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<div class="x_elementToProof" data-olk-copy-source="MessageBody">
<p><span data-olk-copy-source="MailCompose">As geopolitical tensions escalated following India&rsquo;s launch of Operation Sindoor, financial markets across the subcontinent responded sharply but asymmetrically. While Indian markets closed on a flat-to-positive note after a volatile trading day, Pakistan&rsquo;s KSE-100 index crashed, reflecting growing investor panic and macroeconomic fragility.</span></p>
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<h2 class="x_elementToProof"><span><b data-olk-copy-source="MessageBody">Indian markets volatile but end positive</b></span></h2>
<div class="x_elementToProof">
<p><span data-olk-copy-source="MailCompose">The Indian stock market ended Wednesday&rsquo;s session on a muted but steady note, with the Sensex closing near the 80,800 mark and the Nifty finishing just above 24,200. This came after India confirmed overnight strikes on nine terror infrastructure sites in Pakistan and Pakistan-occupied Kashmir &mdash; part of its retaliatory campaign named Operation Sindoor, launched in response to the April 22 Pahalgam terror attack that killed 26 civilians, including foreign tourists.</span></p>
<p><span>The Sensex closed in the green, up over 100 points after a volatile session during which the index see-sawed between gains and losses. Meanwhile, the Nifty closed marginally higher after gyrating wildly, reflecting caution amid geopolitical uncertainty but also confidence in India&rsquo;s economic fundamentals.</span></p>
<p><span>Early in the session, benchmark indices opened with losses &mdash; the BSE Sensex at 79,948.80, down 0.86 per cent, and Nifty 50 down 0.6 per cent to 24,233.30. However, strong intraday recoveries were led by gains in defence and aerospace stocks such as Hindustan Aeronautics, Bharat Dynamics, BEL, Mazagon Dock, and Paras Defence, which rose between 1.3 per cent and 4 per cent amid expectations of increased government spending on strategic sectors.</span></p>
<p><span>While auto, FMCG, IT, and pharma sectors posted gains, metal, realty, and energy indices lagged. The Indian rupee remained stable, and bond yields showed little change &mdash; suggesting that institutional investors perceive the strikes as tactical and unlikely to trigger prolonged conflict.</span></p>
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<p><span><b data-olk-copy-source="MailCompose">Pakistan markets plunge on panic selling</b></span></p>
<p><span>Pakistani stocks endured a rough day as investors panicked over potential military escalation, international isolation, and further economic deterioration. The KSE-100 index closed at 1,10,009.03, down 3,560 points, making it one of the steepest one-day falls in recent memory &mdash; despite the index trading well above the 1,00,000-point mark in recent months.</span></p>
<p><span>Losses were widespread across banking, telecom, cement, and energy sectors, all of which are sensitive to external shocks. Pakistan&rsquo;s economic fundamentals, already strained by high inflation, low foreign reserves, and stringent IMF conditions, were ill-equipped to absorb the added pressure from rising cross-border hostilities.</span></p>
<p><span>The Pakistani rupee weakened further in forex markets, and analysts warned of increased volatility if the situation on the Line of Control (LoC) worsens.</span></p>
<h2 class="x_elementToProof"><b>India's Operation Sindoor against Pakistan</b></h2>
<div class="x_elementToProof">
<p class="x_elementToProof"><span data-olk-copy-source="MessageBody">The cross-border market volatility followed India&rsquo;s launch of Operation Sindoor, a coordinated series of precision missile strikes on nine terrorist infrastructure sites across Pakistan and Pakistan-occupied Kashmir in the early hours of May 7. The strikes were in direct retaliation for the April 22 Pahalgam terror attack, which claimed 26 civilian lives, including foreign tourists.</span></p>
<p class="x_elementToProof"><span>According to Indian defence officials, the targeted sites were affiliated with Jaish-e-Mohammed, Lashkar-e-Taiba, and Hizbul Mujahideen &mdash; spanning locations in Bahawalpur, Muridke, Sialkot, Kotli, Barnala, and Muzaffarabad. India termed the operation as &ldquo;measured and non-escalatory,&rdquo; focused on dismantling terror infrastructure without civilian casualties.</span></p>
<p class="x_elementToProof"><span>Pakistan, however, condemned the strikes as an &ldquo;act of war,&rdquo; and has reportedly opened retaliatory shelling across multiple sectors along the Line of Control (LoC), pushing the region to the brink of further escalation.</span></p>
<p class="x_elementToProof"><span>While Indian markets appear to be pricing in a controlled conflict scenario, Pakistan&rsquo;s economic fragility is being fully exposed. With global investors watching closely, the next few days will be critical in determining whether diplomacy or deterrence takes center stage.</span></p>
</div>

Business & Economy: The financial markets in India showed resilience amidst geopolitical tensions, with investors cautiously optimistic about the long-term economic outlook.

As geopolitical tensions escalated following India’s launch of Operation Sindoor, financial markets across the subcontinent responded sharply but asymmetrically. While Indian markets closed on a flat-to-positive note after a volatile trading day, Pakistan’s KSE-100 index crashed, reflecting growing investor panic and macroeconomic fragility. Indian markets volatile but end positive The Indian stock market ended Wednesday’s session on a muted but steady note, with the Sensex closing near the 80,800 mark and the Nifty finishing just above 24,200. This came after India confirmed overnight strikes on nine terror infrastructure sites in Pakistan and Pakistan-occupied Kashmir — part of its retaliatory campaign named Operation Sindoor, launched in response to the April 22 Pahalgam terror attack that killed 26 civilians, including foreign tourists. The Sensex closed in the green, up over 100 points after a volatile session during which the index see-sawed between gains and losses. Meanwhile, the Nifty closed marginally higher after gyrating wildly, reflecting caution amid geopolitical uncertainty but also confidence in India’s economic fundamentals. Early in the session, benchmark indices opened with losses — the BSE Sensex at 79,948.80, down 0.86 per cent, and Nifty 50 down 0.6 per cent to 24,233.30. However, strong intraday recoveries were led by gains in defence and aerospace stocks such as Hindustan Aeronautics, Bharat Dynamics, BEL, Mazagon Dock, and Paras Defence, which rose between 1.3 per cent and 4 per cent amid expectations of increased government spending on strategic sectors. While auto, FMCG, IT, and pharma sectors posted gains, metal, realty, and energy indices lagged. The Indian rupee remained stable, and bond yields showed little change — suggesting that institutional investors perceive the strikes as tactical and unlikely to trigger prolonged conflict. Pakistan markets plunge on panic selling Pakistani stocks endured a rough day as investors panicked over potential military escalation, international isolation, and further economic deterioration. The KSE-100 index closed at 1,10,009.03, down 3,560 points, making it one of the steepest one-day falls in recent memory — despite the index trading well above the 1,00,000-point mark in recent months. Losses were widespread across banking, telecom, cement, and energy sectors, all of which are sensitive to external shocks. Pakistan’s economic fundamentals, already strained by high inflation, low foreign reserves, and stringent IMF conditions, were ill-equipped to absorb the added pressure from rising cross-border hostilities. The Pakistani rupee weakened further in forex markets, and analysts warned of increased volatility if the situation on the Line of Control (LoC) worsens. India's Operation Sindoor against Pakistan The cross-border market volatility followed India’s launch of Operation Sindoor, a coordinated series of precision missile strikes on nine terrorist infrastructure sites across Pakistan and Pakistan-occupied Kashmir in the early hours of May 7. The strikes were in direct retaliation for the April 22 Pahalgam terror attack, which claimed 26 civilian lives, including foreign tourists. According to Indian defence officials, the targeted sites were affiliated with Jaish-e-Mohammed, Lashkar-e-Taiba, and Hizbul Mujahideen — spanning locations in Bahawalpur, Muridke, Sialkot, Kotli, Barnala, and Muzaffarabad. India termed the operation as “measured and non-escalatory,” focused on dismantling terror infrastructure without civilian casualties. Pakistan, however, condemned the strikes as an “act of war,” and has reportedly opened retaliatory shelling across multiple sectors along the Line of Control (LoC), pushing the region to the brink of further escalation. While Indian markets appear to be pricing in a controlled conflict scenario, Pakistan’s economic fragility is being fully exposed. With global investors watching closely, the next few days will be critical in determining whether diplomacy or deterrence takes center stage.

Operation Sindoor: Pakistan Stocks Crash, Indian Markets Stay Volatile

<p class="MsoNormal">Donald Trump and JD Vance had called Modi a 'tough negotiator.' While the trade deal with the US is in its final stages as per reports, India has finalised a long-awaited free trade agreement with the United Kingdom after three years of on-and-off negotiations. The pact aims to boost bilateral trade by approximately $34 billion&mdash;by the year 2040. &nbsp;<o:p></o:p></p>
<p class="MsoNormal">It&rsquo;s Britain&rsquo;s most substantial trade agreement since Brexit and signals India&rsquo;s increasing willingness to open its markets, particularly in sectors like automobiles, food, and whisky. The deal was concluded following last-minute ministerial talks in London.<o:p></o:p></p>
<p class="MsoNormal">The UK prime minister, Keir Starmer said, "Well, this is a historic day for the United Kingdom and for India, because this is the biggest trade deal that we the UK have done since we left the EU - and it's the most ambitious trade deal that India has ever done. And this will be measured in billions of pounds into our economy and jobs across the whole of the United Kingdom. So, it is a really important, significant day."<o:p></o:p></p>
<h2 class="MsoNormal"><strong>UK&ndash;India seal free trade agreement</strong></h2>
<p class="MsoNormal">Under the agreement, whisky tariffs will be reduced from 150 to 75 per cent immediately, and eventually lowered to 40 per cent over the next decade. Auto tariffs&mdash;currently over 100 percent&mdash;will drop to 10 per cent under a controlled quota system. &nbsp;<o:p></o:p></p>
<p class="MsoNormal">The UK will cut tariffs on 90 per cent of its goods, while 99 per cent of Indian exports, including textiles, will benefit from zero duty. British firms will also gain expanded access to Indian government contracts, and new rules of origin provisions will make it easier for manufacturers using global inputs to qualify for lower tariffs.<o:p></o:p></p>
<p class="MsoNormal">The deal includes a social security agreement to prevent double contributions by temporarily posted workers, and modest improvements in professional mobility. However, it does not affect student visas, nor does it alter the UK&rsquo;s broader immigration policy. &nbsp;<o:p></o:p></p>
<p class="MsoNormal">Critics have raised concerns about labour provisions, but UK trade officials maintain that the changes are balanced and necessary. While legal services were excluded, talks on a separate bilateral investment treaty&mdash;covering financial services&mdash;will continue. Business groups welcomed the deal, calling it a rare positive sign amid rising global protectionism.<o:p></o:p></p>
<p class="MsoNormal"><i>(With inputs from the agencies)<o:p></o:p></i></p>

Business & Economy: The United Kingdom and India have finalised a long-awaited free trade agreement after three years of on-and-off negotiations. The pact aims to boost bilateral trade by approximately 34 billion dollars—by the year 2040.

Donald Trump and JD Vance had called Modi a 'tough negotiator.' While the trade deal with the US is in its final stages as per reports, India has finalised a long-awaited free trade agreement with the United Kingdom after three years of on-and-off negotiations. The pact aims to boost bilateral trade by approximately $34 billion—by the year 2040. It’s Britain’s most substantial trade agreement since Brexit and signals India’s increasing willingness to open its markets, particularly in sectors like automobiles, food, and whisky. The deal was concluded following last-minute ministerial talks in London. The UK prime minister, Keir Starmer said, "Well, this is a historic day for the United Kingdom and for India, because this is the biggest trade deal that we the UK have done since we left the EU - and it's the most ambitious trade deal that India has ever done. And this will be measured in billions of pounds into our economy and jobs across the whole of the United Kingdom. So, it is a really important, significant day." UK–India seal free trade agreement Under the agreement, whisky tariffs will be reduced from 150 to 75 per cent immediately, and eventually lowered to 40 per cent over the next decade. Auto tariffs—currently over 100 percent—will drop to 10 per cent under a controlled quota system. The UK will cut tariffs on 90 per cent of its goods, while 99 per cent of Indian exports, including textiles, will benefit from zero duty. British firms will also gain expanded access to Indian government contracts, and new rules of origin provisions will make it easier for manufacturers using global inputs to qualify for lower tariffs. The deal includes a social security agreement to prevent double contributions by temporarily posted workers, and modest improvements in professional mobility. However, it does not affect student visas, nor does it alter the UK’s broader immigration policy. Critics have raised concerns about labour provisions, but UK trade officials maintain that the changes are balanced and necessary. While legal services were excluded, talks on a separate bilateral investment treaty—covering financial services—will continue. Business groups welcomed the deal, calling it a rare positive sign amid rising global protectionism. (With inputs from the agencies)

UK and India strike landmark trade deal, aims to boost bilateral trade

<p class="MsoNormal">Amid tariff wars, the US trade deficit soared to a record 140.5 billion dollars in march, its highest monthly gap on record. The deficit was fuelled by a historic spike in imports ahead of sweeping tariffs announced by Donald Trump. &nbsp;<o:p></o:p></p>
<p class="MsoNormal">According to the commerce department data, imports rose 4.4 per cent to an all-time high, while exports remained nearly flat. The biggest driver: A jump in consumer goods, led by pharmaceutical imports, most of which came from Ireland. &nbsp;<o:p></o:p></p>
<p class="MsoNormal">The surge reflects businesses rushing to stockpile goods before tariffs kicked in on April 2, dubbed &ldquo;liberation day&rdquo; by the white house.<o:p></o:p></p>
<h2 class="MsoNormal"><strong>Economic impact &amp; tariff fallout</strong><o:p></o:p></h2>
<p class="MsoNormal">The trade imbalance had real consequences. The US economy contracted 0.3 per cent in the first quarter, marking the first decline in three years. Imports grew at their fastest pace since 2020&mdash;up 41 per cent over the quarter&mdash;cutting 5 percentage points from GDP growth. &nbsp;<o:p></o:p></p>
<p class="MsoNormal">Imports of capital goods rose $3.7 billion, driven by demand for computer accessories. Auto imports climbed $2.6 billion, while industrial supply imports fell $10.7 billion, due to lower shipments of gold and silver. &nbsp;<o:p></o:p></p>
<p class="MsoNormal">Economists warn that the front-loading of imports may reverse in the coming months, potentially shifting pressure back onto domestic production and prices.<o:p></o:p></p>
<p class="MsoNormal">Meanwhile, the US dollar has weakened against key global currencies since the start of 2025. From December through march, 92.5 billion dollars in US savings moved into offshore gold and silver, signalling growing concern over economic policy. &nbsp;<o:p></o:p></p>
<p class="MsoNormal">Imports from China fell to their lowest level in five years, impacted by a 145 per cent tariff that took effect in April. With no new trade deals announced and reciprocal tariffs from key partners on hold for just 90 days, economists warn that the worst effects of the trade war may still be ahead.<o:p></o:p></p>
<p class="MsoNormal"><i>(With inputs from the agencies)<o:p></o:p></i></p>

Business & Economy: The US trade deficit soared to a record 140.5 billion dollars in march, its highest monthly gap on record. The deficit was fuelled by a historic spike in imports ahead of sweeping tariffs announced by Donald Trump.

Amid tariff wars, the US trade deficit soared to a record 140.5 billion dollars in march, its highest monthly gap on record. The deficit was fuelled by a historic spike in imports ahead of sweeping tariffs announced by Donald Trump. According to the commerce department data, imports rose 4.4 per cent to an all-time high, while exports remained nearly flat. The biggest driver: A jump in consumer goods, led by pharmaceutical imports, most of which came from Ireland. The surge reflects businesses rushing to stockpile goods before tariffs kicked in on April 2, dubbed “liberation day” by the white house. Economic impact & tariff fallout The trade imbalance had real consequences. The US economy contracted 0.3 per cent in the first quarter, marking the first decline in three years. Imports grew at their fastest pace since 2020—up 41 per cent over the quarter—cutting 5 percentage points from GDP growth. Imports of capital goods rose $3.7 billion, driven by demand for computer accessories. Auto imports climbed $2.6 billion, while industrial supply imports fell $10.7 billion, due to lower shipments of gold and silver. Economists warn that the front-loading of imports may reverse in the coming months, potentially shifting pressure back onto domestic production and prices. Meanwhile, the US dollar has weakened against key global currencies since the start of 2025. From December through march, 92.5 billion dollars in US savings moved into offshore gold and silver, signalling growing concern over economic policy. Imports from China fell to their lowest level in five years, impacted by a 145 per cent tariff that took effect in April. With no new trade deals announced and reciprocal tariffs from key partners on hold for just 90 days, economists warn that the worst effects of the trade war may still be ahead. (With inputs from the agencies)

US trade deficit soars to $140.5 billion in march, hits a record high

<p class="MsoNormal">The US dollar is under pressure as investors brace for a key federal reserve decision this week. With global markets on edge and trade tensions lingering, all eyes are on what Fed Chair Jerome Powell says next&mdash;and what it could mean for the world&rsquo;s biggest assets. The stakes are massive for everyone.&nbsp;<o:p></o:p></p>
<p class="MsoNormal">The US dollar started the week under pressure, with the dollar index slipping amid rising uncertainty surrounding US-China trade dynamics and growing anticipation ahead of the Federal Reserve&rsquo;s policy meeting on Wednesday.<o:p></o:p></p>
<p class="MsoNormal">Despite stronger-than-expected US nonfarm payrolls data in April and elevated consumer inflation expectations, markets are closely watching for signals from the Fed about the future rate path.<o:p></o:p></p>
<h2 class="MsoNormal"><strong>How will the Fed trigger markets?</strong><o:p></o:p></h2>
<p class="MsoNormal">The Fed is widely expected to hold rates steady at 4.25 per cent &ndash; 4.50 per cent. However, investor attention is sharply focused on the tone of the policy statement and Fed Chair Jerome Powell&rsquo;s press conference.<o:p></o:p></p>
<p class="MsoNormal">Markets are seeking clarity on whether the Fed will maintain its current stance or pivot in response to economic indicators and external pressures, including trade disruptions from Trump's tariffs.<o:p></o:p></p>
<p class="MsoNormal">A more hawkish Fed could strengthen the dollar and pressure equities and emerging markets. In contrast, a dovish tone could support risk assets, weaken the dollar further, and bolster demand for gold and other safe-haven plays.<o:p></o:p></p>
<p class="MsoNormal">Trump&rsquo;s trade rhetoric and the lack of direct communication with China&rsquo;s leadership only heighten investor anxiety. But any escalation or breakthrough could quickly shift global sentiment.<o:p></o:p></p>
<p class="MsoNormal">For now, all eyes remain on the Fed. Its stance will likely set the tone for global asset performance heading into the next quarter.<o:p></o:p></p>
<p class="MsoNormal"><i>(With inputs from the agencies)<o:p></o:p></i></p>

Business & Economy: With global markets on edge and trade tensions lingering, all eyes are on what Fed Chair Jerome Powell says next—and what it could mean for the world’s biggest assets. The stakes are massive for everyone.

The US dollar is under pressure as investors brace for a key federal reserve decision this week. With global markets on edge and trade tensions lingering, all eyes are on what Fed Chair Jerome Powell says next—and what it could mean for the world’s biggest assets. The stakes are massive for everyone. The US dollar started the week under pressure, with the dollar index slipping amid rising uncertainty surrounding US-China trade dynamics and growing anticipation ahead of the Federal Reserve’s policy meeting on Wednesday. Despite stronger-than-expected US nonfarm payrolls data in April and elevated consumer inflation expectations, markets are closely watching for signals from the Fed about the future rate path. How will the Fed trigger markets? The Fed is widely expected to hold rates steady at 4.25 per cent – 4.50 per cent. However, investor attention is sharply focused on the tone of the policy statement and Fed Chair Jerome Powell’s press conference. Markets are seeking clarity on whether the Fed will maintain its current stance or pivot in response to economic indicators and external pressures, including trade disruptions from Trump's tariffs. A more hawkish Fed could strengthen the dollar and pressure equities and emerging markets. In contrast, a dovish tone could support risk assets, weaken the dollar further, and bolster demand for gold and other safe-haven plays. Trump’s trade rhetoric and the lack of direct communication with China’s leadership only heighten investor anxiety. But any escalation or breakthrough could quickly shift global sentiment. For now, all eyes remain on the Fed. Its stance will likely set the tone for global asset performance heading into the next quarter. (With inputs from the agencies)

All eyes on the Fed: Dollar wavers ahead of key rate call and trade uncertainty

According to the IMF, India is poised to become the world's fourth-largest economy in 2025, surpassing Japan's GDP. India's economy is expected to reach $4.187 trillion, driven by rapid growth and economic expansion.

India set to overtake Japan as 4th largest economy in 2025

<p><span>In a significant move, the U.S. Department of Justice (DOJ) has proposed that Alphabet&rsquo;s Google divest two of its key advertising technologies&mdash;AdX (Ad Exchange) and its ad server platform, DFP (DoubleClick for Publishers). This comes after a federal judge determined that the tech giant had unlawfully dominated two critical online advertising markets, putting its antitrust practices under intense scrutiny.</span></p>
<p>&nbsp;</p>
<p><span>The DOJ&rsquo;s proposed remedy was unveiled in a court filing on May 05, marking a new chapter in a legal battle that could reshape the landscape of online advertising. The Justice Department argues that Google&rsquo;s monopoly over the ad-exchange and publisher ad-server markets has stifled competition, and the divestitures are necessary to restore a level playing field.</span></p>
<p>&nbsp;</p>
<p><span>The judge set a September trial date on May 02, after hearing from Google and the DOJ on potential remedies for the company's dominance in ad tools used by online publishers.</span></p>
<h2><span><strong>What is the issue?</strong></span></h2>
<p><span>At the heart of this case is the claim that Google's control over AdX, an online marketplace where publishers sell their unsold ad space in real time, and DFP, a platform used by websites to manage their digital ad inventory, has given the company an unfair advantage. Together, these tools play a pivotal role in how news publishers, content providers, and advertisers interact, allowing Google to dominate the market and suppress competition.</span></p>
<h2><span><strong>Google&rsquo;s stance</strong></span></h2>
<p><span>Google, however, insists that its practices are not monopolistic and that the company supported behavioural remedies such as making real-time bids available to competitors, but that prosecutors cannot legally pursue a bid to force it to sell parts of its business.</span></p>
<p>&nbsp;</p>
<p><span>"The DOJ's additional proposals to force a divestiture of our ad tech tools go well beyond the Court's findings, have no basis in law, and would harm publishers and advertisers," Lee-Anne Mulholland, Google's Vice President of Regulatory Affairs, said in a statement to <em>Reuters</em>.</span></p>
<h2><span><strong>Playing monopoly?</strong></span></h2>
<p><span>The dispute between Google and the DOJ is not an isolated case. Last year, Google took a major step to resolve an antitrust investigation in the European Union by offering to sell AdX. However, European publishers rejected the offer, stating that it would not go far enough to resolve the competitive concerns in the ad-tech ecosystem.</span></p>
<p>&nbsp;</p>
<p><span>The issue of monopolistic practices in digital advertising has been a point of contention for years, as the rise of Google&rsquo;s advertising platforms has increasingly marginalised smaller competitors.</span></p>
<p>&nbsp;</p>
<p><span>As the September trial date approaches, all eyes will be on the court's decision and whether it will force Google to relinquish control of its key ad-tech assets. The outcome could have far-reaching implications for the future of digital advertising and the competitive dynamics between publishers, advertisers, and tech giants.</span></p>

Business & Economy: The U.S. Department of Justice has proposed that Google divest two of its key advertising technologies—AdX (Ad Exchange) and DFP

In a significant move, the U.S. Department of Justice (DOJ) has proposed that Alphabet’s Google divest two of its key advertising technologies—AdX (Ad Exchange) and its ad server platform, DFP (DoubleClick for Publishers). This comes after a federal judge determined that the tech giant had unlawfully dominated two critical online advertising markets, putting its antitrust practices under intense scrutiny. The DOJ’s proposed remedy was unveiled in a court filing on May 05, marking a new chapter in a legal battle that could reshape the landscape of online advertising. The Justice Department argues that Google’s monopoly over the ad-exchange and publisher ad-server markets has stifled competition, and the divestitures are necessary to restore a level playing field. The judge set a September trial date on May 02, after hearing from Google and the DOJ on potential remedies for the company's dominance in ad tools used by online publishers. What is the issue? At the heart of this case is the claim that Google's control over AdX, an online marketplace where publishers sell their unsold ad space in real time, and DFP, a platform used by websites to manage their digital ad inventory, has given the company an unfair advantage. Together, these tools play a pivotal role in how news publishers, content providers, and advertisers interact, allowing Google to dominate the market and suppress competition. Google’s stance Google, however, insists that its practices are not monopolistic and that the company supported behavioural remedies such as making real-time bids available to competitors, but that prosecutors cannot legally pursue a bid to force it to sell parts of its business. "The DOJ's additional proposals to force a divestiture of our ad tech tools go well beyond the Court's findings, have no basis in law, and would harm publishers and advertisers," Lee-Anne Mulholland, Google's Vice President of Regulatory Affairs, said in a statement to Reuters. Playing monopoly? The dispute between Google and the DOJ is not an isolated case. Last year, Google took a major step to resolve an antitrust investigation in the European Union by offering to sell AdX. However, European publishers rejected the offer, stating that it would not go far enough to resolve the competitive concerns in the ad-tech ecosystem. The issue of monopolistic practices in digital advertising has been a point of contention for years, as the rise of Google’s advertising platforms has increasingly marginalised smaller competitors. As the September trial date approaches, all eyes will be on the court's decision and whether it will force Google to relinquish control of its key ad-tech assets. The outcome could have far-reaching implications for the future of digital advertising and the competitive dynamics between publishers, advertisers, and tech giants.

US pushes for Google to divest key ad-tech products after antitrust ruling

<div class="x_elementToProof" data-olk-copy-source="MessageBody">Sneakerheads brace yourself as Sketchers just dropped a bombshell. The comfort driven footwear giant is making a dramatic exit from Wall Street in a blockbuster $9.42billion buyout by investment firm 3G Capital, according to Reuters report.</div>
<div class="x_elementToProof"></div>
<div class="x_elementToProof">This move marks the biggest buyout in the sneaker industry's history which ends Sketchers' 26 year run as a publicly traded company.</div>
<div class="x_elementToProof"></div>
<div class="x_elementToProof">As per Reuters calculations, 3G Capitals is offering $63 per share in cash which is a 28 per cent premium over Sketchers' last close. This news send shares soaring 25 per cent $61.86, bouncing back from a year marked by nearly 30 per cent losses.</div>
<div class="x_elementToProof"></div>
<h2 class="x_elementToProof"><b>What is the deal?</b><b></b></h2>
<div class="x_elementToProof">As reported by Reuters, this wasn&rsquo;t a competitive bidding war. The deal was bilateral, with 3G Capital leveraging its long-standing relationship with the Greenberg family&mdash;the founding force behind Skechers.</div>
<div class="x_elementToProof"></div>
<div class="x_elementToProof">Despite the ownership change, leadership stays put. CEO and founder Robert Greenberg, aged 85, will continue to steer the brand. His son Michael Greenberg (President) and David Weinberg (COO) will also retain their current roles.</div>
<div class="x_elementToProof"></div>
<div class="x_elementToProof">The deal is reportedly expected to close in the third quarter of 2025 and will be funded through a mix of 3G Capital&rsquo;s own cash and debt financing secured from JPMorgan Chase Bank.</div>
<div class="x_elementToProof"></div>
<div class="x_elementToProof">Given Skechers&rsquo; image as a family-run business that wasn&rsquo;t expected to sell, Needham analyst Tom Nikic called the acquisition &ldquo;very surprising,&rdquo;</div>
<div class="x_elementToProof">Tariffs, Trade Tensions &amp; Tough Decisions</div>
<div class="x_elementToProof"></div>
<div class="x_elementToProof">The timing of this mega deal is no coincidence. Reuters notes that Skechers withdrew its annual forecast in April, citing the impact of President Donald Trump&rsquo;s steep 145 per cent import tariffs on Chinese goods.</div>
<div class="x_elementToProof"></div>
<div class="x_elementToProof">With China being a core manufacturing base for the brand, the tariffs significantly increased operating costs. This, paired with weakening consumer sentiment in the US, made staying public riskier.</div>
<div class="x_elementToProof"></div>
<div class="x_elementToProof">Skechers along with Nike and Adidas had urged the US government to exempt footwear from retaliatory tariffs. But with no relief in sight, the company may have opted for private control to navigate this uncertain terrain more flexibly.</div>
<div class="x_elementToProof"></div>
<h2 class="x_elementToProof"><b>From Chrome Dome to Global Comfort King: Rise of Sketchers</b><b></b></h2>
<div class="x_elementToProof">Skechers launched in 1992 with its edgy street-style shoe &ldquo;Chrome Dome.&rdquo; Fast forward three decades, and it has transformed into a global comfort-first brand with a massive footprint of 5,000 retail stores across more than 120 countries.</div>
<div class="x_elementToProof"></div>
<div class="x_elementToProof">Its shoes, priced between $75 and $150, have struck a chord with budget-conscious buyers. Star-studded collaborations with Britney Spears, Kim Kardashian and others have helped the brand stay relevant in a competitive landscape that includes legacy giants like Nike and fast-rising challengers like Hoka.</div>
<div class="x_elementToProof"></div>
<div class="x_elementToProof">According to TD Cowen analysts, 3G Capital&rsquo;s trademark focus on cost-cutting and efficiency could lay the groundwork for Skechers to re-enter the public market in the future.</div>
<div class="x_elementToProof"></div>
<div class="x_elementToProof">Though Skechers may be stepping off Wall Street, but it&rsquo;s certainly not stepping down. Backed by deep-pocketed 3G Capital and led by a founding team that&rsquo;s staying the course, the brand is reportedly gearing up for a new phase which is away from quarterly scrutiny, and possibly toward leaner, faster growth.</div>
<div class="x_elementToProof"></div>
<div class="x_elementToProof">As per Reuters reports, this is more than just a business deal. It&rsquo;s a power move in a rapidly changing market&mdash;and one that could shake up the future of the sneaker industry.</div>
<div class="x_elementToProof"></div>

Business & Economy: Skechers buyout news send shares soaring 25 per cent $61.86, bouncing back from a year marked by nearly 30 per cent losses.

Sneakerheads brace yourself as Sketchers just dropped a bombshell. The comfort driven footwear giant is making a dramatic exit from Wall Street in a blockbuster $9.42billion buyout by investment firm 3G Capital, according to Reuters report. This move marks the biggest buyout in the sneaker industry's history which ends Sketchers' 26 year run as a publicly traded company. As per Reuters calculations, 3G Capitals is offering $63 per share in cash which is a 28 per cent premium over Sketchers' last close. This news send shares soaring 25 per cent $61.86, bouncing back from a year marked by nearly 30 per cent losses. What is the deal? As reported by Reuters, this wasn’t a competitive bidding war. The deal was bilateral, with 3G Capital leveraging its long-standing relationship with the Greenberg family—the founding force behind Skechers. Despite the ownership change, leadership stays put. CEO and founder Robert Greenberg, aged 85, will continue to steer the brand. His son Michael Greenberg (President) and David Weinberg (COO) will also retain their current roles. The deal is reportedly expected to close in the third quarter of 2025 and will be funded through a mix of 3G Capital’s own cash and debt financing secured from JPMorgan Chase Bank. Given Skechers’ image as a family-run business that wasn’t expected to sell, Needham analyst Tom Nikic called the acquisition “very surprising,” Tariffs, Trade Tensions & Tough Decisions The timing of this mega deal is no coincidence. Reuters notes that Skechers withdrew its annual forecast in April, citing the impact of President Donald Trump’s steep 145 per cent import tariffs on Chinese goods. With China being a core manufacturing base for the brand, the tariffs significantly increased operating costs. This, paired with weakening consumer sentiment in the US, made staying public riskier. Skechers along with Nike and Adidas had urged the US government to exempt footwear from retaliatory tariffs. But with no relief in sight, the company may have opted for private control to navigate this uncertain terrain more flexibly. From Chrome Dome to Global Comfort King: Rise of Sketchers Skechers launched in 1992 with its edgy street-style shoe “Chrome Dome.” Fast forward three decades, and it has transformed into a global comfort-first brand with a massive footprint of 5,000 retail stores across more than 120 countries. Its shoes, priced between $75 and $150, have struck a chord with budget-conscious buyers. Star-studded collaborations with Britney Spears, Kim Kardashian and others have helped the brand stay relevant in a competitive landscape that includes legacy giants like Nike and fast-rising challengers like Hoka. According to TD Cowen analysts, 3G Capital’s trademark focus on cost-cutting and efficiency could lay the groundwork for Skechers to re-enter the public market in the future. Though Skechers may be stepping off Wall Street, but it’s certainly not stepping down. Backed by deep-pocketed 3G Capital and led by a founding team that’s staying the course, the brand is reportedly gearing up for a new phase which is away from quarterly scrutiny, and possibly toward leaner, faster growth. As per Reuters reports, this is more than just a business deal. It’s a power move in a rapidly changing market—and one that could shake up the future of the sneaker industry.

Skechers steps off Wall Street in record $9.42 Billion buyout amid tariff turmoil

<div data-olk-copy-source="MessageBody">Electric two-wheeler maker Ather Energy Ltd, India&rsquo;s first major initial public offering (IPO) in the current financial year (FY26), witnessed a subdued debut in the Indian stock market on May 06. The company&rsquo;s shares were listed at just a 2 per cent premium over their issue price of ₹321 ($3.80).</div>
<div>The Bengaluru-based company, which decided to proceed with its $352 million IPO despite the uncertainty, had to cut its target valuation by 44 per cent and lower its offer size, though its IPO was fully subscribed.</div>
<div>Ather Energy listed its shares on the National Stock Exchange (NSE) and BSE following a moderately subscribed IPO. The shares listed at a 2 per cent premium over the IPO price failed to build on the early gains. Shares of Ather Energy fell almost 6 per cent from the listing price on May 06. Despite strong brand recognition and solid technological strengths, the company is still struggling with profitability, reporting a significant net loss in FY24.</div>
<div><span></span></div>
<h2><span>Holding back IPOs</span></h2>
<div><i>Reuters</i>&nbsp;reported that at least two IPOs worth $759 million are also expected to be delayed, adding to a growing list of companies that are deciding to postpone plans for market listings due to weak investment sentiment. Education loan provider Avanse Financial Services and contract drug maker Anthem Biosciences are among companies that will join notable names such as South Korean company LG Electronics' India unit to put IPO plans on hold for now.</div>
<div>As many as 58 companies have not launched their IPOs even after obtaining the regulatory clearance due to global market disruptions caused by U.S. President Donald Trump's tariffs, which have negatively affected business sentiment and fuelled recession fears.</div>
<div>India, which was the world's second-largest IPO market last year, has seen a 58 per cent slump in IPOs listed on the main stock exchanges so far this year, according to Prime Database. The total fundraising on all the listing platforms has seen an 18 per cent drop, LSEG data showed.</div>
<div><span>Cause of the slump</span></div>
<div>Retail investors, having suffered significant losses due to market volatility, are being more cautious with new investments, resulting in a lukewarm reception for this year's IPOs.</div>
<div>In 2024, over 90 companies collectively raised an impressive ₹1.62 lakh crore, two times more than the ₹49,436 crore raised in 2023. This staggering achievement was headlined by Hyundai Motors India's ₹27,870 crore IPO, which not only eclipsed all other IPOs of the year but also claimed the title of the largest IPO in India&rsquo;s history, surpassing LIC's ₹20,557 crore IPO in 2022.</div>
<div>Big names like LG India (valued at $15 billion), Flipkart ($36 billion), and Reliance Jio (valued at over $100 billion) were preparing to enter the primary markets this year, but geopolitical uncertainty, US tariffs and weak investor sentiment have not allowed India&rsquo;s IPO market to sustain its momentum in 2025 so far.</div>
<div><span></span></div>
<h2><span>What to expect</span></h2>
<div>According to the<span>&nbsp;</span><i>Q1 2025 IPO Trends Report</i>&nbsp;by EY, India&rsquo;s IPO market continues to demonstrate resilience, securing a 22% share of global IPO activity in the first quarter of 2025. With 62 IPOs raising a total of$ 2.8 billion, India remains a leading destination for companies seeking to go public, even amidst a backdrop of global market uncertainties.</div>
<div></div>
<div>Prashant Singhal, Partner - IPO and Markets Leader, EY India, stated, "While the impressive IPO proceeds in Q1 2025 (January to March) highlight the strength of India's capital markets, the record-breaking mergers and acquisitions (M&amp;A) market further demonstrates its maturity. Q1 2025 saw all-time high M&amp;A deal volumes with transactions valued at billions of dollars, reflecting strong investor confidence and strategic investments. This M&amp;A surge, driven by domestic activity and international interest, complements the IPO market, showcasing a healthy and dynamic Indian financial landscape. We anticipate continued momentum in both public and private markets as companies pursue growth."</div>

Business & Economy: As many as 58 companies have not launched their IPOs even after obtaining the regulatory clearance due to global market disruptions

Electric two-wheeler maker Ather Energy Ltd, India’s first major initial public offering (IPO) in the current financial year (FY26), witnessed a subdued debut in the Indian stock market on May 06. The company’s shares were listed at just a 2 per cent premium over their issue price of ₹321 ($3.80). The Bengaluru-based company, which decided to proceed with its $352 million IPO despite the uncertainty, had to cut its target valuation by 44 per cent and lower its offer size, though its IPO was fully subscribed. Ather Energy listed its shares on the National Stock Exchange (NSE) and BSE following a moderately subscribed IPO. The shares listed at a 2 per cent premium over the IPO price failed to build on the early gains. Shares of Ather Energy fell almost 6 per cent from the listing price on May 06. Despite strong brand recognition and solid technological strengths, the company is still struggling with profitability, reporting a significant net loss in FY24. Holding back IPOs Reuters reported that at least two IPOs worth $759 million are also expected to be delayed, adding to a growing list of companies that are deciding to postpone plans for market listings due to weak investment sentiment. Education loan provider Avanse Financial Services and contract drug maker Anthem Biosciences are among companies that will join notable names such as South Korean company LG Electronics' India unit to put IPO plans on hold for now. As many as 58 companies have not launched their IPOs even after obtaining the regulatory clearance due to global market disruptions caused by U.S. President Donald Trump's tariffs, which have negatively affected business sentiment and fuelled recession fears. India, which was the world's second-largest IPO market last year, has seen a 58 per cent slump in IPOs listed on the main stock exchanges so far this year, according to Prime Database. The total fundraising on all the listing platforms has seen an 18 per cent drop, LSEG data showed. Cause of the slump Retail investors, having suffered significant losses due to market volatility, are being more cautious with new investments, resulting in a lukewarm reception for this year's IPOs. In 2024, over 90 companies collectively raised an impressive ₹1.62 lakh crore, two times more than the ₹49,436 crore raised in 2023. This staggering achievement was headlined by Hyundai Motors India's ₹27,870 crore IPO, which not only eclipsed all other IPOs of the year but also claimed the title of the largest IPO in India’s history, surpassing LIC's ₹20,557 crore IPO in 2022. Big names like LG India (valued at $15 billion), Flipkart ($36 billion), and Reliance Jio (valued at over $100 billion) were preparing to enter the primary markets this year, but geopolitical uncertainty, US tariffs and weak investor sentiment have not allowed India’s IPO market to sustain its momentum in 2025 so far. What to expect According to the Q1 2025 IPO Trends Report by EY, India’s IPO market continues to demonstrate resilience, securing a 22% share of global IPO activity in the first quarter of 2025. With 62 IPOs raising a total of$ 2.8 billion, India remains a leading destination for companies seeking to go public, even amidst a backdrop of global market uncertainties. Prashant Singhal, Partner - IPO and Markets Leader, EY India, stated, "While the impressive IPO proceeds in Q1 2025 (January to March) highlight the strength of India's capital markets, the record-breaking mergers and acquisitions (M&A) market further demonstrates its maturity. Q1 2025 saw all-time high M&A deal volumes with transactions valued at billions of dollars, reflecting strong investor confidence and strategic investments. This M&A surge, driven by domestic activity and international interest, complements the IPO market, showcasing a healthy and dynamic Indian financial landscape. We anticipate continued momentum in both public and private markets as companies pursue growth."

What does Ather’s listing mean for IPOs? Can the Indian capital market regain its mojo?

<div class="x_elementToProof" data-olk-copy-source="MessageBody">China&rsquo;s services sector experienced its slowest growth in seven months this April, as escalating US tariffs dampened business sentiment and hiring plans. According to Reuters, the Caixin/S&amp;P Global Services Purchasing Managers&rsquo; Index (PMI) fell to 50.7 from March&rsquo;s 51.9, marking the lowest reading since September. A PMI above 50 indicates expansion, while below 50 signifies contraction.</div>
<div class="x_elementToProof"></div>
<div class="x_elementToProof">This deceleration aligns with the official survey, which reported a slight dip in services activity to 50.1 from 50.3 the previous month. The Caixin PMI is often viewed as a more accurate reflection of trends among export-oriented and smaller firms.</div>
<div class="x_elementToProof"></div>
<div class="x_elementToProof">Despite stronger-than-expected economic growth in the first quarter, bolstered by government stimulus, China&rsquo;s economy faces persistent deflationary risks, a prolonged property slump, and mounting challenges from US tariffs. In 2023, approximately 48 per cent of China&rsquo;s workforce was employed in the services industry, which contributed 56.7 per cent to the nation&rsquo;s GDP. However, the ongoing trade tensions have begun to weigh on business hiring plans and consumer confidence.</div>
<div class="x_elementToProof"></div>
<div class="x_elementToProof">&ldquo;With a cloud over the market outlook, both business and consumer confidence are subdued, making it harder to boost domestic demand,&rdquo; said Wang Zhe, Senior Economist at Caixin Insight Group, as reported by Reuters. &ldquo;The ripple effects of the ongoing China-US tariff standoff will gradually be felt in the second and third quarters. As such, policymakers should prepare well and take action sooner rather than later,&rdquo; he added.</div>
<div class="x_elementToProof"></div>
<div class="x_elementToProof">The Caixin services survey indicated that new business growth slowed to its weakest since December 2022, though export orders saw a slight uptick, partly due to a recovery in tourism. Some service providers cited disruptions from US tariffs impacting goods trade.</div>
<div class="x_elementToProof"></div>
<div class="x_elementToProof">Business sentiment in the services sector grew at the slowest pace since February 2020, with companies identifying US tariffs as a significant concern. To curb costs, service providers reduced jobs for the second consecutive month, leading to a rise in backlogged work and pushing the corresponding gauge into expansionary territory for the first time this year. Firms also cut prices to attract customers, despite facing higher input costs.</div>
<div class="x_elementToProof"></div>
<div class="x_elementToProof">The Caixin China General Composite PMI, which combines both manufacturing and services activity, fell to 51.1 in April from 51.8 the previous month.</div>
<div class="x_elementToProof"></div>
<div class="x_elementToProof">In response to these challenges, China&rsquo;s ruling Communist Party&rsquo;s Politburo pledged last month to support firms and workers most affected by the impact of triple-digit US tariffs and urged the country to prepare for worst-case scenarios. Economists at Morgan Stanley projected that second-quarter growth could slow by one percentage point as tariffs take effect. They anticipate that Beijing will navigate these challenges with cautious and uneven stimulus policies, relying on investment in emerging sectors and urban renewal, while gradually shifting policy towards consumption over the medium term.</div>
<div class="x_elementToProof"></div>
<div class="x_elementToProof">The ongoing trade tensions have also impacted other sectors. For instance, Hong Kong&rsquo;s freight forwarding industry is experiencing significant disruptions, with 41 per cent of container capacity to North America&rsquo;s west coast canceled for the week starting May 12, according to the South China Morning Post, as reported by Reuters. This highlights the broader economic implications of the US-China trade war, signaling further turbulence ahead for both regional logistics and global trade infrastructure.</div>
<div class="x_elementToProof"></div>
<div class="x_elementToProof"><b>The US-China trade talks</b></div>
<div class="x_elementToProof"><b>&nbsp;</b></div>
<div class="x_elementToProof">In April 2025, President Donald Trump escalated the trade conflict with China by imposing a 145 per cent tariff on Chinese imports, citing concerns over trade imbalances and national security. In retaliation, China levied a 125 per cent tariff on US goods, triggering a sharp downturn in bilateral trade.</div>
<div class="x_elementToProof"></div>
<div class="x_elementToProof">Despite the friction, both countries have signalled cautious interest in returning to the negotiating table. China&rsquo;s Ministry of Commerce said it is &ldquo;evaluating&rdquo; Washington&rsquo;s outreach for potential tariff talks but rejected any form of intimidation. Trump, meanwhile, reaffirmed he would not drop tariffs just to resume dialogue, demanding what he calls a &ldquo;fair and reciprocal&rdquo; trade deal.</div>
<div class="x_elementToProof"></div>
<div class="x_elementToProof">On May 5, 2025, China&rsquo;s Ministry of Commerce issued a firm rebuttal to US pressure tactics. Ministry spokesperson He Yongqian stated, &ldquo;Pressure, threats and blackmail are not the right way to deal with China. We hope that the two countries will meet each other halfway and work towards resolving differences through dialogue and consultation, guided by the principles of mutual respect, peaceful coexistence and win-win cooperation.&rdquo;</div>
<div class="x_elementToProof"></div>
<div class="x_elementToProof">He added that if the US insists on pursuing a trade war, China is prepared to &ldquo;fight to the end.&rdquo; However, the country remains open to fair negotiations conducted on equal terms. To counter the impact of tariffs, Beijing is advancing economic resilience strategies&mdash;boosting domestic demand through consumer trade-in programs, promoting premium goods events, and encouraging foreign trade firms to tap into China&rsquo;s vast local market.</div>
<div class="x_elementToProof"></div>
<div class="x_elementToProof">&ldquo;We can see that the potential of China&rsquo;s super-large domestic market is constantly being unleashed,&rdquo; He said. &ldquo;China&rsquo;s foreign trade sector has the confidence and capability to withstand various risk challenges.&rdquo;</div>

Business & Economy: China’s services growth slows amid US tariffs. Caixin PMI drops to 50.7. Beijing urges fair talks, warns against pressure as trade war intensifies.

China’s services sector experienced its slowest growth in seven months this April, as escalating US tariffs dampened business sentiment and hiring plans. According to Reuters, the Caixin/S&P Global Services Purchasing Managers’ Index (PMI) fell to 50.7 from March’s 51.9, marking the lowest reading since September. A PMI above 50 indicates expansion, while below 50 signifies contraction. This deceleration aligns with the official survey, which reported a slight dip in services activity to 50.1 from 50.3 the previous month. The Caixin PMI is often viewed as a more accurate reflection of trends among export-oriented and smaller firms. Despite stronger-than-expected economic growth in the first quarter, bolstered by government stimulus, China’s economy faces persistent deflationary risks, a prolonged property slump, and mounting challenges from US tariffs. In 2023, approximately 48 per cent of China’s workforce was employed in the services industry, which contributed 56.7 per cent to the nation’s GDP. However, the ongoing trade tensions have begun to weigh on business hiring plans and consumer confidence. “With a cloud over the market outlook, both business and consumer confidence are subdued, making it harder to boost domestic demand,” said Wang Zhe, Senior Economist at Caixin Insight Group, as reported by Reuters. “The ripple effects of the ongoing China-US tariff standoff will gradually be felt in the second and third quarters. As such, policymakers should prepare well and take action sooner rather than later,” he added. The Caixin services survey indicated that new business growth slowed to its weakest since December 2022, though export orders saw a slight uptick, partly due to a recovery in tourism. Some service providers cited disruptions from US tariffs impacting goods trade. Business sentiment in the services sector grew at the slowest pace since February 2020, with companies identifying US tariffs as a significant concern. To curb costs, service providers reduced jobs for the second consecutive month, leading to a rise in backlogged work and pushing the corresponding gauge into expansionary territory for the first time this year. Firms also cut prices to attract customers, despite facing higher input costs. The Caixin China General Composite PMI, which combines both manufacturing and services activity, fell to 51.1 in April from 51.8 the previous month. In response to these challenges, China’s ruling Communist Party’s Politburo pledged last month to support firms and workers most affected by the impact of triple-digit US tariffs and urged the country to prepare for worst-case scenarios. Economists at Morgan Stanley projected that second-quarter growth could slow by one percentage point as tariffs take effect. They anticipate that Beijing will navigate these challenges with cautious and uneven stimulus policies, relying on investment in emerging sectors and urban renewal, while gradually shifting policy towards consumption over the medium term. The ongoing trade tensions have also impacted other sectors. For instance, Hong Kong’s freight forwarding industry is experiencing significant disruptions, with 41 per cent of container capacity to North America’s west coast canceled for the week starting May 12, according to the South China Morning Post, as reported by Reuters. This highlights the broader economic implications of the US-China trade war, signaling further turbulence ahead for both regional logistics and global trade infrastructure. The US-China trade talks In April 2025, President Donald Trump escalated the trade conflict with China by imposing a 145 per cent tariff on Chinese imports, citing concerns over trade imbalances and national security. In retaliation, China levied a 125 per cent tariff on US goods, triggering a sharp downturn in bilateral trade. Despite the friction, both countries have signalled cautious interest in returning to the negotiating table. China’s Ministry of Commerce said it is “evaluating” Washington’s outreach for potential tariff talks but rejected any form of intimidation. Trump, meanwhile, reaffirmed he would not drop tariffs just to resume dialogue, demanding what he calls a “fair and reciprocal” trade deal. On May 5, 2025, China’s Ministry of Commerce issued a firm rebuttal to US pressure tactics. Ministry spokesperson He Yongqian stated, “Pressure, threats and blackmail are not the right way to deal with China. We hope that the two countries will meet each other halfway and work towards resolving differences through dialogue and consultation, guided by the principles of mutual respect, peaceful coexistence and win-win cooperation.” He added that if the US insists on pursuing a trade war, China is prepared to “fight to the end.” However, the country remains open to fair negotiations conducted on equal terms. To counter the impact of tariffs, Beijing is advancing economic resilience strategies—boosting domestic demand through consumer trade-in programs, promoting premium goods events, and encouraging foreign trade firms to tap into China’s vast local market. “We can see that the potential of China’s super-large domestic market is constantly being unleashed,” He said. “China’s foreign trade sector has the confidence and capability to withstand various risk challenges.”

US tariffs stall China’s services growth: PMI hits 7-month low as trade tensions escalate

<p class="MsoNormal">In a significant move to strengthen trade ties with the United States, India has reportedly proposed a "zero-for-zero" tariff offer on select American imports, including steel, auto components, and pharmaceuticals. Reports suggest this proposal is aimed at accelerating the conclusion of a bilateral trade agreement with Washington before autumn.&nbsp;<o:p></o:p></p>
<h2 class="MsoNormal"><strong>India backs tariff-free deal with US</strong><o:p></o:p></h2>
<p class="MsoNormal">The duty-free access would apply only to imports within a specified quota, while volumes beyond that would face standard Indian tariffs. The Indian delegation reportedly presented this offer during trade discussions in Washington in late April. The proposal is seen as a strategic response to recent US tariff announcements. <br><br>However, in a shift on April 9, he paused their implementation to allow room for negotiations with key partners that includes India. Current trade discussions suggest positive momentum, with the US reportedly showing interest in finalising new deals under its revised tariff regime. <br><br>While no formal agreements have been reached yet, India is emerging as a priority in Washington&rsquo;s trade strategy, alongside countries like Japan and South Korea. With trump&rsquo;s deadline for implementing the paused tariffs approaching soon, the pressure is mounting to seal agreements quickly. <o:p></o:p></p>
<p class="MsoNormal">The India-US trade deal, if finalised, could offer substantial benefits for both sides by easing market access and protecting key domestic industries from future trade barriers. The deal would mark a critical step forward in India-US economic relations, fostering greater cooperation in industrial sectors.<o:p></o:p></p>
<p class="MsoNormal"><i>(With inputs from the agencies)<o:p></o:p></i></p>

Business & Economy: In a significant move to strengthen trade ties with the United States, India has reportedly proposed a "zero-for-zero" tariff offer on select American imports, including steel, auto components, and pharmaceuticals.

In a significant move to strengthen trade ties with the United States, India has reportedly proposed a "zero-for-zero" tariff offer on select American imports, including steel, auto components, and pharmaceuticals. Reports suggest this proposal is aimed at accelerating the conclusion of a bilateral trade agreement with Washington before autumn. India backs tariff-free deal with US The duty-free access would apply only to imports within a specified quota, while volumes beyond that would face standard Indian tariffs. The Indian delegation reportedly presented this offer during trade discussions in Washington in late April. The proposal is seen as a strategic response to recent US tariff announcements. However, in a shift on April 9, he paused their implementation to allow room for negotiations with key partners that includes India. Current trade discussions suggest positive momentum, with the US reportedly showing interest in finalising new deals under its revised tariff regime. While no formal agreements have been reached yet, India is emerging as a priority in Washington’s trade strategy, alongside countries like Japan and South Korea. With trump’s deadline for implementing the paused tariffs approaching soon, the pressure is mounting to seal agreements quickly. The India-US trade deal, if finalised, could offer substantial benefits for both sides by easing market access and protecting key domestic industries from future trade barriers. The deal would mark a critical step forward in India-US economic relations, fostering greater cooperation in industrial sectors. (With inputs from the agencies)

India’s concessions for US trade deal

<p dir="ltr"><span>In a significant turn of events, artificial intelligence (AI) major OpenAI announced on May 05 that the company will maintain its nonprofit control of its business operations despite plans to create a public benefit corporation (PBC). This decision likely constrains CEO Sam Altman's authority over the ChatGPT maker.</span></p>
<p dir="ltr"><span>In a letter to the employees, Altman said, &ldquo;We made the decision for the nonprofit to retain control of OpenAI after hearing from civic leaders and engaging in constructive dialogue with the offices of the Attorney General of Delaware and the Attorney General of California.&rdquo;</span></p>
<p dir="ltr"><span>&ldquo;Our mission is to ensure that artificial general intelligence (AGI) benefits all of humanity,&rdquo; the letter said. &ldquo;We are committed to this path of democratic AI. We want to put incredible tools in the hands of everyone,&rdquo; it added.</span></p>
<p dir="ltr"><span>OpenAI had earlier proposed restructuring its operations to increase its for-profit status, a move that had raised concerns about the company&rsquo;s commitment to its original mission of developing artificial general intelligence for the benefit of humanity. However, following mounting pressure and legal challenges, including a lawsuit filed by Elon Musk, OpenAI has altered its approach, with the nonprofit parent organisation now set to remain in charge.</span></p>
<h2 dir="ltr"><span>The new structure</span></h2>
<p dir="ltr"><span>CNBC</span><span> reported that in a video call with reporters, OpenAI&rsquo;s board chairman Bret Taylor said, &ldquo;With the structure we&rsquo;re contemplating, the not-for-profit will remain in control of OpenAI&rdquo;.&nbsp;</span></p>
<p dir="ltr"><span>&ldquo;We will be converting the limited liability company that is a subsidiary of that nonprofit to a public benefit corporation. By doing so, it will change the equity structure of that company so that employees, investors and the not-for-profit can own equity in that PBC,&rdquo; he added.</span></p>
<p dir="ltr"><span>Taylor said OpenAI had commissioned outside financial advisors to consult on the recapitalisation. He declined to share how much of a stake the nonprofit would have in the company, though it will be a majority.</span></p>
<p dir="ltr"><span>Under the new structure, OpenAI&rsquo;s nonprofit board will maintain governance over the company, with the same directors likely serving on both the nonprofit and the PBC boards. Taylor reassured reporters that the company's mission will remain its top priority, and the nonprofit board's fiduciary duty will be strictly bound to that mission.</span></p>
<h2 dir="ltr"><span>Backlash on the for-profit plan</span></h2>
<p dir="ltr"><span>OpenAI began as a nonprofit, but Altman has been proposing changes to the firm&rsquo;s structure since his brief yet controversial ouster from the AI research lab in November 2023. Tesla CEO Elon Musk, who was also a co-founder of OpenAI, has also criticised the company and filed a lawsuit blocking the plan, accusing Altman of prioritising growth over the lab&rsquo;s original mission of creating technology for the benefit of humanity.</span></p>
<p dir="ltr"><span>In December, Altman announced plans to revamp OpenAI&rsquo;s structure to become a public benefit company. The move raised concerns about whether OpenAI would allocate enough funds to its nonprofit arm and whether it would lead to greater corporate influence.</span></p>
<p dir="ltr"><span>The plan drew sharp criticism from former OpenAI employees and AI experts. Some expressed concerns that transitioning to a for-profit structure would undermine OpenAI&rsquo;s core mission and reduce accountability, particularly as the company works toward creating AGI. A letter sent to attorneys general in California and Delaware last month warned that removing nonprofit oversight could "subvert OpenAI&rsquo;s charitable purpose" and create significant governance risks.</span></p>
<p dir="ltr"><span>OpenAI&rsquo;s hybrid structure has included a capped-profit limited partnership that was created in 2019. The original nonprofit is the controlling shareholder and would have been spun out as an independent entity if OpenAI had succeeded in its efforts. With that change no longer taking place, OpenAI&rsquo;s investors receive convertible notes that will turn into equity.</span></p>
<h2 dir="ltr"><span>Growth path</span></h2>
<p dir="ltr"><span>As OpenAI charts its new path, it continues to draw attention in the world of AI technology. OpenAI has agreed to acquire AI-based coding tool Windsurf, an AI coding assistant for developers and enterprises, for around $3 billion, according to a </span><span>Bloomberg </span><span>report. The acquisition of Windsurf is currently not closed, and if completed would be the largest ever by the ChatGPT maker.</span></p>
<p dir="ltr"><span>The acquisition would bolster its position in the competitive AI landscape, positioning OpenAI against rivals such as Anthropic and Microsoft&rsquo;s GitHub.</span></p>
<p dir="ltr"><span>Despite facing ongoing legal disputes with Elon Musk, OpenAI&rsquo;s market value remains robust, estimated at $300 billion, with 400 million weekly users of its flagship product, ChatGPT. These recent developments reflect the company's ongoing efforts to balance rapid growth with its core mission, even as it navigates an increasingly complex regulatory landscape.</span></p>
<p dir="ltr"><span>(<em>With inputs from agencies</em>)</span></p>

Business& Economy:  OpenAI’s nonprofit board will maintain governance over the company, with the same directors likely serving on both the nonprofit and the PBC boards

In a significant turn of events, artificial intelligence (AI) major OpenAI announced on May 05 that the company will maintain its nonprofit control of its business operations despite plans to create a public benefit corporation (PBC). This decision likely constrains CEO Sam Altman's authority over the ChatGPT maker. In a letter to the employees, Altman said, “We made the decision for the nonprofit to retain control of OpenAI after hearing from civic leaders and engaging in constructive dialogue with the offices of the Attorney General of Delaware and the Attorney General of California.” “Our mission is to ensure that artificial general intelligence (AGI) benefits all of humanity,” the letter said. “We are committed to this path of democratic AI. We want to put incredible tools in the hands of everyone,” it added. OpenAI had earlier proposed restructuring its operations to increase its for-profit status, a move that had raised concerns about the company’s commitment to its original mission of developing artificial general intelligence for the benefit of humanity. However, following mounting pressure and legal challenges, including a lawsuit filed by Elon Musk, OpenAI has altered its approach, with the nonprofit parent organisation now set to remain in charge. The new structure CNBC reported that in a video call with reporters, OpenAI’s board chairman Bret Taylor said, “With the structure we’re contemplating, the not-for-profit will remain in control of OpenAI”. “We will be converting the limited liability company that is a subsidiary of that nonprofit to a public benefit corporation. By doing so, it will change the equity structure of that company so that employees, investors and the not-for-profit can own equity in that PBC,” he added. Taylor said OpenAI had commissioned outside financial advisors to consult on the recapitalisation. He declined to share how much of a stake the nonprofit would have in the company, though it will be a majority. Under the new structure, OpenAI’s nonprofit board will maintain governance over the company, with the same directors likely serving on both the nonprofit and the PBC boards. Taylor reassured reporters that the company's mission will remain its top priority, and the nonprofit board's fiduciary duty will be strictly bound to that mission. Backlash on the for-profit plan OpenAI began as a nonprofit, but Altman has been proposing changes to the firm’s structure since his brief yet controversial ouster from the AI research lab in November 2023. Tesla CEO Elon Musk, who was also a co-founder of OpenAI, has also criticised the company and filed a lawsuit blocking the plan, accusing Altman of prioritising growth over the lab’s original mission of creating technology for the benefit of humanity. In December, Altman announced plans to revamp OpenAI’s structure to become a public benefit company. The move raised concerns about whether OpenAI would allocate enough funds to its nonprofit arm and whether it would lead to greater corporate influence. The plan drew sharp criticism from former OpenAI employees and AI experts. Some expressed concerns that transitioning to a for-profit structure would undermine OpenAI’s core mission and reduce accountability, particularly as the company works toward creating AGI. A letter sent to attorneys general in California and Delaware last month warned that removing nonprofit oversight could "subvert OpenAI’s charitable purpose" and create significant governance risks. OpenAI’s hybrid structure has included a capped-profit limited partnership that was created in 2019. The original nonprofit is the controlling shareholder and would have been spun out as an independent entity if OpenAI had succeeded in its efforts. With that change no longer taking place, OpenAI’s investors receive convertible notes that will turn into equity. Growth path As OpenAI charts its new path, it continues to draw attention in the world of AI technology. OpenAI has agreed to acquire AI-based coding tool Windsurf, an AI coding assistant for developers and enterprises, for around $3 billion, according to a Bloomberg report. The acquisition of Windsurf is currently not closed, and if completed would be the largest ever by the ChatGPT maker. The acquisition would bolster its position in the competitive AI landscape, positioning OpenAI against rivals such as Anthropic and Microsoft’s GitHub. Despite facing ongoing legal disputes with Elon Musk, OpenAI’s market value remains robust, estimated at $300 billion, with 400 million weekly users of its flagship product, ChatGPT. These recent developments reflect the company's ongoing efforts to balance rapid growth with its core mission, even as it navigates an increasingly complex regulatory landscape. (With inputs from agencies)

OpenAI reverses restructuring plan; nonprofit arm to retain control

<div data-olk-copy-source="MailCompose">The fast-fashion e-commerce giants, Shein and Temu are recalibrating their global strategies as the US tightens its grip on low-cost imports. With new tariffs and the elimination of a critical trade exemption threatening their profits, both companies are aggressively expanding their digital presence in Europe and Latin America, according to Reuters.</div>
<div></div>
<div>In April, Shein increased its digital ad spending by 35 per cent in France and the United Kingdom, while China&rsquo;s PDD Group's Temu upped its ad investments by 40 per cent and 20 per cent in the same markets, respectively. This marks a deliberate shift away from the US, where the recent end of the &ldquo;de minimis&rdquo; exemption has raised the cost of doing business. According to Reuters, this exemption had previously allowed packages valued under $800 to enter the country tariff-free as a loophole Shein and Temu had used to rapidly scale their business by shipping cheap products directly to American consumers.</div>
<div></div>
<div>As per Reuters, the withdrawal of this benefit came into effect on May 2 and has already begun reshaping digital ad trends. Both companies slashed their advertising in the US last month in anticipation of the policy change. At the same time, they&rsquo;ve reportedly begun increasing prices to absorb the impact of new duties as a move that could hurt their appeal among cost-conscious American shoppers.</div>
<div></div>
<div>Singapore-based Shein and Temu were among the most aggressive ad buyers during the last holiday season, driving up digital ad bid rates as they fought to dominate the US market with ultra-affordable products like $12 dresses and $5 accessories. Their low pricing strategies had also disrupted legacy retailers such as Gap, H&amp;M, Zara, and even US dollar stores.</div>
<div></div>
<div>While their European push includes markets like Germany, Italy, and Spain, the UK and France have seen the most pronounced uptick in advertising. According to Reuters, Shein downloads in the UK surged by 25 per cent last month, while Temu downloads more than doubled. However, daily app usage saw only modest growth, with Shein&rsquo;s UK active user base rising 5 per cent and Temu&rsquo;s by 10 per cent.</div>
<div></div>
<div>Year-on-year, Temu ramped up its UK ad spending by 20 per cent and an astonishing 115 per cent in France, while Shein saw a 100 per cent rise in the UK and 45 per cent in France, as per Reuters data from Sensor Tower.</div>
<div></div>
<h2><b>Brazil Becomes the Next Battleground</b><b></b></h2>
<div>The rivalry is also heating up in Latin America. According to Reuters, Shein boosted its ad spending in Brazil by 140 per cent compared to last April. The company, which manufactures locally in Brazil to better serve Latin American markets, is facing increasing competition from Temu, which is preparing for a formal launch in the region this June.</div>
<div></div>
<div>Reuters also reported that Temu&rsquo;s Brazilian ad spending skyrocketed 800-fold year-on-year, following a playbook it used when it entered the US market in September 2022. As noted by Kara Lee, brand and digital analyst at Sensor Tower, "both companies appear to be employing similar market penetration strategies: spend aggressively, dominate visibility, and localize production".</div>
<div></div>
<h2><b>Trump Tariffs Hit US Fashion Economy</b></h2>
<div>The ramifications of these trade shifts go far beyond Shein and Temu. The broader US fashion industry is now bracing for a significant economic impact. The American apparel market projected to be worth $365.7 billion in 2025 which stands to lose up to $18 billion in revenue due to the elimination of the de minimis exemption and the broader tariff regime, according to an analysis by the National Retail Federation and Trade Partnership Worldwide.</div>
<div></div>
<div>As per data cited by eMarketer, retail apparel prices are expected to rise by at least 8 per cent due to retaliatory tariffs, and potentially as much as 17 per cent when all proposed duties are considered. These cost increases will likely hit low- to middle-income families hardest, particularly those who rely on affordable fashion options. While some US retailers may benefit from reduced competition; the immediate outlook remains uncertain. Supply chains are being restructured, logistics costs are climbing, and price-sensitive shoppers are becoming harder to retain all consequences of a global fashion market jolted by protectionist trade policies.</div>
<div></div>
<div></div>

Business & Economy: Shein and Temu are aggressively expanding their digital presence in Europe and Latin America amid Trump tariff escalation.

The fast-fashion e-commerce giants, Shein and Temu are recalibrating their global strategies as the US tightens its grip on low-cost imports. With new tariffs and the elimination of a critical trade exemption threatening their profits, both companies are aggressively expanding their digital presence in Europe and Latin America, according to Reuters. In April, Shein increased its digital ad spending by 35 per cent in France and the United Kingdom, while China’s PDD Group's Temu upped its ad investments by 40 per cent and 20 per cent in the same markets, respectively. This marks a deliberate shift away from the US, where the recent end of the “de minimis” exemption has raised the cost of doing business. According to Reuters, this exemption had previously allowed packages valued under $800 to enter the country tariff-free as a loophole Shein and Temu had used to rapidly scale their business by shipping cheap products directly to American consumers. As per Reuters, the withdrawal of this benefit came into effect on May 2 and has already begun reshaping digital ad trends. Both companies slashed their advertising in the US last month in anticipation of the policy change. At the same time, they’ve reportedly begun increasing prices to absorb the impact of new duties as a move that could hurt their appeal among cost-conscious American shoppers. Singapore-based Shein and Temu were among the most aggressive ad buyers during the last holiday season, driving up digital ad bid rates as they fought to dominate the US market with ultra-affordable products like $12 dresses and $5 accessories. Their low pricing strategies had also disrupted legacy retailers such as Gap, H&M, Zara, and even US dollar stores. While their European push includes markets like Germany, Italy, and Spain, the UK and France have seen the most pronounced uptick in advertising. According to Reuters, Shein downloads in the UK surged by 25 per cent last month, while Temu downloads more than doubled. However, daily app usage saw only modest growth, with Shein’s UK active user base rising 5 per cent and Temu’s by 10 per cent. Year-on-year, Temu ramped up its UK ad spending by 20 per cent and an astonishing 115 per cent in France, while Shein saw a 100 per cent rise in the UK and 45 per cent in France, as per Reuters data from Sensor Tower. Brazil Becomes the Next Battleground The rivalry is also heating up in Latin America. According to Reuters, Shein boosted its ad spending in Brazil by 140 per cent compared to last April. The company, which manufactures locally in Brazil to better serve Latin American markets, is facing increasing competition from Temu, which is preparing for a formal launch in the region this June. Reuters also reported that Temu’s Brazilian ad spending skyrocketed 800-fold year-on-year, following a playbook it used when it entered the US market in September 2022. As noted by Kara Lee, brand and digital analyst at Sensor Tower, "both companies appear to be employing similar market penetration strategies: spend aggressively, dominate visibility, and localize production". Trump Tariffs Hit US Fashion Economy The ramifications of these trade shifts go far beyond Shein and Temu. The broader US fashion industry is now bracing for a significant economic impact. The American apparel market projected to be worth $365.7 billion in 2025 which stands to lose up to $18 billion in revenue due to the elimination of the de minimis exemption and the broader tariff regime, according to an analysis by the National Retail Federation and Trade Partnership Worldwide. As per data cited by eMarketer, retail apparel prices are expected to rise by at least 8 per cent due to retaliatory tariffs, and potentially as much as 17 per cent when all proposed duties are considered. These cost increases will likely hit low- to middle-income families hardest, particularly those who rely on affordable fashion options. While some US retailers may benefit from reduced competition; the immediate outlook remains uncertain. Supply chains are being restructured, logistics costs are climbing, and price-sensitive shoppers are becoming harder to retain all consequences of a global fashion market jolted by protectionist trade policies.

Shein and Temu pivot to Europe as the US tariffs threaten fast-fashion fortunes

<p>After nearly 14 years of dominating the world of online communication, Skype is officially shutting down on May 5. Once a household name, this pioneering service changed the way we connected with friends, family, and colleagues across the globe. Yet, as new, more dynamic apps like Zoom, WhatsApp, and Slack emerged, Skype&rsquo;s relevance began to fade. Microsoft, which acquired Skype for $8.5 billion in 2011, has now turned its attention to its more successful product, Teams, leaving Skype&rsquo;s legacy behind.&nbsp;</p>
<p><br>Here&rsquo;s a look back at Skype&rsquo;s rise to fame, its eventual decline, and what led to its retirement.</p>
<h2><br>The rise of Skype: Revolutionising communication</h2>
<p><br>When Skype was launched in 2003 by Niklas Zennstr&ouml;m and Janus Friis, it quickly became a game-changer in digital communication. With its free voice and video calling features, Skype bridged distances, enabling users to connect from any corner of the world. Skype&rsquo;s success was undeniable &mdash; it gave us the ability to make long-distance calls without the hefty phone bills and revolutionised the concept of instant messaging and video chat.<br>At its peak, Skype was the go-to platform for anyone looking to communicate across borders. In fact, by 2011, Skype reportedly had more than 660 million registered users and over 300 million monthly active users. It seemed like nothing could topple the giant. But, as the digital landscape evolved, so did the communication needs of consumers.</p>
<h2><br>The Microsoft acquisition: A bold move</h2>
<p><br>In 2011, Microsoft made one of its largest acquisitions, buying Skype for a staggering $8.5 billion. The acquisition was viewed as a strategic move to boost Microsoft&rsquo;s presence in the growing digital communication space. Microsoft envisioned Skype becoming an integral part of its ecosystem, helping to drive communication across its products like Windows, Xbox, and Outlook.<br>But despite the investment, Skype struggled to evolve with changing trends. The platform&rsquo;s design, once groundbreaking, began to feel outdated, and its user experience faltered in the face of newer, more nimble competitors.</p>
<h2><br>Decline in Skype users&nbsp;</h2>
<p><br>While Skype was once unbeatable, its dominance started to wane as new competitors entered the market. Apps like WhatsApp, Telegram, and Zoom became popular alternatives, offering more intuitive and feature-rich experiences. Skype struggled to compete, especially with the rise of mobile messaging and video conferencing tools.<br>Skype&rsquo;s efforts to stay relevant with new features, like its attempt to mimic Snapchat&rsquo;s interface, only made things worse. Users complained of constant redesigns, missed calls, and unreliable syncing across devices. The once-celebrated platform began to feel clunky, losing ground in a fast-evolving market.</p>
<p><br>As Skype&rsquo;s user base dwindled, Microsoft turned its focus to its new platform, Teams. Launched in 2017, Teams was designed to combine chat, voice, and video calling features for the corporate world. Unlike Skype, Teams offered a more comprehensive solution for business communication and collaboration, eventually becoming the go-to tool for professionals.</p>
<p><br>By 2023, Skype&rsquo;s daily active users had dropped to just 36 million, a stark contrast to Teams, which boasted 320 million monthly users. As a result, Microsoft made the decision to phase out Skype entirely, transitioning its communication strategy toward Teams and other products more in line with current user needs.</p>
<p><br>Despite its decline, Skype holds an important place in the history of digital communication. It was not only a pioneer in voice and video calls but also one of Microsoft&rsquo;s first forays into AI, introducing groundbreaking features like real-time translation. While Skype may no longer be part of Microsoft&rsquo;s future, the company has vowed to continue integrating AI into Teams, further strengthening its leadership in the workplace communication market.</p>
<p><br>As Skype fades into the digital history books, Microsoft reassures that it will relocate Skype&rsquo;s employees to other departments rather than letting them go. The tech giant is already making strides in using AI to enhance Teams, signaling that while Skype&rsquo;s story is over, Microsoft&rsquo;s ambition to lead the way in communication technologies is far from finished.</p>
<p><br>Skype&rsquo;s shutdown marks the end of an era in digital communication. From its early days as the pioneer of free calls to its eventual decline, Skype helped shape the way we connect. Though its time has come to an end, Skype will always be remembered as the platform that made international calls and video chats accessible to everyone. As Microsoft moves forward with Teams, it&rsquo;s clear that the future of communication lies in more integrated, business-focused platforms, but Skype&rsquo;s influence will continue to resonate in the way we communicate across the globe.</p>

Business & Economy: How Skype, a leader in digital communication, prepares for its official shutdown on May 05  after nearly 14 years of service.

After nearly 14 years of dominating the world of online communication, Skype is officially shutting down on May 5. Once a household name, this pioneering service changed the way we connected with friends, family, and colleagues across the globe. Yet, as new, more dynamic apps like Zoom, WhatsApp, and Slack emerged, Skype’s relevance began to fade. Microsoft, which acquired Skype for $8.5 billion in 2011, has now turned its attention to its more successful product, Teams, leaving Skype’s legacy behind. Here’s a look back at Skype’s rise to fame, its eventual decline, and what led to its retirement. The rise of Skype: Revolutionising communication When Skype was launched in 2003 by Niklas Zennström and Janus Friis, it quickly became a game-changer in digital communication. With its free voice and video calling features, Skype bridged distances, enabling users to connect from any corner of the world. Skype’s success was undeniable — it gave us the ability to make long-distance calls without the hefty phone bills and revolutionised the concept of instant messaging and video chat. At its peak, Skype was the go-to platform for anyone looking to communicate across borders. In fact, by 2011, Skype reportedly had more than 660 million registered users and over 300 million monthly active users. It seemed like nothing could topple the giant. But, as the digital landscape evolved, so did the communication needs of consumers. The Microsoft acquisition: A bold move In 2011, Microsoft made one of its largest acquisitions, buying Skype for a staggering $8.5 billion. The acquisition was viewed as a strategic move to boost Microsoft’s presence in the growing digital communication space. Microsoft envisioned Skype becoming an integral part of its ecosystem, helping to drive communication across its products like Windows, Xbox, and Outlook. But despite the investment, Skype struggled to evolve with changing trends. The platform’s design, once groundbreaking, began to feel outdated, and its user experience faltered in the face of newer, more nimble competitors. Decline in Skype users While Skype was once unbeatable, its dominance started to wane as new competitors entered the market. Apps like WhatsApp, Telegram, and Zoom became popular alternatives, offering more intuitive and feature-rich experiences. Skype struggled to compete, especially with the rise of mobile messaging and video conferencing tools. Skype’s efforts to stay relevant with new features, like its attempt to mimic Snapchat’s interface, only made things worse. Users complained of constant redesigns, missed calls, and unreliable syncing across devices. The once-celebrated platform began to feel clunky, losing ground in a fast-evolving market. As Skype’s user base dwindled, Microsoft turned its focus to its new platform, Teams. Launched in 2017, Teams was designed to combine chat, voice, and video calling features for the corporate world. Unlike Skype, Teams offered a more comprehensive solution for business communication and collaboration, eventually becoming the go-to tool for professionals. By 2023, Skype’s daily active users had dropped to just 36 million, a stark contrast to Teams, which boasted 320 million monthly users. As a result, Microsoft made the decision to phase out Skype entirely, transitioning its communication strategy toward Teams and other products more in line with current user needs. Despite its decline, Skype holds an important place in the history of digital communication. It was not only a pioneer in voice and video calls but also one of Microsoft’s first forays into AI, introducing groundbreaking features like real-time translation. While Skype may no longer be part of Microsoft’s future, the company has vowed to continue integrating AI into Teams, further strengthening its leadership in the workplace communication market. As Skype fades into the digital history books, Microsoft reassures that it will relocate Skype’s employees to other departments rather than letting them go. The tech giant is already making strides in using AI to enhance Teams, signaling that while Skype’s story is over, Microsoft’s ambition to lead the way in communication technologies is far from finished. Skype’s shutdown marks the end of an era in digital communication. From its early days as the pioneer of free calls to its eventual decline, Skype helped shape the way we connect. Though its time has come to an end, Skype will always be remembered as the platform that made international calls and video chats accessible to everyone. As Microsoft moves forward with Teams, it’s clear that the future of communication lies in more integrated, business-focused platforms, but Skype’s influence will continue to resonate in the way we communicate across the globe.

Skype shuts down today: Here’s how it rose to fame and why Microsoft’s focus shifted?

<div class="x_elementToProof" data-olk-copy-source="MessageBody">As India and Pakistan teeter on the edge of another diplomatic standoff after the April 22 terror attack in Pahalgam, a stark economic warning has emerged from global ratings agency Moody&rsquo;s. Released on May 5, the Moody's report outlines how the latest escalation could unravel Pakistan&rsquo;s fragile path to recovery, derail its fiscal reforms, and push it back toward financial instability.</div>
<h2 class="x_elementToProof"><b>Moody&rsquo;s stern warning to Pakistan&rsquo;s economy</b><b></b></h2>
<div class="x_elementToProof">In its latest assessment, Moody's stated that &ldquo;a sustained escalation in tensions with India would likely weigh on Pakistan&rsquo;s growth and hamper the government&rsquo;s ongoing fiscal consolidation.&rdquo; The global rating agency warned that prolonged geopolitical stress could &ldquo;impair Pakistan&rsquo;s access to external financing and pressure its foreign-exchange reserves, which remain well below what is required to meet its external debt payment needs.&rdquo;</div>
<div class="x_elementToProof"></div>
<div class="x_elementToProof">Pakistan&rsquo;s foreign exchange reserves currently stand at just over $15 billion, a fraction of India&rsquo;s $688 billion, raising red flags about its ability to service debt in the near future.<b></b></div>
<h2 class="x_elementToProof"><b>What about India?</b></h2>
<div class="x_elementToProof">In contrast, Moody&rsquo;s noted that India&rsquo;s economic exposure to Pakistan is negligible, with less than 0.5% of its total exports heading to the neighboring country in 2024. As such, the agency does &ldquo;not expect major disruptions to India&rsquo;s economic activity&rdquo;, even in the case of sustained tensions.</div>
<div class="x_elementToProof">However, there could be a fiscal cost to India, Moody&rsquo;s acknowledged, noting that &ldquo;higher defence spending would potentially weigh on India&rsquo;s fiscal strength and slow its fiscal consolidation.&rdquo;</div>
<div class="x_elementToProof"></div>
<div class="x_elementToProof">India&rsquo;s macroeconomic stability, bolstered by robust public investment and private consumption, remains intact for now, but prolonged tensions could still put pressure on its fiscal targets.</div>
<h2 class="x_elementToProof"><b>IMF reviews Pakistan&rsquo;s growth prospects</b><b></b></h2>
<div class="x_elementToProof">Pakistan is already walking a tightrope with the International Monetary Fund (IMF), and Moody&rsquo;s fears the latest developments may derail progress on its reform agenda. The IMF&rsquo;s executive board is scheduled to meet on May 9 to review the country&rsquo;s performance under the ongoing $7 billion Extended Fund Facility.</div>
<div class="x_elementToProof"></div>
<div class="x_elementToProof">In April, IMF staff reached a staff-level agreement with Pakistan for a $1.3 billion climate resilience loan spanning 28 months. If approved, it will bring total disbursements to $2 billion, including $1 billion under the existing bailout programme. But any instability or deviation from reform commitments could stall this funding pipeline.</div>
<div class="x_elementToProof"></div>
<div class="x_elementToProof">According to the IMF, &ldquo;Pakistan has made significant progress in restoring macroeconomic stability and rebuilding confidence despite a challenging global environment.&rdquo; Finance Minister Muhammad Aurangzeb has assured the IMF that Islamabad remains committed to reforms, but that commitment may be tested as political and security tensions rise.</div>
<h2 class="x_elementToProof"><b>Pakistan&rsquo;s economic turmoil: A fragile recovery</b><b></b></h2>
<div class="x_elementToProof">Once considered one of South Asia&rsquo;s most promising economies, Pakistan is still grappling with the aftershocks of its worst financial crisis in decades. In the aftermath of the COVID-19 pandemic, a combination of poor governance, soaring inflation, and mounting debt brought the country to the brink of sovereign default in 2023. According to data from the State Bank of Pakistan and IMF country reports, inflation surged to a record 38.5 per cent in May 2023, while interest rates climbed to 22 per cent among the highest in the region. Foreign exchange reserves plummeted to just $3.7 billion, barely enough to cover a few weeks of essential imports. Meanwhile, the debt-to-GDP ratio hovered dangerously around 70 per cent, and between 40 to 50 per cent of the federal government&rsquo;s revenues were being consumed solely by interest payments.</div>
<div class="x_elementToProof"></div>
<div class="x_elementToProof">For nearly five years, Pakistan remained on the Financial Action Task Force (FATF) grey list, which significantly constrained its access to international financial markets. It narrowly escaped default in mid-2023 after securing a $3 billion Stand-By Arrangement from the International Monetary Fund, along with emergency financial assistance from Saudi Arabia, the United Arab Emirates, and China.</div>
<h2 class="x_elementToProof"><b>Post-Pahalgam terror attack: KSE crash, India response</b><b></b></h2>
<div class="x_elementToProof">Investor confidence has taken a sharp hit since the Pahalgam attack. Between April 23 and May 5, the KSE-100 index has plunged by over 8,400 points, as traders brace for potential military escalation and further economic fallout. The sustained market meltdown reflects deepening anxiety over the Indo-Pak tensions, particularly amid fears that the crisis could derail Pakistan&rsquo;s fragile economic recovery and jeopardize its upcoming IMF review.</div>
<div class="x_elementToProof"></div>
<div class="x_elementToProof">The April 22 attack, allegedly carried out by Pakistan-backed militants, killed 26 civilians in Jammu and Kashmir. In response, India suspended the Indus Waters Treaty, halted trade via the Attari border, slashed diplomatic ties, and granted the military full autonomy to retaliate. Pakistan responded by suspending the 1972 Simla Agreement, banning Indian flights from its airspace, and terminating remaining trade links.</div>
<div class="x_elementToProof"></div>
<div class="x_elementToProof">Moody&rsquo;s geopolitical risk assessment emphasizes that flare-ups between India and Pakistan are not unusual, but warns that this time the stakes are dangerously high. While a full-blown war remains unlikely, even a localized conflict could derail Pakistan&rsquo;s tentative recovery and send its economy spiraling once again.</div>
<div class="x_elementToProof"></div>
<div class="x_elementToProof">With the IMF&rsquo;s critical review just days away, Islamabad faces a dual challenge: navigating rising external pressures while staying the course on deep economic reforms. The world is watching, and for Pakistan, the cost of miscalculation could be economically catastrophic.</div>

Business & Economy: Pakistan's fragile economic recovery faces risks from heightened tensions with India, warns Moody's recent analysis which was Released on May 05.

As India and Pakistan teeter on the edge of another diplomatic standoff after the April 22 terror attack in Pahalgam, a stark economic warning has emerged from global ratings agency Moody’s. Released on May 5, the Moody's report outlines how the latest escalation could unravel Pakistan’s fragile path to recovery, derail its fiscal reforms, and push it back toward financial instability. Moody’s stern warning to Pakistan’s economy In its latest assessment, Moody's stated that “a sustained escalation in tensions with India would likely weigh on Pakistan’s growth and hamper the government’s ongoing fiscal consolidation.” The global rating agency warned that prolonged geopolitical stress could “impair Pakistan’s access to external financing and pressure its foreign-exchange reserves, which remain well below what is required to meet its external debt payment needs.” Pakistan’s foreign exchange reserves currently stand at just over $15 billion, a fraction of India’s $688 billion, raising red flags about its ability to service debt in the near future. What about India? In contrast, Moody’s noted that India’s economic exposure to Pakistan is negligible, with less than 0.5% of its total exports heading to the neighboring country in 2024. As such, the agency does “not expect major disruptions to India’s economic activity”, even in the case of sustained tensions. However, there could be a fiscal cost to India, Moody’s acknowledged, noting that “higher defence spending would potentially weigh on India’s fiscal strength and slow its fiscal consolidation.” India’s macroeconomic stability, bolstered by robust public investment and private consumption, remains intact for now, but prolonged tensions could still put pressure on its fiscal targets. IMF reviews Pakistan’s growth prospects Pakistan is already walking a tightrope with the International Monetary Fund (IMF), and Moody’s fears the latest developments may derail progress on its reform agenda. The IMF’s executive board is scheduled to meet on May 9 to review the country’s performance under the ongoing $7 billion Extended Fund Facility. In April, IMF staff reached a staff-level agreement with Pakistan for a $1.3 billion climate resilience loan spanning 28 months. If approved, it will bring total disbursements to $2 billion, including $1 billion under the existing bailout programme. But any instability or deviation from reform commitments could stall this funding pipeline. According to the IMF, “Pakistan has made significant progress in restoring macroeconomic stability and rebuilding confidence despite a challenging global environment.” Finance Minister Muhammad Aurangzeb has assured the IMF that Islamabad remains committed to reforms, but that commitment may be tested as political and security tensions rise. Pakistan’s economic turmoil: A fragile recovery Once considered one of South Asia’s most promising economies, Pakistan is still grappling with the aftershocks of its worst financial crisis in decades. In the aftermath of the COVID-19 pandemic, a combination of poor governance, soaring inflation, and mounting debt brought the country to the brink of sovereign default in 2023. According to data from the State Bank of Pakistan and IMF country reports, inflation surged to a record 38.5 per cent in May 2023, while interest rates climbed to 22 per cent among the highest in the region. Foreign exchange reserves plummeted to just $3.7 billion, barely enough to cover a few weeks of essential imports. Meanwhile, the debt-to-GDP ratio hovered dangerously around 70 per cent, and between 40 to 50 per cent of the federal government’s revenues were being consumed solely by interest payments. For nearly five years, Pakistan remained on the Financial Action Task Force (FATF) grey list, which significantly constrained its access to international financial markets. It narrowly escaped default in mid-2023 after securing a $3 billion Stand-By Arrangement from the International Monetary Fund, along with emergency financial assistance from Saudi Arabia, the United Arab Emirates, and China. Post-Pahalgam terror attack: KSE crash, India response Investor confidence has taken a sharp hit since the Pahalgam attack. Between April 23 and May 5, the KSE-100 index has plunged by over 8,400 points, as traders brace for potential military escalation and further economic fallout. The sustained market meltdown reflects deepening anxiety over the Indo-Pak tensions, particularly amid fears that the crisis could derail Pakistan’s fragile economic recovery and jeopardize its upcoming IMF review. The April 22 attack, allegedly carried out by Pakistan-backed militants, killed 26 civilians in Jammu and Kashmir. In response, India suspended the Indus Waters Treaty, halted trade via the Attari border, slashed diplomatic ties, and granted the military full autonomy to retaliate. Pakistan responded by suspending the 1972 Simla Agreement, banning Indian flights from its airspace, and terminating remaining trade links. Moody’s geopolitical risk assessment emphasizes that flare-ups between India and Pakistan are not unusual, but warns that this time the stakes are dangerously high. While a full-blown war remains unlikely, even a localized conflict could derail Pakistan’s tentative recovery and send its economy spiraling once again. With the IMF’s critical review just days away, Islamabad faces a dual challenge: navigating rising external pressures while staying the course on deep economic reforms. The world is watching, and for Pakistan, the cost of miscalculation could be economically catastrophic.

Moody’s report flags economic fallout for Pakistan amid escalating tensions with India

<p class="MsoNormal"><span lang="EN-GB" style="font-family: 'Arial','sans-serif';">Oil prices fell significantly on May 05 (Monday) after OPEC+ announced plans to boost oil production by 411,000 barrels per day (bpd) in June, compared to May levels, as part of a plan to gradually unwind voluntary output cuts, the group said Saturday following a virtual meeting. The decision to increase output sparked concerns over a potential oversupply, further exacerbating fears of fragile global demand.<o:p></o:p></span></p>
<p class="MsoNormal"><span lang="EN-GB" style="font-family: 'Arial','sans-serif';">International benchmark Brent crude futures were trading at $59.14 per barrel as of 04.09 GMT, a 3.51 per cent decline on the previous close, while the US benchmark West Texas Intermediate (WTI) <span style="mso-spacerun: yes;">&nbsp;</span>dipped by 3.76 per cent to $56.1 per barrel. However, key benchmarks later recovered some ground with Brent futures trading at $60.17 per barrel, down 1.83 per cent as of 07.27 GMT, and WTI futures declining by 1.85 per cent to $57.21 per barrel, down from $58.10 at the close of the prior session.<o:p></o:p></span></p>
<h2 class="MsoNormal"><b style="mso-bidi-font-weight: normal;"><span lang="EN-GB" style="font-family: 'Arial','sans-serif';">OPEC&rsquo;s oil supply<o:p></o:p></span></b></h2>
<p class="MsoNormal"><span lang="EN-GB" style="font-family: 'Arial','sans-serif';">The OPEC+ group announced that eight of its members&mdash;Saudi Arabia, Russia, Iraq, the UAE, Kuwait, Kazakhstan, Algeria, and Oman&mdash;would increase oil output starting June. This marks the second consecutive month of production hikes, following a decision to unwind voluntary production cuts that had been in place for months.<o:p></o:p></span></p>
<p class="MsoNormal"><span lang="EN-GB" style="font-family: 'Arial','sans-serif';">The move is seen as a response to supply concerns, as the global oil market has experienced significant volatility in recent months, with prices falling nearly 30 per cent over the past year and about 20 per cent in 2025. Despite this, OPEC+ pointed to strong fundamentals as the reason behind the decision, although analysts have speculated that the increase could also be aimed at improving relations with the US, particularly ahead of President Donald Trump's scheduled visit to the West Asia later this month.<o:p></o:p></span></p>
<h2 class="MsoNormal"><b style="mso-bidi-font-weight: normal;"><span lang="EN-GB" style="font-family: 'Arial','sans-serif';">Oil and paint companies profit<o:p></o:p></span></b></h2>
<p class="MsoNormal"><span lang="EN-GB" style="font-family: 'Arial','sans-serif';">The development led to 2 per cent to 3 per cent rally in the shares of oil marketing companies, paint manufacturers, and tyre companies. Following the plunge in crude, shares of Bharat Petroleum traded at ₹323 a piece, up by 4.1 per cent, Hindustan Petroleum up 5.6 per cent and Indian Oil Corporation up 3.9 per cent.<o:p></o:p></span></p>
<p class="MsoNormal"><span lang="EN-GB" style="font-family: 'Arial','sans-serif';">Apart from these shares of paint companies like Asian Paints, Berger Paints, Indigo Paints, and Kansai Nerolac also traded 1 per cent to 2 per cent higher in the morning session.<o:p></o:p></span></p>
<p class="MsoNormal"><span lang="EN-GB" style="font-family: 'Arial','sans-serif';"><span>(<em>With inputs from agencies</em>)</span></span></p>

Business & Economy: Oil prices saw a sharp fall after the eight-member OPEC+ announced plans to boost oil production by 411,000 barrels per day in June

Oil prices fell significantly on May 05 (Monday) after OPEC+ announced plans to boost oil production by 411,000 barrels per day (bpd) in June, compared to May levels, as part of a plan to gradually unwind voluntary output cuts, the group said Saturday following a virtual meeting. The decision to increase output sparked concerns over a potential oversupply, further exacerbating fears of fragile global demand. International benchmark Brent crude futures were trading at $59.14 per barrel as of 04.09 GMT, a 3.51 per cent decline on the previous close, while the US benchmark West Texas Intermediate (WTI) dipped by 3.76 per cent to $56.1 per barrel. However, key benchmarks later recovered some ground with Brent futures trading at $60.17 per barrel, down 1.83 per cent as of 07.27 GMT, and WTI futures declining by 1.85 per cent to $57.21 per barrel, down from $58.10 at the close of the prior session. OPEC’s oil supply The OPEC+ group announced that eight of its members—Saudi Arabia, Russia, Iraq, the UAE, Kuwait, Kazakhstan, Algeria, and Oman—would increase oil output starting June. This marks the second consecutive month of production hikes, following a decision to unwind voluntary production cuts that had been in place for months. The move is seen as a response to supply concerns, as the global oil market has experienced significant volatility in recent months, with prices falling nearly 30 per cent over the past year and about 20 per cent in 2025. Despite this, OPEC+ pointed to strong fundamentals as the reason behind the decision, although analysts have speculated that the increase could also be aimed at improving relations with the US, particularly ahead of President Donald Trump's scheduled visit to the West Asia later this month. Oil and paint companies profit The development led to 2 per cent to 3 per cent rally in the shares of oil marketing companies, paint manufacturers, and tyre companies. Following the plunge in crude, shares of Bharat Petroleum traded at ₹323 a piece, up by 4.1 per cent, Hindustan Petroleum up 5.6 per cent and Indian Oil Corporation up 3.9 per cent. Apart from these shares of paint companies like Asian Paints, Berger Paints, Indigo Paints, and Kansai Nerolac also traded 1 per cent to 2 per cent higher in the morning session. (With inputs from agencies)

Oil sees a sharp decline as OPEC+ decides to increase supply

<p>Even as geopolitical tremors rattle South Asia following the April 22 terror attack in Pahalgam, India&rsquo;s financial markets are charting an unexpected path &mdash; upward. While diplomatic tensions between India and Pakistan escalate, investors in India are betting big, pushing benchmarks like the Sensex and Nifty higher. Meanwhile, across the border, Pakistan&rsquo;s stock market is bleeding value, a stark reflection of economic anxiety and political isolation.</p>
<h2>India&rsquo;s stock markets brush off border fears</h2>
<p>On May 5, the BSE Sensex jumped 259.75 points at the open, while the NSE Nifty 50 rose 12.50 points. This momentum has continued despite growing uncertainty in the region, signaling investor confidence in India&rsquo;s economic fundamentals.</p>
<p>This bullish run is supported by easing global crude prices, a weakening the U.S. dollar, and strong foreign institutional inflows. The Indian rupee has climbed to a five-month high, boosting market sentiment further.</p>
<p>Defense stocks are also riding the wave of geopolitical tension. Shares of Hindustan Aeronautics Ltd (HAL) and Garden Reach Shipbuilders &amp; Engineers (GRSE) have continued their upward march since April 23, the day after the Pahalgam terror attack, as investors bet on increased defense spending amid India&rsquo;s assertive strategic posture.</p>
<h2><br>Global cues and sectoral strength fuel India&rsquo;s rally</h2>
<p><br>India&rsquo;s market performance is not solely driven by regional events. Broader global trends are at play. With the U.S. Fed signaling a pause in rate hikes and oil prices softening, foreign investors have returned to emerging markets &mdash; and India remains a top pick.</p>
<p>Auto, FMCG, and PSU bank stocks have also contributed to the recent rally, creating a market environment that seems largely insulated from diplomatic frictions.</p>
<h2><br>Pakistan&rsquo;s stock market slides into uncertainty</h2>
<p><br>The mood is grim across the border. Pakistan&rsquo;s benchmark KSE-100 index fell another 635.05 points on May 5. Since April 23, the index has shed over 7,500 points &mdash; a nearly 6 per cent drop &mdash; erasing months of gains and shaking investor confidence.</p>
<p>The sell-off is being driven by a mix of factors: economic retaliation from India, a potential freeze in multilateral aid, and growing investor skepticism about Pakistan&rsquo;s financial stability. Defense and agriculture &mdash; two sectors already stressed &mdash; face further strain as India ramps up economic pressure through airspace closures, port restrictions, and even suspension of the Indus Waters Treaty.</p>
<h2>A tale of two economies</h2>
<p><br>The contrast is clear. India, despite being at the center of a high-stakes geopolitical standoff, is seeing its GDP projections hold steady, with the IMF forecasting 6.8 per cent growth in 2025. Foreign reserves are strong, the rupee is stable, and inflation is largely under control.</p>
<p>Pakistan, on the other hand, is teetering on the edge of economic instability. The IMF has warned that ongoing tensions could derail Islamabad&rsquo;s $7 billion bailout program. Its GDP is now expected to grow at just 2.4 per cent, down from earlier estimates of 3.5 per cent.</p>
<p>While both countries remain locked in a diplomatic deadlock, their economies are sending very different signals. India&rsquo;s markets are thriving, reflecting global investor trust and domestic resilience. Pakistan, burdened by diplomatic isolation and internal fragility, is facing the brunt of the fallout.</p>
<p>&nbsp;</p>

Business & Economy: With political unrest at the forefront, Pakistan's economic woes grow, as reflected in the stock market's significant downturn wio

Even as geopolitical tremors rattle South Asia following the April 22 terror attack in Pahalgam, India’s financial markets are charting an unexpected path — upward. While diplomatic tensions between India and Pakistan escalate, investors in India are betting big, pushing benchmarks like the Sensex and Nifty higher. Meanwhile, across the border, Pakistan’s stock market is bleeding value, a stark reflection of economic anxiety and political isolation. India’s stock markets brush off border fears On May 5, the BSE Sensex jumped 259.75 points at the open, while the NSE Nifty 50 rose 12.50 points. This momentum has continued despite growing uncertainty in the region, signaling investor confidence in India’s economic fundamentals. This bullish run is supported by easing global crude prices, a weakening the U.S. dollar, and strong foreign institutional inflows. The Indian rupee has climbed to a five-month high, boosting market sentiment further. Defense stocks are also riding the wave of geopolitical tension. Shares of Hindustan Aeronautics Ltd (HAL) and Garden Reach Shipbuilders & Engineers (GRSE) have continued their upward march since April 23, the day after the Pahalgam terror attack, as investors bet on increased defense spending amid India’s assertive strategic posture. Global cues and sectoral strength fuel India’s rally India’s market performance is not solely driven by regional events. Broader global trends are at play. With the U.S. Fed signaling a pause in rate hikes and oil prices softening, foreign investors have returned to emerging markets — and India remains a top pick. Auto, FMCG, and PSU bank stocks have also contributed to the recent rally, creating a market environment that seems largely insulated from diplomatic frictions. Pakistan’s stock market slides into uncertainty The mood is grim across the border. Pakistan’s benchmark KSE-100 index fell another 635.05 points on May 5. Since April 23, the index has shed over 7,500 points — a nearly 6 per cent drop — erasing months of gains and shaking investor confidence. The sell-off is being driven by a mix of factors: economic retaliation from India, a potential freeze in multilateral aid, and growing investor skepticism about Pakistan’s financial stability. Defense and agriculture — two sectors already stressed — face further strain as India ramps up economic pressure through airspace closures, port restrictions, and even suspension of the Indus Waters Treaty. A tale of two economies The contrast is clear. India, despite being at the center of a high-stakes geopolitical standoff, is seeing its GDP projections hold steady, with the IMF forecasting 6.8 per cent growth in 2025. Foreign reserves are strong, the rupee is stable, and inflation is largely under control. Pakistan, on the other hand, is teetering on the edge of economic instability. The IMF has warned that ongoing tensions could derail Islamabad’s $7 billion bailout program. Its GDP is now expected to grow at just 2.4 per cent, down from earlier estimates of 3.5 per cent. While both countries remain locked in a diplomatic deadlock, their economies are sending very different signals. India’s markets are thriving, reflecting global investor trust and domestic resilience. Pakistan, burdened by diplomatic isolation and internal fragility, is facing the brunt of the fallout.

India’s stock market boom amid tension with Pakistan, KSE crashes

<p>On May 3, 2025, in a moment that marked the end of an era, <a href="https://www.wionews.com/tags/warren-buffet">Warren Buffett</a>&mdash;considered as one of the all-time greats when it comes to investing&mdash;announced his plan to retire as <a href="https://www.wionews.com/tags/berkshire-hathaway" rel="dofollow">Berkshire Hathaway</a>'s CEO. At the company's annual shareholder meeting in Omaha, the 94-year-old billionaire said that Greg Abel, Berkshire's Vice Chairman of Non-Insurance Operations, would take over as Chief Executive Officer by the end of the year.</p>
<p>"I believe the moment has come where Greg needs to become the Chief Executive Officer of the company," Buffett said. Although the move to pass the torch was not entirely surprising, what surprised many was that Buffett's own kids&mdash;particularly his son Howard Buffett, a veteran board member&mdash;were never in the running for the top executive position.</p>
<p>This move, though thoroughly strategic, exemplifies the sophisticated philosophy Warren Buffett has always adopted: One that is based on merit, stewardship, and long-term retention of a singular corporate culture.</p>
<h2>Why not Howard Buffett?</h2>
<p>Middle child of Warren Buffett, Howard Buffett is no stranger to the Berkshire Hathaway universe. More than three decades on the board, Howard has been an integral part of its structure. He has also served in leadership positions at large organisations such as <a href="https://www.wionews.com/tags/coca-cola">Coca-Cola</a> Enterprises and ConAgra Foods, and he serves as chairman of the Nebraska State Ethanol Board. All this on his resume, and yet his next position at Berkshire is not one of day-to-day operational control but of cultural stewardship&mdash;he will become non-executive chairman.</p>
<p>This is not a symbolic position. As non-executive chairman, Howard will be a protector of Berkshire's principles and values, and he will make sure the company's painstakingly constructed culture is preserved. The position involves chairing the board, maintaining oversight, and intervening if any leadership change or deviation from ethics is necessary. It is a position of trust&mdash;and one that Warren Buffett feels only someone attuned to the company's soul is capable of filling.</p>
<p>"He is receiving it because he's my son. I'm extremely, extremely, extremely fortunate in the fact that I trust all three of my children," Buffett said in an interview with the Wall Street Journal.</p>
<h2>The rise of Greg Abel</h2>
<p>Though Howard will play a supervisory role, <a href="https://www.wionews.com/tags/greg-abel">Greg Abel</a>, age 62, will assume operational control. The low-key, effective leader, who has long been regarded as the heir, has spent two decades quietly presiding over Berkshire's vast constellation of non-insurance companies, such as energy, utilities, and railroads&mdash;sectors at the core of the conglomerate's expansion.</p>
<p>Even Abel himself was surprised by the timing of the announcement. Only the board and Buffett's two children, Howard and Susie, were told in advance. But for those who have been following the company closely, Abel's promotion is a natural, well-thought-out selection. His familiarity with Berkshire's decentralised management and hands-off approach makes him a natural to follow Buffett's leadership style.</p>
<p>Warren Buffett has long declared that he does not subscribe to dynastic wealth. In fact, the $140 billion in Berkshire shares set aside for his three children&mdash;Susie, Howard, and Peter&mdash;is for philanthropy, not personal gain. This move is in line with Buffett's philosophy that vast wealth must be employed for the benefit of society as a whole.</p>
<p>Nevertheless, his children are nowhere out of sight in the company's management. Susie Buffett was added to the board in 2021, and Peter Buffett has stayed involved in the family's philanthropic activities. Both serve different roles, not as inheritors of an empire, but as custodians of a legacy.</p>
<p>The handoff also coincides with an opportune time&mdash;months after the death in November 2023 of Charlie Munger, Warren Buffett's longtime business associate and intellectual equivalent. Munger, along with both men since removed from direct involvement, aided in the formative principles underlying Berkshire Hathaway of today.</p>
<p>Howard Buffett's role as non-executive chairman will be pivotal in this regard. "Fairness, respect, honesty, and transparency," are the values he says he's pledged to maintain.</p>
<p>Susie Buffett has also lauded her brother's dedication, saying he works "110 per cent" when he puts his mind to something. Peter Buffett has also concurred, crediting Howard with having a strong sense of responsibility to maintain not only a business, but a philosophy.</p>
<p>Warren Buffett's decision to hand down the CEO seat to his son is not denial&mdash;it's detour. It is a measure of his years-long defiance against nepotism and his emphasis on leadership acquired through merit and not birth. It is simultaneously a testament, however, to his deep level of trust that he has instilled in his children to use his legacy, not his designation.</p>

Business & Economy, World: At the company's annual shareholder meeting in Omaha, the 94-year-old billionaire said that Greg Abel, Berkshire's Vice Chairman of Non-Insurance Operations, would take over as CEO by the end of the year

On May 3, 2025, in a moment that marked the end of an era, Warren Buffett—considered as one of the all-time greats when it comes to investing—announced his plan to retire as Berkshire Hathaway's CEO. At the company's annual shareholder meeting in Omaha, the 94-year-old billionaire said that Greg Abel, Berkshire's Vice Chairman of Non-Insurance Operations, would take over as Chief Executive Officer by the end of the year. "I believe the moment has come where Greg needs to become the Chief Executive Officer of the company," Buffett said. Although the move to pass the torch was not entirely surprising, what surprised many was that Buffett's own kids—particularly his son Howard Buffett, a veteran board member—were never in the running for the top executive position. This move, though thoroughly strategic, exemplifies the sophisticated philosophy Warren Buffett has always adopted: One that is based on merit, stewardship, and long-term retention of a singular corporate culture. Why not Howard Buffett? Middle child of Warren Buffett, Howard Buffett is no stranger to the Berkshire Hathaway universe. More than three decades on the board, Howard has been an integral part of its structure. He has also served in leadership positions at large organisations such as Coca-Cola Enterprises and ConAgra Foods, and he serves as chairman of the Nebraska State Ethanol Board. All this on his resume, and yet his next position at Berkshire is not one of day-to-day operational control but of cultural stewardship—he will become non-executive chairman. This is not a symbolic position. As non-executive chairman, Howard will be a protector of Berkshire's principles and values, and he will make sure the company's painstakingly constructed culture is preserved. The position involves chairing the board, maintaining oversight, and intervening if any leadership change or deviation from ethics is necessary. It is a position of trust—and one that Warren Buffett feels only someone attuned to the company's soul is capable of filling. "He is receiving it because he's my son. I'm extremely, extremely, extremely fortunate in the fact that I trust all three of my children," Buffett said in an interview with the Wall Street Journal. The rise of Greg Abel Though Howard will play a supervisory role, Greg Abel, age 62, will assume operational control. The low-key, effective leader, who has long been regarded as the heir, has spent two decades quietly presiding over Berkshire's vast constellation of non-insurance companies, such as energy, utilities, and railroads—sectors at the core of the conglomerate's expansion. Even Abel himself was surprised by the timing of the announcement. Only the board and Buffett's two children, Howard and Susie, were told in advance. But for those who have been following the company closely, Abel's promotion is a natural, well-thought-out selection. His familiarity with Berkshire's decentralised management and hands-off approach makes him a natural to follow Buffett's leadership style. Warren Buffett has long declared that he does not subscribe to dynastic wealth. In fact, the $140 billion in Berkshire shares set aside for his three children—Susie, Howard, and Peter—is for philanthropy, not personal gain. This move is in line with Buffett's philosophy that vast wealth must be employed for the benefit of society as a whole. Nevertheless, his children are nowhere out of sight in the company's management. Susie Buffett was added to the board in 2021, and Peter Buffett has stayed involved in the family's philanthropic activities. Both serve different roles, not as inheritors of an empire, but as custodians of a legacy. The handoff also coincides with an opportune time—months after the death in November 2023 of Charlie Munger, Warren Buffett's longtime business associate and intellectual equivalent. Munger, along with both men since removed from direct involvement, aided in the formative principles underlying Berkshire Hathaway of today. Howard Buffett's role as non-executive chairman will be pivotal in this regard. "Fairness, respect, honesty, and transparency," are the values he says he's pledged to maintain. Susie Buffett has also lauded her brother's dedication, saying he works "110 per cent" when he puts his mind to something. Peter Buffett has also concurred, crediting Howard with having a strong sense of responsibility to maintain not only a business, but a philosophy. Warren Buffett's decision to hand down the CEO seat to his son is not denial—it's detour. It is a measure of his years-long defiance against nepotism and his emphasis on leadership acquired through merit and not birth. It is simultaneously a testament, however, to his deep level of trust that he has instilled in his children to use his legacy, not his designation.

Warren Buffett, world's 5th richest man worth $169 billion, didn't give his son the reigns of Berkshire Hathaway. Reasons, explained

<div data-olk-copy-source="MessageBody">US President Donald Trump has announced plans to impose a 100 per cent tariff on all movies &ldquo;produced in foreign lands&rdquo; on Sunday, arguing that the American film industry is "dying a very fast death" due to the incentives offered by foreign governments, which he claims lure US filmmakers overseas.</div>
<div></div>
<div></div>
<div>In a post on Truth Social, Trump said, &ldquo;Hollywood, and many other areas within the USA, are being devastated. This is a concerted effort by other nations and, therefore, a National Security threat. It is, in addition to everything else, messaging and propaganda! Therefore, I am authorising the Department of Commerce, and the United States Trade Representative, to immediately begin the process of instituting a 100 per cent tariff on any and all movies coming into our country that are produced in foreign lands.&rdquo;</div>
<div></div>
<div></div>
<div>&ldquo;We want movies made in America, again!&rdquo; the post further said.</div>
<div></div>
<div></div>
<div>Replying to his post, the US Commerce Secretary Howard Lutnick said, "We're on it", in a post on social media platform X.</div>
<div></div>
<div></div>
<div>Both Trump and Lutnick have not yet provided any clarity on how these tariffs will be imposed and who it will be targeted at.</div>
<div></div>
<div>
<h2><b data-olk-copy-source="MessageBody">What prompted the move?</b></h2>
<div>The protectionist move by the US President follows China&rsquo;s recent decision to reduce the number of American films allowed in its market. After the US, China is the world&rsquo;s second-largest film market in the world and the move could be a blow to big Hollywood studios like Disney, Warner Bros. and Paramount, which are already struggling to recover from the pandemic.</div>
<div></div>
<div></div>
<div>The China Film Administration, in a statement on April 10, said, &ldquo;The wrong action of the US government to abuse tariffs on China will inevitably further reduce the domestic audience&rsquo;s favourability towards American films,&rdquo;<span>&nbsp;</span><i>The Guardian<span>&nbsp;</span></i>reported.</div>
<div></div>
<div></div>
<div>Hollywood studios spent $11.3 billion on productions in the second quarter of 2024, a 20 per cent drop from the same period in 2022, reflecting a downturn in industry activity. Globally, film and television production levels declined by 20 per cent, while the US saw a sharper 40 per cent decline from pre-strike levels. The Greater Los Angeles Area experienced a 36.4 per cent decrease in shoot days compared to its five-year average, underscoring the widespread impact of production slowdowns across key sectors.</div>
<div></div>
<div></div>
<div>Governments around the world have offered more generous tax credits and cash rebates to lure production, and capture a greater share of the $248 billion that Ampere Analysis predicts will be spent globally in 2025 to produce content.</div>
<div></div>
<div></div>
<div>Worried about the growing troubles of the American film industry, last month, hundreds of Hollywood crew members, producers and actors urged California legislators to increase tax incentives and enact other measures to encourage more film and TV production in and around Los Angeles.</div>
<div></div>
<div></div>
<div>As the trade war between the US and China escalates, the entertainment industry, particularly Hollywood, faces significant challenges. While tariffs and trade restrictions are disrupting global supply chains and affecting multiple sectors, Hollywood&rsquo;s increasing reliance on international locations like the UK for film production may turn out to be a unique challenge for the American film industry. The growing uncertainty could force the industry to reconsider its global strategies, potentially reshaping the landscape of film production, distribution, and international partnerships for years to come.</div>
<div></div>
<div><span>(<em>With inputs from agencies</em>)</span></div>
</div>

Business & Economy: Intensifying his protectionist policies, Trump plans to impose a 100% tariff on all movies produced outside the US. The move could impact Hollywood

US President Donald Trump has announced plans to impose a 100 per cent tariff on all movies “produced in foreign lands” on Sunday, arguing that the American film industry is "dying a very fast death" due to the incentives offered by foreign governments, which he claims lure US filmmakers overseas. In a post on Truth Social, Trump said, “Hollywood, and many other areas within the USA, are being devastated. This is a concerted effort by other nations and, therefore, a National Security threat. It is, in addition to everything else, messaging and propaganda! Therefore, I am authorising the Department of Commerce, and the United States Trade Representative, to immediately begin the process of instituting a 100 per cent tariff on any and all movies coming into our country that are produced in foreign lands.” “We want movies made in America, again!” the post further said. Replying to his post, the US Commerce Secretary Howard Lutnick said, "We're on it", in a post on social media platform X. Both Trump and Lutnick have not yet provided any clarity on how these tariffs will be imposed and who it will be targeted at. What prompted the move? The protectionist move by the US President follows China’s recent decision to reduce the number of American films allowed in its market. After the US, China is the world’s second-largest film market in the world and the move could be a blow to big Hollywood studios like Disney, Warner Bros. and Paramount, which are already struggling to recover from the pandemic. The China Film Administration, in a statement on April 10, said, “The wrong action of the US government to abuse tariffs on China will inevitably further reduce the domestic audience’s favourability towards American films,” The Guardian reported. Hollywood studios spent $11.3 billion on productions in the second quarter of 2024, a 20 per cent drop from the same period in 2022, reflecting a downturn in industry activity. Globally, film and television production levels declined by 20 per cent, while the US saw a sharper 40 per cent decline from pre-strike levels. The Greater Los Angeles Area experienced a 36.4 per cent decrease in shoot days compared to its five-year average, underscoring the widespread impact of production slowdowns across key sectors. Governments around the world have offered more generous tax credits and cash rebates to lure production, and capture a greater share of the $248 billion that Ampere Analysis predicts will be spent globally in 2025 to produce content. Worried about the growing troubles of the American film industry, last month, hundreds of Hollywood crew members, producers and actors urged California legislators to increase tax incentives and enact other measures to encourage more film and TV production in and around Los Angeles. As the trade war between the US and China escalates, the entertainment industry, particularly Hollywood, faces significant challenges. While tariffs and trade restrictions are disrupting global supply chains and affecting multiple sectors, Hollywood’s increasing reliance on international locations like the UK for film production may turn out to be a unique challenge for the American film industry. The growing uncertainty could force the industry to reconsider its global strategies, potentially reshaping the landscape of film production, distribution, and international partnerships for years to come. (With inputs from agencies)

Donald Trump to impose tariffs on film production, is it a bad news for Hollywood?

<div dir="auto" data-olk-copy-source="MessageBody">In the aftermath of the April 22 terrorist attack in Pahalgam, Kashmir, which claimed 26 lives, India and Pakistan find themselves embroiled in a renewed cycle of diplomatic and economic hostilities. India attributes the incident to Pakistan-based militants, leading to escalated political tensions and a series of economic repercussions reverberating across both nations. From banning imports and blocking airspace to halting river water supplies and lobbying international institutions, India has weaponised its economic toolkit &mdash; and the fallout is rippling across South Asia.</div>
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<div dir="auto">What&rsquo;s unfolding now is not just a diplomatic standoff. It&rsquo;s a new form of warfare &mdash; one fought through trade, transport, and finance. While the immediate impacts are already visible, the long-term consequences could permanently reshape the subcontinent&rsquo;s economic architecture.</div>
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<h2 dir="auto">Trade ban: Symbolic strike, strategic plan</h2>
<div dir="auto">India&rsquo;s economic response commenced on May 2, with the Directorate General of Foreign Trade (DGFT) announcing a complete ban on goods imported from or routed through Pakistan, including via third countries like the UAE. Although bilateral trade has historically been limited &mdash; accounting for just 0.06% of India&rsquo;s total trade &mdash; the ban carries symbolic weight and delivers a direct blow to sectors in Pakistan reliant on Indian imports.</div>
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<div dir="auto">India&rsquo;s exports to Pakistan in FY 2023&ndash;24 were valued at $1.18 billion, while imports from Pakistan stood at just $2.88 million. Despite the modest figures, key supply chains &mdash; especially for chemicals, food, and medicine &mdash; are now disrupted. Indian ships are banned from docking at Pakistani ports, and vice versa, forcing exporters to reroute through costlier third-party ports.</div>
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<h2 dir="auto">Pakistani industries feeling the squeeze</h2>
<div dir="auto">The trade ban hits Pakistan in sectors where it&rsquo;s already vulnerable. The country imports vital inputs from India, many of which are not easily substitutable in the short term. For instance, Pakistan&rsquo;s pharmaceutical industry relies heavily on Indian raw materials, with more than 90 per cent of raw materials being imported and only 12 per cent of active pharmaceutical ingredients locally produced. A report by the Institute of Chartered Accountants of Pakistan estimated that the Pakistani pharmaceutical industry has a 50&ndash;60 per cent import reliance on India.</div>
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<div dir="auto">Industries like pharmaceuticals and processed food are likely to feel immediate pain, while the auto and chemical sectors could face medium-term disruptions due to supply chain breakdowns. Pakistan&rsquo;s economy, already grappling with inflation, will now face additional pressure from these import shortages.</div>
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<h2 dir="auto">Airspace closure: Aviation takes a hit</h2>
<div dir="auto">In a tit-for-tat move, India shut its airspace to all Pakistani carriers, mirroring Islamabad&rsquo;s earlier decision to close its skies to Indian flights. As a result, Pakistan International Airlines (PIA) now must detour via Iran or Central Asia for flights to Malaysia, the Gulf, and the Far East. This leads to higher fuel costs and longer routes, directly affecting both PIA&rsquo;s bottom line and the airline&rsquo;s ability to serve passengers efficiently.</div>
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<div dir="auto">International airlines like Lufthansa and British Airways, which once flew over Pakistani airspace, have also suspended operations, citing security risks. Consequently, Pakistan stands to lose over $30&ndash;50 million annually in overflight fees, further deepening the financial strain on the aviation sector.</div>
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<h2 dir="auto">Port closures: Maritime trade suffers</h2>
<div dir="auto">India&rsquo;s decision to bar Pakistani-flagged vessels from entering its ports has been met with retaliation from Pakistan, further disrupting maritime trade. For Pakistan, this means that major exports &mdash; such as textiles, rice, and sports goods &mdash; are now facing logistical hurdles. Pakistani exporters will be forced to use more expensive and time-consuming routes via third-party ports.</div>
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<div dir="auto">The closure of ports directly impacts Pakistan&rsquo;s shipping revenue, which is largely derived from dock handling, logistics, and shipping services. This loss could further destabilise Pakistan&rsquo;s current account, putting additional pressure on the country&rsquo;s already fragile financial situation.</div>
<div dir="auto">Indus Waters Treaty suspended: A threat to agriculture</div>
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<div dir="auto">In perhaps the most provocative move, India has suspended the Indus Waters Treaty &mdash; a World Bank-brokered agreement from 1960 that governs river water sharing. This has far-reaching consequences for Pakistan, where up to 90 per cent of agriculture relies on these rivers for irrigation. The suspension of water flow from the Jhelum, Chenab, and Indus rivers threatens to cripple Pakistan&rsquo;s farming sector, particularly in Punjab and Sindh provinces.</div>
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<div dir="auto">Farmers have already protested large-scale canal projects over concerns of water misallocation. If the suspension of the treaty continues, the agricultural sector faces the threat of massive crop failures, particularly in crucial areas like cotton production. Pakistan&rsquo;s food security, cotton exports, and rural economy are now at risk, raising the potential for internal unrest and social instability.</div>
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<h2 dir="auto">Global pressure: IMF, aid, and credit lines under review</h2>
<div dir="auto">India is also taking the economic war to international financial institutions. New Delhi has lobbied organisations such as the International Monetary Fund (IMF) and World Bank to reconsider their assistance to Pakistan, citing Islamabad&rsquo;s alleged support for cross-border terrorism. With Pakistan already under a $7 billion IMF programme, the loss of international financial backing could deepen its economic woes.</div>
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<div dir="auto">Pakistan relies on multilateral funding to service debt obligations, finance development projects, and address its growing climate crisis. If global donors scale back their aid or reallocate resources elsewhere, Pakistan could face higher borrowing costs, delays in disbursements, and the risk of a credit downgrade, further pushing the country towards an economic crisis.</div>
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<h2 dir="auto">Economic impact</h2>
<div dir="auto">India&rsquo;s post-Pahalgam response marks a shift in how it deals with cross-border terror &mdash; moving from conventional retaliation to economic isolation. While there are no troops mobilising along the border, every closed port, airspace restriction, and cancelled trade contract is a quiet but potent strike. These measures, though subtle, are strategically designed to weaken Pakistan&rsquo;s economy without triggering full-scale military conflict.</div>
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<div dir="auto">For India, the economic retaliation carries minimal direct cost but sends a clear message of resolve. For Pakistan, the tightening noose around trade, transport, agriculture, and finance will be a hard one to bear, especially as the pressure from domestic industries, international creditors, and the global community begins to mount. The price of cross-border aggression is quickly becoming too high to ignore.</div>
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<div dir="auto">According to the International Monetary Fund (IMF), India&rsquo;s GDP growth is projected to moderate from 8.2 per cent in 2023 to 7 per cent in 2024 and 6.5 per cent in 2025, as pent-up demand accumulated during the pandemic has been exhausted.</div>
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<div dir="auto">In contrast, the IMF has revised Pakistan&rsquo;s projected GDP growth for 2025 to 3 per cent, down from 3.2 per cent forecasted earlier, reflecting ongoing economic challenges.</div>
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Business & Economy: From banning imports and blocking airspace, India has weaponised its economic toolkit and the fallout is rippling across South Asia

In the aftermath of the April 22 terrorist attack in Pahalgam, Kashmir, which claimed 26 lives, India and Pakistan find themselves embroiled in a renewed cycle of diplomatic and economic hostilities. India attributes the incident to Pakistan-based militants, leading to escalated political tensions and a series of economic repercussions reverberating across both nations. From banning imports and blocking airspace to halting river water supplies and lobbying international institutions, India has weaponised its economic toolkit — and the fallout is rippling across South Asia. What’s unfolding now is not just a diplomatic standoff. It’s a new form of warfare — one fought through trade, transport, and finance. While the immediate impacts are already visible, the long-term consequences could permanently reshape the subcontinent’s economic architecture. Trade ban: Symbolic strike, strategic plan India’s economic response commenced on May 2, with the Directorate General of Foreign Trade (DGFT) announcing a complete ban on goods imported from or routed through Pakistan, including via third countries like the UAE. Although bilateral trade has historically been limited — accounting for just 0.06% of India’s total trade — the ban carries symbolic weight and delivers a direct blow to sectors in Pakistan reliant on Indian imports. India’s exports to Pakistan in FY 2023–24 were valued at $1.18 billion, while imports from Pakistan stood at just $2.88 million. Despite the modest figures, key supply chains — especially for chemicals, food, and medicine — are now disrupted. Indian ships are banned from docking at Pakistani ports, and vice versa, forcing exporters to reroute through costlier third-party ports. Pakistani industries feeling the squeeze The trade ban hits Pakistan in sectors where it’s already vulnerable. The country imports vital inputs from India, many of which are not easily substitutable in the short term. For instance, Pakistan’s pharmaceutical industry relies heavily on Indian raw materials, with more than 90 per cent of raw materials being imported and only 12 per cent of active pharmaceutical ingredients locally produced. A report by the Institute of Chartered Accountants of Pakistan estimated that the Pakistani pharmaceutical industry has a 50–60 per cent import reliance on India. Industries like pharmaceuticals and processed food are likely to feel immediate pain, while the auto and chemical sectors could face medium-term disruptions due to supply chain breakdowns. Pakistan’s economy, already grappling with inflation, will now face additional pressure from these import shortages. Airspace closure: Aviation takes a hit In a tit-for-tat move, India shut its airspace to all Pakistani carriers, mirroring Islamabad’s earlier decision to close its skies to Indian flights. As a result, Pakistan International Airlines (PIA) now must detour via Iran or Central Asia for flights to Malaysia, the Gulf, and the Far East. This leads to higher fuel costs and longer routes, directly affecting both PIA’s bottom line and the airline’s ability to serve passengers efficiently. International airlines like Lufthansa and British Airways, which once flew over Pakistani airspace, have also suspended operations, citing security risks. Consequently, Pakistan stands to lose over $30–50 million annually in overflight fees, further deepening the financial strain on the aviation sector. Port closures: Maritime trade suffers India’s decision to bar Pakistani-flagged vessels from entering its ports has been met with retaliation from Pakistan, further disrupting maritime trade. For Pakistan, this means that major exports — such as textiles, rice, and sports goods — are now facing logistical hurdles. Pakistani exporters will be forced to use more expensive and time-consuming routes via third-party ports. The closure of ports directly impacts Pakistan’s shipping revenue, which is largely derived from dock handling, logistics, and shipping services. This loss could further destabilise Pakistan’s current account, putting additional pressure on the country’s already fragile financial situation. Indus Waters Treaty suspended: A threat to agriculture In perhaps the most provocative move, India has suspended the Indus Waters Treaty — a World Bank-brokered agreement from 1960 that governs river water sharing. This has far-reaching consequences for Pakistan, where up to 90 per cent of agriculture relies on these rivers for irrigation. The suspension of water flow from the Jhelum, Chenab, and Indus rivers threatens to cripple Pakistan’s farming sector, particularly in Punjab and Sindh provinces. Farmers have already protested large-scale canal projects over concerns of water misallocation. If the suspension of the treaty continues, the agricultural sector faces the threat of massive crop failures, particularly in crucial areas like cotton production. Pakistan’s food security, cotton exports, and rural economy are now at risk, raising the potential for internal unrest and social instability. Global pressure: IMF, aid, and credit lines under review India is also taking the economic war to international financial institutions. New Delhi has lobbied organisations such as the International Monetary Fund (IMF) and World Bank to reconsider their assistance to Pakistan, citing Islamabad’s alleged support for cross-border terrorism. With Pakistan already under a $7 billion IMF programme, the loss of international financial backing could deepen its economic woes. Pakistan relies on multilateral funding to service debt obligations, finance development projects, and address its growing climate crisis. If global donors scale back their aid or reallocate resources elsewhere, Pakistan could face higher borrowing costs, delays in disbursements, and the risk of a credit downgrade, further pushing the country towards an economic crisis. Economic impact India’s post-Pahalgam response marks a shift in how it deals with cross-border terror — moving from conventional retaliation to economic isolation. While there are no troops mobilising along the border, every closed port, airspace restriction, and cancelled trade contract is a quiet but potent strike. These measures, though subtle, are strategically designed to weaken Pakistan’s economy without triggering full-scale military conflict. For India, the economic retaliation carries minimal direct cost but sends a clear message of resolve. For Pakistan, the tightening noose around trade, transport, agriculture, and finance will be a hard one to bear, especially as the pressure from domestic industries, international creditors, and the global community begins to mount. The price of cross-border aggression is quickly becoming too high to ignore. According to the International Monetary Fund (IMF), India’s GDP growth is projected to moderate from 8.2 per cent in 2023 to 7 per cent in 2024 and 6.5 per cent in 2025, as pent-up demand accumulated during the pandemic has been exhausted. In contrast, the IMF has revised Pakistan’s projected GDP growth for 2025 to 3 per cent, down from 3.2 per cent forecasted earlier, reflecting ongoing economic challenges.

Economic crossfire: How India-Pakistan tensions are reshaping South Asia’s financial landscape

<p class="MsoNormal"><span lang="EN-GB">Tariffs are now hitting your next gaming purchase. Microsoft has announced a sharp increase in prices for its Xbox consoles and select games, citing market conditions and rising development costs.<o:p></o:p></span></p>
<p class="MsoNormal"><span lang="EN-GB">In the US, the entry-level Xbox series S will now cost $379.99, up from $299.99 &mdash; a 27 per cent jump. The premium series X galaxy black model saw a 22 per cent hike.<o:p></o:p></span></p>
<p class="MsoNormal"><span lang="EN-GB">These changes come nearly five years after the launch of the series S and X, which have together sold around 30 million units globally. Microsoft says the move was made after &ldquo;Careful consideration&rdquo; of the changing economic landscape.</span></p>
<h2 class="MsoNormal"><span lang="EN-GB"><strong>Tariff impact on gaming industry</strong><o:p></o:p></span></h2>
<p class="MsoNormal"><span lang="EN-GB">It&rsquo;s not just the hardware. Prices for some new games from Microsoft-owned studios saw a 14 per cent increase. <o:p></o:p></span><span lang="EN-GB">The hike isn't limited to the US&mdash;in Europe, the Xbox series s will now retail for 349.99 Euros, up 17 per cent from its previous price. <o:p></o:p></span><span lang="EN-GB">Microsoft&rsquo;s announcement comes shortly after Sony raised prices for its PlayStation 5 models in select markets, including Europe.<o:p></o:p></span></p>
<p class="MsoNormal"><span lang="EN-GB">However, Sony chose to exclude the US, highlighting regional market differences. Together, both tech giants are adjusting to higher development costs and tighter global supply conditions. <o:p></o:p></span><span lang="EN-GB">While Microsoft hasn&rsquo;t named it directly, a major force behind the price hike is the impact of US tariffs&mdash;particularly those placed on Chinese-made goods.<o:p></o:p></span></p>
<p class="MsoNormal"><span lang="EN-GB">Xbox consoles are primarily assembled in China, a country now facing up to 145 per cent tariffs on various product categories under US trade policy. <o:p></o:p></span><span lang="EN-GB">These tariffs, introduced during the trump administration, continue to weigh on the electronics and gaming sectors. <o:p></o:p></span><span lang="EN-GB">As production costs rise and tariffs squeeze margins, console makers like Microsoft are increasingly passing those costs on to consumers.</span></p>

Business & Economy: Tariffs are now hitting your next gaming purchase. Microsoft has announced a sharp increase in prices for its Xbox consoles and select games, citing market conditions and rising development costs.

Tariffs are now hitting your next gaming purchase. Microsoft has announced a sharp increase in prices for its Xbox consoles and select games, citing market conditions and rising development costs. In the US, the entry-level Xbox series S will now cost $379.99, up from $299.99 — a 27 per cent jump. The premium series X galaxy black model saw a 22 per cent hike. These changes come nearly five years after the launch of the series S and X, which have together sold around 30 million units globally. Microsoft says the move was made after “Careful consideration” of the changing economic landscape. Tariff impact on gaming industry It’s not just the hardware. Prices for some new games from Microsoft-owned studios saw a 14 per cent increase. The hike isn't limited to the US—in Europe, the Xbox series s will now retail for 349.99 Euros, up 17 per cent from its previous price. Microsoft’s announcement comes shortly after Sony raised prices for its PlayStation 5 models in select markets, including Europe. However, Sony chose to exclude the US, highlighting regional market differences. Together, both tech giants are adjusting to higher development costs and tighter global supply conditions. While Microsoft hasn’t named it directly, a major force behind the price hike is the impact of US tariffs—particularly those placed on Chinese-made goods. Xbox consoles are primarily assembled in China, a country now facing up to 145 per cent tariffs on various product categories under US trade policy. These tariffs, introduced during the trump administration, continue to weigh on the electronics and gaming sectors. As production costs rise and tariffs squeeze margins, console makers like Microsoft are increasingly passing those costs on to consumers.

Your gaming console just got pricier: Xbox costs surge amid tariffs

<p class="MsoNormal"><span lang="EN-GB">US manufacturing activity shrank in April by the most in five months. This was driven by lean order books, and the repercussions from tariffs prompted the steepest output contraction since 2020. </span><span lang="EN-GB">The institute for supply management's factory gauge pointed to a contraction. However, prices paid for raw materials accelerated slightly.</span></p>
<p class="MsoNormal"><span lang="EN-GB">The latest data shows that the industrial sector has trouble getting off the ground due to US tariffs and overall trade policy uncertainties. </span><span lang="EN-GB">Backlogs decreased more quickly, and orders declined for a third consecutive month. Both of those are indicators of weak demand.</span></p>
<p class="MsoNormal"><span lang="EN-GB">Eleven industries expanded, led by apparel, petroleum, plastics and rubber, while six contracted. The report also showed the strategy of rushing in imports ahead of tariffs is drawing to a close.</span></p>
<p class="MsoNormal"><span lang="EN-GB">The ISM imports index declined at the fastest pace since the end of 2023. In addition to the headwinds posed by sluggish demand, producers are also contending with higher costs.</span></p>
<h2 class="MsoNormal"><strong><span lang="EN-GB">US factories struggle for traction</span></strong></h2>
<p class="MsoNormal"><span lang="EN-GB">A measure of prices paid for materials increased to the highest level since June 2022 despite cheaper energy costs. Weak orders, slower production and declining backlogs help explain a third straight month of decreasing manufacturing employment. Manufacturing activity data clearly suggests stagflation at play.</span></p>
<p class="MsoNormal"><span lang="EN-GB">Economists warn that the US may already be in recession, with uncertainty around Trump's tariffs weighing further on economic activity. The US economy contracted at the start of 2025, and hard data so far in this quarter suggests a recession reading is imminent.</span></p>
<p class="MsoNormal"><i style="mso-bidi-font-style: normal;"><span lang="EN-GB">(With inputs from the agencies)<o:p></o:p></span></i></p>

Business & Economy: US manufacturing activity shrank in April by the most in five months. This was driven by lean order books, and the repercussions from tariffs prompted the steepest output contraction since 2020.

US manufacturing activity shrank in April by the most in five months. This was driven by lean order books, and the repercussions from tariffs prompted the steepest output contraction since 2020. The institute for supply management's factory gauge pointed to a contraction. However, prices paid for raw materials accelerated slightly. The latest data shows that the industrial sector has trouble getting off the ground due to US tariffs and overall trade policy uncertainties. Backlogs decreased more quickly, and orders declined for a third consecutive month. Both of those are indicators of weak demand. Eleven industries expanded, led by apparel, petroleum, plastics and rubber, while six contracted. The report also showed the strategy of rushing in imports ahead of tariffs is drawing to a close. The ISM imports index declined at the fastest pace since the end of 2023. In addition to the headwinds posed by sluggish demand, producers are also contending with higher costs. US factories struggle for traction A measure of prices paid for materials increased to the highest level since June 2022 despite cheaper energy costs. Weak orders, slower production and declining backlogs help explain a third straight month of decreasing manufacturing employment. Manufacturing activity data clearly suggests stagflation at play. Economists warn that the US may already be in recession, with uncertainty around Trump's tariffs weighing further on economic activity. The US economy contracted at the start of 2025, and hard data so far in this quarter suggests a recession reading is imminent. (With inputs from the agencies)

US manufacturing activity shrinks by most since November

<p class="MsoNormal">Gold continues to glitter across the world amid rising geopolitical uncertainties. But its significance in India is beyond it being a 'safe-haven asset'. The yellow metal is considered sacred to Indian households. Gold is a key feature in every major festival and tradition in the country. Akshaya Tritiya is one such tradition, a day considered auspicious to buy gold. But what happens when tradition meets high prices?</p>
<p class="MsoNormal">Gold has been on a record climb in the last 2 years. The prices have surged beyond $3500 per dollar, and are looking to break the 1,00,000 lakh rupees in India. This time coincides with rising tensions across multiple borders and declining consumption patterns. But, Industry jitters around buying trends subsided as the auspicious day ended with a 35 per cent surge in sales compared to last year. Total precious metal sales, across Gold and Silver, touched $1.8 billion, according to the Confederation of All India Traders.&nbsp;</p>
<h2 class="MsoNormal"><strong>Gold glitters in India</strong><o:p></o:p></h2>
<p class="MsoNormal">Despite record-high prices, consumers flocked to stores, driven by religious sentiment, wedding demand, and tradition. Gold prices touched 97,500 rupees per 10 grams, while silver peaked at 98,000 rupees per kilogram, among the highest ever.<o:p></o:p></p>
<p class="MsoNormal">However, a mid-day dip maintained consumer interest. The All-India Gem and Jewellery Council estimates gold sales at 20 tonnes &mdash; flat year-on-year in volume &mdash; but up 35 per cent in value terms.<o:p></o:p></p>
<p class="MsoNormal">Jewellers also reported that 50 per cent of purchases were financed by exchanging old gold, reflecting price sensitivity. Footfalls were higher in southern India early in the day, with activity picking up in Maharashtra and the north later.<o:p></o:p></p>
<p class="MsoNormal">Younger consumers aged 25 to 40 were active buyers, purchasing jewellery, coins, and bars within budget limits. Retailers noted increased demand for lab-grown diamonds and studded jewellery.<o:p></o:p></p>
<p class="MsoNormal">Despite affordability pressures, experts say gold demand has remained resilient, with India importing 700&ndash;800 tonnes annually &mdash; a trend that shows no signs of slowing.<o:p></o:p></p>
<p class="MsoNormal"><i>(With inputs from the agencies)<o:p></o:p></i></p>

Business & Economy: According to the Confederation of All India Traders, gold jewellery and related items accounted for 1.4 billion dollars, while the silver trade added the rest.

Gold continues to glitter across the world amid rising geopolitical uncertainties. But its significance in India is beyond it being a 'safe-haven asset'. The yellow metal is considered sacred to Indian households. Gold is a key feature in every major festival and tradition in the country. Akshaya Tritiya is one such tradition, a day considered auspicious to buy gold. But what happens when tradition meets high prices? Gold has been on a record climb in the last 2 years. The prices have surged beyond $3500 per dollar, and are looking to break the 1,00,000 lakh rupees in India. This time coincides with rising tensions across multiple borders and declining consumption patterns. But, Industry jitters around buying trends subsided as the auspicious day ended with a 35 per cent surge in sales compared to last year. Total precious metal sales, across Gold and Silver, touched $1.8 billion, according to the Confederation of All India Traders. Gold glitters in India Despite record-high prices, consumers flocked to stores, driven by religious sentiment, wedding demand, and tradition. Gold prices touched 97,500 rupees per 10 grams, while silver peaked at 98,000 rupees per kilogram, among the highest ever. However, a mid-day dip maintained consumer interest. The All-India Gem and Jewellery Council estimates gold sales at 20 tonnes — flat year-on-year in volume — but up 35 per cent in value terms. Jewellers also reported that 50 per cent of purchases were financed by exchanging old gold, reflecting price sensitivity. Footfalls were higher in southern India early in the day, with activity picking up in Maharashtra and the north later. Younger consumers aged 25 to 40 were active buyers, purchasing jewellery, coins, and bars within budget limits. Retailers noted increased demand for lab-grown diamonds and studded jewellery. Despite affordability pressures, experts say gold demand has remained resilient, with India importing 700–800 tonnes annually — a trend that shows no signs of slowing. (With inputs from the agencies)

Gold and silver sales hit $1.8 billion on Akshaya Tritiya despite record prices

<p class="MsoNormal">One of the industries under severe strain from Trump's tariffs is the steel and aluminium industry. Europe&rsquo;s top steelmakers delivered better-than-expected first-quarter results, but the optimism is clouded by what's to come. Major players are flagging significant risks to 2025 demand due to global trade tensions, particularly in the US and China.<o:p></o:p></p>
<p class="MsoNormal">Swedish steelmakers echoed these concerns, noting that while proximity to customers and specialised products cushioned initial tariff shocks, the Outlook remains &ldquo;more uncertain than usual.&rdquo;<o:p></o:p></p>
<h2 class="MsoNormal"><strong>Trade tensions rattle steel demand</strong><o:p></o:p></h2>
<p class="MsoNormal">Aperam, which beat estimates on the back of higher European volumes and its US business consolidation, also warned that pricing pressure will continue to weigh on earnings.&nbsp;<o:p></o:p>The broader European steel sector remains under strain from high energy costs, weak local prices, and growing competition from cheap Chinese exports.<o:p></o:p></p>
<p class="MsoNormal">The OECD reports that global steel overcapacity is rising, driven by cross-border investments by Chinese firms, adding further pressure on margins across key markets. China has long been under scrutiny for dumping cheap goods and relying on aggressive trade tactics amid declining domestic demand.</p>
<p class="MsoNormal">While ArcelorMittal sees continued strength in India, buoyed by a new 12 per cent safeguard duty on Chinese imports, it expects persistently weak spreads in China due to oversupply. <o:p></o:p></p>
<p class="MsoNormal">In Europe, a rebound in spreads is supported by the EU&rsquo;s steel and metals action plan and expected infrastructure-led demand in Germany. Still, companies admit it is difficult to provide a reliable full-year outlook amid ongoing market volatility.<o:p></o:p></p>
<p class="MsoNormal"><i>(With inputs from the agencies)<o:p></o:p></i></p>

Business & Economy: Major players are flagging significant risks to 2025 demand due to global trade tensions, particularly in the U.S. and China.

One of the industries under severe strain from Trump's tariffs is the steel and aluminium industry. Europe’s top steelmakers delivered better-than-expected first-quarter results, but the optimism is clouded by what's to come. Major players are flagging significant risks to 2025 demand due to global trade tensions, particularly in the US and China. Swedish steelmakers echoed these concerns, noting that while proximity to customers and specialised products cushioned initial tariff shocks, the Outlook remains “more uncertain than usual.” Trade tensions rattle steel demand Aperam, which beat estimates on the back of higher European volumes and its US business consolidation, also warned that pricing pressure will continue to weigh on earnings. The broader European steel sector remains under strain from high energy costs, weak local prices, and growing competition from cheap Chinese exports. The OECD reports that global steel overcapacity is rising, driven by cross-border investments by Chinese firms, adding further pressure on margins across key markets. China has long been under scrutiny for dumping cheap goods and relying on aggressive trade tactics amid declining domestic demand. While ArcelorMittal sees continued strength in India, buoyed by a new 12 per cent safeguard duty on Chinese imports, it expects persistently weak spreads in China due to oversupply. In Europe, a rebound in spreads is supported by the EU’s steel and metals action plan and expected infrastructure-led demand in Germany. Still, companies admit it is difficult to provide a reliable full-year outlook amid ongoing market volatility. (With inputs from the agencies)

Steelmakers warn of trade risks amid demand uncertainty

<p class="MsoNormal">The world markets have been on a rollercoaster since Donald Trump took office on January 20. Countries and corporations have been reeling from the tariff turmoil since then. But the very idea that Trump touted as his primary objective, 'To make America rich again,' is under scrutiny from economists, politicians, and the latest economic data. The US economy contracted by 0.3 per cent in the first quarter of 2025 &mdash; the first decline in three years. Businesses rush to import goods ahead of sweeping new tariffs, which Trump believes have nothing to do with the GDP decline.<o:p></o:p></p>
<h2 class="MsoNormal"><strong>US economy shrinks as imports soar</strong><o:p></o:p></h2>
<p class="MsoNormal">Imports surged 41.3 per cent, the biggest jump since the pandemic-era third quarter of 2020. This front-loading, driven by uncertainty, overwhelmed modest export gains and a rebound in inventories. The data comes after the goods trade deficit hit an all-time high in March, forcing economists to sharply revise their growth estimates.<o:p></o:p></p>
<p class="MsoNormal">Consumer spending, which accounts for over two-thirds of the economy, slowed in the previous quarter. Households have pulled purchases forward and are saving amid rising uncertainty.&nbsp;</p>
<p class="MsoNormal">Meanwhile, core inflation also accelerated &mdash; the core personal consumption expenditures index rose, keeping pressure on the Federal Reserve as it weighs further rate cuts later this year. Final sales to private domestic purchasers grew a solid 3.0 per cent, but economists caution that this measure has been distorted by tariff effects. The contraction in GDP has triggered sharp political and market reactions. All major Wall Street indices fell, and treasury yields climbed.&nbsp;<o:p></o:p>President Trump blamed the slowdown on Biden-era policies but defended his trade approach, calling the surge in investment a sign of economic strength.<o:p></o:p></p>
<p class="MsoNormal">Donald Trump, US President, said, "Core GDP (gross domestic product), and this is, you know, you probably saw some numbers today. And I have to start off by saying, that's [Joe] Biden. That's not Trump, because we came in on January. These are quarterly numbers. And we came in, and I was very against everything that Biden was doing in terms of the economy, destroying our country in so many ways, not only at the border."<o:p></o:p></p>
<p class="MsoNormal">Economists warn that while the contraction may not mark the start of a recession, the combination of trade disruption and policy uncertainty has significantly raised the risk.<o:p></o:p></p>

Business & Economy: The US economy contracted by 0.3 per cent in the first quarter of 2025 — the first decline in three years. This comes as businesses rush to import goods ahead of sweeping new tariffs.

The world markets have been on a rollercoaster since Donald Trump took office on January 20. Countries and corporations have been reeling from the tariff turmoil since then. But the very idea that Trump touted as his primary objective, 'To make America rich again,' is under scrutiny from economists, politicians, and the latest economic data. The US economy contracted by 0.3 per cent in the first quarter of 2025 — the first decline in three years. Businesses rush to import goods ahead of sweeping new tariffs, which Trump believes have nothing to do with the GDP decline. US economy shrinks as imports soar Imports surged 41.3 per cent, the biggest jump since the pandemic-era third quarter of 2020. This front-loading, driven by uncertainty, overwhelmed modest export gains and a rebound in inventories. The data comes after the goods trade deficit hit an all-time high in March, forcing economists to sharply revise their growth estimates. Consumer spending, which accounts for over two-thirds of the economy, slowed in the previous quarter. Households have pulled purchases forward and are saving amid rising uncertainty. Meanwhile, core inflation also accelerated — the core personal consumption expenditures index rose, keeping pressure on the Federal Reserve as it weighs further rate cuts later this year. Final sales to private domestic purchasers grew a solid 3.0 per cent, but economists caution that this measure has been distorted by tariff effects. The contraction in GDP has triggered sharp political and market reactions. All major Wall Street indices fell, and treasury yields climbed. President Trump blamed the slowdown on Biden-era policies but defended his trade approach, calling the surge in investment a sign of economic strength. Donald Trump, US President, said, "Core GDP (gross domestic product), and this is, you know, you probably saw some numbers today. And I have to start off by saying, that's [Joe] Biden. That's not Trump, because we came in on January. These are quarterly numbers. And we came in, and I was very against everything that Biden was doing in terms of the economy, destroying our country in so many ways, not only at the border." Economists warn that while the contraction may not mark the start of a recession, the combination of trade disruption and policy uncertainty has significantly raised the risk.

Are tariffs taking a 'bite' out of the US economy?

<div class="x_elementToProof" data-olk-copy-source="MessageBody">A piping hot cup of coffee has long been a morning ritual for millions. But that ritual is coming with a heavier price tag &mdash; and not just because of inflation. From drought-hit plantations in Brazil to unpredictable the US trade policies, the global coffee supply chain is under siege. Here&rsquo;s why your favorite brew might soon feel like a luxury.</div>
<h2 class="x_elementToProof"><b>Climate crisis hits coffee farms hard</b></h2>
<div class="x_elementToProof">Climate change is wreaking havoc in coffee-growing regions, especially in Brazil and Vietnam, which are also two powerhouses in global production.</div>
<div class="x_elementToProof">Extreme heat and prolonged drought have reduced yields drastically, driving up bean prices across the board. As reported by the Associated Press (AP), global green coffee exports fell by 14.2% in February compared to last year.</div>
<div class="x_elementToProof">Rene&eacute; Col&oacute;n, owner of Fuego Coffee Roasters in New York, told AP that she paid $5.50 per pound for beans in March, a sharp jump from just $2.50 in September. That&rsquo;s more than double the cost in just six months.</div>
<div class="x_elementToProof">She warned of worsening scarcity: &ldquo;Coffee is going to become scarcer. The Brazilian crop loss we just saw is a prime example of how climate extremes are affecting supply,&rdquo; she told AP.</div>
<h2 class="x_elementToProof"><b>Trump tariffs brew fresh trouble</b></h2>
<div class="x_elementToProof">As if climate wasn&rsquo;t enough, the US import tariffs under President Donald Trump are further tightening the screws.</div>
<div class="x_elementToProof">Currently, a 10% import tariff applies to coffee imports from Brazil, Ethiopia, and Colombia &mdash; three major coffee-exporting nations. Trump had also threatened 46% tariffs on Vietnamese coffee and 32% on Indonesian imports. Although these specific hikes were paused, the mere announcements sent shockwaves through the coffee industry.</div>
<div class="x_elementToProof">Coffee buyers and roasters are struggling to make sense of the constant policy flip-flops.</div>
<div class="x_elementToProof">&ldquo;It felt like a rollercoaster,&rdquo; said Daria Whalen, a buyer at Ritual Coffee Roasters, while speaking to AP. She described being in Mexico during April as she scrambled to secure contracts amid uncertainty over which tariffs would take effect and when. &ldquo;By the end of the day, sometimes the tariffs just disappeared,&rdquo; she added.</div>
<div class="x_elementToProof">This unpredictability is forcing businesses to rework supply chains. Many roasters are now pre-buying stock, fearing future tariffs. But that also drives up short-term demand and prices.</div>
<h2 class="x_elementToProof"><b>Prices, profits and panic: A triple-whammy situation</b></h2>
<div class="x_elementToProof">Coffee roasters are now walking a tightrope: how much of the rising cost can they absorb, and how much can they pass on to consumers?</div>
<div class="x_elementToProof">Col&oacute;n shared with AP that her business has already raised wholesale bean prices by 25 cents per pound and may soon raise prices for espresso drinks and pour-overs at her cafes. Yet, she&rsquo;s wary of losing customers as consumer confidence in the U.S. hits a 12-year low.</div>
<div class="x_elementToProof">&ldquo;It&rsquo;s tough on every side,&rdquo; she told AP. &ldquo;The price goes up for us, the consumer pays more, and the farmers suffer massive losses from droughts and storms.&rdquo;</div>
<h2 class="x_elementToProof"><b>How small businesses are adapting?</b></h2>
<div class="x_elementToProof">Despite the odds, Col&oacute;n is expanding. According to AP, she and her husband took out a $50,000 loan in December to purchase a custom coffee roaster from Turkey, tripling their roasting capacity. They&rsquo;re also focusing on direct-to-consumer sales through a subscription model and pursuing more wholesale clients.</div>
<div class="x_elementToProof">To save costs, she&rsquo;s exploring in-house storage of raw beans, avoiding monthly charges of $500 at port-side warehouses.</div>
<div class="x_elementToProof">And while international suppliers have approached her with cost-saving alternatives &mdash; like routing coffee through Canada due to a strong U.S. dollar &mdash; Col&oacute;n isn&rsquo;t biting.</div>
<div class="x_elementToProof">&ldquo;That adds more borders, more delays, more confusion,&rdquo; she told AP. &ldquo;I want things to be less complicated, not more.&rdquo;</div>

Business & Economy: Uncover how climate and trade disruptions are impacting the coffee industry, and making your favorite cup of latte more costly.

A piping hot cup of coffee has long been a morning ritual for millions. But that ritual is coming with a heavier price tag — and not just because of inflation. From drought-hit plantations in Brazil to unpredictable the US trade policies, the global coffee supply chain is under siege. Here’s why your favorite brew might soon feel like a luxury. Climate crisis hits coffee farms hard Climate change is wreaking havoc in coffee-growing regions, especially in Brazil and Vietnam, which are also two powerhouses in global production. Extreme heat and prolonged drought have reduced yields drastically, driving up bean prices across the board. As reported by the Associated Press (AP), global green coffee exports fell by 14.2% in February compared to last year. Reneé Colón, owner of Fuego Coffee Roasters in New York, told AP that she paid $5.50 per pound for beans in March, a sharp jump from just $2.50 in September. That’s more than double the cost in just six months. She warned of worsening scarcity: “Coffee is going to become scarcer. The Brazilian crop loss we just saw is a prime example of how climate extremes are affecting supply,” she told AP. Trump tariffs brew fresh trouble As if climate wasn’t enough, the US import tariffs under President Donald Trump are further tightening the screws. Currently, a 10% import tariff applies to coffee imports from Brazil, Ethiopia, and Colombia — three major coffee-exporting nations. Trump had also threatened 46% tariffs on Vietnamese coffee and 32% on Indonesian imports. Although these specific hikes were paused, the mere announcements sent shockwaves through the coffee industry. Coffee buyers and roasters are struggling to make sense of the constant policy flip-flops. “It felt like a rollercoaster,” said Daria Whalen, a buyer at Ritual Coffee Roasters, while speaking to AP. She described being in Mexico during April as she scrambled to secure contracts amid uncertainty over which tariffs would take effect and when. “By the end of the day, sometimes the tariffs just disappeared,” she added. This unpredictability is forcing businesses to rework supply chains. Many roasters are now pre-buying stock, fearing future tariffs. But that also drives up short-term demand and prices. Prices, profits and panic: A triple-whammy situation Coffee roasters are now walking a tightrope: how much of the rising cost can they absorb, and how much can they pass on to consumers? Colón shared with AP that her business has already raised wholesale bean prices by 25 cents per pound and may soon raise prices for espresso drinks and pour-overs at her cafes. Yet, she’s wary of losing customers as consumer confidence in the U.S. hits a 12-year low. “It’s tough on every side,” she told AP. “The price goes up for us, the consumer pays more, and the farmers suffer massive losses from droughts and storms.” How small businesses are adapting? Despite the odds, Colón is expanding. According to AP, she and her husband took out a $50,000 loan in December to purchase a custom coffee roaster from Turkey, tripling their roasting capacity. They’re also focusing on direct-to-consumer sales through a subscription model and pursuing more wholesale clients. To save costs, she’s exploring in-house storage of raw beans, avoiding monthly charges of $500 at port-side warehouses. And while international suppliers have approached her with cost-saving alternatives — like routing coffee through Canada due to a strong U.S. dollar — Colón isn’t biting. “That adds more borders, more delays, more confusion,” she told AP. “I want things to be less complicated, not more.”

Is your coffee getting pricier?: Here’s how climate change and Trump tariff is affecting it

<p class="x_elementToProof"><span data-olk-copy-source="MessageBody">Starting today, withdrawing cash from ATMs&mdash;or even just checking your balance&mdash;might cost you more. The Reserve Bank of India&rsquo;s (RBI) revised guidelines have come into effect from May 1, 2025, increasing the maximum fees banks can charge customers once they exhaust their monthly quota of free ATM transactions.</span></p>
<p class="x_elementToProof"><span>Whether it&rsquo;s a cash withdrawal, PIN change, or mini statement, every extra swipe beyond your free limit could now pinch your pocket a bit harder.</span></p>
<h2 class="x_elementToProof"><span><b>What&rsquo;s changing from May 1?</b></span></h2>
<p class="x_elementToProof"><span>The RBI&rsquo;s updated circular allows banks to hike charges for ATM usage beyond the free limit. The fee cap has increased from ₹21 to ₹23 per transaction (plus GST), applicable on both financial (like cash withdrawals) and non-financial (like balance checks or PIN changes) transactions. These new rates are applicable across all banks and ATM operators.</span></p>
<p class="x_elementToProof"><span>So whether you&rsquo;re pulling out cash for groceries or just checking your balance after online shopping, expect to pay ₹2 more per extra transaction if you&rsquo;ve crossed your monthly limit.</span></p>
<h2><span><b>How many free ATM transactions do you still get?</b></span></h2>
<p class="x_elementToProof"><span>While the charges have gone up, the RBI has not changed the number of free monthly transactions:</span></p>
<ul>
<li>At your own bank&rsquo;s ATMs: 5 free transactions/month (both financial and non-financial).</li>
<li>At other banks&rsquo; ATMs:</li>
<ul>
<li>Metro cities: 3 free transactions/month.</li>
<li>Non-metro cities: 5 free transactions/month.</li>
</ul>
</ul>
<p class="x_elementToProof"><span>These limits include both types of transactions.</span></p>
<h2 class="x_elementToProof"><span><b>Why have ATM charges been increased?</b></span></h2>
<p class="x_elementToProof"><span>According to the RBI, the revision aims to align customer charges with rising costs&mdash;such as ATM security, cash handling, maintenance, and software upgrades. Banks and ATM operators have long been lobbying for a hike, citing higher operating expenses.</span></p>
<p class="x_elementToProof"><span>The move is also intended to promote digital payments, especially in rural and semi-urban areas where mobile-based and MicroATM services are gaining traction.</span></p>
<h2 class="x_elementToProof"><span><b>Banks have already notified customers &ndash; Here&rsquo;s what&rsquo;s changing</b></span></h2>
<p class="x_elementToProof"><span>Several leading banks have revised their ATM fee structures effective May 1, 2025. This includes HDFC Bank, Punjab National Bank (PNB), IndusInd Bank, and Kotak Mahindra Bank. Customers at these banks will now pay more for both financial and non-financial ATM transactions once they exhaust their monthly free limits.</span></p>
<ul>
<li>HDFC Bank has raised its post-limit fee from ₹21 to ₹23 (plus GST) for all transactions.</li>
<li>PNB will charge ₹23 for financial and ₹11 for non-financial transactions (earlier ₹21 and ₹10 respectively); changes come into effect from May 9.</li>
<li>IndusInd Bank has adopted a flat ₹23 (plus GST) fee beyond the free quota.</li>
<li>Kotak Mahindra Bank now charges ₹23 for financial transactions (up from ₹21) and ₹10 for non-financial ones (up from ₹8.5).</li>
</ul>
<p class="x_elementToProof"><span>Meanwhile, State Bank of India (SBI) revised its ATM fee structure earlier this year on February 1, 2025. It also standardized free usage across metro and non-metro areas&mdash;5 free transactions at SBI ATMs and 10 at other bank ATMs for most customers. Beyond this:</span></p>
<ul>
<li>Financial transactions cost ₹15 at SBI ATMs and ₹17 at other bank ATMs.</li>
<li>Non-financial transactions are free at SBI ATMs, but ₹10 per transaction at other banks&rsquo; ATMs.</li>
</ul>
<p class="x_elementToProof"><span><b>&nbsp;</b></span></p>
<figure class="tinymce-table-div">
<table data-editing-info="{&quot;topBorderColor&quot;:&quot;#000000&quot;,&quot;bottomBorderColor&quot;:&quot;#000000&quot;,&quot;verticalBorderColor&quot;:&quot;#000000&quot;,&quot;hasHeaderRow&quot;:false,&quot;hasFirstColumn&quot;:false,&quot;hasBandedRows&quot;:false,&quot;hasBandedColumns&quot;:false,&quot;bgColorEven&quot;:null,&quot;bgColorOdd&quot;:&quot;#CCCCCC&quot;,&quot;headerRowColor&quot;:&quot;#000000&quot;,&quot;tableBorderFormat&quot;:0,&quot;verticalAlign&quot;:null}" cellpadding="0" cellspacing="0" id="x_table_0" style="width: 690px; height: 350px; border-collapse: collapse; border-width: 2px; border-spacing: 0px; border-color: rgb(0, 0, 0);" border="1">
<tbody>
<tr style="height: 54.3906px;">
<td data-editing-info="{&quot;vAlignOverride&quot;:true}" class="x_elementToProof center" style="width: 109.688px; height: 54.3906px; border-width: 2px; border-color: rgb(0, 0, 0);">
<p class="x_elementToProof"><span><b>Bank</b></span></p>
</td>
<td data-editing-info="{&quot;vAlignOverride&quot;:true}" class="center" style="width: 242.766px; height: 54.3906px; border-width: 2px; border-color: rgb(0, 0, 0);">
<p><span><b>Old Charges (Before May 1)</b></span></p>
</td>
<td data-editing-info="{&quot;vAlignOverride&quot;:true}" class="center" style="width: 333.547px; height: 54.3906px; border-width: 2px; border-color: rgb(0, 0, 0);">
<p><span><b>New Charges (Effective May 2025)</b></span></p>
</td>
</tr>
<tr style="height: 54.3906px;">
<td data-editing-info="{&quot;vAlignOverride&quot;:true}" class="center" style="width: 109.688px; height: 54.3906px; border-width: 2px; border-color: rgb(0, 0, 0);">
<p><span>HDFC Bank</span></p>
</td>
<td data-editing-info="{&quot;vAlignOverride&quot;:true}" class="center" style="width: 242.766px; height: 54.3906px; border-width: 2px; border-color: rgb(0, 0, 0);">
<p><span>₹21 + GST (All transactions)</span></p>
</td>
<td data-editing-info="{&quot;vAlignOverride&quot;:true}" class="center" style="width: 333.547px; height: 54.3906px; border-width: 2px; border-color: rgb(0, 0, 0);">
<p><span>₹23 + GST (All transactions)</span></p>
</td>
</tr>
<tr style="height: 54.3906px;">
<td data-editing-info="{&quot;vAlignOverride&quot;:true}" class="center" style="width: 109.688px; height: 54.3906px; border-width: 2px; border-color: rgb(0, 0, 0);">
<p><span>PNB</span></p>
</td>
<td data-editing-info="{&quot;vAlignOverride&quot;:true}" class="center" style="width: 242.766px; height: 54.3906px; border-width: 2px; border-color: rgb(0, 0, 0);">
<p><span>₹21 (fin), ₹10 (non-fin) + GST</span></p>
</td>
<td data-editing-info="{&quot;vAlignOverride&quot;:true}" class="center" style="width: 333.547px; height: 54.3906px; border-width: 2px; border-color: rgb(0, 0, 0);">
<p><span>₹23 (fin), ₹11 (non-fin) + GST (Effective May 9)</span></p>
</td>
</tr>
<tr style="height: 54.3906px;">
<td data-editing-info="{&quot;vAlignOverride&quot;:true}" class="center" style="width: 109.688px; height: 54.3906px; border-width: 2px; border-color: rgb(0, 0, 0);">
<p><span>IndusInd Bank</span></p>
</td>
<td data-editing-info="{&quot;vAlignOverride&quot;:true}" class="center" style="width: 242.766px; height: 54.3906px; border-width: 2px; border-color: rgb(0, 0, 0);">
<p><span>₹21 + GST (All transactions)</span></p>
</td>
<td data-editing-info="{&quot;vAlignOverride&quot;:true}" class="center" style="width: 333.547px; height: 54.3906px; border-width: 2px; border-color: rgb(0, 0, 0);">
<p><span>₹23 + GST (All transactions)</span></p>
</td>
</tr>
<tr style="height: 76.7812px;">
<td data-editing-info="{&quot;vAlignOverride&quot;:true}" class="center" style="width: 109.688px; height: 76.7812px; border-width: 2px; border-color: rgb(0, 0, 0);">
<p><span>Kotak Mahindra Bank</span></p>
</td>
<td data-editing-info="{&quot;vAlignOverride&quot;:true}" class="center" style="width: 242.766px; height: 76.7812px; border-width: 2px; border-color: rgb(0, 0, 0);">
<p><span>₹21 (fin), ₹8.5 (non-fin)</span></p>
</td>
<td data-editing-info="{&quot;vAlignOverride&quot;:true}" class="center" style="width: 333.547px; height: 76.7812px; border-width: 2px; border-color: rgb(0, 0, 0);">
<p><span>₹23 (fin), ₹10 (non-fin)</span></p>
</td>
</tr>
<tr style="height: 99.7656px;">
<td data-editing-info="{&quot;vAlignOverride&quot;:true}" class="center" style="width: 109.688px; height: 99.7656px; border-width: 2px; border-color: rgb(0, 0, 0);">
<p><span>SBI (Revised Feb 1)</span></p>
</td>
<td data-editing-info="{&quot;vAlignOverride&quot;:true}" class="center" style="width: 242.766px; height: 99.7656px; border-width: 2px; border-color: rgb(0, 0, 0);">
<p><span>₹15 (fin) SBI ATM, ₹17 (fin) other ATM, ₹0&ndash;₹10 (non-fin)</span></p>
</td>
<td data-editing-info="{&quot;vAlignOverride&quot;:true}" class="center" style="width: 333.547px; height: 99.7656px; border-width: 2px; border-color: rgb(0, 0, 0);">
<p class="x_elementToProof"><span>₹15 (SBI ATM), ₹17 (other bank ATM), ₹10 non-fin (other ATM)</span></p>
</td>
</tr>
</tbody>
</table>
</figure>
<p class="x_elementToProof"><span>&nbsp;</span></p>
<h2><span><b>What&rsquo;s the interchange fee&mdash;and why it matters</b></span></h2>
<p class="x_elementToProof"><span>The interchange fee is the charge your bank pays to the bank that owns the ATM you use. For instance, if you use an HDFC debit card at an SBI ATM, HDFC pays SBI. While customers don&rsquo;t pay this directly, it influences what banks charge after the free limit.</span></p>
<p class="x_elementToProof"><span>As of now, interchange fees remain unchanged:</span></p>
<ul>
<li>₹17 for financial transactions</li>
<li>₹6 for non-financial transactions</li>
</ul>
<p class="x_elementToProof"><span>However, this may be reviewed by ATM networks or the RBI in the future.</span></p>
<h2 class="x_elementToProof"><span><b>Are CRM machines affected too?</b></span></h2>
<p class="x_elementToProof"><span>Yes, but with a catch. Cash deposits at Cash Recycler Machines (CRMs) remain free. However, if you withdraw money or check your balance at a CRM after crossing your free limit, the ₹23 + GST charge applies&mdash;just as it would at a regular ATM.</span></p>

Business & Economy: Changes in ATM charges can lead to increased monthly expenses, and impacts one's overall budget management. Read more for more details.

Starting today, withdrawing cash from ATMs—or even just checking your balance—might cost you more. The Reserve Bank of India’s (RBI) revised guidelines have come into effect from May 1, 2025, increasing the maximum fees banks can charge customers once they exhaust their monthly quota of free ATM transactions. Whether it’s a cash withdrawal, PIN change, or mini statement, every extra swipe beyond your free limit could now pinch your pocket a bit harder. What’s changing from May 1? The RBI’s updated circular allows banks to hike charges for ATM usage beyond the free limit. The fee cap has increased from ₹21 to ₹23 per transaction (plus GST), applicable on both financial (like cash withdrawals) and non-financial (like balance checks or PIN changes) transactions. These new rates are applicable across all banks and ATM operators. So whether you’re pulling out cash for groceries or just checking your balance after online shopping, expect to pay ₹2 more per extra transaction if you’ve crossed your monthly limit. How many free ATM transactions do you still get? While the charges have gone up, the RBI has not changed the number of free monthly transactions: At your own bank’s ATMs: 5 free transactions/month (both financial and non-financial). At other banks’ ATMs: Metro cities: 3 free transactions/month. Non-metro cities: 5 free transactions/month. These limits include both types of transactions. Why have ATM charges been increased? According to the RBI, the revision aims to align customer charges with rising costs—such as ATM security, cash handling, maintenance, and software upgrades. Banks and ATM operators have long been lobbying for a hike, citing higher operating expenses. The move is also intended to promote digital payments, especially in rural and semi-urban areas where mobile-based and MicroATM services are gaining traction. Banks have already notified customers – Here’s what’s changing Several leading banks have revised their ATM fee structures effective May 1, 2025. This includes HDFC Bank, Punjab National Bank (PNB), IndusInd Bank, and Kotak Mahindra Bank. Customers at these banks will now pay more for both financial and non-financial ATM transactions once they exhaust their monthly free limits. HDFC Bank has raised its post-limit fee from ₹21 to ₹23 (plus GST) for all transactions. PNB will charge ₹23 for financial and ₹11 for non-financial transactions (earlier ₹21 and ₹10 respectively); changes come into effect from May 9. IndusInd Bank has adopted a flat ₹23 (plus GST) fee beyond the free quota. Kotak Mahindra Bank now charges ₹23 for financial transactions (up from ₹21) and ₹10 for non-financial ones (up from ₹8.5). Meanwhile, State Bank of India (SBI) revised its ATM fee structure earlier this year on February 1, 2025. It also standardized free usage across metro and non-metro areas—5 free transactions at SBI ATMs and 10 at other bank ATMs for most customers. Beyond this: Financial transactions cost ₹15 at SBI ATMs and ₹17 at other bank ATMs. Non-financial transactions are free at SBI ATMs, but ₹10 per transaction at other banks’ ATMs. Bank Old Charges (Before May 1) New Charges (Effective May 2025) HDFC Bank ₹21 + GST (All transactions) ₹23 + GST (All transactions) PNB ₹21 (fin), ₹10 (non-fin) + GST ₹23 (fin), ₹11 (non-fin) + GST (Effective May 9) IndusInd Bank ₹21 + GST (All transactions) ₹23 + GST (All transactions) Kotak Mahindra Bank ₹21 (fin), ₹8.5 (non-fin) ₹23 (fin), ₹10 (non-fin) SBI (Revised Feb 1) ₹15 (fin) SBI ATM, ₹17 (fin) other ATM, ₹0–₹10 (non-fin) ₹15 (SBI ATM), ₹17 (other bank ATM), ₹10 non-fin (other ATM) What’s the interchange fee—and why it matters The interchange fee is the charge your bank pays to the bank that owns the ATM you use. For instance, if you use an HDFC debit card at an SBI ATM, HDFC pays SBI. While customers don’t pay this directly, it influences what banks charge after the free limit. As of now, interchange fees remain unchanged: ₹17 for financial transactions ₹6 for non-financial transactions However, this may be reviewed by ATM networks or the RBI in the future. Are CRM machines affected too? Yes, but with a catch. Cash deposits at Cash Recycler Machines (CRMs) remain free. However, if you withdraw money or check your balance at a CRM after crossing your free limit, the ₹23 + GST charge applies—just as it would at a regular ATM.

ATM withdrawal just got costlier: What changes from May 1 and how it affects you