornerstone of its product design philosophy. Apple’s internal AI development has been under increasing pressure. Bloomberg reports that morale within the foundation models team has declined, with some engineers exploring offers from rivals like Meta and OpenAI that far exceed Apple’s current compensation. The company narrowly avoided the defection of the team behind MLX, its core open-source machine learning system, after making counteroffers. Meanwhile, Apple continues to roll out incremental AI enhancements via ChatGPT integration in features like Siri web search, Writing Tools, and on-screen image generation in the upcoming iOS 26. It is also allowing developers to access on-device Apple Intelligence models but has held off on opening access to its more powerful cloud-based models due to capacity limitations. A partnership with OpenAI or Anthropic would mirror strategies already used by competitors. Samsung’s Galaxy AI uses Google’s Gemini under the hood, while Amazon’s Alexa+ taps Anthropic’s Claude. Apple’s openness to external AI signals a more flexible strategy as it seeks to remain competitive in the fast-moving AI landscape. Despite the multibillion-dollar investment already earmarked for its in-house AI initiatives through 2026, Apple executives now appear increasingly convinced that external collaboration may offer the fastest route to delivering an upgraded Siri experience that can rival leading AI assistants on the market.

Apple's shift signals potential retreat from in-house AI model efforts and marks a significant reversal in the company’s long-standing preference for proprietary technology.

Apple weighs OpenAI or Anthropic to power revamped Siri

Two Chinese artificial intelligence chip startups are seeking to raise a combined 12 billion yuan (approximately $1.65 billion) through initial public offerings (IPOs) in Shanghai, banking on US export restrictions to drive local demand for homegrown GPUs. According to Reuters, Beijing-based Moore Threads plans to raise 8 billion yuan, while Shanghai-based MetaX is targeting 3.9 billion yuan. Both companies have filed to list on the STAR Market, the Shanghai Stock Exchange’s tech-focused board.<h2>Betting on Beijing’s push for chip self-sufficiency</h2>The twin IPO plans underscore China’s effort to nurture domestic GPU champions critical to artificial intelligence development. Reuters reports that demand for local substitutes has become urgent as Washington has tightened export controls. The latest US restrictions, imposed in April, ban Nvidia’s advanced H20 chips from being shipped to China.&nbsp;Washington’s export curbs also prevent Chinese AI chip designers from accessing leading-edge manufacturing at foundries like Taiwan Semiconductor Manufacturing Co. (TSMC), restricting their ability to produce cutting-edge semiconductors.<h2>Sanctions seen as both threat and opportunity</h2>In their IPO prospectuses, Moore Threads and MetaX acknowledged US sanctions pose significant risks. However, they also pointed to the same restrictions as an opportunity to build market share. As per Reuters, Moore Threads told US restrictions on high-end GPU exports were “prompting Chinese companies to accelerate domestic substitution processes.”&nbsp;The company, blacklisted by the US Entity List in late 2023, is barred from working with TSMC. MetaX noted that “geopolitical pressures are forcing relevant domestic clients to use domestically-produced GPU&nbsp;products,” strengthening local ties with suppliers and customers.<h2>Heavy losses underline massive R&amp;D costs</h2>Both firms remain loss-making, highlighting the steep costs of developing competitive GPUs. According to Reuters, Moore Threads reported revenue of 438 million yuan in 2024 with a net loss of 1.49 billion yuan. Losses in 2023 and 2022 were 1.67 billion yuan and 1.84 billion yuan respectively.&nbsp;&nbsp;MetaX generated 743 million yuan in 2024 revenue but lost 1.4 billion yuan, following 871 million yuan in 2023 losses and 777 million yuan in 2022. He Hui, semiconductor research director at Omdia, told Reuters that accessing China’s capital market is “crucial for them to continue their research and development.”<h2>Part of Beijing’s broader chip push</h2>The IPO bids come amid China’s intensifying push to reduce reliance on foreign technology and build a self-sufficient semiconductor ecosystem.&nbsp;Reuters notes that Beijing is channelling resources to help local firms achieve the scale necessary to lower costs and compete globally. Moore Threads and MetaX design GPUs to rival Nvidia’s products but face competition from domestic peers such as Huawei, Cambricon, Hygon, and other startups.&nbsp;Both firms were founded in 2020 by veterans of major US chip companies. MetaX was founded by former AMD executives, including Chairman Chen Weiliang, AMD’s former global head of GPU design. Moore Threads was founded by ex-Nvidia executives, including Chairman Zhang Jianzhong, Nvidia’s former China AI chip head.<h2>Sector sees surge in fundraising activity</h2>The new IPO plans follow Biren Technology, another Chinese AI chipmaker, which recently raised around 1.5 billion yuan and is preparing for a Hong Kong IPO, Reuters reports.&nbsp;As US export restrictions tighten, Chinese companies are racing to develop domestic alternatives, with China’s capital markets now underlining their strategic importance by providing much-needed funding.&nbsp;(With inputs from the agencies) &nbsp;

Amid US chip sanctions, Moore Threads and MetaX seek major IPOs on China STAR Market, highlighting Beijing push for semiconductor self reliance and the rising strategic value of homegrown AI hardware.

Two Chinese artificial intelligence chip startups are seeking to raise a combined 12 billion yuan (approximately $1.65 billion) through initial public offerings (IPOs) in Shanghai, banking on US export restrictions to drive local demand for homegrown GPUs. According to Reuters, Beijing-based Moore Threads plans to raise 8 billion yuan, while Shanghai-based MetaX is targeting 3.9 billion yuan. Both companies have filed to list on the STAR Market, the Shanghai Stock Exchange’s tech-focused board. Betting on Beijing’s push for chip self-sufficiency The twin IPO plans underscore China’s effort to nurture domestic GPU champions critical to artificial intelligence development. Reuters reports that demand for local substitutes has become urgent as Washington has tightened export controls. The latest US restrictions, imposed in April, ban Nvidia’s advanced H20 chips from being shipped to China. Washington’s export curbs also prevent Chinese AI chip designers from accessing leading-edge manufacturing at foundries like Taiwan Semiconductor Manufacturing Co. (TSMC), restricting their ability to produce cutting-edge semiconductors. Sanctions seen as both threat and opportunity In their IPO prospectuses, Moore Threads and MetaX acknowledged US sanctions pose significant risks. However, they also pointed to the same restrictions as an opportunity to build market share. As per Reuters, Moore Threads told US restrictions on high-end GPU exports were “prompting Chinese companies to accelerate domestic substitution processes.” The company, blacklisted by the US Entity List in late 2023, is barred from working with TSMC. MetaX noted that “geopolitical pressures are forcing relevant domestic clients to use domestically-produced GPU products,” strengthening local ties with suppliers and customers. Heavy losses underline massive R&D costs Both firms remain loss-making, highlighting the steep costs of developing competitive GPUs. According to Reuters, Moore Threads reported revenue of 438 million yuan in 2024 with a net loss of 1.49 billion yuan. Losses in 2023 and 2022 were 1.67 billion yuan and 1.84 billion yuan respectively. MetaX generated 743 million yuan in 2024 revenue but lost 1.4 billion yuan, following 871 million yuan in 2023 losses and 777 million yuan in 2022. He Hui, semiconductor research director at Omdia, told Reuters that accessing China’s capital market is “crucial for them to continue their research and development.” Part of Beijing’s broader chip push The IPO bids come amid China’s intensifying push to reduce reliance on foreign technology and build a self-sufficient semiconductor ecosystem. Reuters notes that Beijing is channelling resources to help local firms achieve the scale necessary to lower costs and compete globally. Moore Threads and MetaX design GPUs to rival Nvidia’s products but face competition from domestic peers such as Huawei, Cambricon, Hygon, and other startups. Both firms were founded in 2020 by veterans of major US chip companies. MetaX was founded by former AMD executives, including Chairman Chen Weiliang, AMD’s former global head of GPU design. Moore Threads was founded by ex-Nvidia executives, including Chairman Zhang Jianzhong, Nvidia’s former China AI chip head. Sector sees surge in fundraising activity The new IPO plans follow Biren Technology, another Chinese AI chipmaker, which recently raised around 1.5 billion yuan and is preparing for a Hong Kong IPO, Reuters reports. As US export restrictions tighten, Chinese companies are racing to develop domestic alternatives, with China’s capital markets now underlining their strategic importance by providing much-needed funding. (With inputs from the agencies)

Chinese AI chipmakers Moore Threads and MetaX aim to raise $1.65 billion via Shanghai IPOs, leveraging US export curbs to boost demand for local GPU alternatives.

China’s AI chip firms eye $1.7 billion in IPOs amid US curbs

Amid the ever-growing usage of AI chatbots and dependence on it, OpenAI CEO Sam Altman has warned users not to trust the company’s AI chatbot, ChatGPT too much, saying it can ‘hallucinate’ and give wrong answers very confidently. Speaking at the inaugural episode of OpenAI’s official podcast, Altman said he finds it “interesting” that many people now have a “high degree of trust” in ChatGPT. Altman then added that AI is not infallible and can give misleading or false content ‘confidently’, and hence it should not be trusted much.“People have a very high degree of trust in ChatGPT, which is interesting, because AI hallucinates. It should be the tech that you don’t trust that much,” the OpenAI CEO said about his own firm’s ChatGPT.&nbsp;&nbsp;“It should be the tech that you don’t trust that much,” he said, adding, “We need to be honest about that,” referring to the current reliability of the technology. “It’s not super reliable,” he conceded.&nbsp;&nbsp;The term hallucination in AI refers to a situation when a chatbot starts generating inaccurate and bogus data with utmost confidence and clarity, but it is entirely made up, and most of it has no relevance.&nbsp;<h2>‘Privacy concerns with new advancements’</h2>&nbsp;In the podcast, Altman also admitted that even as ChatGPT has been evolving with the addition of new features, it still has significant inadequacies that have to be tackled with honesty and transparency. Referring to recent updates, he said that new advancements like persistent memory and a potential ad-supported model have raised additional privacy concerns.&nbsp;Responding to OpenAI’s ongoing legal battle on copyright issues, as the firm is facing challenges from big media outlets over content use and copyright issues, Altman stressed the company’s commitment to openness.&nbsp;<h2>Altman makes U-turn on new hardware need for AI&nbsp;</h2>&nbsp;Altman also made a U-turn on his earlier statement that the AI revolution wouldn’t require new hardware.&nbsp;In contrast to his previous stance, he now claims that “current computers were designed for a world without AI” and suggests users will need new devices as artificial intelligence becomes more prevalent.&nbsp;Speaking on his brother Jack Altman’s podcast, Sam said that computers, software, and hardware “were designed for a world without AI,” indicating that the needs are changing rapidly and he now foresees systems that are way more aware of their environment and have more context, moving beyond just typing and screen-based interactions.&nbsp;<h2>OpenAI to stop operations next week</h2>&nbsp;Meanwhile, OpenAI is shutting down operations for a week, with sources claiming that the decision was taken in order to give the employees a much-deserved break.OpenAI’s Chief Research Officer Mark Chen said talent retention is the topmost priority, and stopping operations for a week would give a much-needed break to the employees who have been working for more than 80 hours a week. Only top executives will stay on duty.Chen also assured staff that he and Altman are doing their best to retain key talent, after some OpenAI employees were lured away by Meta.&nbsp;“Meta knows we’re taking this week to recharge and will take advantage of it to try and pressure you to make decisions fast and in isolation,” Chen warned.&nbsp;&nbsp;Meta CEO Mark Zuckerberg has already hired seven researchers from OpenAI.&nbsp;&nbsp;Altman also said in the podcast that Meta has dangled signing bonuses over $100 million for some staffers.&nbsp;

People have a very high degree of trust in ChatGPT, which is interesting, because AI hallucinates. It should be the tech that you don’t trust that much, the OpenAI CEO said about his own firm’s chatbot. “It’s not super reliable,” he conceded.

Amid the ever-growing usage of AI chatbots and dependence on it, OpenAI CEO Sam Altman has warned users not to trust the company’s AI chatbot, ChatGPT too much, saying it can ‘hallucinate’ and give wrong answers very confidently. Speaking at the inaugural episode of OpenAI’s official podcast, Altman said he finds it “interesting” that many people now have a “high degree of trust” in ChatGPT. Altman then added that AI is not infallible and can give misleading or false content ‘confidently’, and hence it should not be trusted much. “People have a very high degree of trust in ChatGPT, which is interesting, because AI hallucinates. It should be the tech that you don’t trust that much,” the OpenAI CEO said about his own firm’s ChatGPT. “It should be the tech that you don’t trust that much,” he said, adding, “We need to be honest about that,” referring to the current reliability of the technology. “It’s not super reliable,” he conceded. The term hallucination in AI refers to a situation when a chatbot starts generating inaccurate and bogus data with utmost confidence and clarity, but it is entirely made up, and most of it has no relevance. ‘Privacy concerns with new advancements’ In the podcast, Altman also admitted that even as ChatGPT has been evolving with the addition of new features, it still has significant inadequacies that have to be tackled with honesty and transparency. Referring to recent updates, he said that new advancements like persistent memory and a potential ad-supported model have raised additional privacy concerns. Responding to OpenAI’s ongoing legal battle on copyright issues, as the firm is facing challenges from big media outlets over content use and copyright issues, Altman stressed the company’s commitment to openness. Altman makes U-turn on new hardware need for AI Altman also made a U-turn on his earlier statement that the AI revolution wouldn’t require new hardware. In contrast to his previous stance, he now claims that “current computers were designed for a world without AI” and suggests users will need new devices as artificial intelligence becomes more prevalent. Speaking on his brother Jack Altman’s podcast, Sam said that computers, software, and hardware “were designed for a world without AI,” indicating that the needs are changing rapidly and he now foresees systems that are way more aware of their environment and have more context, moving beyond just typing and screen-based interactions. OpenAI to stop operations next week Meanwhile, OpenAI is shutting down operations for a week, with sources claiming that the decision was taken in order to give the employees a much-deserved break. OpenAI’s Chief Research Officer Mark Chen said talent retention is the topmost priority, and stopping operations for a week would give a much-needed break to the employees who have been working for more than 80 hours a week. Only top executives will stay on duty. Chen also assured staff that he and Altman are doing their best to retain key talent, after some OpenAI employees were lured away by Meta. “Meta knows we’re taking this week to recharge and will take advantage of it to try and pressure you to make decisions fast and in isolation,” Chen warned. Meta CEO Mark Zuckerberg has already hired seven researchers from OpenAI. Altman also said in the podcast that Meta has dangled signing bonuses over $100 million for some staffers.

People have a very high degree of trust in ChatGPT, which is interesting, because AI hallucinates. It should be the tech that you don’t trust that much, the OpenAI CEO said about his own firm’s chatbot. “It’s not super reliable,” he conceded.

‘ChatGPT ‘hallucinates’, don’t overrely on it,’ OpenAI CEO Sam Altman warns users

Boeing has named Jesus “Jay” Malave, a former Lockheed Martin executive, as its new chief financial officer (CFO), marking the most high-profile leadership change under CEO Kelly Ortberg’s tenure. Malave will take over from current CFO Brian West on August 15, the company announced on June 30. West, who has served as CFO since 2021, will transition into a senior advisory role, supporting the leadership handover and continuing to assist Boeing CEO Kelly Ortberg. The move comes as Boeing faces ongoing scrutiny over safety issues and attempts to regain investor and public confidence after several high-profile crises.“This is the right time to pass the baton,” West said, noting that Boeing’s balance sheet is now stronger, operating performance has improved, and the outlook is encouraging. He is widely credited with steering Boeing through one of the most turbulent financial periods in its history, including a $24 billion equity raise in 2024, one of the largest in US corporate history, and a $10.6 billion divestment of digital assets like Jeppesen.<h2>Crisis management and financial turnaround</h2>West’s tenure was marked by financial strain due to prolonged delivery delays, supply chain issues, and fallout from the 737 Max and Dreamliner safety concerns. Most recently, the company has come under renewed global scrutiny following the deadly crash of a Boeing 787-8 Dreamliner in India last month, which killed over 270 people, including casualties on the ground. The cause of the crash remains under investigation.CEO Kelly Ortberg, who took the helm in August 2024, said Malave’s appointment comes at a crucial time as Boeing implements “fundamental changes rooted in safety and quality”. Ortberg has been leading Boeing’s multiyear turnaround strategy to stabilise production, improve quality control, and rebuild its tarnished reputation.Malave brings deep experience from senior financial roles at Lockheed Martin, L3Harris Technologies, and United Technologies. He will be responsible for overseeing Boeing’s financial strategy, long-range planning, investor relations, and internal controls, as well as enterprise services, which include global facilities and real estate.While Boeing shares were initially down, they ended the day slightly higher in after-hours trading, reflecting cautious optimism from investors. The stock is up 18 per cent so far in 2025.

The move comes as Boeing faces ongoing scrutiny over safety issues and attempts to regain investor and public confidence after several high-profile crises.

Boeing has named Jesus “Jay” Malave, a former Lockheed Martin executive, as its new chief financial officer (CFO), marking the most high-profile leadership change under CEO Kelly Ortberg’s tenure. Malave will take over from current CFO Brian West on August 15, the company announced on June 30. West, who has served as CFO since 2021, will transition into a senior advisory role, supporting the leadership handover and continuing to assist Boeing CEO Kelly Ortberg. The move comes as Boeing faces ongoing scrutiny over safety issues and attempts to regain investor and public confidence after several high-profile crises. “This is the right time to pass the baton,” West said, noting that Boeing’s balance sheet is now stronger, operating performance has improved, and the outlook is encouraging. He is widely credited with steering Boeing through one of the most turbulent financial periods in its history, including a $24 billion equity raise in 2024, one of the largest in US corporate history, and a $10.6 billion divestment of digital assets like Jeppesen. Crisis management and financial turnaround West’s tenure was marked by financial strain due to prolonged delivery delays, supply chain issues, and fallout from the 737 Max and Dreamliner safety concerns. Most recently, the company has come under renewed global scrutiny following the deadly crash of a Boeing 787-8 Dreamliner in India last month, which killed over 270 people, including casualties on the ground. The cause of the crash remains under investigation. CEO Kelly Ortberg, who took the helm in August 2024, said Malave’s appointment comes at a crucial time as Boeing implements “fundamental changes rooted in safety and quality”. Ortberg has been leading Boeing’s multiyear turnaround strategy to stabilise production, improve quality control, and rebuild its tarnished reputation. Malave brings deep experience from senior financial roles at Lockheed Martin, L3Harris Technologies, and United Technologies. He will be responsible for overseeing Boeing’s financial strategy, long-range planning, investor relations, and internal controls, as well as enterprise services, which include global facilities and real estate. While Boeing shares were initially down, they ended the day slightly higher in after-hours trading, reflecting cautious optimism from investors. The stock is up 18 per cent so far in 2025.

The move comes as Boeing faces ongoing scrutiny over safety issues and attempts to regain investor and public confidence after several high-profile crises.

Boeing appoints former Lockheed executive Jay Malave as CFO

China has signalled its willingness to renegotiate trade terms with the United States, but on its own conditions. A senior Chinese delegate in Geneva told Reuters that Beijing is prepared to discuss tariffs, subsidies, and even some benefits linked to its developing country status at the World Trade Organization.&nbsp;This is a rare indication of flexibility from Beijing, which has long defended its trade privileges under WTO rules. The comments come as WTO members prepare for an ambitious reform agenda ahead of the next ministerial meeting in 2026 in Cameroon.<h2>US–China tensions spilling into Geneva</h2>The remarks follow months of intensifying trade tensions between Washington and Beijing. The tariffs imposed during President Donald Trump’s first term have largely remained in place, with his second administration introducing new duties this year targeting Chinese electric vehicles, semiconductors, and solar panels.&nbsp;China has retaliated with its own trade measures and disputes at the WTO. Yet, despite the rhetoric, Chinese officials in Geneva are striking a more pragmatic tone.&nbsp;According to Reuters, the delegate, who asked not to be named said China had “heard every word” spoken by the US at the WTO and is ready to engage on difficult issues, including industrial policy and tariff schedules.&nbsp;However, there is a clear red line.&nbsp;Beijing insists its developing country status is non-negotiable. That designation confers Special and Differential Treatment (SDT) under WTO rules, allowing more lenient subsidy limits and higher tariff ceilings. Yet the delegate indicated China might voluntarily forgo SDT benefits in some talks, just as it did recently on fisheries and domestic regulation reforms.<h2>US demands complete SDT rollback</h2>At the heart of the debate is Special and Differential Treatment (SDT), a WTO principle that gives developing countries additional flexibility in global trade rules. SDT lets them maintain higher tariff limits, use more subsidies, and enjoy longer timelines to implement WTO agreements.&nbsp;Beijing insists its developing country status is non-negotiable. That status automatically provides access to SDT benefits. However, the Chinese delegate suggested Beijing might voluntarily forgo SDT in specific negotiations, as it did recently on fisheries and domestic regulation reforms.&nbsp;The United States has pushed for a harder stance. Washington argues that major economies such as China and Saudi Arabia abuse the ‘developing country’ label to secure unfair trade advantages. US negotiators want countries like China to fully abandon SDT, not selectively give it up in certain areas.&nbsp;Keith M. Rockwell, former WTO spokesperson and now senior research fellow at the Hinrich Foundation, told Reuters he remains sceptical that China will go that far. In politically sensitive sectors such as agriculture, he doubts Beijing would willingly relinquish SDT privileges. China’s delegate nonetheless said the country is open to discussing subsidies, but only if talks are conducted in good faith. What Beijing will not accept, the official stressed, is any attempt to alter its state-led economic system.<h2>Tariff talks may begin under WTO’s Article 28</h2>Significantly, Beijing has also suggested it is ready to renegotiate tariffs under Article 28 of the WTO framework, a provision that allows members to modify tariff bindings under specific conditions.“We welcome the US to come back to the WTO,” the delegate told Reuters. “We are ready to renegotiate on Article 28 if the US raises their requests here.”&nbsp;That invitation follows what China described as “positive” trade discussions in Geneva and London. Yet despite warmer words, the fundamental tensions, from electric vehicle tariffs to technology sanctions, remain unresolved.&nbsp;As both sides talk about WTO reform, the real test will be whether these gestures of flexibility lead to genuine commitments at the negotiating table. (With inputs from the agencies)&nbsp;

China signals rare flexibility on WTO trade reforms, offering to discuss tariffs and subsidies, but insists its developing country status remains non-negotiable.

China has signalled its willingness to renegotiate trade terms with the United States, but on its own conditions. A senior Chinese delegate in Geneva told Reuters that Beijing is prepared to discuss tariffs, subsidies, and even some benefits linked to its developing country status at the World Trade Organization. This is a rare indication of flexibility from Beijing, which has long defended its trade privileges under WTO rules. The comments come as WTO members prepare for an ambitious reform agenda ahead of the next ministerial meeting in 2026 in Cameroon. US–China tensions spilling into Geneva The remarks follow months of intensifying trade tensions between Washington and Beijing. The tariffs imposed during President Donald Trump’s first term have largely remained in place, with his second administration introducing new duties this year targeting Chinese electric vehicles, semiconductors, and solar panels. China has retaliated with its own trade measures and disputes at the WTO. Yet, despite the rhetoric, Chinese officials in Geneva are striking a more pragmatic tone. According to Reuters, the delegate, who asked not to be named said China had “heard every word” spoken by the US at the WTO and is ready to engage on difficult issues, including industrial policy and tariff schedules. However, there is a clear red line. Beijing insists its developing country status is non-negotiable. That designation confers Special and Differential Treatment (SDT) under WTO rules, allowing more lenient subsidy limits and higher tariff ceilings. Yet the delegate indicated China might voluntarily forgo SDT benefits in some talks, just as it did recently on fisheries and domestic regulation reforms. US demands complete SDT rollback At the heart of the debate is Special and Differential Treatment (SDT), a WTO principle that gives developing countries additional flexibility in global trade rules. SDT lets them maintain higher tariff limits, use more subsidies, and enjoy longer timelines to implement WTO agreements. Beijing insists its developing country status is non-negotiable. That status automatically provides access to SDT benefits. However, the Chinese delegate suggested Beijing might voluntarily forgo SDT in specific negotiations, as it did recently on fisheries and domestic regulation reforms. The United States has pushed for a harder stance. Washington argues that major economies such as China and Saudi Arabia abuse the ‘developing country’ label to secure unfair trade advantages. US negotiators want countries like China to fully abandon SDT, not selectively give it up in certain areas. Keith M. Rockwell, former WTO spokesperson and now senior research fellow at the Hinrich Foundation, told Reuters he remains sceptical that China will go that far. In politically sensitive sectors such as agriculture, he doubts Beijing would willingly relinquish SDT privileges. China’s delegate nonetheless said the country is open to discussing subsidies, but only if talks are conducted in good faith. What Beijing will not accept, the official stressed, is any attempt to alter its state-led economic system. Tariff talks may begin under WTO’s Article 28 Significantly, Beijing has also suggested it is ready to renegotiate tariffs under Article 28 of the WTO framework, a provision that allows members to modify tariff bindings under specific conditions. “We welcome the US to come back to the WTO,” the delegate told Reuters. “We are ready to renegotiate on Article 28 if the US raises their requests here.” That invitation follows what China described as “positive” trade discussions in Geneva and London. Yet despite warmer words, the fundamental tensions, from electric vehicle tariffs to technology sanctions, remain unresolved. As both sides talk about WTO reform, the real test will be whether these gestures of flexibility lead to genuine commitments at the negotiating table. (With inputs from the agencies)

Amid renewed US–China trade tensions, Beijing shows openness to WTO tariff talks and selective SDT concessions, while firmly defending its developing nation status in global trade negotiations.

China says it’s ready to talk tariffs and subsidies with US at WTO

South Korea’s exports rebounded in June on the back of strong technology demand, but shipments to the United States and China remained under pressure, reflecting the lingering impact of US tariff threats and broader trade tensions. According to data reported by Reuters, overall exports from Asia’s fourth-largest economy rose 4.3 per cent in June from a year earlier to $59.80 billion. The result was slightly below economists’ median forecast of a 4.7 per cent gain, underlining a still uneven recovery for one of the world’s key bellwethers of global trade.<h2>Semiconductor shipments lead growth</h2>The standout performer was semiconductors, South Korea’s most important export. Shipments of chips increased for a fourth consecutive month, rising 11.6 per cent in June, though at the slowest pace in that streak.&nbsp;Demand for advanced chips has remained solid even as broader factory activity has weakened. South Korea’s factory output contracted for a fifth straight month in June, with sluggish demand in Japan, China and the US offsetting some improvement in the domestic economy. Other tech-heavy sectors also offered mixed results. Exports of automobiles rose 2.3 per cent, thanks largely to robust electric-vehicle demand in Europe that offset weaker sales in the United States.<h2>Tariff threats hit steel, appliances</h2>While tech-related exports showed resilience, other key sectors were hurt by high tariffs, especially in the US market. Reuters reports that shipments to the United States fell 0.5 per cent in June, marking the third consecutive monthly decline, while exports to China fell 2.7 per cent for a second straight monthly drop.&nbsp;Steel products exports fell 8.0 per cent, and home appliances plunged 15.6 per cent, under direct pressure from US tariffs. By contrast, exports of car parts rose 2.4 per cent, with automakers increasing local production in the US to sidestep some tariff costs. South Korea’s Trade Ministry noted exports to the European Union climbed 14.7 per cent, while those to Southeast Asian countries rose 2.1 per cent, suggesting that exporters are seeking to diversify markets to reduce reliance on China and the US.<h2>Seoul braces for tariff uncertainty</h2>The South Korean government acknowledged the difficult outlook, warning that tariff volatility and global demand uncertainties would likely persist through the second half of 2025. “Volatility in US tariff policy and economic recovery uncertainty are expected to persist in the second half,” Industry and Trade Minister Ahn Duk-geun said in a statement, as reported by Reuters, promising an “all-out response” to US tariff threats.&nbsp;Seoul is currently negotiating with Washington for an extension to a 90-day pause in punitive US tariffs that is set to expire next week. A senior South Korean trade official told Reuters that talks are expected to continue past the deadline as both sides seek a deal. The US has imposed high tariffs on various sectors under President Donald Trump’s administration. A 25 per cent “reciprocal” duty on South Korean goods remains paused for negotiations. Meanwhile, China—South Korea’s biggest trading partner is also engaged in its own trade negotiations with the US, after both sides significantly reduced tariffs on each other’s goods in a truce reached in mid-May and a framework agreement last month.<h2>Trade surplus hits multi-year high</h2>Despite the sectoral challenges, South Korea posted its largest monthly trade surplus since September 2018, with the surplus reaching $9.08 billion in June. Imports rose 3.3 per cent to $50.72 billion, as domestic demand remained relatively steady. Analysts said there were reasons for cautious optimism about trade stabilisation, even as risks remained. “Optimism is growing around trade negotiations of major countries and tariffs are unlikely to be raised even more, though it is too early to say exports have bottomed out,” Lee Jeong-hoon, an economist at Eugene Investment, told Reuters.&nbsp;As the global trade environment remains tense and US tariff policy under President Trump remains unpredictable, South Korea’s strategy is likely to focus on both defending access to key markets and accelerating its push into new ones.&nbsp;(With inputs from the agencies)&nbsp;

Seoul exports rose 4.3% in June, driven by strong chip demand, but US and China-bound shipments fell amid ongoing tariff tensions.

South Korea’s exports rebounded in June on the back of strong technology demand, but shipments to the United States and China remained under pressure, reflecting the lingering impact of US tariff threats and broader trade tensions. According to data reported by Reuters, overall exports from Asia’s fourth-largest economy rose 4.3 per cent in June from a year earlier to $59.80 billion. The result was slightly below economists’ median forecast of a 4.7 per cent gain, underlining a still uneven recovery for one of the world’s key bellwethers of global trade. Semiconductor shipments lead growth The standout performer was semiconductors, South Korea’s most important export. Shipments of chips increased for a fourth consecutive month, rising 11.6 per cent in June, though at the slowest pace in that streak. Demand for advanced chips has remained solid even as broader factory activity has weakened. South Korea’s factory output contracted for a fifth straight month in June, with sluggish demand in Japan, China and the US offsetting some improvement in the domestic economy. Other tech-heavy sectors also offered mixed results. Exports of automobiles rose 2.3 per cent, thanks largely to robust electric-vehicle demand in Europe that offset weaker sales in the United States. Tariff threats hit steel, appliances While tech-related exports showed resilience, other key sectors were hurt by high tariffs, especially in the US market. Reuters reports that shipments to the United States fell 0.5 per cent in June, marking the third consecutive monthly decline, while exports to China fell 2.7 per cent for a second straight monthly drop. Steel products exports fell 8.0 per cent, and home appliances plunged 15.6 per cent, under direct pressure from US tariffs. By contrast, exports of car parts rose 2.4 per cent, with automakers increasing local production in the US to sidestep some tariff costs. South Korea’s Trade Ministry noted exports to the European Union climbed 14.7 per cent, while those to Southeast Asian countries rose 2.1 per cent, suggesting that exporters are seeking to diversify markets to reduce reliance on China and the US. Seoul braces for tariff uncertainty The South Korean government acknowledged the difficult outlook, warning that tariff volatility and global demand uncertainties would likely persist through the second half of 2025. “Volatility in US tariff policy and economic recovery uncertainty are expected to persist in the second half,” Industry and Trade Minister Ahn Duk-geun said in a statement, as reported by Reuters, promising an “all-out response” to US tariff threats. Seoul is currently negotiating with Washington for an extension to a 90-day pause in punitive US tariffs that is set to expire next week. A senior South Korean trade official told Reuters that talks are expected to continue past the deadline as both sides seek a deal. The US has imposed high tariffs on various sectors under President Donald Trump’s administration. A 25 per cent “reciprocal” duty on South Korean goods remains paused for negotiations. Meanwhile, China—South Korea’s biggest trading partner is also engaged in its own trade negotiations with the US, after both sides significantly reduced tariffs on each other’s goods in a truce reached in mid-May and a framework agreement last month. Trade surplus hits multi-year high Despite the sectoral challenges, South Korea posted its largest monthly trade surplus since September 2018, with the surplus reaching $9.08 billion in June. Imports rose 3.3 per cent to $50.72 billion, as domestic demand remained relatively steady. Analysts said there were reasons for cautious optimism about trade stabilisation, even as risks remained. “Optimism is growing around trade negotiations of major countries and tariffs are unlikely to be raised even more, though it is too early to say exports have bottomed out,” Lee Jeong-hoon, an economist at Eugene Investment, told Reuters. As the global trade environment remains tense and US tariff policy under President Trump remains unpredictable, South Korea’s strategy is likely to focus on both defending access to key markets and accelerating its push into new ones. (With inputs from the agencies)

South Korea’s June export rebound, led by semiconductors, is tempered by declining trade with the US and China due to tariff pressures—prompting Seoul to diversify markets and brace for prolonged trade uncertainty.

South Korea trade improves on tech boom, struggles with US tariffs

China has expanded the amount of money its approved institutional investors can deploy in foreign markets, marking the end of a 13-month freeze on new quotas. The move is seen as a signal that Beijing is gradually easing its tight grip on capital outflows as pressure on the yuan eases and domestic investment opportunities improve.<h2>Quota increase ends 13-month pause</h2>According to Bloomberg, the State Administration of Foreign Exchange (SAFE) raised the foreign-exchange quota for the Qualified Domestic Institutional Investor (QDII) scheme to US$170.9 billion at the end of June, up from US$167.8 billion previously.&nbsp;It is the first increase since May 2023, when authorities paused new quota allocations to stem capital flight during a period of severe downward pressure on the yuan and turmoil in China’s domestic markets.<h2>Easing currency pressures support the move</h2>Analysts suggest Beijing is more comfortable loosening controls now because depreciation pressure on the yuan has receded. The US dollar has weakened sharply in 2025, making outflows less of a threat to currency stability.&nbsp;Demand from Chinese investors for foreign assets, especially US stocks, has also cooled. The shift comes as Beijing’s stepped-up economic stimulus and a technology-driven rally in Hong Kong stocks have created fresh opportunities at home.<h2>More headroom for global investments</h2>The QDII programme allows qualified local institutional investors to buy overseas securities, bonds, and commodities within strict limits. The latest quota expansion gives Chinese firms greater flexibility to diversify portfolios and meet client demand for foreign assets.&nbsp;According to Bloomberg data, the increase breaks down as follows:<ul><li>US$2.1 billion in new quota for securities firms and fund houses</li><li>US$660 million for banks</li><li>US$300 million for insurance companies</li></ul><h2>ETF premiums cool as supply rises</h2>Demand for foreign assets has been so strong over the past two years that it pushed up prices of certain exchange-traded funds (ETFs) tracking international indices like the S&amp;P 500.&nbsp;Bloomberg reported that premiums on such ETFs averaged just 0.3 per cent on Monday, compared with a 52-week average of 1.6 per cent. Last year, premiums had spiked as high as 3 per cent, triggering trading halts and restrictions on new purchases.&nbsp;The added quota is expected to help smooth these market distortions by providing more supply to meet demand.<h2>Domestic markets show signs of revival</h2>Investor appetite for foreign assets has eased in part because of a turnaround in local markets. A rally driven by China’s Deepseek artificial-intelligence app, combined with stronger Hong Kong equities, has drawn money back onshore.&nbsp;Beijing’s economic stimulus measures have also boosted confidence in local equities, offering institutional investors more reasons to keep capital at home even as they gain new flexibility to look abroad.&nbsp;(With inputs from the agencies)

Beijing boosts outbound investment quotas under the QDII scheme to $170.9B, signaling looser capital controls amid a stabilising yuan and rising investor interest in domestic equities.

China has expanded the amount of money its approved institutional investors can deploy in foreign markets, marking the end of a 13-month freeze on new quotas. The move is seen as a signal that Beijing is gradually easing its tight grip on capital outflows as pressure on the yuan eases and domestic investment opportunities improve. Quota increase ends 13-month pause According to Bloomberg, the State Administration of Foreign Exchange (SAFE) raised the foreign-exchange quota for the Qualified Domestic Institutional Investor (QDII) scheme to US$170.9 billion at the end of June, up from US$167.8 billion previously. It is the first increase since May 2023, when authorities paused new quota allocations to stem capital flight during a period of severe downward pressure on the yuan and turmoil in China’s domestic markets. Easing currency pressures support the move Analysts suggest Beijing is more comfortable loosening controls now because depreciation pressure on the yuan has receded. The US dollar has weakened sharply in 2025, making outflows less of a threat to currency stability. Demand from Chinese investors for foreign assets, especially US stocks, has also cooled. The shift comes as Beijing’s stepped-up economic stimulus and a technology-driven rally in Hong Kong stocks have created fresh opportunities at home. More headroom for global investments The QDII programme allows qualified local institutional investors to buy overseas securities, bonds, and commodities within strict limits. The latest quota expansion gives Chinese firms greater flexibility to diversify portfolios and meet client demand for foreign assets. According to Bloomberg data, the increase breaks down as follows: US$2.1 billion in new quota for securities firms and fund houses US$660 million for banks US$300 million for insurance companies ETF premiums cool as supply rises Demand for foreign assets has been so strong over the past two years that it pushed up prices of certain exchange-traded funds (ETFs) tracking international indices like the S&P 500. Bloomberg reported that premiums on such ETFs averaged just 0.3 per cent on Monday, compared with a 52-week average of 1.6 per cent. Last year, premiums had spiked as high as 3 per cent, triggering trading halts and restrictions on new purchases. The added quota is expected to help smooth these market distortions by providing more supply to meet demand. Domestic markets show signs of revival Investor appetite for foreign assets has eased in part because of a turnaround in local markets. A rally driven by China’s Deepseek artificial-intelligence app, combined with stronger Hong Kong equities, has drawn money back onshore. Beijing’s economic stimulus measures have also boosted confidence in local equities, offering institutional investors more reasons to keep capital at home even as they gain new flexibility to look abroad. (With inputs from the agencies)

China has lifted its 13-month freeze on outbound investment quotas, expanding the QDII limit as yuan pressure eases and domestic markets recover.

China lifts foreign investment cap for first time since 2023

Elon Musk’s artificial intelligence startup xAI has secured a total of $10 billion in fresh funding, $5 billion in debt and $5 billion in equity as it ramps up efforts to expand its AI infrastructure and accelerate development of its flagship Grok platform, Morgan Stanley announced on June 30. The debt raise, structured through secured notes and term loans, was oversubscribed and attracted several prominent global debt investors, according to a statement shared by Morgan Stanley on social media platform X. In parallel, xAI closed a separate $5 billion strategic equity investment, underscoring growing interest in the AI sector despite early concerns about investor appetite.The proceeds from both the debt and equity deals will be channelled into developing advanced AI models, building one of the world’s largest data centres, and further expanding the capabilities of xAI’s Grok platform. The company’s flagship product, Grok, is deeply integrated into the X social media platform, which Musk owns. Founded in early 2023, xAI merged with X in March 2025 to more tightly align Musk’s AI ambitions with his broader ecosystem of tech ventures. The company began operating what it claims is the world’s largest supercomputer in Memphis, Tennessee, in December 2024.<h2>Valuation could cross $120 billion</h2>In addition to the latest capital infusion, xAI is reportedly in talks to raise up to $20 billion in further equity, which could push its valuation above $120 billion. Some investors are said to be valuing the company as high as $200 billion, reflecting the rapidly growing interest in next-generation AI infrastructure and tools.Morgan Stanley’s announcement comes amid intensifying competition among AI developers, as companies race to build more powerful models and data centres. With rivals like OpenAI, Anthropic, and Google DeepMind making significant strides, xAI is positioning itself as a formidable challenger by aggressively scaling its resources.Musk recently teased the launch of Grok 4, an updated version of the AI model, expected shortly after the July 4 holiday. As the industry heats up, the new funding marks a pivotal moment for xAI in its mission to be at the forefront of artificial general intelligence development.

xAI raised $5 billion via debt and closed a separate $5 billion strategic equity investment, underscoring growing interest in the AI sector despite early concerns about investor appetite.

Elon Musk’s artificial intelligence startup xAI has secured a total of $10 billion in fresh funding, $5 billion in debt and $5 billion in equity as it ramps up efforts to expand its AI infrastructure and accelerate development of its flagship Grok platform, Morgan Stanley announced on June 30. The debt raise, structured through secured notes and term loans, was oversubscribed and attracted several prominent global debt investors, according to a statement shared by Morgan Stanley on social media platform X. In parallel, xAI closed a separate $5 billion strategic equity investment, underscoring growing interest in the AI sector despite early concerns about investor appetite. The proceeds from both the debt and equity deals will be channelled into developing advanced AI models, building one of the world’s largest data centres, and further expanding the capabilities of xAI’s Grok platform. The company’s flagship product, Grok, is deeply integrated into the X social media platform, which Musk owns. Founded in early 2023, xAI merged with X in March 2025 to more tightly align Musk’s AI ambitions with his broader ecosystem of tech ventures. The company began operating what it claims is the world’s largest supercomputer in Memphis, Tennessee, in December 2024. Valuation could cross $120 billion In addition to the latest capital infusion, xAI is reportedly in talks to raise up to $20 billion in further equity, which could push its valuation above $120 billion. Some investors are said to be valuing the company as high as $200 billion, reflecting the rapidly growing interest in next-generation AI infrastructure and tools. Morgan Stanley’s announcement comes amid intensifying competition among AI developers, as companies race to build more powerful models and data centres. With rivals like OpenAI, Anthropic, and Google DeepMind making significant strides, xAI is positioning itself as a formidable challenger by aggressively scaling its resources. Musk recently teased the launch of Grok 4, an updated version of the AI model, expected shortly after the July 4 holiday. As the industry heats up, the new funding marks a pivotal moment for xAI in its mission to be at the forefront of artificial general intelligence development.

xAI raised $5 billion via debt and closed a separate $5 billion strategic equity investment, underscoring growing interest in the AI sector despite early concerns about investor appetite.

Musk’s xAI raises $10 billion to scale up AI ambitions

June proved anything but quiet for global markets, with sharp moves in crude, stocks, and currencies amid ongoing trade tensions. From soaring Asian markets to mixed performances in Europe and the Americas, economic outlooks remain cautious as trade wars and geopolitical risks continue shaping investor sentiment worldwide. Let's look at Wion's global markets and economic health check to see what happened during June.<h2>Markets moves in June</h2>The usually quiet month for risk assets was quite the opposite. Crude surged by 6.3 per cent, making it one of the best-performing assets despite some cooling after the 12-day war between Iran and Israel ended.

Graphics shows Global Economic Health

The volatility, though, was evident from differing bets on US President Donald Trump's tariff headlines almost every other day through the month. Bitcoin gained nearly one per cent, edging towards its all-time high of over 111,000 dollars.&nbsp;However, gold took a hit on risk-off bets. Bullion was down nearly one per cent last month. The dollar fell sharply by 2.6 per cent as the 'Sell American' treasury trade trend continued to weigh on the currency.<h2>Stock market moves in June</h2>Moving on to Asia-Pacific stock markets. Japan's Nikkei led the gains in Asia, with 6.7 per cent gain, followed by the Indian stock benchmark. A recovery in emerging market stocks was a distinct theme again in June. Indian stocks closed 3.2 per cent in the green, showing signs of a recovery amidst the pull and push in the trade war talks. Indian stocks have been running up, with the defence sector showing the biggest gains after Operation Sindoor. Chinese stocks also gained nearly 3 per cent after a trade truce agreement with the US, easing economic slowdown concerns.&nbsp;In the Americas, Wall Street extended the gains from May, with benchmarks closing at a fresh record high. The S&amp;P 500 gained 5 per cent to close above 6,200 points for the first time ever. That comes after the benchmark index gained 6 per cent in May, marking its best May since 1990. The tech-heavy Nasdaq surged even more. Nasdaq soared 6.6 per cent, extending the nearly 10 per cent surge in May, driven largely by solid earnings and Nvidia's advance as the top most valued firm in the world. Canadian and Brazilian stocks also ended June with gains.&nbsp;Across the Atlantic, European stocks, though, took a hit on the uncertainty surrounding trade talks with the US; benchmarks across the region closed June in the red. The French CAC led the declines, closing over one per cent lower. Once again led the gains in the region with a gain of 1.3 per cent to extend the 6.7 per cent rally in May.&nbsp;UK's FTSE ended the month with marginal losses, and the German DAX closed June 0.4 per cent lower. However, the South African stock index added 2.2 per cent in addition to the 3 per cent rise in May, keeping the narrative of emerging market rebound intact.<h2>Global economic outlook</h2>Now, let's turn our attention to the overall economic outlook. Let's look at the Asia-Pacific region.

Trump's trade war worries have weighed on the outlook for global economies. However, India is still expected to be the fastest-growing major economy in the world, with bets of a significant slowdown easing. The Reserve Bank of India's jumbo rate cut is widely expected to increase consumer demand and, in turn, boost economic growth.&nbsp;The outlook for the rest of Asia, though, remained negative for China, as the outlook is still mired in doubts from the recession in its real estate crisis. However, the latest trade truce with the US are good signs for the economy, as reflecting in a rebound in manufacturing activity. However, the economic outlook for Japan and Australia mirrored worries from Trump's trade war.&nbsp;In the Americas, the economic outlook for the US, Canada, Brazil and Argentina shows trade tariffs are likely to hurt economic growth. For the US economy, stagflation bets are still weighing on sentiment and the outlook. JPMorgan still sees a 30 per cent chance of a US recession this year. The economic activity expectations for Canada, Brazil and Argentina were also cut.&nbsp;On the other side of the Atlantic, the negative outlook seems to be more widespread. The expectations show the clouds are darkening again for the UK and other European economies. Trade war worries continue to cloud the outlook for the region. The story wasn't very different for African economies, where the outlook remains negative. &nbsp;

June saw sharp global market moves, with Asia and Wall Street rallying, the dollar weakening, and trade war tensions weighing on Europe and broader economic outlooks.

June proved anything but quiet for global markets, with sharp moves in crude, stocks, and currencies amid ongoing trade tensions. From soaring Asian markets to mixed performances in Europe and the Americas, economic outlooks remain cautious as trade wars and geopolitical risks continue shaping investor sentiment worldwide. Let's look at Wion's global markets and economic health check to see what happened during June. Markets moves in June The usually quiet month for risk assets was quite the opposite. Crude surged by 6.3 per cent, making it one of the best-performing assets despite some cooling after the 12-day war between Iran and Israel ended.

From surging oil and stocks in Asia to trade war-driven uncertainty in Europe and stagflation fears in the US, Wion's June global market review reveals a volatile month shaped by tariffs, geopolitics, and shifting investor sentiment.&nbsp;

Wion's global markets and economic health check for June

The United States has significantly reduced the number of family-based immigrant visas issued to Indian nationals in early 2025, compared to the same period last year. According to a fresh analysis of data from the US Department of State, there has been a notable decline in key visa categories, impacting Indian families hoping to reunite in America.<h2>US family visas to Indians see a dip</h2>

Graphic showcasing drop in US visas to Indians

The IR5 visa—granted to parents of US citizens—dropped by 11 per cent between February and April this year. Even more striking was the fall in F3 visas, meant for married sons and daughters of US citizens and their dependents, which plunged by a staggering 41 per cent.<h2>Visa cuts hit Indian families</h2>These visas fall under the broader umbrella of “family-sponsored immigration,” a system designed to allow US citizens and green card holders to bring close relatives to the country. But the recent data points to a shift in that promise, at least for Indian applicants. In total, the US approved 5,840 family-based immigrant visas for Indians during the February window this year, down from nearly 7,000 in 2024.

Graphic showcasing sharp drop in key family visacate3gories

The decline comes at a time when broader immigration policy in the US remains a hot-button issue, and as visa backlogs and wait times continue to plague the system. For Indian families waiting years—sometimes decades—for these opportunities, the drop could mean yet another delay in long-anticipated reunions.&nbsp;While the reasons for the reduced approvals haven’t been officially detailed, the sharp cuts in traditionally stable visa categories are raising concern among immigrant communities. Whether this is a temporary blip or a sign of deeper systemic tightening remains to be seen, but for now, thousands of Indian families find the American dream just a bit farther out of reach. &nbsp;

Family based US immigrant visas for Indians have fallen sharply in early 2025, with categories like IR5 and F3 seeing double digit declines, delaying reunification hopes.

The United States has significantly reduced the number of family-based immigrant visas issued to Indian nationals in early 2025, compared to the same period last year. According to a fresh analysis of data from the US Department of State, there has been a notable decline in key visa categories, impacting Indian families hoping to reunite in America. US family visas to Indians see a dip

US family visa approvals for Indian nationals dropped significantly in 2025—down 11% for IR5 and 41% for F3—raising concerns over immigration slowdowns and prolonged family separations.

US visas to Indian kin on the slide: Details here

As we track global trends in tax policies, Indian consumers may be headed for a major cut in indirect taxes. Finance Minister Nirmala Sitharaman has hinted at a major rehaul to the country's goods and services taxes and has even suggested that we may be headed for tax rate cuts.The proposed changes could ease prices for households while giving a boost to business sentiment.<h2>Items under the 12% tax slab rate</h2>Just last week, reports suggested that the GST council was looking to do away with the 12 per cent tax slab to make compliance easier. &nbsp;

Graphics showcasing items under the 12% Tax Slab Rate

The proposal added that essentials under the 12 per cent tax slab would be moved into a lower tax slab. However, much will depend on how these reforms are structured and whether they strike the right balance between simplicity and revenue needs. Lower GST rates could translate to reduced costs on goods and services, offering some relief from persistent inflation. A streamlined structure might also help make pricing more transparent.From an economic standpoint, simplifying the tax regime could improve compliance and reduce operational friction for businesses. Still, concerns remain around how this will affect states’ revenues, which are partly dependent on GST collections. Small businesses, while potentially benefiting from reduced complexity, May still face challenges adapting to new structures and reporting requirements.Internationally, India’s push mirrors a broader trend of tax reform aimed at economic competitiveness. The restructuring also seeks to address long-standing inefficiencies, but implementation will be key. As the country awaits the next GST council meeting, optimism is tempered by the need for careful design and broad-based consensus to ensure the reforms are both sustainable and equitable.&nbsp;

With plans to scrap the 12% GST slab, India eyes lower indirect taxes on key items—promising relief for consumers, streamlined compliance for businesses, and a more transparent, efficient tax structure.

As we track global trends in tax policies, Indian consumers may be headed for a major cut in indirect taxes. Finance Minister Nirmala Sitharaman has hinted at a major rehaul to the country's goods and services taxes and has even suggested that we may be headed for tax rate cuts. The proposed changes could ease prices for households while giving a boost to business sentiment. Items under the 12% tax slab rate Just last week, reports suggested that the GST council was looking to do away with the 12 per cent tax slab to make compliance easier.

India’s proposed GST reforms may eliminate the 12% slab, potentially making essential goods and services cheaper while aiming to simplify tax compliance.

India GST reforms: What will likely become cheaper?

India’s manufacturing sector posted its strongest performance in over a year in June, as output, new orders, and employment surged amid rising global demand and easing cost pressures. The HSBC India Manufacturing Purchasing Managers’ Index (PMI), compiled by S&amp;P Global, climbed to 58.4 in June from 57.6 in May, the highest level in 14 months and well above the long-run average of 54.1. A reading above 50 indicates expansion, and the June print reflects a substantial improvement in the sector’s health. This comes at the end of the first fiscal quarter, which has seen consistent gains in production and sales, despite global geopolitical tensions and trade uncertainties.<h2>Export orders surge, led by demand from US</h2>A key driver of the June surge was a sharp acceleration in international demand. New export orders grew at the third-fastest pace since the survey began in 2005, with Indian manufacturers citing stronger demand from across regions, particularly the United States. The increase in global interest helped offset slowdowns in the consumer and capital goods segments, even as intermediate goods producers led the expansion.Domestic new orders also picked up, supported by robust marketing efforts. The combined demand drove production volumes to their highest pace since April 2024. “To keep up with strong demand — particularly from international markets — Indian manufacturing firms had to tap deeper into their inventories, causing the stock of finished goods to continue shrinking,” said Pranjul Bhandari, Chief India Economist at HSBC.<h2>Record hiring and easing input costs boost sentiment</h2>The rise in demand also triggered the fastest pace of hiring in the survey’s history, with most firms reporting short-term recruitment to manage increasing workloads. Backlogs of work, which had stagnated in May, increased again in June.Cost pressures continued to ease, even as prices for key inputs like iron and steel remained elevated. Input inflation dropped to a four-month low and was negligible relative to historical averages. Despite this, output prices rose markedly as manufacturers passed on higher freight, labour, and material costs to clients, supported by strong demand.Inventory patterns reflected the shifting demand landscape. While purchases of raw materials rose at the fastest pace in 14 months, finished goods stocks declined significantly, with firms drawing down existing inventory to fulfil orders. Supply chains also showed improvement, with delivery times shortening at the quickest rate in five months.Looking ahead, the manufacturing sector’s outlook remains broadly positive. However, manufacturers remain cautious about inflationary pressures, increasing competition, and changing consumer preferences.The PMI data complements India’s broader economic picture. The country’s GDP grew 6.5 per cent in FY25, supported by a strong 7.4 per cent expansion in the March quarter. Manufacturing output grew 4.5 per cent for the year, indicating that the sector continues to play a key role in India’s post-pandemic economic recovery.

The HSBC India Manufacturing PMI, compiled by S&P Global, climbed to 58.4 in June from 57.6 in May, the highest level in 14 months and well above the long-run average of 54.1.

India’s manufacturing sector posted its strongest performance in over a year in June, as output, new orders, and employment surged amid rising global demand and easing cost pressures. The HSBC India Manufacturing Purchasing Managers’ Index (PMI), compiled by S&P Global, climbed to 58.4 in June from 57.6 in May, the highest level in 14 months and well above the long-run average of 54.1. A reading above 50 indicates expansion, and the June print reflects a substantial improvement in the sector’s health. This comes at the end of the first fiscal quarter, which has seen consistent gains in production and sales, despite global geopolitical tensions and trade uncertainties. Export orders surge, led by demand from US A key driver of the June surge was a sharp acceleration in international demand. New export orders grew at the third-fastest pace since the survey began in 2005, with Indian manufacturers citing stronger demand from across regions, particularly the United States. The increase in global interest helped offset slowdowns in the consumer and capital goods segments, even as intermediate goods producers led the expansion. Domestic new orders also picked up, supported by robust marketing efforts. The combined demand drove production volumes to their highest pace since April 2024. “To keep up with strong demand — particularly from international markets — Indian manufacturing firms had to tap deeper into their inventories, causing the stock of finished goods to continue shrinking,” said Pranjul Bhandari, Chief India Economist at HSBC. Record hiring and easing input costs boost sentiment The rise in demand also triggered the fastest pace of hiring in the survey’s history, with most firms reporting short-term recruitment to manage increasing workloads. Backlogs of work, which had stagnated in May, increased again in June. Cost pressures continued to ease, even as prices for key inputs like iron and steel remained elevated. Input inflation dropped to a four-month low and was negligible relative to historical averages. Despite this, output prices rose markedly as manufacturers passed on higher freight, labour, and material costs to clients, supported by strong demand. Inventory patterns reflected the shifting demand landscape. While purchases of raw materials rose at the fastest pace in 14 months, finished goods stocks declined significantly, with firms drawing down existing inventory to fulfil orders. Supply chains also showed improvement, with delivery times shortening at the quickest rate in five months. Looking ahead, the manufacturing sector’s outlook remains broadly positive. However, manufacturers remain cautious about inflationary pressures, increasing competition, and changing consumer preferences. The PMI data complements India’s broader economic picture. The country’s GDP grew 6.5 per cent in FY25, supported by a strong 7.4 per cent expansion in the March quarter. Manufacturing output grew 4.5 per cent for the year, indicating that the sector continues to play a key role in India’s post-pandemic economic recovery.

The HSBC India Manufacturing PMI, compiled by S&amp;P Global, climbed to 58.4 in June from 57.6 in May, the highest level in 14 months and well above the long-run average of 54.1.

India’s manufacturing PMI hits 14-month high on surge in orders, hiring

Britain’s shoppers are feeling the squeeze again, with shop prices rising for the first time in nearly a year. Supermarkets in particular are under pressure from higher taxes, wage increases and soaring wholesale food costs driven by global disruptions, according to data reported by Bloomberg.<h2>First rise in shop inflation in nearly a year</h2>Shop price inflation in the UK turned positive in June, rising by 0.4 per cent year-on-year after showing a slight decline of 0.1 per cent in May, as per the British Retail Consortium (BRC). This marks the first annual increase since mid-2023, signalling renewed price pressures in the retail sector.&nbsp;Bloomberg reported that the main driver was food price inflation, which jumped by 3.7 per cent, the fastest annual pace since March 2024. The BRC warned this reflected both domestic policy changes and broader global trends pushing up costs for retailers.<h2>Higher taxes and wages squeeze retailers</h2>Retailers point to the UK government’s latest revenue-raising measures as a key cause of rising costs. Bloomberg notes that Chancellor Jeremy Hunt’s budget included a 6.7 per cent rise in the national minimum wage and a £26 billion increase in payroll taxes, both of which took effect in April.&nbsp;The BRC argued these policies have significantly raised operating expenses just as retailers are battling higher wholesale food prices, driven by geopolitical tensions disrupting supply chains and the effects of climate change on agricultural yields. Helen Dickinson, chief executive of the BRC, urged the government to step in. “The government must find ways to alleviate the cost pressures bearing down on retailers,” she said, as quoted by Bloomberg.<h2>Weather worsens food price inflation</h2>Climate factors are also playing a role in driving prices higher. According to Bloomberg, the BRC warned that hot, dry weather is reducing yields for fruits and vegetables, adding further upward pressure on supermarket prices.&nbsp;While non-food prices continued to decline overall, they did so at the slowest pace since July 2023, offering little relief to consumers already contending with higher bills for essentials.<h2>Bank of England faces tough challenge</h2>Rising shop prices risk complicating the Bank of England’s battle to tame inflation. Overall, UK consumer price inflation, which covers costs ranging from housing and energy to transport, stood at 3.4 per cent in May, up from 2.6 per cent in March, as reported by Bloomberg citing the Office for National Statistics.&nbsp;Despite these challenges, central bank officials remain confident they can bring inflation back to the 2 per cent target by early 2027. Higher interest rates are seen as working to cool demand, while a weakening jobs market may reduce upward wage pressures. However, persistent food price inflation remains a key risk.<h2>Consumer spending fears</h2>Retail analysts warn that further price rises could hit consumer demand in the months ahead. Matt Watkins, head of retailer and business insight at NielsenIQ, which compiled the shop pricing data for the BRC told Bloomberg that “rising prices could become a concern if consumer willingness to spend declines later in the year.”&nbsp;With households already grappling with higher mortgage payments, energy costs and broader inflation, continued food price hikes could undermine consumer confidence and pose a threat to Britain’s fragile economic recovery.&nbsp;(With inputs from the agencies)&nbsp;

Britain retailers face renewed cost pressures from government policy, global disruptions, and climate impacts, fueling shop price inflation and challenging both households and the Bank of England economic goals.

Britain’s shoppers are feeling the squeeze again, with shop prices rising for the first time in nearly a year. Supermarkets in particular are under pressure from higher taxes, wage increases and soaring wholesale food costs driven by global disruptions, according to data reported by Bloomberg. First rise in shop inflation in nearly a year Shop price inflation in the UK turned positive in June, rising by 0.4 per cent year-on-year after showing a slight decline of 0.1 per cent in May, as per the British Retail Consortium (BRC). This marks the first annual increase since mid-2023, signalling renewed price pressures in the retail sector. Bloomberg reported that the main driver was food price inflation, which jumped by 3.7 per cent, the fastest annual pace since March 2024. The BRC warned this reflected both domestic policy changes and broader global trends pushing up costs for retailers. Higher taxes and wages squeeze retailers Retailers point to the UK government’s latest revenue-raising measures as a key cause of rising costs. Bloomberg notes that Chancellor Jeremy Hunt’s budget included a 6.7 per cent rise in the national minimum wage and a £26 billion increase in payroll taxes, both of which took effect in April. The BRC argued these policies have significantly raised operating expenses just as retailers are battling higher wholesale food prices, driven by geopolitical tensions disrupting supply chains and the effects of climate change on agricultural yields. Helen Dickinson, chief executive of the BRC, urged the government to step in. “The government must find ways to alleviate the cost pressures bearing down on retailers,” she said, as quoted by Bloomberg. Weather worsens food price inflation Climate factors are also playing a role in driving prices higher. According to Bloomberg, the BRC warned that hot, dry weather is reducing yields for fruits and vegetables, adding further upward pressure on supermarket prices. While non-food prices continued to decline overall, they did so at the slowest pace since July 2023, offering little relief to consumers already contending with higher bills for essentials. Bank of England faces tough challenge Rising shop prices risk complicating the Bank of England’s battle to tame inflation. Overall, UK consumer price inflation, which covers costs ranging from housing and energy to transport, stood at 3.4 per cent in May, up from 2.6 per cent in March, as reported by Bloomberg citing the Office for National Statistics. Despite these challenges, central bank officials remain confident they can bring inflation back to the 2 per cent target by early 2027. Higher interest rates are seen as working to cool demand, while a weakening jobs market may reduce upward wage pressures. However, persistent food price inflation remains a key risk. Consumer spending fears Retail analysts warn that further price rises could hit consumer demand in the months ahead. Matt Watkins, head of retailer and business insight at NielsenIQ, which compiled the shop pricing data for the BRC told Bloomberg that “rising prices could become a concern if consumer willingness to spend declines later in the year.” With households already grappling with higher mortgage payments, energy costs and broader inflation, continued food price hikes could undermine consumer confidence and pose a threat to Britain’s fragile economic recovery. (With inputs from the agencies)

UK shop prices rose for the first time in nearly a year in June, driven by soaring food costs, higher taxes, and wage hikes, sparking concerns over inflation and consumer spending.

UK shop prices climb as supermarkets face tax hikes and food cost surge

The prices of commercial LPG gas cylinders were revised by the oil marketing companies on Tuesday (July 1, 2025), reducing the cost of a 19 kg commercial cylinder by Rs 58.50. The slash in the price will come into effect from July 1, 2025, bringing respite to commercial users such as hotels, restaurants, and businesses. Meanwhile, the prices of domestic 14.2 kg LPG cylinders, widely used in households, have not been changed, according to a report by the news agency ANI.<h3>Updated LPG cylinder rates in major cities</h3>After the recent price cut of one unit of a commercial LPG cylinder in Delhi will now cost Rs 1,665, down from Rs 1,723.50, providing relief to commercial users.In Mumbai, the retail price of 19-kg LPG cylinders will now cost Rs 1,616 after a slashing from the previous rate costing Rs 1674.50 per cylinder.In addition, the commercial price of an LPG cylinder will cost Rs 1,769 in Kolkata and Rs 1,823.50 in Chennai, reducing from Rs 1,826 and Rs 1,881, respectively.<h3>Could crude oil prices drop globally?</h3>As per a June 27 research report by ICICI Bank, international crude oil prices may face downward pressure due to several contributing factors. These include the easing of tensions between Israel and Iran, weaker-than-expected global demand, and a rise in overall oil production.On the demand front, the report notes that prolonged trade-related uncertainties could continue to dampen consumption. It also projects that oil demand in 2025 will remain largely flat at 102.9 million barrels per day (mbpd), similar to the levels seen in 2024, amid slow global economic growth.Also read: India: <a href="https://www.wionews.com/india-news/india-price-of-commercial-lpg-gas-cylinders-reduced-by-rs-7-8680060">Price of commercial LPG gas cylinders reduced by Rs 7</a>In terms of supply, global crude production is showing an upward trend, driven primarily by increased output from OPEC countries, while supply from non-OPEC producers has also remained stable."The physical markets recorded a net supply surplus for the fifth consecutive month of 1.6mbpd in May compared to 1.9mbpd recorded in April," ICICI Bank said.However, the report also suggested that the effect of the Iran-Israel conflict on the spike in crude prices was much lower than previous geopolitical tensions, such as the Russia-Ukraine war.&nbsp;

After the recent price cut of one unit of a commercial LPG cylinder in Delhi will now cost Rs 1,665, down. In Mumbai, will cost Rs 1,616, Rs 1,769 in Kolkata and Rs 1,823.50 in Chennai.

The prices of commercial LPG gas cylinders were revised by the oil marketing companies on Tuesday (July 1, 2025), reducing the cost of a 19 kg commercial cylinder by Rs 58.50. The slash in the price will come into effect from July 1, 2025, bringing respite to commercial users such as hotels, restaurants, and businesses. Meanwhile, the prices of domestic 14.2 kg LPG cylinders, widely used in households, have not been changed, according to a report by the news agency ANI. Updated LPG cylinder rates in major cities After the recent price cut of one unit of a commercial LPG cylinder in Delhi will now cost Rs 1,665, down from Rs 1,723.50, providing relief to commercial users. In Mumbai, the retail price of 19-kg LPG cylinders will now cost Rs 1,616 after a slashing from the previous rate costing Rs 1674.50 per cylinder. In addition, the commercial price of an LPG cylinder will cost Rs 1,769 in Kolkata and Rs 1,823.50 in Chennai, reducing from Rs 1,826 and Rs 1,881, respectively. Could crude oil prices drop globally? As per a June 27 research report by ICICI Bank, international crude oil prices may face downward pressure due to several contributing factors. These include the easing of tensions between Israel and Iran, weaker-than-expected global demand, and a rise in overall oil production. On the demand front, the report notes that prolonged trade-related uncertainties could continue to dampen consumption. It also projects that oil demand in 2025 will remain largely flat at 102.9 million barrels per day (mbpd), similar to the levels seen in 2024, amid slow global economic growth. Also read: India: Price of commercial LPG gas cylinders reduced by Rs 7 In terms of supply, global crude production is showing an upward trend, driven primarily by increased output from OPEC countries, while supply from non-OPEC producers has also remained stable. "The physical markets recorded a net supply surplus for the fifth consecutive month of 1.6mbpd in May compared to 1.9mbpd recorded in April," ICICI Bank said. However, the report also suggested that the effect of the Iran-Israel conflict on the spike in crude prices was much lower than previous geopolitical tensions, such as the Russia-Ukraine war.

After the recent price cut of one unit of a commercial LPG cylinder in Delhi will now cost Rs 1,665, down. In Mumbai, will cost Rs 1,616, Rs 1,769 in Kolkata and Rs 1,823.50 in Chennai.

LPG price cut: Commercial 19-kg cylinder reduced by Rs 58.50—check latest rates city-wise

Asian equity markets moved cautiously higher on July 1, buoyed by record gains on Wall Street and optimism surrounding ongoing global trade negotiations, even as political and economic uncertainty in the United States kept investors on edge. A weaker dollar, falling oil prices, and renewed demand for safe-haven assets like gold reflected growing anxiety ahead of crucial US policy decisions, including a massive tax-and-spending bill and looming tariff deadlines.MSCI’s broadest index of Asia-Pacific shares outside Japan rose 0.5 per cent, led by South Korea’s Kospi, which climbed 1.8 per cent. However, Japan’s Nikkei 225 fell 1.1 per cent as the yen strengthened, while broader indices such as Australia’s S&amp;P/ASX 200 and India’s BSE Sensex traded flat. Hong Kong markets remained closed for a public holiday.Investors remained fixated on the fate of President Donald Trump’s sweeping tax and spending package, estimated to add $3.3 trillion to the US debt pile. The bill, dubbed the “One Big Beautiful Bill” by the president, has sparked intense debate in the Senate, with Republicans and Democrats battling over a flurry of amendments. Trump has urged passage before the July 4 holiday.Meanwhile, the 90-day reprieve on Trump’s reciprocal tariffs is set to expire on July 9, heightening tensions with trading partners. US Treasury Secretary Scott Bessent signalled progress with some nations but warned that tariffs could “spring back” to previously announced levels if negotiations stall. The uncertainty weighed on sentiment across Asian markets, where export-driven economies are especially vulnerable.<h2>Gold climbs as safe-haven demand grows</h2>Gold prices extended gains on July 1, supported by a falling US dollar and rising investor demand for safe-haven assets amid geopolitical concerns and policy ambiguity. Spot gold rose 0.6 per cent to $3,322.55 per ounce in early Asian trading, while US gold futures gained 0.8 per cent to $3,334.80. The US dollar index dropped 0.2 per cent, touching a 50-month low. A weaker dollar typically boosts gold demand by making it cheaper for holders of other currencies.Indian domestic prices also mirrored global trends. 24-karat gold traded at ₹98,400 ($1,147) per 10 grams, while 22-karat stood at ₹90,200 ($1,052). Analysts expect an upward bias in gold prices to persist in the near term.Market participants are now closely watching the upcoming US jobs report due on July 3, which could influence the Federal Reserve’s stance on interest rates. Any signs of economic softening may strengthen the case for rate cuts, potentially boosting gold further.<h2>Oil slides as supply outlook weighs</h2>Crude oil prices continued their downward trend, pressured by expectations of increased supply from OPEC+ and concerns over slowing demand due to trade tensions. Brent futures for September delivery fell 0.46 per cent to $66.43, while WTI August contracts dropped 0.49 per cent to $64.79 per barrel.OPEC+ is expected to hike output by another 411,000 barrels per day in August, the fourth straight monthly increase. Analysts from ING Think noted that with recent supply additions, the global oil market could return to a surplus in Q4 2025, eroding the geopolitical risk premium that previously supported prices. Domestic oil futures followed suit. On the MCX, July crude contracts fell 0.48 per cent to ₹5,554 ($64.76), while August contracts slipped 0.42 per cent to ₹5,469 ($63.77).Despite easing tensions between Israel and Iran, markets remain alert to potential disruptions. Trump’s latest criticism of Japan for refusing US rice imports, posted on Truth Social, underscores the fragile nature of ongoing trade talks. With critical US economic data and policy decisions looming, investors remain on guard, balancing cautious optimism with the risk of renewed volatility in global markets.

The uncertainty weighed on sentiment across Asian markets, where export-driven economies are especially vulnerable to Trump's trade policies.

Asian equity markets moved cautiously higher on July 1, buoyed by record gains on Wall Street and optimism surrounding ongoing global trade negotiations, even as political and economic uncertainty in the United States kept investors on edge. A weaker dollar, falling oil prices, and renewed demand for safe-haven assets like gold reflected growing anxiety ahead of crucial US policy decisions, including a massive tax-and-spending bill and looming tariff deadlines. MSCI’s broadest index of Asia-Pacific shares outside Japan rose 0.5 per cent, led by South Korea’s Kospi, which climbed 1.8 per cent. However, Japan’s Nikkei 225 fell 1.1 per cent as the yen strengthened, while broader indices such as Australia’s S&P/ASX 200 and India’s BSE Sensex traded flat. Hong Kong markets remained closed for a public holiday. Investors remained fixated on the fate of President Donald Trump’s sweeping tax and spending package, estimated to add $3.3 trillion to the US debt pile. The bill, dubbed the “One Big Beautiful Bill” by the president, has sparked intense debate in the Senate, with Republicans and Democrats battling over a flurry of amendments. Trump has urged passage before the July 4 holiday. Meanwhile, the 90-day reprieve on Trump’s reciprocal tariffs is set to expire on July 9, heightening tensions with trading partners. US Treasury Secretary Scott Bessent signalled progress with some nations but warned that tariffs could “spring back” to previously announced levels if negotiations stall. The uncertainty weighed on sentiment across Asian markets, where export-driven economies are especially vulnerable. Gold climbs as safe-haven demand grows Gold prices extended gains on July 1, supported by a falling US dollar and rising investor demand for safe-haven assets amid geopolitical concerns and policy ambiguity. Spot gold rose 0.6 per cent to $3,322.55 per ounce in early Asian trading, while US gold futures gained 0.8 per cent to $3,334.80. The US dollar index dropped 0.2 per cent, touching a 50-month low. A weaker dollar typically boosts gold demand by making it cheaper for holders of other currencies. Indian domestic prices also mirrored global trends. 24-karat gold traded at ₹98,400 ($1,147) per 10 grams, while 22-karat stood at ₹90,200 ($1,052). Analysts expect an upward bias in gold prices to persist in the near term. Market participants are now closely watching the upcoming US jobs report due on July 3, which could influence the Federal Reserve’s stance on interest rates. Any signs of economic softening may strengthen the case for rate cuts, potentially boosting gold further. Oil slides as supply outlook weighs Crude oil prices continued their downward trend, pressured by expectations of increased supply from OPEC+ and concerns over slowing demand due to trade tensions. Brent futures for September delivery fell 0.46 per cent to $66.43, while WTI August contracts dropped 0.49 per cent to $64.79 per barrel. OPEC+ is expected to hike output by another 411,000 barrels per day in August, the fourth straight monthly increase. Analysts from ING Think noted that with recent supply additions, the global oil market could return to a surplus in Q4 2025, eroding the geopolitical risk premium that previously supported prices. Domestic oil futures followed suit. On the MCX, July crude contracts fell 0.48 per cent to ₹5,554 ($64.76), while August contracts slipped 0.42 per cent to ₹5,469 ($63.77). Despite easing tensions between Israel and Iran, markets remain alert to potential disruptions. Trump’s latest criticism of Japan for refusing US rice imports, posted on Truth Social, underscores the fragile nature of ongoing trade talks. With critical US economic data and policy decisions looming, investors remain on guard, balancing cautious optimism with the risk of renewed volatility in global markets.

The uncertainty weighed on sentiment across Asian markets, where export-driven economies are especially vulnerable to Trump's trade policies.

Asian markets edge higher, gold shines as investors await US policy clarity