SpaceX shares tumbled Friday after the company aborted its latest Starship launch attempt because of an engine issue, putting the aerospace and artificial intelligence company on track to erase more than $1 trillion in market value from the record high it reached only weeks after its historic public debut. According to SpaceX’s official launch updates, company statements, and market trading data released Friday, the selloff accelerated as investors reacted to the launch setback while continuing to reassess one of the largest and fastest post-IPO rallies in Wall Street history. 

The decline marks a dramatic reversal for what had become the market’s most closely watched public company. After completing the largest initial public offering on record earlier this summer, SpaceX quickly surged to one of the world’s highest market valuations as investors poured into the stock, betting the company’s dominance in commercial launches, satellite communications, artificial intelligence infrastructure and future deep-space transportation would justify an unprecedented premium.

Friday’s losses added to weeks of selling pressure that has steadily erased much of that enthusiasm. At session lows, shares fell nearly seven percent before recovering modestly, leaving the company’s market capitalization near $1.6 trillion, down from approximately $2.64 trillion reached shortly after trading began in June. That represents one of the largest market-value declines ever recorded over such a short period. 

The immediate catalyst was Thursday’s scrubbed Starship mission. During the countdown, engine startup problems triggered an automatic abort before liftoff. Company engineers safely halted the launch sequence, and Elon Musk later confirmed that two Raptor engines would be replaced before another launch attempt expected as early as next week. 

Although launch delays are common throughout the aerospace industry and are generally viewed as part of the company’s aggressive testing strategy, the postponement renewed concerns among investors that expectations surrounding SpaceX’s long-term growth had become stretched after the stock’s explosive debut.

The company occupies a unique position in global aerospace. Beyond its launch business, SpaceX operates Starlink, the world’s largest satellite broadband network, maintains extensive contracts with the U.S. government and defense agencies, and plays a central role in NASA’s future lunar exploration program. Investors have also assigned significant value to the company’s expanding artificial intelligence initiatives and next-generation computing infrastructure.

Even with Friday’s decline, SpaceX remains among the world’s most valuable publicly traded companies. However, analysts note that companies experiencing record-breaking IPOs often encounter periods of elevated volatility as early enthusiasm gives way to closer scrutiny of earnings, execution, cash flow and long-term valuation assumptions.

Another factor weighing on sentiment is the approaching expiration of insider lockup periods. As restrictions are lifted over the coming months, additional shares held by employees and early investors could become eligible for sale, increasing supply in the public market and potentially adding to near-term volatility. Market participants frequently monitor these milestones closely because they can influence trading activity regardless of a company’s underlying operating performance. 

Despite the recent correction, long-term investors continue to point to SpaceX’s leadership across multiple industries. The company remains the dominant provider of commercial launch services, continues expanding Starlink globally, and is expected to remain a major contractor for government and commercial space missions for years to come. Bulls argue that those businesses, together with future Starship capabilities, could ultimately justify much higher valuations if execution matches expectations.

Whether the recent selloff proves to be a temporary reset following an extraordinary rally or marks the beginning of a broader revaluation will likely depend on future Starship milestones, upcoming financial results, execution across the company’s artificial intelligence initiatives, and investors’ willingness to continue assigning premium valuations to long-duration growth companies.

JBizNews Desk | New York

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Honda confirmed Thursday, July 16, that it will conclude sales of the Honda Prologue following completion of the 2026 model year, marking a significant shift in the automaker’s U.S. electrification strategy. The company said existing Prologue owners will continue receiving full dealer support, including warranty coverage, service and replacement parts.

When the final Prologue is sold, Honda is expected to have no fully battery-electric vehicle available for sale in the United States, underscoring one of the industry’s most notable retreats from an aggressive EV expansion strategy as market conditions continue evolving.

The announcement comes after several years in which Honda publicly committed billions of dollars toward battery-electric vehicles before reassessing those plans amid slowing consumer demand, changing government incentives and mounting financial pressures.

The Prologue did not struggle when it first entered the market.

After launching in March 2024, Honda sold more than 33,000 Prologues during its first year and nearly 39,000 more in 2025, making it one of America’s best-selling electric vehicles. Momentum changed dramatically during 2026 as federal purchase incentives disappeared and consumers increasingly shifted toward hybrids rather than fully electric vehicles.

Through the first half of this year, Prologue sales declined approximately 48% compared with the same period a year earlier. Honda now expects total 2026 Prologue sales of roughly 17,900 vehicles.

To maintain sales, Honda has offered aggressive lease incentives, including promotional leases beginning around $279 per month on a vehicle carrying a starting price of approximately $47,400.

Unlike most Honda models, the Prologue was never developed entirely in-house.

The vehicle is manufactured by General Motors at its Ramos Arizpe, Mexico, assembly plant and rides on GM’s Ultium electric vehicle platform, sharing much of its underlying engineering with the Chevrolet Blazer EV. Because the model relies on another manufacturer’s platform and production system, analysts view it as one of the easiest programs for Honda to discontinue as it reshapes its long-term electric vehicle strategy.

Honda’s broader pullback extends beyond a single model.

The company has significantly reduced planned spending on battery-electric vehicle development, citing rapidly changing market conditions, the elimination of federal EV purchase incentives in North America and intense competitive pressure in China.

Honda now estimates the financial impact of scaling back portions of its EV strategy at approximately 2.5 trillion yen, or about $15.7 billion.

Despite stepping back from battery-electric vehicles in the United States, Honda’s overall North American business remains healthy.

The company continues forecasting approximately 1.5 million combined Honda and Acura vehicle sales in the United States during 2026, representing roughly 4% growth from last year. Much of that strength is being driven by continued consumer demand for hybrid vehicles, which have become an increasingly important part of Honda’s lineup.

For Honda, the decision reflects a broader shift occurring throughout the global automotive industry.

Automakers are increasingly balancing long-term investments in electric vehicles against current consumer demand, profitability and changing regulatory policies. Rather than abandoning electrification altogether, many manufacturers are placing greater emphasis on hybrid technology while adjusting the pace of future battery-electric vehicle launches.

Honda says it remains committed to electrification over the long term and continues selling electric vehicles in several international markets. In the United States, however, the conclusion of Prologue production marks the end of Honda’s current battery-electric lineup and highlights how quickly market conditions have reshaped automakers’ strategies.

JBizNews Desk | New York

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Young entrepreneurs are increasingly turning social media audiences into full-scale businesses, using digital content to build subscription communities, marketing firms and investment portfolios instead of relying on a single source of income.

“School of Hard Knocks” co-founder James Dumoulin joined FOX Business’ Stuart Varney on “Varney & Co.” to explain how he has grown the company into a media platform with 26 million followers while expanding into multiple revenue streams.

Dumoulin said his strategy is built around creating a business that generates value in several different ways instead of relying solely on advertising revenue.

“So what we did is we looked at our core business of having one of the biggest business media channels in the entire world… What are all the different ways that we can make money off this thing?” Dumoulin said.

He said one lesson has stood out after spending time with successful entrepreneurs.

“Concentration builds wealth, diversification keeps it,” Dumoulin said. “In our case, we became so good at one thing… And we diversified into other efforts.”

The 24-year-old said his focus remains on growing the media business while adding new ventures, including a marketing agency, a consulting company and investments.

Dumoulin also shared advice for younger people hoping to build wealth, stressing that long-term success requires consistent daily action.

“Macro patience and micro urgency is one of the most important concepts that you need to master in today’s world,” he said. “Billionaires take action on a daily basis.”

The 24-year-old said anyone willing to adopt that approach has the potential to achieve similar success. 

“I have no doubt that you’ll be a millionaire one day at 24 years old like myself,” Dumoulin said.

Toyota announced Thursday, July 16, that it will invest an additional $2 billion across several U.S. manufacturing facilities to expand production capacity, modernize assembly operations and increase output of hybrid vehicles as consumer demand continues shifting toward fuel-efficient models.

The latest investment builds on Toyota’s long-term commitment to U.S. manufacturing and comes as the automaker experiences record demand for hybrid vehicles across much of its lineup. Company officials said the funding will support new equipment, advanced manufacturing technology, workforce training and expanded production capabilities at multiple facilities.

Toyota currently employs more than 49,000 people across the United States and manufactures vehicles, engines and components at plants spanning the Midwest and South.

The investment reflects a broader strategy of producing more vehicles closer to American consumers while strengthening domestic supply chains.

Hybrid models have become one of Toyota’s strongest growth drivers as consumers seek better fuel economy without relying entirely on battery-electric vehicles.

Sales of hybrid versions of the Camry, Corolla, RAV4, Highlander, Grand Highlander, Tacoma and other models have continued climbing throughout 2026, with many dealerships reporting limited inventory due to sustained demand.

Executives said consumers increasingly prefer hybrids because they offer improved fuel efficiency without concerns about public charging infrastructure or longer charging times.

The new investment is expected to increase manufacturing flexibility, allowing Toyota to adjust production more quickly as customer preferences continue evolving.

The company said portions of the funding will also support automation, robotics and advanced quality-control systems designed to improve productivity while maintaining Toyota’s manufacturing standards.

Toyota has invested more than $50 billion in U.S. operations over the past several decades, making it one of America’s largest automotive manufacturers.

The company’s expanding domestic footprint also supports thousands of suppliers, logistics providers and local businesses throughout the regions where its plants operate.

Industry analysts say Toyota’s continued emphasis on hybrid technology has positioned the automaker well during a period when many consumers remain cautious about fully electric vehicles but still want improved fuel economy.

Rather than abandoning electrification, Toyota has continued pursuing a diversified strategy that includes hybrids, plug-in hybrids, battery-electric vehicles and hydrogen technologies.

For American workers, the investment signals continued confidence in domestic manufacturing.

For consumers, it could help improve vehicle availability while supporting future production of popular hybrid models that have experienced strong demand in recent years.

Toyota said construction and equipment upgrades will begin immediately, with additional production capacity expected to come online over the next several years.

JBizNews Desk | Plano, Texas

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Apple is facing a proposed class action lawsuit alleging its “Hide My Email” feature failed to conceal users’ real email addresses from websites and apps.

The complaint, filed Wednesday in federal court, also claimed Apple was aware the feature, introduced in 2019, was not working as early as last summer and did not take sufficient action to fix it.

The alleged issue still has not been remedied, according to the suit, even as Apple continues to claim “Hide My Email” generates “unique, random email addresses” that forward to a user’s personal inbox so their real email address is “kept private.”

“A vulnerability in the implementation of Hide My Email allows almost anyone, without elevated privileges or insider access, to link a Hide My Email alias back to the user’s real email address. Independent testing found that 100% of the aliases examined were exploitable,” according to the lawsuit.

Apple offers “Hide My Email” in two ways: through Sign in with Apple, where users can mask their address when creating accounts online, and through paid iCloud+ subscriptions, which let users generate private relay addresses more broadly.

The lawsuit was filed by Anthony Alvarez, a San Diego resident who claims he was “one of the millions of customers” who paid for an iCloud+ subscription with the expectation that his email address would be kept private.

The feature, as advertised, protects users from spam emails, stops their data from being sold to data brokers and prevents their information from being exposed in a third-party data breach.

A security researcher found a flaw in the feature in June 2025 and reported it to Apple, per the lawsuit.

One month later, Apple acknowledged the bug and by March, Apple said it had “addressed the reported issue in a recent system change,” the lawsuit said.

After the researcher told Apple the bug was still present, the company said in May that it would release a patch within a few weeks, according to the suit.

That never happened, the lawsuit said, which prompted the researcher to go public about the “Hide My Email” vulnerability.

If the judge agrees that thousands — or potentially millions — of people were affected by the alleged security flaw, the lawsuit could move forward as a class action.

The lawsuit does not demand a specific dollar amount in compensation but seeks money for customers who paid for Apple privacy protections that allegedly did not work as promised.

Fox News Digital reached out to Apple for comment on the lawsuit.

An Ohio man is suing a Taco Bell franchisee over the cyclosporiasis outbreak after eating at one of the chain’s restaurants in the Cleveland area and becoming ill.

Mohammed Ayyad’s lawsuit claims that he ate two meals involving items he ordered regularly from a Taco Bell in North Olmsted, Ohio, on June 14, and another meal on June 21 that also involved multiple orders of cheesy fiesta potatoes and avocado ranch chicken stackers.

Ayyad began experiencing symptoms of a cyclospora infection on June 23 and worsened from a fever to include diarrhea and vomiting over the next day, the lawsuit alleges. He remained ill through July 2 and went to a healthcare provider, providing a stool sample confirmed on July 9 that he contracted cyclosporiasis that was then treated with antibiotics, but missed two weeks of work.

The suit claims that the Taco Bell franchisee, Pacific Bells LLC, sold defective food products to Ayyad, who is seeking damages for pain and suffering, medical and pharmaceutical expenses, lost wages and emotional distress.

FOX Business reached out to Taco Bell for comment on the lawsuit.

The Centers for Disease Control and Prevention (CDC) on Thursday posted an update into the cyclospora outbreak which noted it and other public health agencies are investigating infections linked to shredded iceberg lettuce served at Taco Bell locations in five states – including Indiana, Kentucky, Michigan, Ohio and West Virginia.

CDC’s update noted there have been 1,644 cyclospora infections recorded in relation to the outbreak with exposure to Taco Bell over the five states, with illness dates ranging from May 13 to July 13. There have been 94 hospitalizations and no deaths have been reported, per the agency.

The update added that the true number of sick people in the outbreak “is likely higher than the number reported, and the outbreak may not be limited to the states with known illnesses.” That’s because some people will recover without medical care and aren’t tested cyclospora, while other recent illnesses may not have been reported yet because it can take up to six weeks to determine if a sick person is part of the outbreak.

The Food and Drug Administration (FDA) identified a single supplier of shredded lettuce from Mexico used at the Taco Bell locations where sick people ate before becoming ill.

The FDA is looking to determine if the shredded iceberg lettuce went to other places, and is working with the supplier to determine if potentially contaminated lettuce remains on the market, while Taco Bell said it would stop using lettuce from the supplier.

Taco Bell said in a statement provided to FOX Business on Thursday that, “Based on ongoing conversations with public health officials, and out of an abundance of caution, Taco Bell has taken immediate action to voluntarily remove potentially impacted lettuce from a supplier in select states. The affected ingredient from our supplier is being indefinitely removed from our supply chain nationwide and will be replaced within 24 hours in select states.”

“While no official advisory has been issued, we believe public health is a shared responsibility among restaurants, their suppliers, and authorities, and we are proud to have consistently acted quickly and proactively to protect our guests. Taco Bell has taken precautionary action, and we encourage all relevant restaurants, retailers, and foodservice operators to do the same,” the company added.

A growing wave of retirements among Baby Boomer business owners is creating one of the most significant transitions New Jersey’s privately held business sector has faced in decades, with business advisors warning that many owners remain unprepared for leadership succession. The issue has gained renewed attention as industry leaders discuss the increasing urgency of succession planning and new data shows the state’s business community is entering what many have dubbed the “Silver Tsunami”—a period in which an unprecedented number of owners are expected to exit their businesses over the next several years.

The challenge carries significant economic implications for New Jersey, where more than 953,000 small businesses account for 99.6% of all businesses statewide. Those companies collectively employ hundreds of thousands of residents, support local tax bases, anchor downtown business districts, and serve as suppliers to larger corporations throughout the region. As more founders approach retirement, the question is no longer whether ownership will change, but whether those businesses will successfully transition to a new generation or disappear altogether.

Industry experts say succession planning is about far more than deciding who receives the keys to the business. A successful transition often requires years of preparation involving ownership structure, management development, estate planning, financing, tax strategy, employee retention, customer relationships, supplier continuity, and corporate governance. Companies that postpone those discussions until retirement or an unexpected health event frequently face greater disruption and reduced business value.

The numbers illustrate the magnitude of the challenge. Nationally, 40% to 50% of small-business owners expect to retire within the next decade, creating one of the largest ownership transfers in modern history. Yet many businesses have no formal succession strategy in place, increasing the likelihood that otherwise successful companies may ultimately close rather than change hands. Experts estimate that approximately 70% of businesses fail to find a buyer, placing millions of jobs and trillions of dollars in privately held business value at risk.

For family-owned businesses, the transition can be especially difficult. Although many founders hope to pass their companies to children or other relatives, studies show that only about 30% of family businesses successfully reach the second generation, despite most owners expressing a desire to keep the business within the family. Changing career interests, differing family priorities, financing challenges, and governance issues often complicate what owners envisioned as a straightforward handoff.

As a result, an increasing number of business owners are evaluating alternatives that were less common a generation ago. Those include management buyouts, employee ownership structures, strategic acquisitions, mergers, private equity investments, and sales to outside entrepreneurs seeking established companies with proven customer bases and experienced workforces. Advisors say each option requires careful planning years before an owner intends to retire.

The trend is also creating new opportunities throughout New Jersey’s mergers and acquisitions market. Buyers are increasingly seeking established businesses with stable cash flow, loyal customers, experienced employees, and strong community reputations. At the same time, lenders, accountants, attorneys, wealth managers, and valuation specialists are seeing growing demand from owners seeking to determine what their businesses are worth and how to transfer ownership while preserving both value and legacy.

Beyond the financial considerations, succession planning has become an economic development issue. Family-owned businesses often serve as the backbone of local communities, supporting charitable organizations, sponsoring youth programs, employing multiple generations of families, and maintaining long-standing relationships with local suppliers. When those businesses close because no succession plan exists, communities lose not only jobs but also institutional knowledge, local investment, and decades of entrepreneurial experience.

Small businesses employ approximately 62.3 million Americans, representing nearly 46% of the private-sector workforce, underscoring why business succession has become a growing concern among economists and policymakers. Analysts warn that widespread business closures resulting from failed ownership transitions could weaken local economies, reduce employment opportunities, and erode generational wealth built over decades.

For New Jersey, where entrepreneurship has long been a driver of economic growth, the coming decade will likely determine whether thousands of successful businesses continue operating under new leadership or become casualties of inadequate planning. Advisors consistently recommend that owners begin succession discussions well before retirement, involve legal and financial professionals early, communicate openly with family members and key employees, and prepare future leaders gradually rather than waiting until a transition becomes unavoidable.

While the “Silver Tsunami” presents undeniable challenges, many business leaders also see opportunity. A new generation of entrepreneurs, investors, and professional managers is expected to acquire established companies, modernize operations, expand into new markets, and preserve businesses that have served New Jersey communities for decades. Those successful transitions could help sustain employment, protect local economies, and ensure that many of the state’s family-owned enterprises continue contributing to economic growth for generations to come.

JBizNews Desk | New Jersey
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U.S. factory production accelerated in June, providing another encouraging sign that the manufacturing sector is regaining strength after a slow start to the year.

The Federal Reserve reported on Thursday, July 16, that manufacturing output increased 0.8% in June, marking the strongest monthly gain in four months and exceeding economists’ expectations. The improvement helped lift overall industrial production as factories increased output across several major industries.

The stronger report follows a series of economic indicators released this week suggesting businesses remain confident despite higher interest rates and global economic uncertainty.

Automakers Lead the Recovery

One of the largest contributors to June’s increase came from the automotive industry.

Vehicle manufacturers boosted production after earlier supply disruptions eased, while producers of machinery, fabricated metals and aerospace equipment also reported stronger output.

Factory utilization improved as manufacturers increased production schedules to meet customer demand and replenish inventories.

Businesses also benefited from improving supply chains, allowing many facilities to operate more efficiently than earlier in the year.

Industrial Production Continues Expanding

Overall industrial production, which includes manufacturing, mining and utilities, also advanced during the month.

Utility output remained elevated as much of the country experienced unusually warm temperatures that increased electricity demand for air conditioning.

Mining activity also remained stable, supported by continued domestic energy production.

The combination of stronger factory output and resilient energy production points to broad-based industrial growth entering the second half of 2026.

Businesses Continue Investing

The report suggests many companies remain willing to invest in equipment and production despite elevated borrowing costs.

Manufacturers continue modernizing facilities, expanding automation and increasing productivity to meet customer demand while addressing ongoing labor shortages.

Executives across multiple industries have reported that business investment remains supported by healthy order backlogs and improving customer confidence.

Those investments are expected to help strengthen productivity and long-term competitiveness.

Positive Sign for the Economy

Manufacturing represents a critical component of the American economy, supporting millions of jobs and thousands of suppliers nationwide.

Stronger factory production often translates into higher freight volumes, increased demand for raw materials and additional hiring throughout the industrial sector.

Combined with recent reports showing resilient consumer spending and a stable labor market, the latest manufacturing data reinforces the view that the U.S. economy continues expanding at a steady pace.

Looking Ahead

Manufacturers remain cautiously optimistic about the months ahead.

Although businesses continue monitoring trade policy, inflation and interest rates, improving demand and stronger production suggest industrial activity is building momentum.

If current trends continue, manufacturing could become an increasingly important driver of economic growth during the remainder of 2026.

JBizNews Desk | Washington

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KUALA LUMPUR — An internal leadership memorandum issued by MMC Port Holdings Sdn. Bhd. on July 12 confirmed that Sultan Ahmed bin Sulayem, the company’s Executive Chairman, has assumed direct operational oversight of Malaysia’s largest port operating group following the immediate departure of Group Chief Executive Azman Shah Mohd. Yusof. Under the interim structure, all responsibilities previously handled by the Group CEO will report directly to Bin Sulayem while the company continues day-to-day operations and evaluates its long-term leadership plans.

The transition places one of the world’s most experienced port executives in direct control of a company operating seven major ports positioned along or near the Strait of Malacca, one of the most strategically important maritime corridors in global commerce.

MMC Ports is Malaysia’s largest port operator, handling more than 20 million twenty-foot equivalent units (TEUs) annually across its network. Its portfolio includes the internationally significant Port of Tanjung Pelepas, one of the world’s busiest container transshipment hubs, along with several other key commercial terminals that connect manufacturing centers throughout Asia with Europe, the Middle East, Africa, and North America.

The importance of the appointment extends well beyond corporate governance. The Strait of Malacca serves as one of the world’s principal shipping lanes, carrying a substantial share of global container traffic and energy shipments between the Indian and Pacific Oceans. Thousands of commercial vessels transit the waterway each year, making efficient port operations essential to global manufacturing, retail supply chains, commodity markets, and international trade.

Because of that strategic position, operational decisions made by Malaysia’s largest port operator can influence vessel scheduling, cargo movement, shipping efficiency, infrastructure investment, and logistics planning throughout the Indo-Pacific region. Businesses ranging from manufacturers and exporters to retailers, freight forwarders, and shipping companies closely monitor developments involving major port operators serving the Strait.

According to the internal memorandum, the interim reporting structure is intended to maintain continuity of governance, operational decision-making, and strategic execution while the company continues serving customers without disruption. No explanation was provided for the departure of the Group Chief Executive, and no permanent successor has been announced.

Bin Sulayem brings decades of experience managing some of the world’s largest port and logistics operations. Throughout his career, he has overseen the expansion of international maritime infrastructure, logistics networks, and global trade platforms, earning recognition as one of the shipping industry’s most influential executives.

The leadership transition also comes as international shipping continues evolving in response to changing trade patterns, larger container vessels, expanding manufacturing throughout Southeast Asia, and continued investment in modern port infrastructure. Malaysia remains one of the region’s most important logistics gateways, and MMC Ports plays a central role in supporting both regional and global commerce.

Malaysia’s government has emphasized that management appointments remain corporate decisions while ownership of strategic port assets continues to be governed by national policy. Transport Minister Anthony Loke stated that the government does not interfere in management appointments, while maintaining existing ownership requirements applicable to strategic infrastructure operators.

Industry observers will also be watching whether the leadership transition influences MMC Ports’ longer-term strategic initiatives, including a potential revival of its previously postponed initial public offering, which had been expected to become one of Malaysia’s largest public listings in more than a decade.

For the global business community, the announcement represents more than a leadership change. Direct oversight of Malaysia’s largest port operator places Bin Sulayem in a position to help shape the movement of goods through one of the world’s most critical maritime trade corridors, making the transition significant for international shipping, supply-chain resilience, infrastructure investment, and global commerce.

JBizNews Desk | Kuala Lumpur

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Before the U.S.-Iran war began on February 28, Iraq exported nearly 3.5 million barrels per day through Hormuz. Then the strait closed. Storage at key fields filled, and Iraq cut production to roughly a third of its normal output of more than 4 million barrels a day. Exports from its main southern fields dropped 70% during the conflict.

Iraq is OPEC’s second-largest producer, with proven reserves of 145 billion barrels. It is also, in practical terms, landlocked when Hormuz closes. Saudi Arabia has the East-West pipeline to the Red Sea, moving 5 to 7 million barrels a day. The UAE has Habshan-Fujairah to the Gulf of Oman. Iraq has almost nothing.

That is not an inconvenience. Oil is Iraq’s government. Without an export route, there is no revenue, no budget, no state.

The routes on the table

Three options are live, none of them easy.

The Kirkuk-Baniyas line to Syria’s Mediterranean coast runs roughly 800 kilometers and has been mostly out of service since it was damaged during the 2003 invasion. The Syrian port of Baniyas, home to the country’s largest refinery, has emerged as the front-runner to receive Iraqi crude. Chevron, TotalEnergies, Los Angeles-based TI Capital, and Qatar’s UCC Holding have all been part of those discussions. A State Department official said Tuesday that Washington supports the effort and expects American companies to help build it.

The Basra-Aqaba line to Jordan would carry up to 2.25 million barrels a day at an estimated cost of $18 billion. Iraq and Jordan signed an agreement to build it in 2013, due for completion in 2017, delayed in 2014. Jordanian Foreign Minister Ayman Safadi and Al Zaidi discussed moving it forward on Wednesday.

The Iraq-Turkey line already exists — roughly 600 miles, with total capacity near 1.6 million barrels a day. It had been closed and is reopening because of the Hormuz disruption, reportedly at an initial 250,000 barrels a day.

The risk nobody is pricing

The probable pipeline routes run through Iraq’s western Anbar province and eastern Syria, where ISIS cells remain active. Any company writing a check is also betting that Syria’s fledgling government can hold the ground for the decades a pipeline takes to pay back. Rebuilding Kirkuk-Baniyas alone could cost billions.

TotalEnergies chief executive Patrick Pouyanne put the strategic logic plainly: if you want to move Iraqi oil without depending on Hormuz, Syria becomes an important transit route.

The fields

West Qurna-2 holds roughly 14 billion barrels of recoverable reserves and was producing about 460,000 barrels a day — nearly 10% of Iraq’s output and half a percent of global supply — before the cuts. Russia’s Lukoil developed it under a service contract dating to 2009 and declared force majeure after U.S. and U.K. sanctions in October 2025. Basra Oil Company took temporary transfer of the contract, and in February signed a framework deal giving Chevron exclusive negotiating rights for one year. North Oil Company holds 25% of the project. Chevron could nearly double output to between 750,000 and 800,000 barrels a day if it takes over as operator.

Nasiriyah came in the same February round, alongside four exploration blocks in Dhi Qar province and the Balad field in Salaheddin. On July 1, Basra Oil signed a non-disclosure agreement with Chevron to govern data exchange for evaluating West Qurna-2, overseen by Oil Minister Bassim Khudair.

The politics

Al Zaidi, who took office in May, has said American companies will get first refusal on Iraqi energy and investment deals, and has directed the oil, electricity, and communications ministries accordingly. He has outlined a joint energy and development fund with Washington financed by the equivalent of 500,000 barrels a day.

He met President Trump at the White House on July 14. “We’re going to create a lot of jobs for both countries,” Trump said. Al Zaidi also met Tom Barrack, the special presidential envoy for Iraq.

What it means

Brent traded below $85 Thursday; West Texas Intermediate held just under $80. Every barrel that finds a route around Hormuz takes a small piece out of the war premium sitting in those prices — and in American gasoline, diesel, and airline fuel costs.

The catch is time. Pipelines take years. The war is now.

JBizNews Desk | Houston

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Confidence among America’s homebuilders unexpectedly improved in July, signaling renewed optimism that demand for new homes is beginning to stabilize even as mortgage rates remain elevated.

The National Association of Home Builders (NAHB) reported on Thursday, July 16, that its Housing Market Index rose to 43 in July, up from 41 in June, exceeding economists’ expectations. Although a reading below 50 still indicates more builders view conditions as poor than good, the improvement suggests the housing market is showing signs of resilience during the busy summer selling season.

Builders reported increased buyer traffic and modest improvements in sales expectations as limited inventory of existing homes continues pushing many families toward newly constructed properties.

Limited Existing Inventory Benefits Builders

One of the biggest factors supporting new-home construction remains the shortage of existing homes available for sale.

Many current homeowners continue holding mortgages with historically low interest rates and remain reluctant to sell, limiting resale inventory across much of the country.

That has created opportunities for homebuilders to capture buyers who have fewer alternatives in many markets.

Builders also continue offering mortgage-rate buydowns and sales incentives to help offset higher borrowing costs.

Construction Activity Remains Steady

Despite ongoing challenges, builders reported continued construction activity across many regions.

Demand remained strongest for entry-level and move-up homes, while luxury housing varied by market.

Many builders also reported improved availability of construction materials compared with previous years, helping reduce delays and improve project planning.

Labor shortages remain a concern in some regions, but supply-chain disruptions have eased considerably.

Affordability Still a Challenge

Mortgage rates continue affecting affordability for many first-time buyers.

Higher monthly payments have forced some families to delay purchasing decisions or seek smaller homes.

Even so, steady employment, rising wages and limited resale inventory have continued supporting demand for new construction.

Builders said consumer interest remains healthy whenever financing incentives are available.

What It Means for Consumers

The improvement in builder confidence could lead to additional housing supply during the second half of the year.

More construction may help ease inventory shortages in certain markets while giving buyers more choices.

Competition among builders may also continue producing incentives such as closing-cost assistance, upgraded features and mortgage-rate reductions.

Looking Ahead

The housing market continues balancing higher financing costs against persistent demand and limited inventory.

Builders remain cautiously optimistic that steady employment, moderating inflation and continued household formation will support future sales.

While affordability remains one of the industry’s biggest challenges, July’s improvement in builder confidence suggests the new-home market continues demonstrating resilience despite a complex economic environment.

JBizNews Desk | Washington

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Asha Sharma, chief executive of Xbox, told employees in a July 6 memo that the company will eliminate roughly 3,200 positions by June 30, 2027 — about 20% of the entire gaming division — and hand five studios back to the market. It is the largest restructuring in Xbox’s 25-year history, and it lands on a business that Microsoft spent nearly $80 billion over a decade trying to build.

Here is the paradox worth sitting with. Microsoft did not lose the subscription bet because nobody signed up. It lost because 30 million people signed up and that was not remotely enough.

What Game Pass was supposed to be

The theory was simple and, on paper, sound. Console hardware is a losing business — you sell the box near cost and hope to make it back on software. So skip the box. Build a subscription service, put every major game on it the day it launches, and collect a monthly fee from a customer who never has to buy anything again. Netflix for games.

To make that work, Microsoft needed games nobody else had. It bought them. ZeniMax. Minecraft. Then Activision Blizzard for $69 billion in 2023, which brought Call of Duty, World of Warcraft, Diablo, and Candy Crush under one roof alongside Halo, The Elder Scrolls, and Fallout. Matt Booty, now executive vice president and chief content officer, oversees a portfolio of nearly 40 studios.

Sharma wrote in a June 10 message published on Microsoft’s blog that, excluding Activision Blizzard King, the company had invested more than $20 billion over the past five years in content, platforms, and hardware subsidies. Add the acquisitions and the total approaches $80 billion.

The number that never showed up

Game Pass had 34 million subscribers in early 2024. Microsoft’s internal plan called for 77 million by the end of 2026, with public talk of 100 million by 2030. The service currently has about 30 million — fewer than it had two years ago. Revenue ran near $5 billion in fiscal 2025.

The immediate cause was a price increase in October 2025. Millions cancelled. Sharma reduced the price after taking over, though it still sits above where it was a year ago. But a price hike does not explain a four-year growth plan missing by 47 million people.

The deeper problem is that games are not television. Data from Circana shows most players concentrate their time on a small handful of titles rather than grazing across a library. A Netflix subscriber watches forty things a year. A gamer plays three. If a customer only wants Call of Duty, an all-you-can-eat buffet is worse value than simply buying Call of Duty — and worse economics for the seller, who just gave away a $70 sale for a $20 month.

What that does to the P&L

The arithmetic is brutal. Xbox loses an average of 64 cents on every dollar it invests in games. The division’s profitability runs three to nine times lower than comparable platform and publishing companies. Hardware revenue has fallen more than 30%, and Microsoft has raised U.S. console prices twice this year, which does not help unit sales.

Meanwhile, the parent company found somewhere better to put its money. Microsoft’s AI business surpassed a $37 billion annualized revenue run rate in its fiscal third quarter, growing 123% year over year. When one division compounds at triple digits and another loses 64 cents on the dollar, capital allocation stops being a debate.

What is actually being cut

Of the 3,200 positions, 1,600 left immediately. Microsoft is reducing its global workforce by roughly 4,800, about 2.1% of headcount — gaming accounts for the overwhelming majority.

Compulsion Games and Double Fine Productions regained independence, taking their intellectual property and severance funding from Microsoft. Ninja Theory and Undead Labs have been sold to undisclosed buyers, though both will continue work on Senua and State of Decay 3 with Xbox financial backing. Arkane Lyon was also divested.

And the tell: Call of Duty will no longer arrive on Game Pass on day one. That single reversal unwinds the entire thesis. Microsoft bought Activision to put Call of Duty on the subscription. It is now taking Call of Duty off the subscription to sell it.

Short term and long term

Near term, this works. Cutting 20% of a division and selling five studios improves margins immediately, and Microsoft gets to move the freed capital into AI, where returns are visible. Microsoft stock rose 1.38% Thursday.

Long term is the open question. Xbox reaches more than 500 million monthly active users across platforms. Sharma, who succeeded Phil Spencer on February 23 after his 38 years at Microsoft and 12 leading gaming, has been preaching a “return of Xbox” — grounding the brand in gaming rather than AI. She said as much at the Fortune Brainstorm Tech conference in Aspen last month.

The honest reading is that Microsoft spent $80 billion and ended up with what it already had: a library of very good franchises it will now sell to people one game at a time. That is not nothing. It is just not what $80 billion was supposed to buy.

JBizNews Desk | New York

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Panasonic has recalled one of its toaster ovens across the United States and Canada after the company found the appliance posed a risk of electric shock or fire.

The recall covers 11,480 Panasonic Model No. NB-G200 Electric Toaster Ovens sold in the U.S., as well as another 2,184 sold in Canada.

Pansonic said the power cord insulation “can be insufficient due to a protective fiberglass sleeve not covering it adequately, posing a risk of shock and/or fire hazard.”

From October 2024 to April 2026, the toaster oven was sold for about $170 at Costco, on Amazon and through several other online retailers.

Consumers who believe they own the recalled toaster oven can verify the model number by checking the nameplate label on the back of the appliance.

Notices from both the U.S. government and Canada urge customers to immediately stop using the product and return it to Panasonic for a full refund.

The U.S. Consumer Product Safety Commission said it has received four consumer reports of the toaster oven tripping circuit breakers or outlets. A fifth report noted the toaster simply stopped working.

As of June 15, 2026, Panasonic said it had not received any reports of incidents or injuries in Canada related to the toaster.

Panasonic, Costco and Amazon did not immediately respond to FOX Business’ requests for comment.

A ticking clock on Social Security solvency has prompted a bipartisan coalition of senators to introduce legislation aimed at preventing automatic, across-the-board benefit cuts for more than 70 million Americans.

Called the Protecting Retirement Opportunities and Maintaining Income Security for Everyone (PROMISE) Act, the bill establishes a procedural process designed to require congressional votes on a long-term Social Security solvency plan before the retirement trust fund’s projected depletion in 2032 triggers an automatic 22% reduction in monthly benefits. The legislation calls for an independent bipartisan advisory committee to develop recommendations intended to restore the program’s solvency for at least 50 years.

“Here is our chance to agree on a bipartisan process to rescue Social Security this year,” Senate Democratic Whip Dick Durbin, D-Ill, said in a press release. “Our bipartisan proposal opens Congress to debate this issue in a transparent, fair, and bipartisan way. We were elected to solve problems — and there’s no greater problem than the solvency and future of Social Security.”

“Millions of Americans rely on Social Security to live. In 6 years, those families will see a 22% cut to their benefits if Congress doesn’t act. Our plan starts the process of preserving promised benefits for current retirees and the next generation of Americans,” Sen. Bill Cassidy, R-La., said alongside Republican Sens. Thom Tillis, R-N.C.; John Cornyn R-Texas; and Alan Armstrong, R-Okla.

While multiple legislative proposals to secure Social Security’s trust funds have been introduced over the years, virtually none have advanced to a floor vote.

The PROMISE Act establishes a strict procedural timeline, requiring the Social Security Advisory Board (SSAB) to submit a proposal designed to restore Social Security solvency for at least 50 years. The bill also requires the House and Senate majority leaders to introduce the proposal, and if they fail to do so, any member of Congress may introduce it.

The proposal would then be referred to the House Ways and Means Committee and the Senate Finance Committee. If the committees do not report it, the legislation would automatically be discharged to the House and Senate calendars for floor consideration.

Final passage would require a simple majority vote in the House and a three-fifths majority in the Senate.

“Social Security is on an unsustainable path that will lead to dramatic benefit cuts for retirees and growing skepticism among workers paying into a program on the brink of insolvency. With each passing year, the menu of options that preserve benefits and limit tax hikes narrows. The modest reforms Congress contemplated in 2010 would have put Social Security on solid footing for 75 years; today, those same reforms would add less than two years to our current runway,” Sen. Tillis said. “I won’t pretend there’s consensus on how we solve this, but the math is unforgiving: the longer Congress waits to act, the fewer good options remain.”

“For nearly a century, Social Security has been a lifeline that allows Americans to retire with dignity. Congress should not wait around until the last minute to shore up this critical program and prevent broad-based benefit cuts upon Trust Fund depletion,” Sen. Tim Kaine, D-Va., said in support of the bill. 

“That’s why I’m joining a bipartisan group of my colleagues in introducing legislation that will encourage Congress to roll up its sleeves and find a path forward to ensure current and future generations of retirees and their families are able to receive the benefits they have earned and which they are owed,” he continued.

The nonpartisan Committee for a Responsible Federal Budget voiced support for the bill: “The PROMISE Act would establish a thoughtful bipartisan process to help Congress do its job and rescue Social Security before it’s too late… These proposals keep Congress and the public involved in this important process. Hopefully they can give our leaders the kick in the pants they need to start working together to secure Social Security for current and future generations,” Committee for a Responsible Federal Budget President Maya MacGuineas wrote.

Based on the current average monthly payout of $2,071, beneficiaries — including seniors and individuals with disabilities — would lose roughly $450 per month if a funding plan is not put in place. Experts estimate this reduction would force over 3 million American citizens into poverty.

U.S. natural gas inventories increased again last week, reinforcing expectations that the nation will enter the upcoming winter heating season with comfortable fuel supplies despite continued summer electricity demand.

The U.S. Energy Information Administration (EIA) reported on Thursday, July 16, that working natural gas in underground storage increased by 47 billion cubic feet (Bcf) for the week ending July 10. Total U.S. inventories now stand at approximately 3.05 trillion cubic feet, remaining above the five-year seasonal average.

The report helped reassure energy markets that domestic production continues to outpace current demand, even as much of the country experiences elevated temperatures that increase electricity usage for air conditioning.

Production Continues Outpacing Demand

The weekly storage build reflects strong domestic production from major shale regions, including the Appalachian Basin, the Permian Basin and the Haynesville formation.

Although power plants have consumed significant amounts of natural gas to meet summer electricity demand, production has remained strong enough to allow inventories to continue growing.

Energy analysts say the steady pace of injections gives utilities additional flexibility ahead of the winter heating season.

Consumers Benefit From Stable Prices

Healthy storage levels generally help limit price volatility for residential and commercial natural gas customers.

Natural gas remains the primary heating fuel for millions of American households while also generating roughly 40% of the nation’s electricity.

Stable fuel costs can help moderate utility bills for consumers and reduce operating expenses for manufacturers, food processors, chemical producers and other energy-intensive industries.

Businesses also benefit from improved energy price visibility when planning budgets and production schedules.

Weather Remains the Biggest Wild Card

Despite comfortable inventories, weather continues to be the largest variable affecting natural gas markets.

Extended heat waves can sharply increase electricity demand, while an active hurricane season could temporarily disrupt Gulf Coast production and processing facilities.

Looking ahead, traders will also begin focusing on long-range winter weather forecasts, which historically play a major role in determining natural gas prices during the second half of the year.

LNG Exports Continue Growing

Liquefied natural gas exports remain an important source of demand for U.S. producers.

American LNG shipments continue supplying customers in Europe, Asia and other international markets, helping support domestic production while strengthening the United States’ position as one of the world’s leading energy exporters.

Even with rising export demand, current production levels have continued replenishing storage facilities at a healthy pace.

Looking Ahead

Energy markets will continue monitoring weekly storage reports throughout the summer and early autumn.

If production remains strong and weather patterns remain near seasonal norms, the United States appears well positioned heading into the winter heating season.

For consumers and businesses alike, healthy natural gas inventories provide another encouraging sign that energy supplies remain stable, helping reduce the risk of significant price spikes later this year.

JBizNews Desk | Washington

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Israeli defense-tech start-ups working with the Defense Ministry raised nearly $3 billion in the first six months of 2026, according to figures presented at the Haifa DefenseTech Startups and Investors Forum. 

The amount is three times the $1b. raised during all of 2025.

During the same period, defense-tech and dual-use companies accounted for almost 30% of the $8.4b. in private investment in Israel’s hi-tech sector. Approximately 800 start-ups are currently fulfilling direct procurement orders for the ministry.

The forum, held this week at EY’s Haifa office and organized by HiCenter Ventures, Gornitzky GNY, and EY, brought together entrepreneurs, investors, and officials from the defense industry and security establishment.

“Israel is rapidly transforming from a ‘Cyber Nation’ to a ‘Defense-Tech Nation,’” Ilana Averkin, head of Defense-Tech at HiCenter Ventures, was quoted as saying. 

Nevertheless, she warned that start-ups should not try to build full end-to-end systems and compete with the primes but rather “design the product as an independent, flexible, and agnostic component” that can be easily integrated into the platforms of defense giants like Lockheed Martin, Raytheon, or local players such as Israel Aerospace Industries (IAI) , Elbit Systems, and Rafael Advanced Defense Systems.

Global crises 

Global conflicts in Ukraine, the Persian Gulf, Lebanon, and Gaza have contributed to increased demand for defense technologies, including from Israel. Participants at the event cited the ability of Israeli companies to upgrade systems during active combat as a factor drawing interest from foreign customers.

Lior Hanuka, CEO of HiCenter Ventures, told the crowd that “following lessons from fighting in the Gaza Strip, in Lebanon, and in Ukraine, control of frequencies and the ability to disrupt GPS systems and drones has become a top investment priority.” 

He added that “a great deal of money is being invested in AI that not only analyzes data but can make autonomous real-time decisions, such as automatic target prioritization, dynamic supply-chain management, and predicting failures in weapons systems.”

Primes have been cooperating with defense-tech companies around the world, and Dr. Moshe Shuker, senior vice president for Research and Development at Rafael, told the crowd that the company has “significantly expanded” its work with start-ups by integrating components and assemblies to broad collaborations on flagship systems.

“Rafael is one of the world’s leading defense industries, and it has set for itself the goal of being a significant pillar of Israel’s security through unique and groundbreaking innovation and technology. In recent years, Rafael’s products have been at the technological forefront of defending Israel, and we do everything to ensure this continues.”

According to Shuker, by adapting the company’s activities in the defense-tech sector, “the connection between agile start-ups and established development bodies and defense industries makes it possible to significantly shorten the path from an idea to battlefield technology.” 

Central industry

Hanuka said investment is increasingly directed toward software-based systems, including battlefield operating systems, encrypted cloud communications, and autonomous software for drones and robots. He also noted growing interest in AI for real-time decision-making and predictive maintenance.

“Products like battlefield operating systems, encrypted cloud communications, and autonomous software for drones and robots are achieving high valuations,” he said.

Adv. Ariel Sagee of Gornitzky said that government bodies, including the Israel Innovation Authority, the Defense Ministry, and Directorate of Defense Research and Development (DDR&D) are taking a more proactive approach to supporting defense-tech companies.

“We are witnessing a fundamental shift in the way government authorities engage with the defense and technology sectors,” he said.

According to him, “organizations that were once viewed as highly bureaucratic, including the Israel Innovation Authority, the Defense Ministry, and especially DDR&D are now taking a far more proactive approach. Their focus has shifted toward accelerating innovation, fostering collaboration, and removing barriers for companies operating in the sector.”

The numbers come shortly after a report by the Aaron Institute for Economic Policy at Reichman University found a sharp rise in the number of hi-tech employees in Israel, especially in the defense-tech sector. The report, which was quoted by Ynet, said that there were 424,000 workers in hi-tech – a 6.2% rise.

The increase in workers has led to a 32% jump in office space leased by defense companies in the first half of the year. According to the report by Colliers Israel, the three leading defense firms – Rafael, Elbit, and IAI – as well as defense-tech start-ups have leased more than 140,000 sq.m., compared with about 106,000 sq.m.  in the second half of 2025. 

Investment focus and regional development

While most companies are located in the center of Israel (around 80% according to data from the report), Hanan Markovitz, CEO of the Haifa Economic Corporation, said that strengthening Haifa and the North as a technological hub is important for national resilience and called for a national initiative to attract development centers and investment to the region.

“Israel cannot continue concentrating the best human and technological capital of the security establishment in the center of the country. Investment in Beersheba is welcome, but national resilience also requires a strong hub in Haifa and the North,” he said.

HiCenter Ventures was established by the Haifa Economic Corporation and the city of Haifa to support the local entrepreneurial ecosystem. Since 2021, it has supported and invested in 104 start-ups that have raised more than $300 million. Its investor hub, HiFund, includes about 1,200 investors and 300 strategic partners and investment entities.

In 2025, HiCenter invested in 24 start-ups, including 19 new portfolio companies and five follow-on rounds. Those companies raised about $90m. in additional funding during the year.

According to Averkin, HiCenter plans to invest in 10 defense-tech start-ups this year and will assist companies with capital raising, proof-of-concept work, export licensing, and manufacturing.

This post was originally published on here.

Nasdaq drops nearly 2% in the opening minutes; Dow holds near flat; Brent runs toward a 12% weekly gain as Hormuz transit collapses

Roughly 25 minutes into the session, the S&P 500 was trading at 7,466.06, down 67.71 points, or 0.90%. The Nasdaq Composite was off 1.88%, while the Dow Jones Industrial Average slipped just 0.14%. The Philadelphia Semiconductor Index dropped 4%  — a second consecutive session of heavy losses for the group after the index tumbled more than 4% on Thursday.

The split between the Dow and the Nasdaq is the story of the morning. Money is not leaving the market so much as leaving one corner of it.

What’s driving it

Two separate pressure points hit at once.

The first is a continued repricing of AI infrastructure spending. The rally that carried markets off their March lows has stalled as investors reassess how much companies are committing to artificial intelligence and what those commitments return.  Thursday offered a clean illustration: Taiwan Semiconductor Manufacturing reported a 77% annual earnings gain and watched its shares fall more than 4%  — the second time in three days that strong results from a dominant chipmaker preceded a selloff in the sector rather than a rally.

The pressure traveled overnight. Japan’s Nikkei 225 closed down 4.03%.

The second is Netflix. The company reported second-quarter earnings of $0.80 per share against a $0.79 estimate on revenue of $12.6 billion, essentially in line. The problem was the guide: third-quarter revenue of $12.86 billion versus a $13.006 billion consensus, and earnings of $0.82 against $0.84 expected. Full-year 2026 revenue was narrowed to $51 billion to $51.4 billion.  Shares fell more than 9% in extended trading  — a second straight quarter of decelerating sales growth in what management characterized as a competitive and shifting entertainment market.

Market Movers

• Netflix (NFLX) — down sharply on the Q3 revenue and earnings guide, not the quarter itself.

• Semiconductors — the sector is doing the bulk of the index-level damage. The PHLX Semiconductor Index is down 4% at the open after a 4%-plus decline Thursday, with the group at roughly two-month lows.

• Truist Financial (TFC) and Fifth Third Bancorp (FITB) — the regional banks close out this week’s earnings docket,  giving the first read on mid-sized lender credit quality since energy costs began climbing again.

• Defensive names — consumer staples are holding up as the rotation out of high-multiple tech continues.

Commodities

Energy is where the geopolitical backdrop is showing up in hard numbers.

Brent crude traded at $85.10 a barrel and WTI at $79.93 Friday morning, with prices up roughly 12% on the week — on pace for the strongest weekly gain since April. The move traces directly to the Strait of Hormuz, where confirmed crude and condensate transit has fallen 62% to 4.1 million barrels per day, according to Kpler, with regional loadings down 47%.

The U.S. struck Iranian coastal, military and maritime targets for a sixth consecutive night. Five bridges were hit and seven people were killed. Iran launched fresh strikes in response.  Friday’s exchange included the first direct attack on U.S. facilities in Syria.

The date that matters for planners: the 60-day ceasefire memorandum signed last month expires August 16.

Elsewhere, gold traded near $4,000 an ounce, up modestly, and the VIX rose nearly 10% to 18.37.  Bitcoin was near $62,932, down 1.7%.

On deck

The University of Michigan’s preliminary July consumer sentiment reading lands at 10 a.m. ET. It arrives with unusual weight. June’s final reading came in at 49.5, up from May’s all-time low of 44.8, with the improvement credited largely to a moderation in gasoline prices. Year-ahead inflation expectations sat at 4.6% — well above the 3.4% recorded in February, before the Iran conflict began.

That relief has now reversed. Gasoline is following crude back up, which means the single input that lifted sentiment off record lows in June has flipped direction going into the July survey.

For business owners, the read-through is straightforward: the equity story this morning is a tech-sector valuation argument, and it is largely self-contained. The energy story is not. A 62% collapse in Hormuz transit shows up in freight rates, fuel surcharges, and input costs for anyone moving physical goods — and it will show up on invoices long after the chip trade sorts itself out.

Note on data: June retail sales grew 0.2% month over month, below the 0.3% consensus.  EIA’s July outlook, published July 7, forecast Brent averaging $74 a barrel in the third quarter  — a projection built on the assumption of a reopened strait, and one this week’s transit data has already overtaken.

JBizNews Desk | Wall Street

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Hyundai Motor Group announced Thursday, July 16, that it will acquire SoftBank Group’s remaining approximately 10% stake in Boston Dynamics, making the U.S. robotics company a wholly owned subsidiary. The announcement was confirmed by Hyundai and follows SoftBank’s exercise of a contractual put option established when Hyundai first acquired control of Boston Dynamics in 2021. Financial terms were not officially disclosed, although South Korean media have estimated the transaction at roughly 500 billion won (about $335 million). 

The move gives Hyundai complete strategic control over one of the world’s most recognizable robotics companies as the automaker accelerates its transformation from a traditional vehicle manufacturer into a broader mobility, artificial intelligence and robotics company.

Rather than viewing robots as a side business, Hyundai is positioning robotics as a central pillar of its long-term growth strategy.

From Viral Videos to Factory Floors

Boston Dynamics built its global reputation through highly advanced robots capable of running, climbing stairs, navigating rough terrain and performing complex movements once thought impossible for machines.

Its quadruped Spot robot has been deployed for industrial inspections, construction sites, utility operations, mining, public safety and infrastructure monitoring around the world.

More recently, attention has shifted to Atlas, the company’s next-generation humanoid robot designed for industrial work.

Hyundai plans to begin deploying Atlas robots at its new electric vehicle manufacturing facility in Georgia beginning in 2028, where the robots are expected to initially perform parts sequencing before gradually expanding into additional manufacturing functions, including component assembly by the end of the decade. 

The Georgia deployment represents one of the first large-scale commercial applications of advanced humanoid robots inside an automotive production environment.

Why Hyundai Wants Full Control

Hyundai originally acquired an 80% interest in Boston Dynamics from SoftBank in 2021. Through subsequent ownership adjustments, Hyundai and its affiliated companies increased their combined ownership to more than 90%, leaving SoftBank with a minority interest of roughly 10%.

By purchasing the remaining shares, Hyundai eliminates minority ownership and gains complete authority over future investment decisions, commercialization strategy, research priorities and any potential future public offering.

The company said complete ownership provides greater flexibility to make long-term investments without needing approval from outside shareholders.

That flexibility may prove increasingly valuable as competition intensifies among companies racing to commercialize humanoid robotics.

Tesla, Figure AI, Agility Robotics and several Chinese robotics developers are investing billions of dollars into humanoid systems intended for factories, warehouses and logistics operations.

Hyundai believes Boston Dynamics gives it one of the industry’s strongest technology platforms.

Automation Meets Labor Concerns

The announcement comes during a period of heightened labor tensions in South Korea, where Hyundai’s union has raised concerns about automation replacing manufacturing jobs.

Union officials have warned that expanding use of humanoid robots could reduce future hiring needs if automation advances more rapidly than workforce growth.

Hyundai has stated that robotics is intended to improve productivity, safety and manufacturing efficiency rather than simply eliminate jobs.

The company argues that robots can assume repetitive, dangerous or physically demanding work while employees transition toward higher-value technical roles.

Nevertheless, labor organizations continue watching Hyundai’s robotics strategy closely as implementation moves forward.

A Broader Robotics Strategy

Hyundai’s ambitions extend well beyond automobile manufacturing.

The company envisions robots supporting logistics, warehousing, healthcare, construction, mobility services and smart-city infrastructure.

Boston Dynamics already sells industrial robots globally, and Hyundai hopes its manufacturing expertise can accelerate production while reducing costs over time.

Combining Hyundai’s large-scale manufacturing capabilities with Boston Dynamics’ robotics expertise could enable broader commercialization of advanced robotic systems.

Industry analysts view the acquisition as another indication that robotics is moving from experimental research into mainstream industrial deployment.

While humanoid robots remain expensive today, manufacturers increasingly see them as long-term tools capable of helping address labor shortages, improve workplace safety and increase productivity.

What Comes Next

Hyundai will continue integrating Boston Dynamics into its broader robotics strategy while preparing Atlas for commercial deployment in the United States.

The company expects full ownership to simplify decision-making and accelerate development timelines as global competition in robotics continues to intensify.

For Boston Dynamics, the transaction closes another chapter in a corporate history that has included ownership by Google, SoftBank and now full integration into Hyundai Motor Group.

For Hyundai, it represents one of the clearest signals yet that the future of the company extends far beyond automobiles.

JBizNews Desk | Seoul

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Andy Burnham, nicknamed the ‘King of the North’, was elected leader of Britain’s governing Labour Party on Friday, the final step before becoming its seventh prime minister in a decade on a pledge to thwart the rise of the populist Reform UK.

At a ‘special conference’ on Friday, Burnham, who earned the regal moniker for his determination as mayor of Greater Manchester to defend the region’s interests, said he was ready for power and would work to offer hope to people in “forgotten places everywhere.”

“We are united and we put the power that comes from that unity at the service of people and places who have been waiting too long for politics to let them hope again,” he told a room full of Labour lawmakers and party officials.

“And that’s what we’re going to do, everybody, we’re going to give them hope back.”

He also paid tribute to Keir Starmer, the man he will replace as British prime ministeron Monday, when the party will be eager to find out his cabinet team and learn more about his approach to government.

Burnhams big ‘rebalancing of power’

Despite his offer of hope to places that feel ‘left behind’, there is still much to know about how Burnham will govern.

He has given one speech since returning to parliament last month after winning a seat in Makerfield, the start of a four-week process to remove Starmer, whose unpopularity across Britain turned his lawmakers against him, and take his place as prime minister.

In it, he sketched out some of his domestic agenda, saying he wanted to oversee the “biggest rebalancing of power” from London to Britain’s regions — something he believes will reduce inequality and the anger felt by “left-behind communities” who have increasingly flocked to Reform.

That message of having a plan to thwart the rise of Reform won over Labour lawmakers, who feared they would lose their parliamentary seats to veteran Brexit campaigner Nigel Farage’s populist party at the next national election, due by 2029. Reform has topped opinion polls for months.

Some of that sheen has been tarnished in recent weeks by Farage’s acceptance of funds from wealthy donors, perhaps giving Burnham an opening to revive Labour’s fortunes.

Yet he does not have much time.

With a general election no more than three years away, Burnham will need to start implementing some of his pledges, many of which are based on long-term thinking, as quickly as possible.

Nigel Wilcock, executive director at the Institute of Economic Development, an independent body representing economic development professionals, said Burnham had spent years making the case for a different approach to economic growth:

“The challenge is turning that vision into a reality.”

This post was originally published on here.

U.S. import prices unexpectedly declined in June, providing encouraging news for consumers and businesses as the cost of many goods entering the country continued to moderate despite ongoing global trade uncertainty.

The U.S. Bureau of Labor Statistics reported on Thursday, July 16, that import prices fell 0.2% in June, reversing the previous month’s increase and coming in below economists’ expectations. Excluding fuel, import prices were largely stable, indicating that broader inflation pressures from overseas goods remain relatively contained.

The report is closely watched because import prices often provide an early indication of future inflation trends affecting American consumers and businesses.

Lower Energy Costs Help Drive Decline

The decrease was largely driven by lower prices for imported fuel products.

Energy markets remained volatile throughout June, but overall import costs declined enough to offset modest increases in several categories of manufactured goods.

Lower import costs can eventually benefit consumers by reducing pricing pressure on retailers, manufacturers and distributors that rely on imported products.

Companies importing raw materials, machinery and consumer goods may also benefit from improved cost stability.

Good News for Consumers

Moderating import prices could help keep inflation under control during the second half of the year.

Many consumer products sold in the United States—including electronics, household goods, clothing and appliances—contain imported components or are manufactured overseas.

When import costs stabilize or decline, businesses often face less pressure to raise prices for consumers.

Although not every cost savings is immediately passed along, easing import inflation is generally viewed as a positive development for household budgets.

Businesses Gain Greater Pricing Stability

American manufacturers also benefit from lower import costs.

Many companies rely on imported metals, industrial equipment, chemicals and production components to manufacture finished products domestically.

More stable import pricing allows businesses to better forecast expenses, manage inventories and plan future investments.

The report also comes as global supply chains continue operating more smoothly than during the disruptions experienced in recent years.

Federal Reserve Watches Inflation Closely

The latest figures provide another data point for policymakers as they evaluate future interest-rate decisions.

While the Federal Reserve considers many measures of inflation, declining import prices reduce one potential source of upward price pressure across the economy.

Combined with recent reports showing moderating producer prices and improving supply chains, the latest import price data suggests inflation continues moving in a more favorable direction.

Officials will continue monitoring consumer prices, wage growth and employment before making future policy decisions.

Looking Ahead

Economists expect import prices to remain sensitive to energy markets, currency movements and international trade conditions.

Even with ongoing geopolitical uncertainty, June’s report suggests businesses are not currently experiencing widespread increases in overseas purchasing costs.

For consumers, manufacturers and retailers alike, the latest data offers another encouraging sign that inflationary pressures may continue easing during the second half of 2026.

JBizNews Desk | Washington

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The European Commission on Thursday, July 16, adopted legally binding measures requiring Google to make key parts of its Android ecosystem more accessible to competing artificial intelligence assistants and search providers under the European Union’s Digital Markets Act (DMA). The decision follows months of consultations and marks one of the Commission’s most significant enforcement actions against a major technology platform since the DMA took effect.

The ruling requires Google to improve interoperability between Android devices and third-party services while also making certain anonymized Google Search data available to qualifying competitors. European regulators say the measures are intended to reduce barriers that have historically favored Google’s own products and create greater competition in both artificial intelligence and online search.

For businesses developing AI assistants, search engines, voice technologies and connected devices, the decision could reshape how consumers interact with Android smartphones across Europe over the coming years.

Opening Android to Competing AI Services

At the center of the Commission’s decision is Android, the world’s largest mobile operating system.

European regulators concluded that Google must provide developers with greater technical access to Android features that have traditionally been more easily available to Google’s own applications and services. These include functions used by voice assistants, connected devices and emerging AI-powered digital assistants.

The Commission believes that allowing competing AI platforms to integrate more deeply into Android will encourage innovation while giving consumers additional choices beyond Google’s native ecosystem.

Rather than forcing consumers to rely primarily on Google Assistant or other Google-developed tools, device manufacturers and software developers will have broader opportunities to offer competing AI experiences that function more seamlessly on Android devices.

Implementation of many interoperability requirements will occur in phases, with some technical obligations extending through July 2027.

Search Data Sharing

The Commission also ordered Google to establish a framework allowing eligible competitors access to certain anonymized search data generated through Google Search.

European officials argue that access to search information has become increasingly important for companies developing competing search engines and artificial intelligence systems that depend on high-quality data to improve results.

The Commission emphasized that any data sharing must comply with European privacy laws and include safeguards designed to protect users’ personal information.

The measures do not authorize the release of personally identifiable search histories. Instead, regulators envision structured access to anonymized information intended to improve competition while preserving user privacy.

Google Pushes Back

Google sharply criticized the Commission’s decision, arguing that the requirements could reduce security, slow innovation and expose proprietary technology that the company has spent decades developing.

The company has maintained throughout the DMA process that excessive interoperability requirements could weaken cybersecurity protections and create additional risks for Android users.

Google also argues that mandatory data-sharing obligations could discourage long-term investment in search and artificial intelligence by reducing incentives to develop new technologies.

While the company must comply with the Commission’s legally binding measures, additional legal challenges remain possible as implementation moves forward.

A Growing Global Regulatory Trend

The decision represents another chapter in the broader effort by regulators worldwide to increase oversight of dominant digital platforms.

Over the past several years, governments in Europe, the United States and other jurisdictions have introduced new rules addressing competition in digital advertising, mobile operating systems, app stores, online marketplaces and artificial intelligence.

The European Union has generally taken the most aggressive regulatory approach through the Digital Markets Act, which establishes special obligations for designated “gatekeeper” platforms considered essential to digital commerce.

The law is designed to prevent dominant technology companies from using their market positions to disadvantage competitors.

The Google measures announced Thursday are among the most detailed technical interoperability requirements issued under the DMA to date.

Implications for Businesses

The ruling extends well beyond Google.

Artificial intelligence companies, software developers, smartphone manufacturers and enterprise technology providers will all be watching closely as implementation begins.

Companies building AI assistants could gain broader access to Android capabilities that were previously more difficult to integrate.

Search providers may receive new opportunities to improve their own platforms through access to additional anonymized search information.

Device manufacturers could also benefit from increased flexibility when deciding which digital assistants and AI services to feature on future smartphones and connected products.

For consumers, the practical effects are expected to emerge gradually as Google implements the required changes over the next several years.

Whether the measures ultimately produce significantly greater competition in AI and search remains uncertain, but the decision reinforces Europe’s determination to shape how large technology platforms operate within its borders.

The Commission said it will continue monitoring Google’s compliance throughout the implementation process and may take additional enforcement action if obligations are not met.

JBizNews Desk | Brussels

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Manufacturing activity in the Mid-Atlantic region unexpectedly returned to growth in July, offering a positive signal for U.S. factories after several months of uneven economic conditions.

The Federal Reserve Bank of Philadelphia reported on Thursday, July 16, that its Manufacturing Business Outlook Survey rose to 15.9 in July from –4.0 in June, marking a significant improvement and easily surpassing economists’ expectations. A reading above zero indicates expansion.

The survey is one of the first major indicators released each month on U.S. manufacturing activity and is closely monitored by businesses and investors for clues about the broader economy.

New Orders Rebound

A major driver of the improvement was stronger customer demand.

The survey’s new orders index returned to positive territory as manufacturers reported increased business activity from both existing and new customers.

Production also accelerated during the month, while shipments improved, suggesting factories experienced stronger output entering the second half of the year.

Many manufacturers reported that customers who delayed purchases earlier this year have begun placing new orders as economic uncertainty eased.

Employment Holds Steady

Hiring remained relatively stable.

While manufacturers continue exercising caution when adding workers, few companies reported significant layoffs.

Businesses said they remain focused on retaining skilled employees amid continued shortages of experienced manufacturing workers in several specialized industries.

Capital spending plans also improved modestly, suggesting businesses remain willing to invest despite higher financing costs.

Prices Continue Moderating

The survey showed input costs continued rising but at a slower pace than seen over the past two years.

Many manufacturers reported better availability of raw materials and improved supply chains compared with earlier periods.

While pricing pressures have not disappeared, businesses indicated inflation has become more manageable, allowing companies to better plan production and inventory.

What It Means for the Economy

Manufacturing represents a key component of the U.S. economy, particularly across industrial states.

A rebound in factory activity often signals stronger business investment, increased freight demand and improved confidence among producers.

The stronger July survey also complements other economic reports released this week showing resilient consumer spending and a stable labor market.

If additional regional manufacturing surveys show similar improvement, economists may become more optimistic about industrial growth during the second half of 2026.

Looking Ahead

Manufacturers remain cautiously optimistic despite ongoing uncertainty surrounding interest rates, global trade and geopolitical risks.

Many companies expect business conditions to improve further if customer demand remains steady and inflation continues moderating.

While challenges remain, July’s survey provides one of the strongest indications in recent months that U.S. manufacturing may be regaining momentum.

For businesses across the industrial economy, the latest report offers encouraging evidence that factory activity is beginning to strengthen after a sluggish start to the year.

JBizNews Desk | Philadelphia

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L

Catholic Health and GE HealthCare announced Thursday, July 16, a 10-year strategic partnership valued at approximately $500 million that will bring more than 1,300 pieces of medical technology to hospitals and outpatient facilities across Long Island.

The agreement, structured as a long-term Care Alliance, represents one of the largest health technology modernization projects announced in the New York metropolitan region this year. It is designed to expand patient access to advanced imaging, precision diagnostics, monitoring systems and artificial intelligence-supported healthcare tools while creating a unified system for maintaining and replacing equipment across Catholic Health’s network.

The partnership will cover Catholic Health hospitals and ambulatory locations throughout Nassau and Suffolk counties, bringing new technology closer to patients who might otherwise need to travel farther for specialized testing or treatment.

The planned equipment expansion includes advanced imaging and diagnostic technologies used in radiology, cardiology, oncology, surgery and other areas of patient care. Artificial intelligence will also be deployed across scheduling, clinical operations, diagnostic workflows and patient monitoring.

For Catholic Health, the agreement is not simply an equipment purchase. The organization is entering a decade-long relationship that combines technology installation with maintenance, service support, workforce training and long-term planning.

That approach is intended to reduce one of the most persistent operational challenges facing large hospital systems: managing medical devices from different generations, manufacturers and service schedules while trying to maintain consistent care across multiple locations.

Under the partnership, Catholic Health will be able to coordinate equipment upgrades across its network rather than replacing machines individually as they become outdated or unreliable. The system is expected to help administrators better anticipate maintenance needs, improve equipment availability and reduce interruptions caused by aging technology.

The investment could also expand the number of procedures that can be performed at community hospitals and outpatient centers rather than at the system’s largest facilities.

That matters on Long Island, where population growth, an aging demographic and rising demand for outpatient care have placed increasing pressure on hospital capacity. Patients frequently face long waits for specialized imaging, and hospitals must balance the need for expensive new technology against competing staffing and infrastructure costs.

By adding equipment throughout the network, Catholic Health is seeking to make services more accessible while improving the consistency of care available across different communities.

The agreement also reflects a broader transformation underway in the healthcare industry. Hospitals are moving away from purchasing isolated pieces of equipment and toward long-term partnerships that combine hardware, software, data analysis, artificial intelligence and technical support.

Medical technology companies increasingly view these arrangements as a way to build recurring business relationships with health systems while helping hospitals plan capital spending over longer periods.

For healthcare providers, the model can reduce uncertainty by establishing a schedule for equipment replacement, upgrades and maintenance. It may also help hospitals avoid sudden capital expenses when critical machines fail or become obsolete.

Artificial intelligence will be a major part of the Catholic Health initiative, although the technology is expected to support clinicians and hospital operations rather than replace medical professionals.

AI-enabled systems can help prioritize imaging studies, identify abnormalities that require urgent review, automate measurements, assist physicians in comparing current and previous scans and reduce administrative work.

The technology can also be used outside the examination room. Hospitals are deploying AI to coordinate appointments, predict demand, manage patient flow, monitor equipment performance and identify operational bottlenecks.

When implemented effectively, those systems can shorten waiting times and allow nurses, technicians and physicians to spend more time directly caring for patients.

The Catholic Health agreement includes AI capabilities operating at several levels. Some will be embedded directly into medical devices. Others will assist individual hospital departments or connect information across the broader health system.

That integrated structure is important because many hospitals still operate with fragmented technology systems that do not communicate smoothly with each other. A hospital may have advanced imaging equipment but still rely on separate scheduling, maintenance and patient-record systems.

The 10-year arrangement is intended to create a more coordinated technology environment while allowing Catholic Health to continue updating its systems as new medical tools become available.

The partnership also gives GE HealthCare a major long-term presence in one of the country’s largest healthcare markets. Long Island is home to nearly three million residents and several competing hospital systems that are investing heavily in outpatient care, advanced diagnostics and digital health.

GE HealthCare said the alliance is designed to improve equipment reliability, operational efficiency and consistency of care. Catholic Health said the investment will help deliver advanced services closer to where patients live.

The agreement comes as hospitals nationwide confront higher labor expenses, costly construction projects and increasing demand for sophisticated medical technology. At the same time, many health systems are under pressure to control costs and move more services away from traditional hospital settings.

Outpatient imaging and diagnostic centers have become especially important because they can often provide services more conveniently and at a lower cost than hospital-based departments.

Catholic Health’s decision to distribute new technology across both hospitals and ambulatory locations suggests the organization is preparing for continued growth in community-based and outpatient care.

The financial impact of the project will extend beyond the two organizations. Medical equipment installation can require construction, electrical work, information technology integration and specialized training. The initiative may create opportunities for contractors, technology vendors, maintenance providers and local healthcare workers throughout the 10-year term.

The size and duration of the partnership also provide Catholic Health with a framework for future expansion. As patient demand changes, the organization will be positioned to add or replace technology without renegotiating an entirely new systemwide strategy.

For Long Island patients, the most visible result will be the arrival of newer equipment and potentially shorter travel distances for advanced care.

The larger test will be whether the investment improves appointment availability, reduces equipment downtime and helps Catholic Health provide the same level of technology across its entire network.

Implementation details, including the timing and locations of the first equipment installations, are expected to emerge as the two organizations begin rolling out the partnership.

JBizNews Desk | New York

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The U.S. Department of Labor reported on Thursday, July 16, that initial applications for unemployment benefits fell by 8,000 to a seasonally adjusted 208,000 for the week ending July 11, the lowest level in 10 weeks and well below economists’ expectations. The latest figures suggest employers continue holding onto workers despite slower hiring and ongoing economic uncertainty. 

The decline comes after claims briefly climbed during late May and mid-June, raising concerns that businesses were becoming more cautious about the economy. Instead, the latest report points to a labor market that continues to show remarkable stability.

Economists had expected approximately 217,000 to 218,000 new claims. The actual figure of 208,000 surprised forecasters and reinforced the view that layoffs remain historically low. 

Hiring Has Slowed, But Employers Continue Retaining Workers

While layoffs remain limited, businesses are also hiring more cautiously.

Economists increasingly describe today’s employment environment as a “slow hire, slow fire” labor market. Companies are adding workers at a slower pace than in previous years, but they are also avoiding significant workforce reductions.

The report showed that continuing claims, which measure the number of people already receiving unemployment benefits, declined by 16,000 to approximately 1.805 million, indicating unemployed workers are still finding jobs at a relatively healthy pace. 

Businesses Still Struggle to Find Skilled Workers

The latest employment data aligns with other reports released this week showing that labor shortages remain a challenge in many industries.

The Federal Reserve’s Beige Book found employment continued growing across much of the country, although several regions reported little change. Employers continue reporting difficulty finding qualified technicians, skilled tradespeople and experienced workers.

Small business surveys released this week also showed many employers continue struggling to fill open positions despite slower overall hiring. 

What It Means for Businesses

For employers, the report suggests the labor market remains competitive.

Companies seeking experienced workers may continue facing recruiting challenges even as overall hiring moderates.

For consumers, continued employment stability supports household income and spending, helping explain why retail sales also exceeded expectations during June.

The combination of healthy employment and resilient consumer spending provides additional evidence that the U.S. economy continues expanding despite elevated interest rates and global uncertainty.

Federal Reserve Outlook

The stronger-than-expected claims report may also influence Federal Reserve policymakers.

While inflation has moderated from earlier highs, officials continue monitoring labor market strength when evaluating future interest-rate decisions.

A resilient employment market reduces pressure for immediate rate cuts because policymakers remain focused on ensuring inflation continues moving toward its long-term target.

Most economists expect future inflation reports, employment data and consumer spending figures to play a significant role in determining the Fed’s next policy moves.

Looking Ahead

Although hiring has slowed compared with previous years, employers continue demonstrating confidence by limiting layoffs.

The latest claims report reinforces the view that the labor market remains one of the strongest pillars supporting the U.S. economy.

Businesses, investors and policymakers will now look toward the July employment report for additional confirmation that the labor market continues achieving the difficult balance between slower growth and sustained stability.

JBizNews Desk | Washington

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Taiwan Semiconductor Manufacturing Co. (TSMC) reported record second-quarter earnings on Thursday, July 16, posting a 77% year-over-year increase in net profit to NT$706.6 billion (approximately US$22 billion), easily surpassing analyst expectations as global demand for artificial intelligence chips continued to accelerate. The results, announced by the company and confirmed during its quarterly earnings release, also included a higher full-year revenue outlook as TSMC cited sustained demand from AI infrastructure customers. 

The performance reinforces TSMC’s position as the world’s most important semiconductor manufacturer, producing advanced chips used by many of the largest technology companies, including Nvidia, Apple and AMD.

The company reported second-quarter revenue of NT$1.27 trillion, another company record, reflecting continued demand for advanced manufacturing technologies used in AI accelerators, high-performance computing and premium smartphones. Advanced process technologies of 7 nanometers and below accounted for approximately 77% of wafer revenue, highlighting the industry’s rapid migration toward more sophisticated chip designs. 

AI Continues to Fuel Historic Growth

The biggest driver behind TSMC’s performance remains artificial intelligence.

Cloud computing providers, enterprise AI developers and technology companies continue ordering enormous quantities of advanced processors to support expanding AI infrastructure.

That demand has translated directly into higher production volumes for TSMC’s most advanced manufacturing nodes, including its 3-nanometer technology while preparations continue for broader commercialization of its next-generation 2-nanometer process.

The company also continues expanding its advanced chip packaging capacity, another area experiencing exceptionally strong demand as AI processors become increasingly complex.

Executives said AI-related business continues growing substantially faster than many traditional semiconductor markets.

Raising the Outlook

Along with reporting record earnings, TSMC increased its full-year outlook.

Management now expects 2026 revenue growth exceeding 40%, up from its previous forecast of approximately 30%, reflecting stronger-than-anticipated demand from AI customers. 

The company also increased its expected capital expenditures to between US$60 billion and US$64 billion as it expands manufacturing capacity to meet customer demand.

Those investments include continued expansion in Taiwan as well as construction of multiple fabrication facilities in Arizona.

Earlier this year, TSMC announced plans to increase its long-term U.S. investment commitment to approximately US$265 billion, making it one of the largest foreign manufacturing investments in American history. 

Strong Results, Mixed Market Reaction

Despite the record earnings report, investors remained cautious.

Technology shares broadly weakened during Thursday’s trading session as markets questioned whether massive AI-related capital spending across the semiconductor industry can continue indefinitely.

Some investors focused less on current demand and more on future spending levels required to support continued expansion.

The reaction reflected broader concerns throughout the semiconductor sector, where expectations have become exceptionally high after multiple years of rapid AI-driven growth. 

Why Businesses Are Watching

TSMC’s earnings extend far beyond one company’s quarterly results.

The manufacturer sits at the center of the global semiconductor supply chain, producing chips that power artificial intelligence systems, smartphones, autonomous vehicles, cloud computing, industrial automation and advanced defense technologies.

Its financial performance often serves as one of the clearest indicators of worldwide technology investment.

Strong results suggest corporations continue making substantial investments in AI infrastructure despite broader economic uncertainty.

For suppliers, equipment manufacturers and software developers, continued growth at TSMC represents additional evidence that AI-related capital spending remains robust.

At the same time, the company’s expanding capital expenditures underscore the enormous costs required to maintain leadership in advanced semiconductor manufacturing.

Building and equipping a modern fabrication plant can require tens of billions of dollars before a single chip is produced.

Looking Ahead

TSMC enters the second half of 2026 with substantial momentum.

Demand for AI processors continues exceeding available manufacturing capacity in several advanced technologies, while new investments in the United States and Taiwan position the company for additional expansion over the coming years.

The primary question for investors is no longer whether artificial intelligence is driving semiconductor demand—it clearly is.

Instead, attention is shifting toward whether that extraordinary pace of investment can continue long enough to justify today’s historic valuations throughout the global AI ecosystem.

For now, TSMC’s latest results suggest the AI boom remains firmly intact.

JBizNews Desk | Taipei

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The U.S. Census Bureau reported on Thursday, July 16, that U.S. retail and food services sales increased 0.6% in June, significantly outperforming economists’ expectations and signaling that American consumers continued spending despite elevated interest rates and ongoing economic uncertainty. The stronger-than-expected report provided one of the clearest indications yet that household demand remains resilient heading into the second half of 2026.

Retail sales totaled an estimated $729.9 billion during June, representing a 3.9% increase compared with June 2025. The gains were broad-based, with consumers increasing purchases across numerous categories after softer spending earlier in the spring.

The report immediately drew attention across financial markets because consumer spending accounts for roughly two-thirds of U.S. economic activity, making retail sales one of the government’s most closely watched indicators of economic health.

Broad-Based Consumer Spending

The June increase extended beyond a single industry.

Motor vehicle and parts dealers posted one of the strongest monthly gains as consumers continued purchasing new vehicles despite higher financing costs.

Building materials and garden equipment retailers also reported stronger activity, reflecting continued investment in home improvement projects.

Online retailers remained a major contributor to overall sales growth, underscoring the continued shift toward digital commerce even as brick-and-mortar stores experienced improved customer traffic.

Restaurants and bars also recorded higher receipts, suggesting consumers continued allocating discretionary income toward dining and entertainment.

The combination of stronger spending across durable goods, services and online retail suggested consumer confidence remained healthier than many economists had anticipated.

Consumer Resilience Continues

The latest figures reinforce a trend that has surprised many forecasters throughout the past year.

Despite elevated borrowing costs, persistent inflation in some sectors and uncertainty surrounding global trade, American households have continued supporting economic growth through steady spending.

Strong wage growth and a relatively healthy labor market have helped offset higher prices and financing costs for many families.

While some households remain under financial pressure, aggregate consumer demand has continued exceeding expectations.

Businesses across retail, hospitality and consumer products have increasingly pointed to resilient customer activity during recent earnings reports.

What It Means for Businesses

For retailers, the June report provides encouraging evidence entering the important back-to-school shopping season.

Strong consumer demand benefits companies across numerous industries, including apparel manufacturers, electronics retailers, restaurants, logistics providers and payment companies.

Small businesses may also benefit if stronger household spending continues through the remainder of the summer.

Many retailers have spent the past several months carefully managing inventories amid uncertainty over tariffs, inflation and changing consumer preferences.

The stronger June report could encourage businesses to increase inventory purchases and hiring ahead of the holiday shopping season.

Federal Reserve Implications

The report also carries implications for monetary policy.

A stronger consumer sector may reduce concerns about slowing economic growth while reinforcing expectations that inflationary pressures could remain more persistent than previously anticipated.

Federal Reserve officials continue balancing progress on inflation against the risk of keeping interest rates elevated for too long.

Although one month’s data rarely changes monetary policy by itself, stronger-than-expected retail sales provide additional evidence that the economy remains on solid footing.

Future inflation reports and labor market data will continue playing a larger role in determining the Fed’s next interest-rate decision.

Looking Ahead

Economists will now watch whether June’s improvement represents the beginning of renewed consumer momentum or simply a rebound following weaker spring spending.

The upcoming back-to-school shopping season, continued employment growth and inflation trends will provide important clues about the strength of household demand during the remainder of 2026.

For now, the June retail sales report offers another reminder that the American consumer continues serving as one of the economy’s strongest sources of stability.

JBizNews Desk | Washington

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The childhood home of President Donald Trump in New York found a buyer after it was renovated by a real estate developer over the last year.

Located in the Queens borough of New York City, the Tudor-style home was built by the president’s father, real estate developer Fred Trump, in the affluent neighborhood known as Jamaica Estates in 1940.

The president lived at the home until the age of 4, when the family moved to a larger home in the neighborhood in 1950, Realtor.com reported.

The home was purchased a little more than a year ago by real estate developer Tommy Lin, who bought it for $835,000 in March 2025, according to PropertyShark records.

Lin previously told Mansion Global that while his work typically focuses on condos in Brooklyn, the “only reason I took on this project was because it’s Trump’s childhood house,” adding that ordinarily it would be “a little too small for me to do.”

At the time of Lin’s purchase, the house was in need of upkeep, with issues including a leaking roof, an overgrown yard and feral cats.

Lin worked on the renovation with Jevon Gratineau of Brown Harris Stevens, and they started the renovation with fixes to the interior caused by leaks, along with replacing the roof and windows and adding full insulation. He also redid the home’s facade, though it retains its Tudor-style appearance.

The two largely kept the layout of the 3,400 square foot, five-bedroom home intact from its original design – though they did remove a wall to open the kitchen and living room area.

They also fully finished the interior of the home after originally planning to just make it livable, with Lin telling the outlet he put “double or triple the time and effort” into this project compared to what he would normally work on.

The two told Mansion Global that the total renovation cost was a little over $500,000 – which included higher than expected spending on a new HVAC system as well as the property’s gardening.

The former Trump family home went back on the market late last year when it was listed in November for $2.3 million.

It was delisted by the end of January and relisted briefly in March for $2.2 million. The was relisted in May with a new agent, Joe Zhu of Re/Max Edge, with the most recent asking price just below $2 million.

The home was pending sale as of Tuesday, according to Realtor.com.

Netflix Inc. reported second-quarter financial results on Thursday, July 16, posting a 9% increase in net income to $3.4 billion as revenue climbed 13% to $12.56 billion, driven by continued membership growth, higher subscription prices and expanding advertising revenue. Despite another profitable quarter, the streaming giant issued a softer-than-expected outlook for the current quarter, sending its shares down more than 7% in after-hours trading. 

The earnings report illustrates the challenge facing one of the world’s largest entertainment companies. Netflix continues generating record profits and strong cash flow, yet investors are demanding faster revenue growth and clearer evidence that its newest business initiatives—including advertising and live programming—can sustain long-term expansion.

Revenue increased to $12.56 billion, up from approximately $11.1 billion a year earlier, while diluted earnings reached 80 cents per share, slightly ahead of Wall Street expectations. Net income rose from $3.13 billion during the same quarter last year. 

Advertising Business Continues Expanding

Netflix said its advertising-supported membership tier continues attracting new subscribers while providing an additional source of higher-margin revenue.

Advertising has become one of the company’s most important strategic priorities following the success of its password-sharing crackdown and several subscription price increases over the past two years.

Executives continue investing heavily in advertising technology while expanding relationships with global marketers seeking premium streaming audiences.

Industry analysts believe advertising could become one of Netflix’s fastest-growing businesses over the next several years if engagement remains strong.

Live Programming Gains Importance

Beyond traditional television series and films, Netflix continues broadening its programming strategy.

The company has expanded live sports programming, comedy specials, concerts and other live entertainment in an effort to increase viewer engagement and compete more directly with traditional broadcasters and digital platforms.

Management believes exclusive live events can encourage subscriber retention while creating new advertising opportunities.

Executives also highlighted continued investment in original programming, international productions and gaming initiatives as part of the company’s long-term growth strategy.

Why Investors Were Disappointed

Although quarterly results generally met expectations, investors focused on Netflix’s forward guidance.

The company projected approximately $13 billion in third-quarter revenue, representing growth but falling below many analysts’ forecasts.

Management also narrowed its full-year revenue outlook to a midpoint slightly below Wall Street expectations.

Those projections raised concerns that revenue growth could moderate after several years of expansion fueled by password-sharing enforcement and subscription price increases. 

Adding to investor concerns, Netflix announced it will publish its detailed engagement report annually instead of twice each year beginning in 2027.

The company said financial performance—not raw viewing hours—better reflects business success.

Some investors, however, viewed the reduced reporting frequency as limiting transparency into audience engagement.

Competition Continues Intensifying

Netflix remains the world’s largest subscription streaming platform, but competition continues evolving rapidly.

Traditional media companies continue investing in their own streaming services while technology companies increasingly compete for consumer attention through short-form video, creator content and artificial intelligence-powered recommendations.

Netflix executives acknowledged the increasingly competitive entertainment landscape but said the company’s global scale, broad content library and financial strength provide significant competitive advantages.

The company continues generating billions of dollars in annual free cash flow, allowing it to fund original productions while investing in technology and new business initiatives.

Looking Ahead

Netflix enters the second half of 2026 from a position of financial strength.

The company remains highly profitable and continues adding revenue despite an increasingly competitive streaming marketplace.

The next challenge will be convincing investors that advertising, live programming and international expansion can offset slowing growth in its more mature subscription business.

Wall Street’s immediate reaction suggests investors now expect more than steady profits—they want the next phase of Netflix’s growth story.

JBizNews Desk | Los Gatos, California

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CHICAGO — United Airlines Holdings Inc. raised its full-year earnings outlook Wednesday after reporting stronger-than-expected second-quarter results, saying resilient demand for premium cabins, international travel and corporate bookings helped offset higher operating costs and ongoing industry capacity growth.

The Chicago-based carrier reported quarterly earnings that exceeded Wall Street expectations, prompting management to increase its outlook for the remainder of 2026 despite continued uncertainty surrounding fuel prices and the broader economy.

The results reinforced a growing divide within the airline industry, with carriers benefiting from premium and international travel continuing to outperform airlines more dependent on domestic leisure passengers.

Premium Travelers Continue Spending

United said demand for premium seating remained one of the company’s strongest growth drivers during the quarter.

Business travelers and high-end leisure customers continued paying higher fares for premium cabins on both domestic and international routes, supporting stronger margins despite elevated labor and operating expenses.

Executives said international travel also remained particularly robust, with transatlantic and Pacific routes continuing to generate healthy demand throughout the summer travel season.

That strength has allowed United to command higher ticket prices while maintaining solid passenger loads across much of its network.

Corporate Travel Holds Up

Corporate travel also remained resilient, providing another boost to revenue.

Large companies continued sending employees on business trips despite ongoing economic uncertainty, helping stabilize one of the airline’s highest-margin customer segments.

Management said both business and leisure travelers continue prioritizing travel spending, even as consumers remain selective in other discretionary purchases.

The combination has supported stronger-than-expected revenue growth across United’s global network.

Outlook Improves

Following the quarter, United raised its full-year earnings guidance, reflecting management’s confidence that travel demand will remain healthy through the second half of the year.

Executives acknowledged that fuel prices, geopolitical developments and macroeconomic conditions remain important variables but said booking trends continue supporting a favorable outlook.

The airline also continues investing in fleet modernization, customer experience improvements and international route expansion as part of its long-term growth strategy.

Industry Showing Signs of Stability

United’s results add to growing evidence that the airline industry has entered a more stable phase after several years of pandemic-related disruption.

While airlines continue facing higher labor costs, aircraft delivery delays and operational challenges, demand has remained remarkably resilient.

Premium travel has emerged as one of the industry’s strongest profit drivers, allowing major network carriers to offset weakness in some lower-priced fare categories.

What Investors Will Watch

Investors will now focus on whether strong booking trends continue into the fall and holiday travel seasons.

Attention will also remain on fuel prices, aircraft deliveries and consumer spending as airlines prepare schedules for 2027.

For now, United’s results suggest travelers continue placing a high priority on air travel, particularly international and premium experiences, giving the carrier confidence to raise expectations for the remainder of the year.

JBizNews Desk | Chicago

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GE Aerospace reported strong second-quarter results on Thursday, July 16, raising its full-year earnings and cash-flow outlook after continued strength in its commercial aviation services business offset concerns over higher fuel prices and global airline capacity reductions. The company said demand for engine maintenance and replacement parts remains exceptionally strong as airlines continue operating older aircraft amid persistent shortages of new jets and engines. 

The aerospace giant now expects adjusted earnings of $7.65 to $7.85 per share for 2026, up from its previous forecast of $7.10 to $7.40. GE also increased its expected free cash flow to between $8.9 billion and $9.2 billion, reflecting continued demand across its high-margin commercial services business. 

The results exceeded Wall Street expectations.

Second-quarter GAAP revenue rose 21% to $13.35 billion, while adjusted revenue increased 24% to $12.63 billion. Adjusted earnings reached $2.02 per share, beating analyst estimates, while total orders climbed 17% to $16.5 billion, extending the company’s already substantial backlog. 

Commercial Aviation Continues Driving Growth

The biggest contributor to GE Aerospace’s performance remains commercial aviation.

Although airlines around the world have reduced some schedules because of higher fuel costs and geopolitical uncertainty, carriers continue investing heavily in aircraft maintenance.

Unlike discretionary spending, engine overhauls cannot be delayed indefinitely.

Aircraft shortages caused by production delays at major manufacturers have forced airlines to keep older fleets flying longer than originally planned. Every additional flight hour increases demand for inspections, repairs and replacement parts.

GE Aerospace said its overhaul facilities remain heavily booked, while demand for spare parts continues exceeding available supply.

The company now holds approximately $170 billion in commercial services backlog, providing significant visibility into future revenue. GE expects double-digit growth in its commercial services business to continue through at least 2027. 

Supply Chain Challenges Persist

Despite the strong quarter, executives acknowledged that supply-chain constraints remain one of the company’s largest operational challenges.

Material shortages continue delaying delivery of some components, particularly spare parts used in commercial aviation.

GE said it is investing in manufacturing capacity, supplier expansion and facility upgrades to improve production while supporting both engine manufacturing and aftermarket service demand.

The company also continues upgrading durability improvements for its LEAP family of engines, one of the industry’s most widely used next-generation commercial aircraft engines.

Defense Business Adds Momentum

Beyond commercial aviation, GE Aerospace also reported continued growth within its defense and propulsion technologies business.

Military engine demand remained healthy during the quarter, contributing additional revenue growth alongside commercial operations.

The combination of commercial services and defense continues providing GE with diversified revenue streams that have helped offset broader economic uncertainty.

Market Reaction

Despite the strong financial results and higher guidance, GE Aerospace shares traded lower during Thursday’s session.

Investors focused on moderating order growth and broader market weakness affecting industrial and aerospace stocks.

Analysts noted that while order growth remains strong, it has slowed from the exceptionally rapid pace reported earlier this year.

Even so, the company’s improved outlook demonstrates continued confidence in long-term aviation demand.

Why It Matters

GE Aerospace sits at the center of the global aviation industry.

Its engines power thousands of commercial aircraft worldwide, making the company’s results an important indicator of airline activity, global travel demand and industrial manufacturing.

The latest earnings suggest airlines remain willing to spend aggressively on maintenance even as they manage higher operating costs.

That resilience supports not only GE Aerospace but also suppliers, maintenance providers, airports and manufacturers throughout the aviation ecosystem.

With international travel continuing to recover and aircraft production still constrained, the aftermarket business remains one of the industry’s strongest profit drivers.

For now, GE Aerospace appears well positioned to benefit from that trend.

JBizNews Desk | Cincinnati

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The U.S. Food and Drug Administration said Thursday that Taco Bell will stop using lettuce from a supplier linked to a multistate cyclosporiasis outbreak, as federal health officials investigate more than 1,600 illnesses across five states.

The announcement came after Taco Bell said earlier Thursday that it had voluntarily removed potentially affected lettuce from a supplier in select states where cases have been linked to the outbreak.

“Based on ongoing conversations with public health officials, and out of an abundance of caution, Taco Bell has taken immediate action to voluntarily remove potentially impacted lettuce from a supplier in select states,” Taco Bell Corp. said in a statement provided to FOX Business.

“The affected ingredient from our supplier is being indefinitely removed from our supply chain nationwide and will be replaced within 24 hours in select states,” the statement continued.

While the FDA and Taco Bell did not identify the supplier, the agency said its traceback investigation identified a single supplier of shredded iceberg lettuce from Mexico used by Taco Bell locations where infected customers ate before becoming ill.

The Washington Post reported Thursday that investigators have identified California-based Taylor Farms as a potential supplier of the iceberg lettuce identified in the agency’s traceback investigation as part of the outbreak.

FOX Business has reached out to Taylor Farms for comment.

The FDA said it is investigating cases in Indiana, Kentucky, Michigan, Ohio and West Virginia, and advised consumers in those states not to eat shredded iceberg lettuce from Mexico served at Taco Bell restaurants.

According to the Centers for Disease Control and Prevention(CDC), 1,644 people infected with Cyclospora who reported eating at Taco Bell have been reported across Indiana, Kentucky, Michigan, Ohio and West Virginia. The agency said 94 people have been hospitalized, and no deaths have been reported.

Illnesses tied to the outbreak began between May 13 and July 13, 2026. CDC said the true number of sick people is likely higher and noted that state health departments may report different totals because some include probable cases, while CDC and FDA are reporting laboratory-confirmed cases.

CDC also said it is investigating other cyclosporiasis illnesses nationally that are unrelated to the Taco Bell-linked outbreak.

According to the CDC, cyclosporiasis is a parasitic intestinal illness that people can contract by consuming contaminated food or water. Symptoms include prolonged watery diarrhea, nausea and other gastrointestinal illness.

Earlier this week, Taco Bell said it removed a limited number of ingredients from some restaurants as a precautionary measure.

Taco Bell operates more than 8,700 restaurants worldwide and serves more than 40 million customers each week in the United States, according to the company’s website.

FOX Business’ Kristen Altus and Fox News Digital’s Melissa Rudy, along with Reuters, contributed to this report.

United Airlines is planning to offer passengers flight changes free of charge to avoid landing at the newly renamed President Donald J. Trump International Airport in Florida, according to an internal memo that appears aimed at customers who object to the airport’s new name.

Passengers who object to landing at the airport — previously Palm Beach International Airport — may be moved to Fort Lauderdale or Miami without having to pay extra, according to an internal memo obtained by Live And Let’s Fly.

“If a customer does not want to fly to the airport, use your empowerment to offer acceptable alternatives such as Fort Lauderdale Airport (FLL) or Miami International Airport (MIA),” the memo to reservation agents reads.

The memo even suggests a response to customers who object to landing at the renamed airport.

“I understand that you’d rather not fly to this airport anymore. We can look at nearby airports like Fort Lauderdale or Miami instead. Is that an acceptable alternative?” the guidance says.

The agents are directed to process the change as an even exchange, effectively making the flight change free of charge for travelers.

Fort Lauderdale is roughly 45 miles south of West Palm Beach, while Miami is about 72 miles away, giving passengers alternative access to South Florida without stepping foot at President Donald J. Trump International Airport.

Still, agents are advised to offer an “acceptable alternative,” according to the memo, suggesting a flight change remains subject to availability and discretion permitted by the airline.

Airlines generally do not allow complimentary destination changes because a traveler objects to the person an airport was named after.

United is also expected to update its systems as the airport transitions from Palm Beach International Airport to President Donald J. Trump International Airport, according to the memo. The airport’s commercial passenger code is expected to remain PBI until the IATA code changes to DJT on Aug. 18.

FOX Business has reached out to United for comment.

This comes after outraged customers flooded the airport’s online contact form with complaints after the airport was renamed last week in honor of the current president.

The airport has said the name change is required by state law and does not affect its ownership, governance or operations.

The airport had posted a message above its comments form acknowledging the name change “may be received in different ways by our passengers.”

Many customers who responded to the form were furious about the name change and the airport’s disclaimer, with several vowing to boycott the airport, according to NOTUS, which obtained the messages through a public records request.

“It’s truly entertaining that you had to add a disclaimer to this form explaining the renaming of your airport after our racist, xenophobic, misogynistic 47th president,” one person wrote.

Another said, “Hopefully you’ll have plenty of airbags to catch the barfs from people as they drive up.”

“How do we continue to get on our knees for such a narcissistic criminal so-called president?” another wrote.

“I am writing to assure you that as long as you are calling this airport anything closely related to ‘TRUMP’ I will NEVER FLY INTO THERE. NEVER! You have 100% lost all my family’s business. Despicable move!” another added.

While airports have been named after other presidents, including former Presidents John F. Kennedy and Ronald Reagan, Trump is the first to have an airport named after him while he is still in office.

TOKYO — According to disclosures filed with the Tokyo Stock Exchange, official market data from the Japan Exchange Group, and company filings, shares of SoftBank Group Corp. fell more than 9% Friday as a broad sell-off in artificial intelligence and semiconductor-related stocks spread across Asia, following steep losses on Wall Street that erased billions of dollars in market value from AI leaders and chipmakers. 

The decline marked one of SoftBank’s sharpest single-day losses this year and reflected growing investor concerns over whether the massive wave of spending on artificial intelligence infrastructure will generate returns sufficient to justify elevated market valuations.

SoftBank has become one of the world’s largest investors in artificial intelligence through its holdings in Arm Holdings, investments in AI startups, and multi-billion-dollar commitments to AI infrastructure projects. As sentiment toward the sector weakened, investors broadly reduced exposure to companies viewed as heavily tied to the AI investment cycle. 

The selling extended well beyond SoftBank. Japanese semiconductor equipment manufacturers, including Advantest and Tokyo Electron, also posted significant losses, while technology suppliers across South Korea and Taiwan came under heavy pressure as investors reassessed expectations for AI-driven earnings growth. 

In South Korea, major memory chip producers Samsung Electronics and SK Hynix experienced sharp declines, contributing to broad weakness in the Korean equity market. Taiwan’s semiconductor sector also retreated despite continued strong demand for advanced chips used in artificial intelligence applications. 

The latest wave of selling followed a difficult trading session on Wall Street, where semiconductor manufacturers, AI infrastructure companies, and other high-growth technology stocks declined as investors questioned whether the industry’s unprecedented capital expenditures could continue at the current pace. The pullback reflected a broader shift toward risk reduction after months of exceptional gains fueled by enthusiasm surrounding generative AI. 

Despite the market volatility, industry fundamentals remain strong. Major cloud computing providers and technology companies continue investing hundreds of billions of dollars in AI data centers, advanced processors, networking equipment, and energy infrastructure. Demand for high-performance computing remains elevated as businesses accelerate deployment of generative AI applications across nearly every sector of the economy. 

Analysts note that recent market movements appear driven more by valuation concerns than by evidence of weakening demand. After substantial gains over the past year, many AI-related companies were trading at historically high multiples, leaving little room for disappointment when investors reassessed future earnings expectations. 

For SoftBank, the decline underscores how closely the company’s market value has become tied to the outlook for artificial intelligence. Through its ownership stake in Arm Holdings and continued investments in AI technologies, SoftBank remains among the companies most exposed to shifts in investor sentiment surrounding the global AI boom.

Market participants will now focus on upcoming corporate earnings reports and capital spending guidance from the world’s largest technology companies. Those results are expected to provide investors with a clearer indication of whether demand for AI infrastructure remains strong enough to support continued expansion across the semiconductor industry. 

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JBizNews Desk | Tokyo

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SHANGHAI — According to Chinese state media and remarks delivered Friday at the opening of the 2026 World Artificial Intelligence Conference (WAIC), Chinese President Xi Jinping unveiled Beijing’s most ambitious artificial intelligence strategy to date, promoting open-source AI as the foundation of future global innovation while positioning China as an alternative to U.S. leadership in artificial intelligence governance. 

In his keynote address, Xi urged countries to embrace what he called a “rare historic opportunity” created by artificial intelligence and argued that AI development should be based on openness, collaboration, and shared technological progress rather than being dominated by any single nation.

Although Xi did not mention the United States by name, his remarks were widely interpreted as a response to Washington’s export controls on advanced semiconductors, AI chips, and other technologies that have limited China’s access to cutting-edge computing hardware. Xi warned against countries using national security as justification for restricting technological cooperation and said such actions risk creating “new historical injustices” between developed and developing nations. 

China is increasingly promoting open-source AI models as a strategic advantage over the proprietary approach favored by many leading American companies. Chinese developers, including Moonshot AI, have recently introduced increasingly capable open-weight models, while firms such as DeepSeek and others continue expanding their international reach.

Xi announced the creation of the World AI Cooperation Organisation (WAICO), headquartered in Shanghai, with 29 participating countries. The organization is intended to coordinate international AI governance, technical standards, research cooperation, and technology sharing, particularly among developing nations across Africa, Asia, Latin America, and the Middle East. 

China also committed to providing 5,000 AI training opportunities over the next five years for professionals from developing countries and expanding access to Chinese AI-powered public services, including meteorological forecasting systems designed to improve disaster preparedness. 

While emphasizing openness, Xi also called for stronger safeguards surrounding advanced AI systems. He urged governments to ensure human oversight, improve early-warning mechanisms for emerging AI risks, and establish international governance frameworks that keep artificial intelligence under meaningful human control. 

The speech comes as competition between the world’s two largest economies increasingly centers on artificial intelligence. The United States continues to lead many frontier AI systems through companies such as OpenAI, Anthropic, and Google, while China has accelerated domestic AI development following U.S. export restrictions on advanced chips and semiconductor equipment. Beijing has increasingly emphasized open-source ecosystems and domestically developed computing infrastructure as a way to reduce dependence on foreign technology. 

More than 1,100 companies participated in this year’s Shanghai conference, including major Chinese technology firms showcasing new AI chips, computing clusters, robotics, and large language models. The event highlighted China’s determination to become a central player in setting global AI standards as governments worldwide race to establish rules governing one of the fastest-growing technologies in history. 

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JBizNews Desk | Shanghai

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US President Donald Trump delivered a prime-time speech on Thursday focused on election security, bringing renewed attention to his long-running complaints about voting systems and election administration as Republicans face challenging midterm elections in November.

The White House was deciding whether the president’s remarks would include the disclosure of sensitive intelligence related to China’s intention or ability to interfere in the 2020 US election, Reuters reported on Wednesday, citing four sources. Some Trump officials worried the information could be misleading, sources said.

Trump has spent years raising doubts about electoral outcomes, falsely asserting that his 2020 loss to Democrat Joe Biden was rigged. He has also advanced other false claims, including that mail-in balloting is rife with fraud, voting machines are vulnerable, and non-citizen voting is widespread.

Numerous courts and vote recounts found no evidence of large-scale fraud in the 2020 election.

China intelligence under review 

The China intelligence, collected during Trump’s first term from 2017 to 2021, did not show that Beijing had manipulated or changed votes, sources told Reuters.

A White House task force led by conservative journalist John Solomon recently asked the intelligence community for documents outlining the information and has spent the past several weeks reviewing them ahead of Trump’s speech, one source familiar with the group’s work said.

The final draft of the speech was not ready as of midday on Thursday and remained subject to changes from the president, a person familiar with the plans said. Several senior White House officials were anxious about what the president would ultimately say in his speech and how that could affect Republicans’ chances in November’s midterms, the source said.

“The president will be making a very important announcement with respect to the integrity of our elections,” White House spokeswoman Karoline Leavitt had said on Thursday, adding that “everything he is saying will be backed by facts and by evidence.”

The Office of the Director of National Intelligence did not respond to requests for comment on the Reuters report on Wednesday, and the CIA declined to comment.

Democratic members of the House Permanent Select Committee on Intelligence sent a letter to the acting director of national intelligence, Bill Pulte, along with the leaders of the FBI, the Central Intelligence Agency and the National Security Agency, warning them not to allow Trump to “weaponize intelligence to support false claims about election security.”

Since returning to office in January 2025, Trump has sought to expand federal power over the administration of elections, which legally resides with state governments under the US Constitution.

In recent months, he has also pressured Senate Republicans to advance a bill, the SAVE America Act, that would require photo ID to vote and proof of US citizenship to register while also mandating that states share voter registration information with the federal government. Democrats and voting-rights advocates say that voter fraud is exceedingly rare and argue the legislation would suppress legitimate votes.

Some Republican leaders have urged Trump to focus on issues that matter most to Americans, including high living costs, rather than focus on the 2020 vote.

“I don’t know what he’s going to say,” Senate Majority Leader John Thune said when asked on Wednesday whether he would advise Trump to avoid talking about the 2020 election. “The only thing I can tell you is, we are focused on the 2026 election, at least I am, and I think most of my colleagues are.”

Republicans are navigating political headwinds as the midterm elections approach, with Trump’s approval rating underwater and voters deeply frustrated by the Iran war and attendant high energy prices.

Democrats need to flip only three Republican seats to take a majority in the US House of Representatives. They face an uphill battle to win a Senate majority, however, with critical races unfolding in Republican-leaning states.

Democrats are preparing for the White House to attempt to manipulate November’s election, Senate Democratic leader Chuck Schumer told reporters on Wednesday.

“They know they can’t win the election fair and square,” he said. “So we don’t put it past them to try whatever they can.”

ABC, NBC will not air Trump’s election security speech on broadcast networks

Two of the three major US television networks decided not to broadcast a planned prime-time address on Thursday by President Donald Trump on their primary platforms, risking the ire of an administration that has placed unprecedented pressure on American media.

Trump called the two television networks “fake news” during the speech, adding that both should have their licenses revoked for their decision. 

Networks have broad First Amendment rights to decide what they choose to broadcast, experts noted. But historically, broadcasters have carried most such speeches on the grounds that they provide information of public importance.

Late Thursday afternoon, a spokesperson for ABC News said the network will run Trump’s speech on its ABC News Live streaming platform and ABC News Radio – not its broadcast channel.

NBC News planned to carry the president’s remarks on its free streaming service, NBC News NOW, but decided not air the speech on its main broadcast channel, according to a person familiar with the matter. The company declined to comment.

The ABC and NBC streaming channels generally draw a fraction of the viewers that their traditional broadcast signals reach.

During a Thursday press briefing, Leavitt said that “it is also very possible” Trump will mention the current situation with Iran and the economy at the top of the speech, and could possibly address a range of topics.

She said that is “all the more reason” for the networks to carry the speech live, and for Americans to tune in.

Trump has spent years sowing doubts about electoral outcomes, falsely claiming his 2020 loss to Democrat Joe Biden was rigged. He has also claimed, without evidence, that mail-in voting is rife with fraud, that voting machines are vulnerable to manipulation, and that non-citizen voting is widespread.

Some Democrats, including US Representative Alexandria Ocasio-Cortez, have urged networks not to air the speech, arguing Trump is likely to repeat debunked claims.

A spokesperson for the third major US network, CBS, did not respond to Reuters’ questions about whether it planned to carry the address live. CNN and Fox News FOXA.O also did not respond to a request for comment.

At CBS, the takeover of Paramount PSKY.O by David Ellison, whose billionaire father Larry is a Trump ally, has roiled the newsroom and prompted the departure of senior staff from the news magazine “60 Minutes.” Some employees have alleged political interference in editorial decisions, which the network has denied.

Ellison is now awaiting FCC approval for Paramount’s acquisition of Warner Bros. Discovery, which could give him control of CNN, a network Trump has long criticized for what he says is unfair coverage. The US Justice Department’s Antitrust Division gave its blessing to the deal last month.

The speech comes at a sensitive moment for US media.

Walt Disney-owned ABC is facing two pending inquiries from the Federal Communications Commission, including one examining whether its daytime talk show “The View” violated equal-time rules by interviewing a Democratic Senate candidate in Texas.

The FCC could move as early as next month to begin withdrawing the licenses for Disney’s eight company-owned ABC stations.

Trump has repeatedly attacked NBC and its parent company, Comcast CMCSA.O, which he has dubbed “Concast.” Last month he stormed out of an interview with NBC political reporter Kristen Welker after calling the network “a one-sided crooked network.”

Comcast last month announced plans to split into two publicly traded companies through a spinoff of NBCUniversal and Sky. Analysts have said the move could make NBCUniversal an attractive takeover target.

FCC Chair Brendan Carr is also investigating Comcast and its NBC unit over its diversity practices, which Carr said were the basis for the decision to expedite the reviews of Disney’s ABC stations.

The conservative-leaning cable news network Fox News, owned by Rupert Murdoch, generally carries all of Trump’s speeches but may also be wary of this one.

In 2023, the network had to pay out $787 million to settle a defamation suit over its airing of false claims about the 2020 election.

On Wednesday, Carr said in an interview with NewsNation that he thought the broadcast networks should air Trump’s remarks.

“This is something that the American people have every right to be able to get over the airwaves,” Carr said.

Carr did not immediately respond to a request for comment Thursday.

This post was originally published on here.

United Airlines said Thursday, July 16, that recent fare increases have produced little measurable damage to passenger demand, giving the carrier confidence that stronger pricing can offset much of an anticipated nearly $6 billion increase in fuel costs this year.

The airline told investors during its second-quarter earnings call that bookings remain resilient even as higher oil prices tied to the Iran war push jet-fuel expenses sharply higher. United said customers continue buying tickets across premium cabins, basic economy and international routes, allowing the carrier to preserve its full-year profit outlook while preparing additional fare and schedule adjustments if energy prices remain elevated.

The development matters directly to travelers because United is signaling that ticket prices are likely to remain higher rather than retreat as fuel costs rise. The airline believes current demand is strong enough to absorb those increases without triggering a major reduction in bookings.

United reported second-quarter revenue of $17.67 billion, up 16% from a year earlier, while adjusted earnings reached $1.99 per share. The carrier raised the lower end of its full-year adjusted earnings forecast and now expects $9 to $11 per share, despite the dramatic increase in projected fuel spending.

The airline said its second-quarter fuel expense rose approximately 84% from a year earlier to about $2.3 billion. Management expects the broader fuel-price surge to add nearly $6 billion to expenses during 2026 compared with its earlier assumptions.

United has already recovered approximately half of the second-quarter increase through stronger pricing and revenue management. It expects to recover between 80% and 90% of the additional expense during the third quarter and potentially recover the full increase by the fourth quarter if current booking and pricing trends continue.

That recovery will come largely from passengers.

Airlines typically respond to sustained increases in jet-fuel prices by raising fares, reducing less-profitable flights and shifting aircraft toward routes where travelers are willing to pay more. United said it remains prepared to reduce fourth-quarter capacity further if fuel prices stay high.

For consumers, that could mean fewer discounted seats, especially on heavily traveled domestic and international routes. Travelers purchasing tickets closer to departure may face the greatest pressure because airlines generally charge more when remaining inventory becomes limited.

United said premium-cabin revenue increased 16%, while basic-economy revenue rose 11%. Cargo revenue increased 23%, and loyalty-related revenue also advanced as customers continued spending through the MileagePlus program and affiliated credit cards.

The performance suggests higher fares have not yet caused families and business travelers to abandon trips in significant numbers. Demand remains especially strong for international travel and premium seating, where passengers appear more willing to absorb increased prices.

United is also investing heavily in the passenger experience as it asks customers to pay more.

The airline said approximately 450 aircraft have now been equipped with SpaceX’s Starlink internet service, with nearly 1,000 aircraft expected to receive the technology by the end of the year. United is also expanding premium seating, upgrading aircraft interiors and adding new international routes.

Those investments are part of a broader strategy to persuade travelers that higher fares are accompanied by better service, improved connectivity and more comfortable cabins.

United also highlighted operational improvements during the quarter. Its systemwide on-time departure rate was the strongest for a second quarter since 2021, while its Newark hub recorded its best-ever second-quarter departure performance.

The airline expects adjusted third-quarter earnings of $2.50 to $3.50 per share. That outlook reflects continued pressure from higher fuel costs but also assumes that strong demand and improved pricing will continue protecting profitability.

For passengers, the message is clear: the Iran war’s impact on energy markets is increasingly moving from oil trading screens into the cost of airline tickets.

United does not currently see travelers pulling back enough to force prices lower. Unless demand weakens or fuel prices fall, airfare is likely to remain elevated as airlines pass more of the increased cost directly to customers.

JBizNews Desk | Chicago

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Abbott reported stronger-than-expected second-quarter results on Thursday, July 16, raising its full-year 2026 profit forecast after growth across its diagnostics, medical devices and pharmaceutical businesses exceeded expectations.

The healthcare company reported second-quarter revenue of $12.59 billion, a 13% increase from a year earlier, while adjusted earnings came in at $1.31 per share, surpassing analyst expectations. Based on the stronger performance, Abbott increased its full-year adjusted earnings outlook to $5.45 to $5.60 per share while reaffirming projected comparable sales growth of 6.5% to 7.5%. 

Shares surged following the announcement as investors welcomed the stronger guidance and broad-based growth across several of Abbott’s core businesses.

Diagnostics Business Delivers Standout Performance

One of the quarter’s strongest performers was Abbott’s diagnostics division.

Sales accelerated as demand increased for cancer screening technologies, laboratory testing and molecular diagnostics. The company’s expanding oncology portfolio also continued contributing to revenue growth as healthcare providers increased screening and early detection efforts.

Management said diagnostics remains one of Abbott’s highest-growth businesses and is expected to remain a key contributor throughout the second half of the year. 

Medical Devices Continue Expanding

Abbott’s medical device business also posted solid gains.

Growth was supported by cardiovascular devices, diabetes care products and structural heart technologies.

The company’s FreeStyle Libre continuous glucose monitoring platform continued generating strong global demand despite increasing competition within the diabetes technology market.

Executives also pointed to continued momentum across cardiovascular products as hospitals maintained healthy procedure volumes.

Balanced Growth Across Healthcare

Unlike many healthcare companies that rely heavily on one product line, Abbott continued benefiting from its diversified business model.

Medical devices, diagnostics, branded pharmaceuticals and nutrition products all contributed to quarterly revenue.

Although nutrition sales remained softer than some other segments, the business showed continued improvement compared with earlier quarters.

Management believes that balanced portfolio reduces volatility while providing multiple avenues for long-term growth.

Higher Guidance Reflects Confidence

Abbott’s decision to raise its earnings outlook reflects management’s confidence that current growth trends will continue.

The company now expects adjusted earnings between $5.45 and $5.60 per share for 2026, an increase from previous guidance.

Executives also reaffirmed expectations for solid organic sales growth despite ongoing global economic uncertainty.

The stronger forecast suggests Abbott expects continued demand across hospitals, physician practices and consumer healthcare markets during the remainder of the year. 

Healthcare Sector Receives Another Boost

Abbott’s strong results added to an already positive day for healthcare stocks following several upbeat earnings reports across the sector.

The performance reinforced investor confidence that demand for healthcare products and services remains resilient despite broader economic uncertainty.

Healthcare continues benefiting from aging populations, expanding diagnostic testing, technological innovation and increased demand for chronic disease management.

Looking Ahead

Abbott enters the second half of 2026 with strong momentum across multiple business segments.

The company’s combination of diagnostics, medical devices, pharmaceuticals and nutrition products continues providing diversified growth while limiting dependence on any single market.

With higher earnings guidance and continued investment in innovation, Abbott appears well positioned to build on its strong first-half performance as healthcare demand continues expanding worldwide.

JBizNews Desk | Abbott Park, Illinois

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UnitedHealth Group reported second-quarter results on Thursday, July 16, raising its full-year 2026 earnings outlook after stronger-than-expected performance across both its health insurance and healthcare services businesses. The company said improving medical cost trends, disciplined operations and continued expansion of its Optum division drove the stronger results, reinforcing confidence that its turnaround strategy is gaining momentum.

Investors responded positively, sending shares sharply higher following the earnings release as the nation’s largest health insurer delivered better profitability and increased guidance for the remainder of the year.

UnitedHealth reported second-quarter revenue of $112.0 billion, operating earnings of $8.0 billion, GAAP earnings of $6.04 per share, and adjusted earnings of $6.38 per share, outperforming expectations.

The company also increased its 2026 adjusted earnings guidance to between $19.50 and $20.00 per share, reflecting management’s confidence that recent operational improvements will continue through the second half of the year.

Medical Cost Trends Improve

One of the strongest contributors to the quarter was improved management of healthcare costs.

UnitedHealth’s medical care ratio, which measures the percentage of premium revenue spent on medical care, improved to 86.7%, compared with 89.4% during the same period last year.

The improvement reflects stronger pricing discipline, redesigned Medicare offerings, better reimbursement trends in portions of its Medicaid business and more efficient healthcare management across its network.

Company executives said the results demonstrate that long-term operational changes are beginning to produce meaningful financial improvements while maintaining quality patient care.

Optum Continues Driving Growth

UnitedHealth’s Optum business remained one of the company’s fastest-growing segments.

Operating income increased approximately 29% during the quarter as Optum expanded across physician services, pharmacy benefit management, healthcare technology and analytics.

The company continues investing in artificial intelligence, digital health platforms and automation designed to improve patient outcomes while reducing administrative complexity throughout the healthcare system.

Management believes technology will play an increasingly important role in improving efficiency, lowering costs and strengthening coordination between patients, providers and insurers.

Insurance Business Stabilizes

UnitedHealthcare also reported improving operating performance despite ongoing changes in enrollment following the expiration of certain pandemic-era government programs.

Although overall membership shifted modestly, profitability improved through stronger pricing and disciplined cost management.

The company said it remains focused on expanding access to affordable healthcare while maintaining financial stability across its commercial, Medicare and Medicaid businesses.

Management expects continued operational improvements throughout the remainder of 2026.

Positive Signal for the Healthcare Industry

Because UnitedHealth is the nation’s largest health insurer, its quarterly performance is closely watched as an indicator of broader healthcare industry trends.

The stronger results suggest that elevated medical costs, which pressured much of the industry over the past year, may be becoming more manageable.

Hospitals, healthcare providers, insurers and investors will be watching upcoming earnings reports to determine whether similar trends emerge across the sector.

Looking Ahead

UnitedHealth enters the second half of 2026 with renewed momentum.

The company continues investing in technology, expanding healthcare services and strengthening operational efficiency across both its insurance and healthcare businesses.

Management believes those initiatives position the company for sustainable long-term earnings growth while continuing to improve patient care and expand access to healthcare services.

The latest quarter represents more than stronger financial performance. It signals that one of America’s largest healthcare companies has regained stability and is positioning itself for continued growth in an increasingly complex healthcare environment.

JBizNews Desk | Minnetonka, Minnesota

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Target is recalling more than 200,000 children’s sandals over the potential risk of “serious injury or death” from a choking hazard.

About 211,000 Cat & Jack Toddler Girls’ Sequerah Sandals are affected by the recall, the U.S. Consumer Product Safety Commission (CPSC) announced Thursday.

The choking hazard concern is due to the possibility of decorative pearls falling off the shoes.

“The sandals’ decorative pearls can fall off, posing a risk of serious injury or death from a choking hazard,” the CPSC said.

The sandals are tan and have two raffia straps with gold buckles and plastic pearls. The brand name is printed on the soles and bottoms of the shoes.

The shoes were sold in sizes 5T through 12T.

The sandals were sold at Target stores across the country and online at the retailer’s website from January 2026 through May 2026 for about $20.

Target has received 23 reports of pearls falling off the shoes.

No injuries have been reported thus far in connection with the recall.

Consumers are urged to stop using the recalled sandals immediately, keep them away from children and contact Target for a full refund.

Toyota is the latest company facing a lawsuit over its website’s use of online tracking technology — aka cookies — highlighting a growing legal risk for businesses that rely on digital advertising and consumer data.

A proposed class action filed Wednesday in Los Angeles County Superior Court accuses the automaker of continuing to track visitors to Toyota.com even after they declined third-party cookies, allegedly violating California privacy law.

Lead plaintiff Brittany Conner alleges Toyota installed tracking technology on users’ devices even though they opted out through the website’s cookie consent banner. 

According to the complaint, the technology allowed third parties to collect browsing activity, device information, online identifiers and other data used for targeted advertising.

The lawsuit alleges the tracking relied on a practice known as “fingerprinting,” which can identify internet users by combining information about their devices and browsing activity, even when traditional tracking cookies are rejected.

Toyota’s website presents visitors with a consent banner offering the option to accept or decline cookies and similar tracking technologies. The lawsuit alleges the company nevertheless deployed tracking tools after users selected “decline.”

The case comes as businesses across industries face mounting litigation under the California Invasion of Privacy Act, or CIPA, a 1967 law originally enacted to prohibit wiretapping. In recent years, however, plaintiffs have increasingly used the statute to challenge website tracking technologies and other online data collection practices.

According to privacy compliance firm OneTrust, more than 800 CIPA lawsuits were filed in 2025, targeting companies over technologies that plaintiffs argue collect consumer data without users’ consent.

Several companies have recently resolved similar claims. Forbes Media agreed in May to pay $10 million to settle a proposed “trap and trace” class action, while the Los Angeles Times agreed to a $3.85 million settlement. 

DraftKings and the NFL have also been sued over alleged website tracking practices.

Conner is represented by Pacific Trial Attorneys. The firm did not immediately respond to FOX Business’ request for comment.

Toyota did not immediately respond to FOX Business’ request for comment.

The New York Yankees are in advanced discussions to secure nearly $3 billion in financing from Apollo Global Management Inc., according to people familiar with the matter, in a transaction that would rank among the largest capital raises ever undertaken by a professional sports franchise. While negotiations remain ongoing and no final agreement has been announced, the proposed financing reflects a dramatic shift in how Wall Street now views premier sports organizations—not simply as teams competing for championships, but as global businesses capable of generating stable, long-term cash flow across multiple industries.

If completed, the transaction would provide the Yankees with significant new financial flexibility while keeping the franchise under the control of the Steinbrenner family. The proposed package is expected to consist primarily of debt financing together with a smaller equity investment, according to the people familiar with the discussions. The structure and final terms remain subject to negotiation and would require approval under Major League Baseball’s ownership and financing rules.

The reported financing would be executed through Yankee Global Enterprises, the holding company that owns far more than one of baseball’s most recognizable franchises. Beyond the New York Yankees, the company controls interests in AC Milan, New York City FC, the YES Network, and Legends Hospitality, giving it a diversified portfolio spanning professional sports, regional broadcasting, media rights, stadium operations, premium hospitality and global entertainment.

That diversification has become increasingly valuable to institutional investors. Rather than depending solely on ticket sales or on-field success, organizations such as the Yankees generate recurring revenue from long-term television contracts, sponsorship agreements, licensing, merchandising, digital media, premium seating, hospitality businesses and international commercial partnerships. Those predictable cash flows have helped transform elite sports franchises into assets that increasingly resemble infrastructure or media companies in the eyes of global investors.

The reported transaction is not a sale of the Yankees. Instead, the financing is expected to refinance existing obligations while providing capital for future investments, strategic initiatives and potential expansion across the organization’s broader portfolio. Maintaining ownership while accessing billions of dollars in institutional capital has become an increasingly attractive strategy for franchise owners seeking growth without relinquishing control.

For Apollo Global Management, one of the world’s largest alternative asset managers with hundreds of billions of dollars under management, the reported financing would further expand its growing presence in sports investing. Large investment firms have steadily increased exposure to professional sports as franchise values continue reaching record levels and institutional investors seek assets with durable brands, global audiences and long-term appreciation potential.

Professional sports financing has evolved dramatically over the past decade. Once dominated by traditional bank lending and family ownership, the industry has increasingly attracted private equity firms, sovereign wealth funds, pension funds and alternative asset managers. League rules have gradually adapted to permit greater institutional participation while preserving competitive balance and ownership oversight.

The Yankees remain among the world’s most valuable sports franchises despite growing financial competition throughout Major League Baseball. Record media rights, expanding sponsorship opportunities, premium experiences and international brand recognition continue to support franchise valuations that have climbed sharply across professional sports. Investors increasingly view ownership interests and financing opportunities in marquee franchises as scarce assets with substantial long-term value.

If completed, the proposed financing would stand as another milestone in the growing convergence of Wall Street and professional sports. Billion-dollar transactions that once would have been unimaginable for athletic organizations are becoming increasingly common as franchises expand into diversified global enterprises with businesses extending far beyond the playing field.

The discussions remain ongoing, and neither the New York Yankees nor Apollo Global Management has publicly confirmed the reported negotiations. No definitive agreement has been announced, and the transaction could still change before being finalized.

JBizNews Desk | New York
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JERUSALEM, Israel — Israel’s Knesset on Thursday, July 16, approved comprehensive legislation restructuring the nation’s broadcast media regulatory framework, marking one of the final major measures passed before lawmakers concluded the current legislative session ahead of the scheduled October elections. The bill, introduced by Communications Minister Shlomo Karhi, passed its second and third readings by a vote of 53-48, completing the legislative process and becoming part of Israel’s statutory framework governing the country’s broadcasting industry.

The legislation represents a broad overhaul of how television and broadcast media will be regulated in Israel. It replaces the existing regulatory structure with a new framework that consolidates oversight responsibilities under a newly established authority while updating numerous provisions governing broadcasters, television platforms and the administration of broadcast regulation.

Among the changes included in the law are revisions to broadcaster licensing requirements, regulatory oversight, media ownership rules, television audience measurement procedures and the administration of certain government advertising activities. The legislation also modifies several long-standing regulatory requirements that previously applied to licensed broadcasters and updates the legal framework governing television distribution platforms operating throughout the country.

Lawmakers approved the measure during the coalition’s final legislative push before the Knesset adjourned ahead of Israel’s upcoming national election campaign. Prime Minister Benjamin Netanyahu attended the parliamentary debate before the legislation received final approval.

The new law establishes a revised regulatory model designed to oversee Israel’s broadcasting sector under a unified framework. As implementation moves forward, responsibilities previously divided among multiple regulatory bodies will transition to the new structure established by the legislation.

The measure also contains provisions affecting television distribution platforms and their broadcasting obligations. One amendment adopted as part of the legislation exempts Channel 14 from a newly established content distribution requirement that applies under specific circumstances outlined in the law.

Israel’s broadcasting industry includes national television networks, cable and satellite providers, digital television platforms and commercial broadcasters operating under government regulation. The new legislation updates the legal framework governing many of those entities and establishes new administrative procedures for oversight of the sector.

The passage of the legislation concludes months of parliamentary work on the proposal through committee review, amendments and multiple readings before receiving final approval in the Knesset. With the legislative process complete, the law now advances to implementation in accordance with the timetable and provisions established within the statute.

Government agencies responsible for communications and broadcasting regulation are expected to begin implementing the new regulatory framework in the coming months, including the organizational changes necessary to transition responsibilities to the authority established under the legislation.

The approval of the measure marks one of the most significant revisions to Israel’s broadcast media regulatory structure in recent years and updates the statutory framework governing television broadcasting, regulatory administration and media oversight across the country.

JBizNews Desk | Jerusalem

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After rising on both a monthly and yearly basis in May, pending home sales were down in June, according to data released Thursday by the National Association of Realtors (NAR). 

Nationwide, NAR’s Pending Home Sales index came in at a reading of 72.5 in June, down 5.4% month-over-month and 0.3% annually. 

An index of 100 is equal to the average level of contract activity during 2001, which was the first year NAR examined this data.

“The highest mortgage rates in nearly a year and the record-high national median home price together are contributing to a tepid housing market that is especially difficult for first-time homebuyers,” NAR’s chief economist Lawrence Yun said in a statement. “It is worth emphasizing that it is closing activity, not contract signings, that generates economic impact. Pending contracts are only suggestive of upcoming closed deals and do not align perfectly, due to fallout rates and contract contingencies.”

Regionally, pending home sales were down month-over-month in all four regions, with the Midwest (73.8) posting the largest decline at 8.9%, followed by a decline of 4.7% in the West (54.9), 4.1% in the South (86.4) and 3.0% in the Northeast (65.6). On an annual basis, pending home sales were up in the Midwest (0.3%) and Northeast (2.2%), but down in the South (-0.9%) and West (-1.1%).

“With contract signings falling in all four major regions, the broad-based decline suggests the recent run-up in mortgage rates is finally catching up with buyers’ wallets,” Sam Williamson, First American’s senior economist, said in a statement. “Other leading indicators point in the same direction. Mortgage purchase applications, another forward-looking gauge, have softened in recent weeks after climbing for much of the spring, with the seasonally adjusted purchase index falling to about 157 in mid-July, its lowest since February. Weaker applications alongside fewer contract signings suggest buyers and sellers are settling back onto the sidelines.”

Among the 50 largest metro areas, Virginia Beach-Chesapeake-Norfolk, VA-NC (+15.4%), Sacramento-Roseville-Folsom, CA (+15.2%) and Kansas City, MO-KS (+14.4%) reported the largest annual pending home sale increases, according to NAR’s data. 

In examining Century 21’s data, brand president Mike Miedler said he sees very different market stories depending on where he looks. 

“According to our data, this market is splitting into three stories. Chicago has 75% fewer homes for sale than in 2019, so even modest demand runs into a genuine shortage there. Miami and San Francisco have flipped from falling prices to rising ones, likely riding the same wealth effect that’s letting some buyers shrug off higher rates. Seattle brings the number down, still the softest market we track, prices about 2% behind last year. Add those together and you get a flat headline that undersells what’s happening almost everywhere else,” Miedler said in a statement. “So I don’t read this as demand disappearing. I read it as three markets moving at three different speeds.”

HousingWire Data shows that there were 403,406 pending single family home sales as of July 10, 2026, up 4.1% compared to a year ago. For the week ending on July 10, there were 63,971 new pending single family home sales, up 4.6% annually. 

At the metro level, Springfield, MO had an additional 481 single family home sales pending compared to a year ago, as of July 10, followed by Montgomery, AL (+306 homes) and Scranton-Wilkes-Barre, PA (+277 homes).

According to Williamson, NAR’s data for June suggests that the housing market remains intact and is waiting for a catalyst. 

“The structural supports are in place,  an easing lock-in effect, a resilient labor market, and favorable demographics, but none is strong enough on its own to draw sidelined buyers back while financing costs hover near a one-year high,” he said. “Until rates ease enough to move the affordability math, the recovery is likely to keep progressing at a measured pace.”

This post was originally published on here.

LONDON — BP plc is exiting much of its venture capital business, announcing Wednesday that it will sell stakes in more than 10 startup companies and wind down BP Ventures as the energy giant accelerates its strategy to concentrate on oil, natural gas and high-return energy investments.

The move marks one of the clearest strategic shifts under the company’s leadership as BP continues streamlining operations and reallocating capital toward businesses expected to generate stronger shareholder returns.

Rather than operating as a traditional venture capital investor, BP plans to focus more directly on projects tied to its core energy portfolio, including upstream production, natural gas, refining and selected lower-carbon businesses that complement its existing operations.

A Strategic Reset

For years, BP Ventures invested in emerging technology companies developing innovations ranging from energy storage and electric-vehicle infrastructure to industrial software and carbon-management solutions.

The venture portfolio was designed to give BP early access to technologies that could influence the future of energy production and distribution.

The company has now determined those investments no longer fit its primary capital allocation strategy.

Management said the startup holdings will be sold over time, with proceeds redirected toward businesses that more directly support BP’s long-term financial objectives.

The decision reflects a broader industry trend in which major energy companies are placing greater emphasis on projects capable of producing stronger near-term cash flow.

Higher Returns Become the Priority

The restructuring comes as global energy companies continue balancing shareholder demands for higher returns with long-term investments in the energy transition.

Higher oil prices and resilient demand for natural gas have strengthened the economics of traditional energy production, encouraging many producers to prioritize projects offering faster and more predictable returns.

BP has increasingly emphasized financial discipline, stronger free cash flow and improved returns on invested capital while simplifying its corporate structure.

Selling non-core venture investments supports those objectives by reducing complexity and concentrating resources on businesses management believes can generate greater long-term value.

Industry Strategy Continues to Evolve

The announcement also reflects the changing competitive landscape across the global energy industry.

Several major oil companies have recently adjusted investment priorities as governments, investors and customers continue debating the pace of the global energy transition.

While renewable energy and emerging climate technologies remain important long-term markets, many energy producers have increased spending on conventional oil and natural gas projects following several years of strong commodity prices and rising global energy demand.

BP’s latest move suggests management believes its competitive advantage lies primarily in operating large-scale energy assets rather than managing a broad venture capital portfolio.

What Investors Will Watch

Investors will now focus on how quickly BP completes the portfolio sales and whether additional strategic changes follow.

The proceeds from the divestitures could strengthen the company’s balance sheet, support future share repurchases, increase dividends or fund additional investments in core operations.

The decision also provides another indication that large energy companies are becoming increasingly selective about where they deploy capital.

For shareholders, the central question is whether concentrating resources on BP’s core businesses can generate stronger earnings growth and higher returns than maintaining investments across a diverse collection of startup companies.

As energy markets continue evolving, BP is making clear that disciplined capital allocation—not venture investing—will be at the center of its next phase of growth.

JBizNews Desk | London

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Rep. Debbie Wasserman Schultz (D-Fla.) is again pressing Congress to ease the cost of condominium safety repairs. This time, she has teamed with Rep. Maria Elvira Salazar (R-Fla.) to revive a bill that stalled in committee three years ago.

They have reintroduced the Making Condos Safer and Affordable Act around the anniversary of the deadly 2021 condo tower collapse in Surfside, Florida. The bill would expand access to low-interest, government-backed loans for structural and life-safety work in condominium buildings.

“The Surfside tragedy changed our community forever and reminded us that protecting families must always come first,” Salazar said in a statement. “This bipartisan bill gives condominium associations and homeowners the tools they need to finance critical safety repairs, protect residents, and preserve safe, affordable housing across South Florida.”

The bill could have an easier path through Congress this time. Roughly 18 states have introduced condo safety and reserve legislation since the Surfside disaster.

Florida created statewide “milestone inspections” for older buildings and required structural integrity reserve studies to fund major repairs. Maryland, Virginia and Tennessee are among the other states that enacted similar condo safety and reserve laws.

The federal legislation comes as cities and states pursue zoning reform to boost density through multifamily construction. California lawmakers are working on two condo law reform bills to reignite condo construction.

Easing the condo assessment pain

Wasserman Schultz’s and Salazar’s bill would let condo associations spread the cost of repairs over time instead of relying on large special assessments. Supporters argue that owners facing new inspection rules and insurance hikes need financing help to stay in their homes.

“This bipartisan legislation provides practical financing tools to help communities address infrastructure needs, protect residents, and plan responsibly for the long term,” Dawn Bauman, CEO of the Community Associations Institute, said in a statement. The 53-year-old organization, which has more than 50,000 members, backed the legislation when it was first introduced in 2023.

Wasserman Schultz co-sponsored the earlier bill with Rep. Bill Posey (R-Fla.) in response to the Surfside collapse. Posey served in the House until 2025 and died in 2026. The House Financial Services Committee received the bill but never held a hearing, markup or vote.

It failed to advance before the 118th Congress ended. If it passes this time, associations could tap federal loans to complete critical repairs without pricing owners out of their buildings.

In Florida, the law would pair with state changes made in 2023 and 2025. Those changes adjusted deadlines and gave condo boards limited flexibility on reserves while keeping key safety mandates. The laws have forced many associations to move ahead with costly work while raising fees or imposing steep assessments.

This post was originally published on here.

Eight months ago, Greystone Real Estate Capital was just getting started raising money for affordable housing projects. It has now closed its second fund in less than a year, drawing three existing institutional investors and five new ones.

Greystone’s latest fund brought in $137 million, pushing the firm’s total multi-investor Low-Income Housing Tax Credit (LIHTC) equity past $240 million. Chief investment officer Todd Jones said in a statement that the platform has built 13 new investor relationships in less than a year. The firm closed its first fund, valued at $103 million, in August 2025.

The firm’s investment haul comes as LIHTC investment continues to grow, with states expanding their own tax-credit programs. In some cases, states preserved the tax structure.

Investment also got a boost at the federal level, primarily from last year’s One Big Beautiful Bill Act. Rising investment in tax-credit-driven affordable housing comes as cities and states pass reforms to build more housing amid persistent affordability concerns nationwide.

Adding affordable housing stock

Greystone’s new fund will finance 11 developments across 20 properties in nine states, creating 1,960 affordable housing units. The first fund provided capital for 11 projects across Louisiana, Massachusetts, Mississippi, New Jersey, Ohio and Pennsylvania, accounting for 959 units.

“This is only the beginning, and we remain committed to expanding our impact by delivering innovative capital solutions that help address the growing need for affordable housing across the country,” said Stephen Rosenberg, Greystone’s CEO.

With its latest fund, 10 of the properties in the latest fund fall under a rural development portfolio, Many LIHTC deals tend to be concentrated in urban markets. The portfolio allocates 60% to new construction and 40% to rehabilitation of existing units.

Most of the fund’s equity (84%) went to repeat developers, reflecting Greystone’s reliance on established relationships on the development side. On the tenant side, 80% of properties carry project-based rental subsidies, and residents average 56% of area median income — figures that place the portfolio in the deeply subsidized housing category rather than workforce-level affordability.

Fund fits a shifting market

Greystone’s rapid capital raise arrives as the broader LIHTC market grows and federal policy shifts open new room for expansion.

LIHTC investment reached about $30.1 billion in 2025, up roughly 4% from the $28.9 billion invested in 2024, according to tax advisory firm CohnReznick‘s annual Housing Tax Credit Monitor. That marks continued growth but at a slower pace than in prior years.

Syndicated equity made up 76% of the 2025 total, while direct investments accounted for the remaining 24% — a notable decline from prior years. Multi-investor funds like Greystone’s captured 44% of syndicated equity in 2025, with proprietary funds taking the other 56%. That split has held steady in recent years.

Growth is expected to continue into 2026. The One Big Beautiful Bill Act permanently raised states’ 9% LIHTC allocations by 12% and lowered the bond-financing threshold for 4% deals from 50% to 25%. The new law also added a rural focus.

Federal regulators expanded capital access too. The Federal Housing Finance Agency doubled Fannie Mae‘s and Freddie Mac‘s annual LIHTC investment caps to $2 billion each, with half of that combined $4 billion reserved for difficult-to-serve markets and 20% earmarked for rural communities.

This post was originally published on here.

WASHINGTON — According to an announcement released by the Office of the United States Trade Representative on Wednesday, July 15, the United States will impose a 25% tariff on selected imports from Brazil beginning July 22, escalating trade tensions between the Western Hemisphere’s two largest economies and signaling a tougher U.S. approach toward what it describes as unfair foreign trade practices.

The tariffs target a range of Brazilian products entering the United States while leaving several major exports—including coffee, beef, orange juice, certain energy products and aerospace components—exempt from the new duties. The administration said the action follows a trade investigation that concluded several Brazilian policies created barriers for American companies and distorted fair competition in key sectors of the economy.

The announcement immediately drew the attention of importers, exporters and financial markets, as businesses began assessing which supply chains could face higher costs and whether additional trade measures could follow. While the exemptions protect several high-profile consumer products from immediate price increases, manufacturers and distributors that rely on affected imports may begin paying substantially more within days.

Trade analysts say the decision reflects a broader shift in U.S. trade policy toward targeted enforcement actions rather than across-the-board tariffs. Instead of focusing primarily on reducing trade deficits, policymakers are increasingly using tariffs to pressure trading partners over market access, regulatory practices and commercial policies viewed as disadvantaging American businesses.

Economic commentators note that Brazil occupies a unique position in U.S. trade. Unlike several countries that have faced previous tariff actions, the United States generally maintains a goods trade surplus with Brazil. That makes the latest move less about narrowing an imbalance in trade and more about changing business practices that U.S. officials believe create an uneven playing field for American exporters and investors.

For U.S. businesses, the effects will vary considerably across industries. Companies importing Brazilian steel products, industrial materials, ethanol, sugar, tobacco and certain manufactured goods could experience higher procurement costs almost immediately. Businesses may absorb part of those increases, negotiate lower prices with suppliers or pass additional costs on to customers depending on market conditions and competitive pressures.

The exemptions were widely viewed by market observers as an effort to avoid unnecessary disruptions for American consumers. Brazil remains one of the world’s largest suppliers of coffee and orange juice to the United States, while its aerospace industry plays an important role in supplying aircraft and aviation components used throughout North America. Leaving those sectors untouched reduces the likelihood of immediate shortages or sharp retail price increases.

Business analysts say the greatest uncertainty now lies in Brazil’s response. If Brazilian officials introduce retaliatory tariffs on American exports, companies operating in agriculture, manufacturing and industrial equipment could face new challenges selling products into one of South America’s largest economies. Such actions have historically increased costs for businesses on both sides while creating additional uncertainty for investors and global supply chains.

Financial markets are also watching whether negotiations resume before the tariffs take effect. Trade disputes often begin with tariff announcements but can ultimately lead to revised agreements that reduce or eliminate duties after negotiations. Investors will be looking for signs that both governments remain willing to pursue a negotiated settlement before the dispute expands further.

Some economists caution that tariffs rarely affect only one side of a trading relationship. While they can provide leverage in negotiations and offer temporary protection for domestic industries, they can also increase operating costs for American companies that depend on imported materials. Whether those costs remain manageable often depends on how easily businesses can shift production or find alternative suppliers.

Commentators also note that the administration’s decision may serve as a blueprint for future trade enforcement actions. Rather than broad measures affecting every import from a country, policymakers appear increasingly willing to target specific sectors while exempting products considered strategically important to U.S. consumers and manufacturers. That approach attempts to maximize negotiating leverage while limiting inflationary pressure and disruptions to critical supply chains.

The coming weeks will determine whether the latest tariff action develops into a broader trade dispute or becomes the catalyst for renewed negotiations between Washington and Brasília. Until then, businesses on both sides of the hemisphere are preparing for higher costs, potential supply-chain adjustments and continued uncertainty surrounding one of the Americas’ most important commercial relationships.

JBizNews Desk | Washington

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After two great inflation numbers where the level of both consumer and producer prices actually declined in June from the prior month, reported out Tuesday and Wednesday, today we get another big number this time on retail sales — also known as consumer spending.

Core sales have risen 8 percent at an annual rate over the past three months. And the biggest category was online sales, where non-store retailers have jumped by 1.9 percent in June, 1.4 percent in May, 1.5 percent in April, and 21 percent annually for the last 3 months. Those are big numbers. 

By the way, car sales are up more than 20 percent annually in the second quarter. Another big number. We will get manufacturing tomorrow, but two booming regional manufacturing reports from New York and Philadelphia have already been reported.

So allow me to modestly redefine the reemergence of a Goldilocks economy. It used to be not too hot and not too cold. Yet that was Wall Street, and I was guilty of it too, suggesting limits to growth that might cause inflation. My new Goldilocks definition is rapid economic growth combined with stable or even disinflating prices.

That is to say, the Phillips Curve is dead. There’s no trade off between growth and inflation. Or between jobs and inflation. Speaking of jobs, weekly initial unemployment claims are rock bottom. Nobody is getting fired, but plenty of folks are being hired.

This is a new Goldilocks, on the supply-side, technologically driven. We’re talking AI, quantum computing, advanced manufacturing, and space technology breakthroughs. At the bottom of all of this is surging productivity — output per person — which is holding down business costs and consumer prices. We saw some of this movie before during the 1990s. Yet we’re seeing it again right now even bigger time.

And we have pro-growth fiscal and monetary policies, including a strong dollar, and a new regime at the Fed, and lower taxes and fewer regulations from the White House. All this is nurturing the new Goldilocks. Pessimists beware, you’re about to get whacked and you won’t even see it coming.

A growing share of working-age Americans is paying for food with borrowed money, and a rising number are unable to keep up with the bill. That is the central finding of a report released Monday, July 13, by the Urban Institute, the Washington-based research organization that conducts the Well-Being and Basic Needs Survey, a nationally representative poll of roughly 10,000 adults conducted in December 2025.

The survey, which covered adults ages 18 to 64, found that 8.7 percent of respondents said they charged groceries to a credit card and then could not make the minimum payment, up from 7.1 percent when the Urban Institute last measured the figure in 2023. Kassandra Martinchek, a co-author of the report and public policy expert at the Urban Institute, said the increase may appear modest, but it represents millions more Americans falling behind on debt incurred simply to put food on the table. Missed minimum payments, she noted, often trigger penalty interest rates and fees, making them one of the clearest signs of growing financial distress.

The broader financial picture is even more concerning. 63.2 percent of working-age Americans said they used a credit card to purchase groceries during the past year, and more than one-quarter of those consumers experienced difficulty repaying the balance. Fewer than 35 percent were able to pay their credit card bill in full each month. Meanwhile, 19.6 percent reported withdrawing money from savings that had not been intended for everyday expenses, while another 5.2 percent relied on payday loans to cover grocery costs. More than half of respondents, 51.3 percent, said grocery prices had increased significantly over the previous 12 months.

Buy Now, Pay Later Has Reached the Grocery Aisle

The report also highlights the rapid expansion of buy now, pay later financing into everyday necessities. 8.9 percent of adults said they used a buy now, pay later plan to purchase groceries, and 34.8 percent of those users missed at least one installment payment.

That delinquency rate stands out for a product generally structured around four payments over six weeks. The trend affects major providers including Klarna Group, Affirm Holdings, and Afterpay, as well as retailers that offer the payment option at checkout, including Walmart, Kroger, and Target.

Klarna recently reported 119 million active consumers, a 21 percent increase from a year earlier. The company has told investors that its average customer balance is approximately $124, compared with roughly $6,900 for the average U.S. credit card balance, while maintaining that its historical loss rate has remained around 0.6 percent. The Urban Institute’s findings suggest grocery borrowers may represent a substantially different and financially more vulnerable customer base.

Lower-Income Households Face the Greatest Pressure

The financial strain is concentrated among lower-income Americans. Approximately 12 percent of low- and middle-income adults who charged groceries to a credit card failed to make the minimum payment last year, roughly three times the rate among higher-income consumers.

Those households were also about four times more likely to miss a buy now, pay later installment. More than half of lower- and moderate-income consumers who relied on credit cards for groceries carried balances rather than paying them off completely, compared with just over one-third of higher-income households.

The cost of falling behind escalates quickly. A first missed credit card payment can result in fees of up to $30, with subsequent missed payments reaching $41 each, according to industry estimates.

Food Inflation Continues to Weigh on Household Budgets

The Urban Institute attributed much of the financial stress to the cumulative rise in food prices over recent years. Grocery costs have increased approximately 32 percent over the past five years, leaving many households with little flexibility to absorb additional price increases.

Recent federal data shows that while inflation has moderated, grocery prices remain elevated. The Bureau of Labor Statistics reported that food consumed at home increased 0.2 percent in June, while grocery prices were 2.7 percent higher than a year earlier. Egg prices climbed 4.3 percent during the month, dairy products rose 1.2 percent, and meats, poultry, fish and eggs increased 0.6 percent. Coffee and nonalcoholic beverages posted modest declines.

For many families, prices are no longer accelerating rapidly—they are simply remaining stubbornly high.

At the same time, overall household debt continues to climb. The Federal Reserve Bank of New York reported that total U.S. household debt reached $18.8 trillion during the first quarter of 2026, roughly $740 billion higher than one year earlier.

Meanwhile, enrollment in the Supplemental Nutrition Assistance Program has declined following changes to federal work requirements, leaving millions fewer Americans receiving food assistance than before.

Business Implications Extend Beyond Grocery Stores

Food is typically the final household expense families reduce. Researchers warn that when consumers begin financing groceries with credit cards, savings withdrawals, or installment loans, discretionary spending elsewhere in the economy often disappears first.

That has implications well beyond supermarkets. Card issuers may face higher loss rates on consumer debt tied to basic necessities. Retailers could see shoppers trading down to lower-cost products while reducing basket sizes. Lenders extending credit for grocery purchases are financing goods that are immediately consumed, leaving no asset behind to offset potential losses.

The Urban Institute concluded that while credit cards and savings can temporarily help families weather financial hardship, relying on those resources for essential expenses over an extended period can push households into long-term financial instability if debt continues to accumulate and depleted savings are never rebuilt.

JBizNews Desk | New York

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Ikea shoppers in Charlotte and Austin will soon have fewer options for home design consultations and pickup services.

The Sweden-founded retail giant is closing its South Charlotte and Austin-Domain, Texas, “Plan & order point with Pick-up” locations on Aug. 30, 2026, according to notices posted on the company’s website.

The smaller-format sites allow customers to get help with planning kitchens, rooms and business spaces, while also offering pickup services.

Both locations will remain open for planning appointments until their closure dates, according to Ikea.

Ikea said the closures are part of its strategy to build a “more affordable, accessible, and sustainable future” in the U.S.

“We continue to test, explore, and develop new ways for customers to meet Ikea, while investing in home delivery, pick-up services and our online experience,” the retailer said.

Customers with current kitchen, room or business planning projects at either location can finish them before the closure date. 

They can also transfer their projects to another Ikea store or work with an online remote planner, according to Ikea.

Ikea noted that Charlotte-area customers can still shop at the full-size Ikea Charlotte store at 8300 Ikea Blvd. or online at IKEA.com.

Austin-area customers can visit Ikea Round Rock or the Ikea location inside Best Buy South Austin. They can also shop online.

Ikea launched the format in early 2023 as part of a broader push to make shopping more convenient and accessible, according to The Street.

The retailer now has about 32 “Plan & order point with Pick-up” locations across 14 states.

FOX Business reached out to Ikea for comment.

Kraft Heinz is exploring a corporate breakup that could divide its grocery business from its faster-growing sauces and condiments division, a move that would reshape one of the world’s largest packaged food companies.

The company confirmed Thursday, July 16, that it is evaluating strategic alternatives designed to unlock shareholder value, including separating portions of its business into independent companies. The review follows increasing pressure from investors who believe Kraft Heinz’s diverse portfolio has limited its growth potential.

If completed, the restructuring would likely create one company focused on legacy grocery brands and another centered on higher-growth products such as ketchup, sauces, condiments and specialty foods.

Executives said no final decision has been made, but management is actively reviewing options that could improve long-term performance while creating greater operational flexibility.

The review comes as consumer shopping habits continue evolving.

While shoppers remain loyal to many Kraft Heinz household brands, they have increasingly shifted toward healthier foods, premium products and private-label alternatives as grocery prices remain elevated.

The company has responded by investing more heavily in innovation, product reformulations and faster-growing categories while continuing to reduce operating costs throughout its global business.

Analysts say separating slower-growing packaged foods from higher-margin condiment brands could allow each business to pursue different growth strategies while providing investors with clearer financial performance.

Kraft Heinz owns many of the best-known food brands in North America, including Kraft, Heinz, Oscar Mayer, Philadelphia, Velveeta, Jell-O, Maxwell House, Lunchables and Capri Sun.

The company continues generating billions of dollars in annual revenue, but overall sales growth has slowed as consumers become more selective with discretionary grocery spending.

Executives said the strategic review is intended to position the company for long-term success while adapting to changing consumer preferences and competitive pressures throughout the global food industry.

Investors generally welcomed news of the review, viewing a potential separation as an opportunity to improve efficiency, sharpen management focus and increase shareholder value.

Any transaction would still require approval from the company’s Board of Directors and could take many months to complete.

For consumers, the review is not expected to affect product availability or pricing in the near term. Grocery store shelves will continue carrying Kraft Heinz products while the company evaluates its long-term corporate structure.

The announcement represents one of the biggest strategic reviews in the consumer packaged food industry this year and could influence how other large food manufacturers organize their businesses in the years ahead.

JBizNews Desk | Chicago

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Portal Innovations opened the New Jersey Innovation Hub at the HELIX in New Brunswick on Tuesday, launching a nearly 30,000-square-foot life sciences incubator with 16 founding member companies already committed — the largest pre-launch cohort in the company’s national network, according to founder and chief executive John Flavin.

The same day, BioNJ officially signed on as a foundational member, formalizing a commitment the life sciences trade association first announced in April.

Flavin said the turnout validates both the strength of New Jersey’s innovation ecosystem and the need for a connected national network built to help founders start and scale companies. The 16 founding members work across biotechnology, therapeutics and artificial intelligence.

What’s actually in the building

This is not co-working with a science label on the door. The space includes more than 140 lab benches and 80 desks, offices, large co-working areas, multiple conference rooms, on-site vivarium services and over $2 million in modern equipment.

That equipment number is the whole point. A two-person therapeutics startup cannot buy its own lab. It can rent a bench. Removing that capital barrier is how a state converts university research into companies that hire people, and it is the specific gap New Jersey has struggled with for years — plenty of discovery, not enough company formation.

Members also receive complimentary BioNJ membership, folding them into the state’s primary life sciences advocacy network from day one.

Who built it

The hub came together through an unusually crowded partnership: the State of New Jersey, Rutgers University, the New Jersey Economic Development Authority, RWJBarnabas Health, Hackensack Meridian Health, Portal Innovations, the New Brunswick Development Corporation, Johnson & Johnson, BioNJ and the broader HELIX ecosystem. Portal has also partnered with DEVCO and nearby universities including Rutgers and NJIT to spin companies out.

That list is the story behind the story. Getting a state authority, two competing hospital systems, a global pharmaceutical company, a public university and a trade association into the same building on the same terms is harder than raising the money.

BioNJ’s role

BioNJ President and CEO Debbie Hart said the membership reflects the association’s commitment to supporting innovation from discovery through commercialization. The organization will now convene the industry at the HELIX for committee and other meetings, operating from new space in New Brunswick alongside its existing Trenton offices.

BioNJ represents more than 400 research-based life sciences organizations, from the largest biopharmaceutical companies to early-stage startups, and has been at it for more than 30 years under the banner “Because Patients Can’t Wait.”

Flavin called BioNJ’s participation a meaningful endorsement, saying its leadership will deepen connections between startups, industry and research institutions and accelerate company formation in the state.

The economics

New Jersey’s life sciences workforce now tops 127,000 workers, according to a report released this month. It is one of the few sectors where the state can credibly claim national leadership, and one of the few where the wages are high enough to matter to the tax base.

But the market underneath is soft. Vacancy rates for life sciences space in Northern New Jersey rose in the second quarter, according to Savills. Lab space built during the boom is sitting. An incubator that fills benches with pre-revenue companies is a different product than an empty 100,000-square-foot building looking for a single tenant — and right now, the small format is the one moving.

The timing lands in a rough stretch for the state’s business reputation. The New Jersey Chamber of Commerce noted this month that New Jersey slipped from 30th to 31st in CNBC’s 2026 business rankings, behind New York, Pennsylvania and Connecticut. A 30,000-square-foot incubator does not fix that. It does give the state something concrete to point at.

What to watch

The number that matters is not 16. It is how many of those 16 are still in New Jersey in five years, and how many benches turn into leases somewhere else in the state. Incubators are judged on graduation, not occupancy.

For New Brunswick, the HELIX is the anchor of a redevelopment bet years in the making. Tuesday put tenants in it.

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Taiwan Semiconductor Manufacturing Company told investors on Thursday that it grew second-quarter profit 77% from a year ago and would lift its 2026 capital spending to between $60 billion and $64 billion, up from a prior range of $52 billion to $56 billion. The chipmaker beat Wall Street’s estimates. Its stock fell anyway — and dragged the entire semiconductor sector down with it for a second straight session.

The message traders took from the company’s own numbers was not about demand. It was about cost. TSMC is spending roughly $8 billion more this year than it told the market three months ago, and it warned customers to expect higher prices. For a group of stocks that has led the 2026 rally on the promise that AI spending pays for itself, that was enough to trigger selling across the board.

The backdrop did not help. U.S. Central Command confirmed a fifth consecutive night of strikes on Iran, and Washington has reinstated its naval blockade of Iranian ports near the Strait of Hormuz. Crude held near recent highs, Treasury yields moved up, and the Commerce Department reported June retail sales rose just 0.2%, in line with forecasts but weighed down by a 5.3% drop at gasoline stations. The Labor Department said initial jobless claims fell to 208,000 for the week ended July 11, below the 218,000 economists expected. The Philadelphia Federal Reserve’s manufacturing index jumped to 41.4 for July.

Where the indexes finished

Heading into the closing bell, the S&P 500 was down 59.13 points, or 0.78%, at 7,513.27. The Nasdaq Composite fell 454.66 points, or 1.73%, to 25,814.56 — the worst of the three by a wide margin. The Dow Jones Industrial Average gave back an early triple-digit gain to close down 253.08 points, or 0.48%, at 52,405.56. The Russell 2000 slipped 0.30% to 2,967.22.

The headline numbers hide what actually happened. Most S&P 500 members finished higher. The Invesco S&P 500 Equal Weight ETF was up roughly 0.6% on the day, and the NYSE Composite climbed 0.44%. Money did not leave the market — it left chips.

Market movers

The Philadelphia SE Semiconductor Index fell 3.8%. TSMC’s U.S.-listed shares dropped about 2% to $411.20 despite the record quarter. Memory names took the worst of it: SanDisk was the biggest decliner on the Nasdaq 100, off roughly 9%. Western Digital and Seagate Technology each fell about 7%. Micron Technology dropped 5.2% to $857.10. Arm Holdings, Marvell, Qualcomm, Intel, Broadcom, and Nvidia all traded lower.

On the other side, UnitedHealth Group beat second-quarter estimates and raised its 2026 profit forecast, sending shares up 4.6% to $437.61 and single-handedly keeping the Dow from a much worse day. Humana and Centene rose 4.4% and 3.5%. Coca-Cola and Home Depot each added better than 2%.

GE Aerospace was the day’s oddity — the jet-engine maker lifted its 2026 profit forecast and still fell 4% to $345.94. Corning lost 6.7%, ServiceNow fell 4.7%, and United Airlines dropped 2.8% as management pointed to higher fuel costs in its third-quarter outlook. IBM, Goldman Sachs, and Cisco Systems were the heaviest Dow decliners.

Analyst calls

JPMorgan upgraded BlackRock to Overweight from Neutral and raised its price target to $1,364 from $1,165. Capital One upgraded Palo Alto Networks to Overweight from Equal Weight with a $421 target, up from $307, and lifted Okta to Overweight with a $171 target, up from $126. Morgan Stanley upgraded Rocket Companies to Overweight with a $19 target. BofA raised Cintas to Buy with a $230 target. Goldman Sachs cut American Electric Power to Neutral with a $147 target.

Jay Goldberg, senior analyst at Seaport, questioned the economics behind Nvidia CEO Jensen Huang’s forecast that computing costs will climb toward $100 billion per gigawatt, calling it a contradiction in the company’s own business model.

Commodities and volatility

West Texas Intermediate traded just below $80 a barrel after settling at $79.60 Wednesday. Brent held under $85, following a 12% run over the previous three sessions. Gold fell 1.74% to $3,981.20. The CBOE Volatility Index rose 8.48% to 17.00. Traders are pricing in an 88% chance the Federal Reserve holds rates steady at this month’s meeting, according to CME’s FedWatch tool.

What comes next

Netflix reports second-quarter results after the bell. Wall Street expects $0.79 per share on revenue of $12.58 billion. The stock is down roughly 20% this year, and options traders are positioned for a move of nearly 9% in either direction.

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The IRS this week announced changes in the amount that taxpayers may deduct in gas used per mile while operating a vehicle for business for the remainder of the year amid higher gas prices.

The tax collection agency noted that the change “results from recent increases in the price of fuel” and will allow for larger mileage deductions for business, medical and moving expense purposes.

Under the revision, the standard mileage deduction rate for business will increase to 76 cents per mile, up from 72.5 cents a mile.

Deductions for medical and moving purposes will also rise to 23.5 cents per mile, rising from the previous rate of 20.5 cents.

The IRS’ changes to the mileage deduction are effective starting this month, retroactive to July 1, 2026.

The Journal of Accountancy noted that the IRS’ revision is the first midyear adjustment of the standard mileage rate since 2022.

Gas prices surged following the outbreak of the Iran war, which disrupted the flow of oil from the Middle East through the Strait of Hormuz and has in turn contributed to higher gasoline prices at the pump.

Data from AAA shows that the national average cost of a gallon of gasoline was $3.943 as of Thursday. That’s up from $3.16 a gallon a year ago, which represents an increase of 24.7% over the past year.

There has been some relief for drivers in recent weeks, as the average price of gas is down from $4.044 a gallon a month ago.

Gas prices have been a major factor in inflation rising this year, with the latest consumer price index (CPI) data showing gas prices are up 26.7% compared with a year ago.

That rise is despite the CPI inflation data showing a 9.7% decline in gas prices in the month of June as energy flows through the Strait of Hormuz picked up, but further declines will be needed to offset the large increases seen in the first few months of the conflict.

Headline CPI was up 3.5% in June, well above the Federal Reserve’s target rate of 2%, which has cast doubt on the ability of the central bank to cut interest rates this year if inflation remains persistently above target.

NORTH PLAINFIELD, N.J. — Artificial intelligence is rapidly moving from experimentation to everyday business strategy, with nearly half of retailers making new technology investments this year and two-thirds actively using or evaluating AI, according to a new mid-year industry survey released Wednesday by Levin Management Corp.

The findings suggest retailers are no longer asking whether to adopt artificial intelligence—they are deciding how quickly they can deploy it.

The survey found 47.8% of retailers have increased technology investments during 2026, while 66.4% reported they are either already using AI, testing AI tools or actively exploring how artificial intelligence can improve their businesses.

For retailers facing rising labor costs, inflation and changing consumer expectations, technology is increasingly becoming a competitive requirement rather than an optional investment.

AI Moves Into Everyday Retail Operations

Retailers are deploying artificial intelligence across a growing range of business functions.

Rather than focusing only on customer-facing chatbots, companies are using AI to improve inventory management, forecast demand, automate marketing campaigns, personalize promotions, streamline customer service and optimize staffing levels.

Many businesses are also integrating AI into financial reporting, product recommendations and supply chain management.

The shift reflects a broader movement toward operational efficiency as retailers search for new ways to increase productivity while controlling expenses.

Technology Spending Continues to Rise

The survey indicates retailers remain willing to invest despite continued economic uncertainty.

Business owners increasingly view technology upgrades as long-term investments capable of improving profitability, customer satisfaction and operational performance.

Artificial intelligence has become one of the fastest-growing categories within those technology budgets as software providers continue introducing new tools designed specifically for retail businesses.

Companies that once delayed digital transformation are now accelerating adoption to remain competitive.

Competition Driving Adoption

Consumers increasingly expect faster service, personalized recommendations and seamless shopping experiences whether purchasing online or inside physical stores.

Meeting those expectations often requires advanced technology operating behind the scenes.

Retailers that fail to modernize risk falling behind competitors that use AI to improve pricing, inventory accuracy, customer engagement and operational efficiency.

The survey suggests many retailers recognize that challenge and are responding by increasing technology investments.

Brick-and-Mortar Stores Continue to Adapt

While e-commerce remains important, physical retail locations continue investing heavily in technology.

Artificial intelligence is helping store operators better understand customer traffic, improve merchandising decisions and manage inventory more efficiently.

Shopping centers are also benefiting as retailers modernize operations to create more engaging in-store experiences while integrating digital capabilities with traditional retail.

The combination of physical locations and AI-powered business tools is becoming an increasingly important competitive advantage.

Looking Ahead

The survey reinforces a broader trend unfolding across nearly every industry: artificial intelligence is transitioning from a future technology to a core business tool.

For retailers, the question is no longer whether AI will reshape operations—it already is.

Businesses that invest today may gain meaningful advantages in efficiency, customer service and profitability, while those that delay adoption risk losing ground in an increasingly technology-driven marketplace.

As retailers prepare for the critical holiday shopping season, artificial intelligence is expected to play a larger role than ever in how stores manage inventory, serve customers and compete for consumer spending.

JBizNews Desk | North Plainfield, New Jersey

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General Mills is pulling more than 735,000 Pillsbury bread rolls from shelves due to concerns the products may contain glass.

The recall affects certain frozen Pillsbury bread rolls, including “Hard Roll Dough” and “Kaiser Roll Dough” products, according to a recall report shared by the Food and Drug Administration (FDA).

The FDA classified the recall as Class II on July 13. A Class II recall means that using the product could cause “temporary or medically reversible” health consequences.

The affected units include 3,080 cases of Pillsbury “Hard Roll Dough” products, with 180 units per case. They have “Better if Used by” dates of Oct. 12, 2026, and Oct. 13, 2026, with lot numbers 11JUN6JL and 12JUN6JL.

The recall also includes 1,260 cases of Pillsbury “Kaiser Roll Dough” products, with 144 units per case. Those products have a “Better if Used by” date of Oct. 13, 2026, and lot number 12JUN6JL, as noted in the report.

The recalled cases amount to roughly 735,840 rolls.

The products were distributed in Arkansas, California, Florida, Georgia, Indiana, Louisiana, Maine, Missouri, New Mexico, New York, Ohio, Oklahoma, Pennsylvania, South Carolina, Tennessee, Texas, Virginia, Washington and Wyoming, the FDA said.

The recall comes amid several other recent food safety alerts.

The FDA also recently upgraded a recall of certain Utz Quality Foods potato chips to its highest risk classification, warning that the products could cause serious health consequences or death if contaminated with salmonella.

FOX Business reached out to General Mills for comment.

FOX Business’ Brittany Miller contributed to this report.

JOHANNESBURG — Amazon’s satellite broadband business has secured its first major distribution agreement in Africa, partnering with South African internet provider Herotel to launch satellite internet service across the country while rival Starlink remains unable to operate because of South Africa’s licensing rules.

The agreement gives Amazon an early foothold in one of Africa’s largest telecommunications markets and highlights how different regulatory strategies are shaping the race to expand satellite broadband across the continent.

Commercial service is expected to begin in 2027 under a new consumer brand called evry, with customer registration already open.

Amazon Chose a Different Strategy

Rather than waiting for regulators to change licensing rules, Amazon partnered with an established local telecommunications company.

Herotel, South Africa’s largest fixed internet service provider, already holds the licenses required to operate in the country. That allows Amazon to provide satellite connectivity through a fully licensed local partner instead of seeking its own operating authority.

The approach contrasts sharply with Starlink, which has spent years seeking regulatory approval to enter South Africa.

Because Herotel already maintains technicians, customer support and service infrastructure throughout the country, Amazon will also gain an established installation and maintenance network from the first day of commercial operations.

Starlink Still Waiting

While Starlink has expanded rapidly across many African countries, South Africa remains one of its largest missing markets.

The company continues waiting for changes to ownership and licensing regulations administered by the Independent Communications Authority of South Africa (ICASA).

Those rules require telecommunications operators to meet local ownership and empowerment requirements before receiving licenses.

Amazon’s partnership structure effectively allows it to enter the market without waiting for those regulations to change.

Targeting Rural Communities

The new satellite service is expected to focus primarily on underserved communities where traditional broadband remains difficult or uneconomical to build.

Many rural regions continue lacking reliable high-speed internet because extending fiber-optic networks across long distances is expensive and often impractical.

Low-Earth-orbit satellite systems provide broadband with significantly lower latency than traditional geostationary satellites, making applications such as video conferencing, online education and business communications more practical.

Herotel’s nationwide service network is expected to help accelerate adoption by handling installation, customer service and technical support locally.

Competition Is Just Beginning

Although Amazon has secured an important commercial victory, it still trails Starlink significantly in satellite deployment.

Amazon continues building its satellite constellation while Starlink already operates thousands of satellites worldwide and serves millions of subscribers.

The South African agreement therefore represents a strategic market entry rather than technological leadership.

For Amazon, the immediate opportunity lies in establishing customer relationships before additional competitors receive regulatory approval.

Why It Matters

The agreement demonstrates that regulatory strategy can be as important as technology in global telecommunications.

Rather than waiting for policy changes, Amazon found a licensed local partner capable of bringing satellite broadband to market under existing regulations.

For businesses and consumers in rural South Africa, the partnership promises another source of high-speed internet access.

For the broader satellite industry, it underscores that winning new markets increasingly depends not only on launching satellites into orbit, but also on navigating local regulations and building strong regional partnerships.

JBizNews Desk | Johannesburg

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General Mills is pulling more than 735,000 Pillsbury bread rolls from shelves due to concerns the products may contain glass.

The recall affects certain frozen Pillsbury bread rolls, including “Hard Roll Dough” and “Kaiser Roll Dough” products, according to a recall report shared by the Food and Drug Administration (FDA).

The FDA classified the recall as Class II on July 13. A Class II recall means that using the product could cause “temporary or medically reversible” health consequences.

The affected units include 3,080 cases of Pillsbury “Hard Roll Dough” products, with 180 units per case. They have “Better if Used by” dates of Oct. 12, 2026, and Oct. 13, 2026, with lot numbers 11JUN6JL and 12JUN6JL.

The recall also includes 1,260 cases of Pillsbury “Kaiser Roll Dough” products, with 144 units per case. Those products have a “Better if Used by” date of Oct. 13, 2026, and lot number 12JUN6JL, as noted in the report.

The recalled cases amount to roughly 735,840 rolls.

The products were distributed in Arkansas, California, Florida, Georgia, Indiana, Louisiana, Maine, Missouri, New Mexico, New York, Ohio, Oklahoma, Pennsylvania, South Carolina, Tennessee, Texas, Virginia, Washington and Wyoming, the FDA said.

The recall comes amid several other recent food safety alerts.

The FDA also recently upgraded a recall of certain Utz Quality Foods potato chips to its highest risk classification, warning that the products could cause serious health consequences or death if contaminated with salmonella.

FOX Business reached out to General Mills for comment.

FOX Business’ Brittany Miller contributed to this report.

NEW YORK — Investor Michael Burry, best known for predicting the collapse of the U.S. housing market before the 2008 financial crisis, said Wednesday that the $60.50-per-share takeover proposal for PayPal Holdings Inc. significantly undervalues the company and predicted any successful acquisition will require a substantially higher offer.

Burry’s comments came hours after reports that Stripe and private equity firm Advent International had submitted a proposal valuing PayPal at more than $53 billion, a deal that immediately became one of Wall Street’s biggest stories and sent PayPal shares sharply higher.

“I am not selling, and I believe it is only an opening bid,” Burry wrote on his Substack.

The market appeared to agree that the first offer may not be the last. PayPal shares jumped as much as 19%, trading near $57, as investors weighed the possibility of a higher competing bid or improved terms.

Burry Says Intrinsic Value Is Much Higher

Burry argues investors are focusing on the wrong benchmark.

While the proposed offer represents roughly a 28% premium to PayPal’s previous closing price, Burry says that comparison ignores what he believes is the company’s long-term intrinsic value.

Using his proprietary discounted cash flow methodology, Burry estimates PayPal’s fair value is substantially above the current bid, placing a reasonable acquisition value near $100 per share.

His analysis suggests buyers would still receive attractive long-term returns even after paying significantly more than the current proposal.

For Burry, control of PayPal’s payments platform, technology and cash flow deserves a premium well beyond today’s offer.

A Newly Built Position

The timing also matters.

Burry only recently disclosed building a 3.5% ownership stake in PayPal, purchasing shares at an average price of approximately $49.38.

The investment fits a broader strategy that has favored beaten-down financial technology and software companies while reducing exposure to some of Wall Street’s highest-valued artificial intelligence stocks.

His recent purchases have included companies such as Salesforce, Fiserv, Adobe, MercadoLibre, and MSCI, reflecting a belief that many established technology businesses have become undervalued.

Analysts Divided

Wall Street remains split on PayPal’s future.

Some analysts believe the current proposal undervalues the company, arguing that PayPal’s global payments network, strong cash generation and recognizable consumer brand justify a significantly higher valuation.

Others question whether any buyer would ultimately be willing to pay prices approaching Burry’s estimate given PayPal’s slowing growth and increasingly competitive payments landscape.

The company continues facing pressure from Apple Pay, Block, Stripe, and numerous emerging fintech providers competing for both consumers and merchants.

Board Faces Difficult Decision

PayPal’s board has not responded publicly to the reported proposal.

Directors will likely review the offer with financial and legal advisers before determining whether to negotiate, reject the bid or seek alternative proposals.

Their decision could become one of the most closely watched corporate governance stories of the year.

Accepting the current offer would provide shareholders with an immediate premium.

Rejecting it could preserve the opportunity for a higher bid—but also risks losing the transaction entirely.

What Investors Are Watching

For now, investors appear to be betting that negotiations have only begun.

The stock’s move toward the reported offer price suggests markets expect either an improved proposal or a competitive bidding process.

Whether Burry’s $100-per-share estimate ultimately proves realistic remains uncertain.

What is clear is that one of Wall Street’s most closely followed value investors believes the first offer dramatically understates what he considers one of fintech’s most valuable franchises.

JBizNews Desk | New York

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Women’s Council of Realtors has named Tripti Kasal as its new CEO, selecting a residential real estate executive to guide the 9,000-member organization.

Kasal will lead Women’s Council’s efforts to prepare and support more women for senior leadership roles in brokerages, associations and MLSs, technology companies, advocacy initiatives, entrepreneurship and community development.

Women have represented the majority of Realtors since 1978 and today account for 62% of the profession. Yet women remain underrepresented in executive roles, the council cited.

“Real estate needs well-prepared leaders who can build consensus, make difficult decisions, advocate effectively and guide organizations through profound change,” said Cheryl Keller, 2026 national president of Women’s Council of Realtors. “Women’s Council has been preparing women to meet that challenge for generations, and Tripti is uniquely qualified to help us expand that impact.”

Kasal brings more than 25 years of residential real estate experience spanning brokerage operations, market expansion, recruiting, coaching, marketing, business development and member engagement.

“I am passionate about the future of residential real estate and the role well-trained, well-supported leaders must play in shaping it,” she said. “Our industry needs leaders who are prepared to listen, build trust, advocate effectively and help others navigate change with confidence.”

Early in her career, Kasal helped launch and grow the Chicago operation of an internet-based residential brokerage, expanding its sales team from five to more than 40 agents in less than a year.

She later owned a boutique brokerage in Chicago’s Lincoln Park neighborhood.

Kasal spent 10 years in senior leadership with Baird & Warner, most recently serving as senior vice president and regional manager for the Chicago metropolitan area.

Most recently, she served as senior vice president of member engagement for Leading Real Estate Companies of the World, where she led the U.S. membership services team and helped independent brokerages connect with education, technology, marketing, relocation and business development resources.

As CEO, Kasal will focus on expanding membership and engagement, strengthening local and state networks, broadening leadership education, increasing participation in PMN, deepening partnerships with brokerages and organized real estate, and growing the business value of Women’s Council’s nationwide referral network.

This article was generated using HousingWire Automation and reviewed by a HousingWire editor before publication.

This post was originally published on here.

NEW YORK — Apple Inc. cleared one of its biggest hurdles in China on Wednesday after the Cyberspace Administration of China (CAC) approved Apple Intelligence for use on iPhones in mainland China, allowing the company to bring its artificial intelligence platform to the world’s largest smartphone market through a partnership with Alibaba Group Holding Ltd.

The decision removes a major obstacle that has delayed Apple’s AI rollout in China for nearly two years and gives the iPhone maker an opportunity to compete more directly with domestic rivals that have already integrated generative artificial intelligence into their smartphones.

Investors immediately recognized the significance of the announcement. Apple shares climbed about 4% to a record high, while U.S.-listed shares of Alibaba rose as much as 7% after the company confirmed its technology would power Apple’s AI services in China.

The approval represents far more than a software update. It marks one of the most important technology partnerships between an American consumer electronics company and a Chinese artificial intelligence developer.

Alibaba Powers Apple’s AI in China

At the center of the agreement is Alibaba’s Qwen large language model.

Alibaba confirmed that Qwen will serve as the foundation for Apple Intelligence in mainland China, providing artificial intelligence capabilities directly within Apple’s operating system. Instead of downloading a separate chatbot application, users will access AI-powered writing tools, image understanding, translation, content generation and other features through Apple’s native software.

Baidu is also participating as a technical partner supporting portions of Apple’s China AI deployment.

The CAC approval places Apple alongside Huawei, OPPO, vivo, Xiaomi, Samsung, and Nubia, all of which have received authorization to offer generative AI services on smartphones sold in China.

A Major Win in Apple’s Second-Largest Market

China remains one of Apple’s most strategically important markets.

The company recently reported Greater China revenue of $20.5 billion for the quarter, representing 28% year-over-year growth, while iPhone shipments increased 24.4% as Apple regained the No. 2 position in China’s smartphone market.

Until now, however, Chinese customers purchasing Apple’s newest devices could not access many of the artificial intelligence features already available elsewhere because of local regulatory restrictions.

That left Apple competing against domestic manufacturers whose AI capabilities had become major selling points.

Wednesday’s approval effectively closes that gap.

Approval Comes Before Launch

Regulatory approval does not mean Apple Intelligence will immediately become available across China.

Apple must still complete software deployment, localized engineering work and operating system updates before the service launches broadly.

Reports indicated that a limited beta version briefly appeared before being withdrawn, suggesting Apple continues preparing for a larger public rollout.

Compatible devices will require updated software and newer-generation iPhone hardware capable of running Apple Intelligence.

Why the Partnership Matters

For Alibaba, the agreement represents one of the strongest endorsements yet of its artificial intelligence platform.

Having Qwen selected to power Apple’s AI experience gives Alibaba access to one of the world’s largest consumer technology ecosystems while reinforcing its position among China’s leading AI developers.

For Apple, partnering with a domestic technology leader provides a practical solution for complying with China’s regulatory requirements governing artificial intelligence, cloud services and data localization.

The partnership also demonstrates how global technology companies continue adapting to increasingly complex regulatory environments by working with local providers rather than attempting to operate independently.

The Bigger Picture

Artificial intelligence has become the newest battleground in the global smartphone industry.

Consumers increasingly expect AI-powered features to be integrated directly into their devices, making regulatory approval in China particularly important for Apple as it seeks to defend market share against rapidly advancing domestic competitors.

For investors, Wednesday’s announcement removes one of the largest remaining uncertainties surrounding Apple’s AI strategy in China.

It also gives Alibaba a prominent role inside one of the world’s most valuable consumer technology ecosystems—an alliance that could reshape the competitive landscape of artificial intelligence in the world’s largest smartphone market.

JBizNews Desk | New York

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Reward points were built to buy business class seats to Bali and long weekends in London hotels. USAA Federal Savings Bank reported this week that 36 percent of consumers holding credit card rewards are now cashing them in immediately to offset everyday expenses — groceries, gas and bills — rather than saving them for travel or big-ticket purchases.

“Consumers are changing the way they think about credit card rewards,” said Michael Moran, President of USAA Bank, announcing a new suite of rewards cards from Visa and American Express built around the shift. Moran said that what was once viewed as a benefit for travel or larger purchases has increasingly become a tool to manage everyday costs, and that as household budgets stay under pressure, people are looking for immediate ways to stretch their dollars.

The survey behind the finding was conducted by 160over90 Research, an online study of 1,143 U.S. adults ages 18–54 fielded March 26–30, 2026, with quotas set on age, gender and region.

The behavior underneath the number

The details are more telling than the headline figure.

Nearly half — 47 percent — reported using “Pay With Points” for essential items, compared with just 26 percent who used it for discretionary purposes. 42 percent said they redeem points monthly to lower statement balances. 30 percent cash out as soon as they hit the minimum redemption threshold.

Younger cardholders are the most aggressive. Among respondents aged 18–24, 72 percent redeem points monthly or as quickly as possible. Among those 25–34, 51 percent redeem monthly.

USAA Bank’s own transaction data mirrors it. Reward redemption volumes among its cardholders rose 47 percent year-over-year in 2025, driven by Shop With Rewards, which lets members knock down a gas, grocery or retail expense using points. That analysis drew on aggregated, anonymized data from more than four million USAA Bank credit card holders, as of December 31, 2025.

Points, in other words, have stopped being a savings account and started being a checking account.

What’s driving it

The pressure is coming from the grocery aisle. Research from the Urban Institute, released this week, found that roughly 63 percent of working-age adults have used a credit card to buy food. Of those, 19.6 percent did not pay the full balance but made minimum payments, and 8.7 percent could not make even the minimum — up from 7.1 percent in 2023.

“This means that over 1 in 4 working-age adults used credit cards to purchase food for their families and experienced repayment challenges,” the report stated.

Kassandra Martinchek, a co-author of the study, said there are millions “struggling to make that minimum payment when they’re putting groceries on their credit card.”

The Urban Institute found grocery prices have risen 32 percent over five years. Middle-income families — those earning between 200 and 400 percent of the federal poverty level — were hit hardest, with missed minimum credit card payments on food climbing from 9.3 percent in 2023 to 12.3 percent in 2025. Roughly 8.9 percent of adults used buy now, pay later plans to secure food, and more than a third of those users — 34.8 percent — missed an installment payment. About 20 percent said they were dipping into savings to buy groceries.

Who actually pays for the points

There is a second business story buried in the redemption data. A Harvard study estimates that consumers paying with cash and debit are subsidizing roughly $30 billion a year in points and rewards for credit card users.

Premium cards — the ones with the richest rewards — accounted for 60 percent of credit card volume in 2022, up from just 15 percent in 2006, according to the same study. The average swipe fee on a premium card runs 2.1 percent, against 1.7 percent for a basic credit card and under 1 percent for debit.

Merchants feel it directly. Managers at Tiger Fuel, which operates 10 gas stations and convenience stores in Virginia, expect to pay more in credit card fees this year than they will in rent.

The Electronic Payments Coalition counters that the number of lower- and middle-income consumers holding rewards cards has been rising, and that millions of low- and moderate-income families rely on cash back and rewards to offset the cost of groceries and gas. The group argues lower swipe fees would not necessarily reach shoppers, pointing to prices after the 2011 debit fee cap.

The timing

The USAA data landed the same week the inflation numbers finally broke the other way. The Bureau of Labor Statistics reported Wednesday that producer prices fell 0.3 percent in June, a day after consumer prices fell 0.4 percent and annual inflation cooled to 3.5 percent.

But that relief came from a ceasefire and cheaper oil, not from the grocery store. Food prices don’t unwind. The household that redeemed 5,000 points for a tank of gas in June will do it again in July.

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FLORHAM PARK, N.J. — The New York Jets and Xerox Holdings Corp. announced a multi-year partnership Wednesday that will integrate artificial intelligence, workflow automation and digital document technologies throughout the NFL franchise’s football and business operations.

The agreement makes Xerox the Jets’ Official Print and Digital Services Partner while expanding the company’s growing focus on AI-powered workplace technology beyond traditional office printing.

For Xerox, the partnership is another step in repositioning the 119-year-old company as a provider of intelligent workplace solutions. For the Jets, it represents an investment in technology designed to improve operational efficiency both on and off the field.

Technology Beyond the Front Office

The partnership extends well beyond traditional printing services.

Xerox will deploy intelligent workflow automation, digital content management and AI-enabled document technologies across multiple areas of the organization, supporting football operations, administrative functions and business departments.

The companies said the goal is to streamline everyday processes, improve collaboration and reduce manual administrative work, allowing employees to focus more on decision-making and fan engagement.

While the financial terms of the agreement were not disclosed, the partnership also includes Xerox joining the Jets Partner Alliance, the team’s corporate sponsorship platform.

AI Moves Into Professional Sports

Professional sports organizations are increasingly investing in artificial intelligence and digital automation.

Teams are using AI to improve business operations, analyze fan behavior, optimize ticket sales, streamline internal communications and enhance operational efficiency across their organizations.

Although football analytics have become commonplace over the past decade, many clubs are now expanding AI beyond coaching staffs into finance, marketing, human resources and customer service.

The Jets’ agreement reflects that broader trend.

Xerox Continues Business Transformation

For Xerox, partnerships such as this demonstrate how the company is evolving beyond its legacy copier business.

The company has spent recent years expanding its portfolio of digital workplace services, automation software, cybersecurity and AI-driven workflow solutions as businesses increasingly digitize paper-intensive processes.

Sports organizations provide high-profile opportunities to demonstrate those capabilities while showcasing technology that can also be adopted by corporate customers.

Business Lessons Beyond Football

The announcement highlights how artificial intelligence is becoming an enterprise productivity tool rather than simply a consumer technology.

Organizations across industries are investing in AI to automate repetitive work, accelerate document processing and improve operational efficiency.

Whether managing football operations or running a corporate headquarters, the underlying objective remains the same: allowing employees to spend less time on administrative tasks and more time making strategic decisions.

As businesses continue expanding AI adoption, partnerships like the one between the New York Jets and Xerox illustrate how digital transformation is increasingly reaching every corner of an organization—not just the technology department.

JBizNews Desk | Florham Park, New Jersey

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The parent company of 7-Eleven convenience stores shed more light on its plan to close hundreds of stores in the U.S. this year.

Parent company Seven & i Holdings indicated in a filing earlier this year that it planned to close 645 7-Eleven stores in the company’s fiscal year 2026.

Seven & i Holdings’ latest quarterly earnings report included a presentation about the company’s various initiatives, including the restructuring of its store network amid the closure plans as well as conversion, remodels and new openings.

It said that it plans to close 200 unprofitable 7-Eleven stores in fiscal year 2026, with 45 stores closed to date.

The company also said that it plans to convert 350 of its convenience stores to wholesale fuel sites in the fiscal year, with 72 stores having been converted as of the first quarter.

Seven & i Holdings is planning to convert 390 stores to franchises this fiscal year and has done 43 to date.

Despite the company’s pullback, it’s also pursuing selective expansion and is planning to open 205 stores this year. The presentation noted it had opened 30 to date in the first quarter.

Seven & i Holdings’ plans to remodel 200 stores this fiscal year are expected to get underway in the second half of the fiscal year.

Overall, the plans outlined by the company earlier this year show the total number of 7-Eleven stores in the U.S. declining from 12,712 as of February to 12,272 at the end of the year, for a net decrease of 440 stores.

In late 2024, the company reported having 13,145 7-Eleven locations.

The company’s North American business has faced softer performance amid declines in customer traffic, according to company data.

The planned closures come as Seven & i Holdings looks to streamline operations and optimize its store portfolio. The company didn’t disclose which specific locations will be affected by the closures.

FOX Business’ Bradford Betz contributed to this report.

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Half of the country’s small business owners expect their revenue to rise over the next three months — the highest reading this year — even as their confidence in the broader economy collapsed to 24%, according to the Q3 Business Pulse survey released June 30 by Citizens Financial Group. Three months earlier, 36% said they were extremely or very confident in the U.S. economy.

Read those two numbers together and they look like a contradiction. They aren’t. They are two different questions, and owners are answering the one they can actually see.

Mark Valentino, head of business banking at Citizens, framed it plainly: “Small business owners are proving they can hold their own,” he said, arguing the split points to opportunity for operators willing to stay nimble rather than wait for conditions to improve.

What owners are actually worried about

Cost is the answer, and it isn’t close. 51% of owners named rising costs and inflation as their biggest challenge, ahead of economic uncertainty at 43% and finding and keeping customers at 39%.

The timing matters. The survey ran from June 1 to June 18 — squarely inside a stretch when energy prices were driving inflation and the war with Iran was reshaping fuel costs. For a business owner in Passaic or New Rochelle, “the economy” is a headline. The electric bill is a number on a desk. That gap is what the survey is measuring.

Citizens polled 500 business principals — owners, founders, partners, chief executives and presidents — and weighted results by company size to reflect the national small business population. The quarterly survey tracks near-term expectations for revenue, hiring, spending, credit usage and business challenges. It replaced the bank’s former Business Conditions Index, which drew on the bank’s own internal data rather than asking owners directly.

Hiring and borrowing plans held steady. Owners are not retrenching. They are also not surging.

How this reads against six months ago

The Q1 survey, conducted back in November 2025, was considerably more bullish. Then, 64% of smaller companies with revenue between $500,000 and $4.9 million expected revenue growth in the coming quarter, and 86% of middle-market firms above $5 million said the same. 68% of middle-market companies said they were confident in the economy. 41% planned to add headcount, and fewer than 3% planned to cut full-time staff.

Half the small business field expecting growth now is an improvement over the rest of 2026 — but the confidence figure has been moving the other way all year. Owners have downgraded their view of the country while upgrading their view of themselves.

The tri-state overlay

Nothing in the survey is specific to New York, New Jersey or Connecticut, but the cost pressure it identifies lands hardest here.

New York City inflation ran 5.1% in May against 4.2% nationally, with energy prices the primary driver, according to the Office of the New York City Comptroller. New York State electricity prices are the sixth highest in the country. Con Edison delivery rates rise again in 2027 and 2028 under the schedule approved by the Public Service Commission.

New Jersey has its own version. The New Jersey Chamber of Commerce said the state slipped from 30th to 31st in this year’s CNBC business rankings, with New York, Pennsylvania and Connecticut all placing ahead of it. NJBIA President and CEO Michele Siekerka has argued the state’s core problem is not any single cost but the absence of predictability — owners cannot plan when the rules keep moving.

Trenton is nibbling at the edges. Business formation fees dropped $25 on July 1 under P.L.2026, c.24, cutting the cost of filing a Certificate of Incorporation from $125 to $100. That is real money to nobody, and the state itself pegs the revenue loss at $4.1 million. It is a gesture, not a fix.

What to do with this

For a bank with $227.9 billion in assets and roughly 1,000 branches across 14 states, this survey is a lending signal: demand for credit is stable, appetite for expansion is real, and the constraint is margin, not confidence.

For an owner in the tri-state area, the useful takeaway is narrower. The businesses reporting growth are not the ones who correctly predicted the economy. They are the ones who stopped trying to, and went to work on the costs sitting in front of them.

JBizNews Desk | New Jersey © JBizNews.com All Rights Reserved. Reproduction or distribution without written permission is prohibited.

Mortgage rates rose this week to the highest level in nearly a year, mortgage buyer Freddie Mac said Thursday.

Freddie Mac’s latest Primary Mortgage Market Survey, released Thursday, showed the average rate on the benchmark 30-year fixed mortgage climbed to 6.55% – the highest level since August 2025 – from last week’s reading of 6.49%. 

The average rate on a 30-year loan was 6.75% a year ago.

“Purchase application demand has weakened recently, but housing affordability is more favorable and housing inventory continues to rise, thus the backdrop for prospective homebuyers is modestly improving,” said Freddie Mac chief economist Sam Khater.

The average rate on a 15-year fixed mortgage rose to 5.93% from last week’s reading of 5.82%.

Mortgage rates are affected by several factors, including the Federal Reserve and geopolitics. Though mortgage rates are not directly affected by the Fed’s interest rate decisions, they closely track the 10-year Treasury yield. The 10-year yield hovered around 4.57% as of Friday afternoon.

Smoke drifting south from wildfires burning in western Ontario pushed parts of New York City into the “Unhealthy” category on the Air Quality Index (AQI) Wednesday, July 15, as New York Governor Kathy Hochul warned that wildfire smoke combined with dangerous heat would create hazardous conditions across the state. The New York State Department of Environmental Conservation (DEC) expanded its Air Quality Health Advisory for fine particulate matter (PM2.5) to cover all regions of New York, with western portions of the state expected to experience the greatest impacts.

“Smoke and haze from Canadian wildfires are creating unhealthy air conditions,” Hochul said as she urged residents, particularly those with respiratory or heart conditions, to limit outdoor activity.

By midday, AirNow, the U.S. Environmental Protection Agency’s official air-quality reporting system, showed portions of New York City reaching the Red AQI category (151–200), classified as “Unhealthy,” meaning everyone may begin experiencing health effects while sensitive groups face greater risk. Other parts of the state remained in the Orange (“Unhealthy for Sensitive Groups”) category.

The smoke arrived during another intense summer heat wave. New York City Emergency Management and the Department of Health and Mental Hygiene warned residents that Wednesday would likely be the hottest day of the week, with temperatures approaching 100°F and heat index values between 102°F and 103°F. The National Weather Service forecast heat index readings reaching 104°F across portions of the metropolitan area, with temperatures remaining in the 90s through Friday.

To help residents reduce exposure, New York City distributed free KN95 masks at public library branches throughout the five boroughs. Mayor Zohran Mamdani encouraged residents experiencing breathing difficulties to remain indoors whenever possible and follow the same precautions recommended for the ongoing heat emergency.

The Grid Is the Business Story

Beyond the public health concerns, the combination of extreme heat and heavy electricity demand placed significant pressure on the regional power grid.

PJM Interconnection, the nation’s largest electric grid operator serving approximately 67 million people across 13 states and the District of Columbia, projected Wednesday’s peak electricity demand at roughly 164,553 megawatts (MW)—the highest load forecast of the week and within about 1,000 MW of its historic record.

PJM responded by issuing both a Maximum Generation Alert and a Load Management Alert for July 15.

The Maximum Generation Alert directs power plant operators to postpone maintenance and keep as many generating units available as possible. The Load Management Alert notifies customers participating in demand-response programs that they may be asked to reduce electricity consumption if system conditions worsen.

In addition, PJM expanded its Hot Weather Alert across its entire service territory through at least July 17.

To further strengthen system reliability, PJM requested emergency authority from the U.S. Department of Energy through July 21, seeking temporary relief from certain environmental operating limits and authorization to dispatch backup generating resources if necessary.

The request comes only weeks after PJM established a new all-time electricity demand record of approximately 168,158 MW on July 2, surpassing the previous record of 165,563 MW, which had stood since August 2, 2006.

During that earlier heat event, the New York Independent System Operator (NYISO) also declared an Energy Watch as high temperatures tightened reserve margins, although New York maintained reliable electric service throughout the event.

What It Costs

Extreme weather events increasingly carry measurable economic consequences.

During PJM’s July 2 demand record, day-ahead wholesale electricity prices exceeded $2,000 per megawatt-hour in portions of the system. The Western Hub benchmark settled at $1,222.75 per megawatt-hour, nearly three times comparable peak pricing seen during the summer of 2025.

Businesses purchasing electricity under variable-rate contracts or subject to demand charges can experience immediate increases in operating costs during such events.

Meanwhile, PJM’s most recent capacity auction cleared at a record $333.44 per megawatt-day, compared with just $28.92 three auctions earlier. Independent market monitor Monitoring Analytics estimated that approximately 63 percent of the increase is attributable to growing electricity demand from data centers, adding roughly $9.3 billion in costs ultimately borne by consumers and businesses.

Wildfire smoke and extreme heat also reduce productivity throughout the broader economy. Construction crews, delivery services, outdoor retailers and restaurants all face reduced operating hours and increased safety precautions.

Westchester County Health Commissioner Dr. Sherlita Amler urged employers whose employees must work outdoors to schedule frequent breaks, provide hydration and monitor workers for signs of heat-related illness.

Officials stressed that current forecasts do not indicate a repeat of the historic June 2023 Canadian wildfire event, when New York City’s AQI briefly reached 465, among the worst air quality readings ever recorded in the city.

JBizNews Desk | New York

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Fossil Group plans to close up to 15 stores this year as the watch and accessories company continues trimming its global retail footprint under a broader turnaround plan focused on costs, profitability and balance-sheet strength.

Executives for the Richardson, Texas-based company said on Fossil’s first-quarter earnings call that the company shuttered seven stores during the quarter and expects total closures to reach up to 15 locations in 2026. The closures would leave Fossil with about 185 stores globally by the end of the year, Chief Financial Officer Randy Greben told investors.

The store cuts come as Fossil works to stabilize its business after years of pressure on sales. The company reported first-quarter net sales of $224.8 million, down from $233.3 million a year earlier. Its net loss attributable to Fossil Group narrowed to about $810,000 from $17.6 million in the prior-year quarter, while operating income improved to $12 million from an operating loss of $6.7 million.

Fossil had 193 stores worldwide as of April 4, down from 220 a year earlier, according to its latest quarterly filing. The company closed 28 stores and opened one over that period, leaving it with 92 stores in the Americas, 47 in Europe and 54 in Asia.

The company has already made a larger pullback from brick-and-mortar retail. Fossil said in its annual filing that it closed 49 underperforming retail stores in fiscal 2025 as part of a turnaround plan aimed at refocusing the company on its core business, rightsizing its cost structure and strengthening its balance sheet.

Fossil’s turnaround plan also included a corporate workforce reduction and the transition of certain smaller international markets to a distributor model. The company said those moves helped it achieve about $100 million in selling, general and administrative cost savings in fiscal 2025 compared with fiscal 2024.

The company is not abandoning stores altogether. CEO Franco Fogliato told investors that Fossil had “significantly scaled back” its downsizing plan because of improved performance in full-price stores. Fossil has also said its 2026 strategy includes reducing the pace of store closures while focusing on profitable growth, operating-model improvements and shareholder value.

Still, Fossil has acknowledged risks tied to physical retail. In its annual filing, the company said traffic to its stores depends heavily on the success of the malls and retail centers where they are located. Fossil warned that declining mall traffic, anchor-store closures or the closure of a significant number of malls where it operates could weigh on its results.

Fossil’s products are sold in about 132 countries through company-owned sales subsidiaries and independent distributors. As of Jan. 3, the company operated 88 retail stores and 111 outlet stores, primarily under the Fossil brand.

FOX Business reached out to Fossil Group for comment.

Freddie Mac reported in its weekly survey published Thursday that the average 30-year fixed mortgage rate climbed to 6.55%, up from 6.49% a week earlier. The 15-year fixed rose to 5.93% from 5.82%. It is the second consecutive week rates have moved up, and the direction traces to a place most homebuyers never think about: the Strait of Hormuz.

Freddie Mac noted that purchase application demand has weakened recently, but said affordability is more favorable and inventory continues to rise, leaving the backdrop for prospective buyers modestly improving.

How a war in the Gulf became a housing story

Mortgage rates follow the 10-year Treasury yield. The 10-year follows inflation expectations. And inflation expectations right now follow oil.

Rates fell to their lowest point since September 2022 in February. Then the U.S.-Iran war began on February 28, crude spiked, and rates jumped in March as inflation fears took hold. Brent traded above $114 at one point in March. Rates plateaued through the spring as the conflict dragged.

A ceasefire signed on June 17, paired with a deal to reopen the Strait of Hormuz, briefly looked like it would bring rates down. It did not last. The ceasefire collapsed in July, the U.S. resumed strikes, and rates ticked back up. West Texas Intermediate traded just below $80 a barrel Thursday; Brent held under $85 after a 12% run over three sessions. Treasury yields rose alongside them.

What forecasters had expected

Both Fannie Mae and the Mortgage Bankers Association had placed the 30-year fixed at 6.40% for the second quarter. Actual readings have run above that. Realtor.com chief economist Danielle Hale forecast last December that 2026 rates would fall to an average of 6.3% from 6.6%, with modest gains in sales, prices, and inventory, and declining rents.

Those forecasts assumed a normal year. They did not assume a war that closes the world’s most important oil chokepoint.

Other rates on the board

Daily lender surveys tell a similar story with different numbers. The average 30-year jumbo loan sits at 6.758%, down slightly from 6.770%. The 30-year FHA loan averages 5.940%, down from 5.961%. A separate daily reading showed the 30-year purchase rate up 3 basis points to 6.49%, the 15-year up 10 basis points to 5.96%, and the 5/1 adjustable-rate mortgage up 9 basis points to 6.74%.

The conforming loan limit set by the Federal Housing Finance Agency is $832,750 for 2026 across most of the country.

The Fed is not coming to the rescue

Traders are pricing in an 88% probability the Federal Reserve holds rates steady at this month’s meeting, according to CME’s FedWatch tool. That is the easy part. The harder part is the direction after that.

At the June meeting, the Fed’s dot plot showed nine of 18 officials now expect interest rates to increase in 2026 — not fall. Chairman Kevin Warsh declined to submit a rate forecast at all, while repeatedly emphasizing price stability in a tone the market read as hawkish.

That is a fundamental shift in the assumption underneath every 2026 housing forecast. Those forecasts were built on the expectation of Fed cuts. The Fed is now openly debating hikes.

What it means for buyers and the industry

The practical difference between 6.49% and 6.55% on a $400,000 loan is roughly $16 a month. That is not what breaks a deal. What breaks a deal is the pattern — buyers who have spent 18 months waiting for rates to fall are watching them rise again, and waiting has stopped looking like a strategy.

For homebuilders, realtors, and mortgage originators, the calculation is different. Refinance volume is the most rate-sensitive business in housing, and it moves on tenths of a point. Every upward tick in the 10-year Treasury closes a window that had briefly opened.

Inventory is rising and affordability is improving on the price side. Rates are the piece that will not cooperate, and for now they are hostage to a conflict 7,000 miles away.

JBizNews Desk | New York

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A federal nutrition program that helps nearly 7 million mothers and young children buy healthy food is facing cuts that could hit family grocery budgets and the stores that serve them. The fiscal 2027 Agriculture appropriations bill, released this spring by House Agriculture Appropriations Subcommittee Chairman Andy Harris, would reduce the fruit and vegetable benefit in the Special Supplemental Nutrition Program for Women, Infants, and Children (WIC) and trim the program’s overall funding. For the second year in a row, the proposal has put one of the country’s most established nutrition programs at the center of a budget fight.

The stakes are concrete. Analysts at the Center on Budget and Policy Priorities estimate the House proposal would strip more than $141 million in fruit and vegetable benefits from about 5.4 million toddlers, preschoolers, and pregnant and postpartum participants. The bill also cuts WIC funding by $200 million compared with the current year, a reduction the center warns could force the program to turn away eligible families for the first time in three decades if food costs rise or enrollment grows.

The benefit at issue is what the program calls the cash value benefit, a monthly allowance that participants can spend only on fresh, frozen, canned, or dried produce. In the current fiscal year, children receive $26 a month for fruits and vegetables, pregnant and postpartum participants $48, and breastfeeding participants $52. Those amounts were roughly tripled from earlier levels through pandemic-era legislation and later made permanent, a change research shows led participants to buy significantly more produce.

President Donald Trump’s budget request sought a steeper reduction — a 75% cut to the produce benefit — before House appropriators pared that back to about 10%. Even the smaller cut, advocates argue, would undermine the science-based design of WIC’s food package, which aims to provide only about half of a child’s recommended fruit and vegetable intake even at current benefit levels.

The business implications reach beyond the program’s participants. WIC dollars flow directly to grocers and supermarkets, and reduced benefits mean less revenue for the retailers that stock the shelves, particularly smaller stores in rural areas that depend on the program’s customers. Federal stocking rules already require vendors to carry minimum varieties of produce, and any change in benefit levels ripples through their purchasing and inventory decisions.

Timing adds urgency. The bill also fails to make permanent the virtual-service options — phone and video appointments — that expanded during the pandemic and helped working parents and rural families stay enrolled. Those flexibilities are set to expire as soon as September 30, which advocates warn could force families with young children to take time off work and arrange transportation for in-person visits four or more times a year. One study estimated the virtual options increased participation by 11%.

The U.S. Department of Agriculture, which runs WIC under Secretary Brooke Rollins, has separately announced a reorganization of the office that administers the program, relocating staff to regional hubs including Kansas City, Missouri. The department says the changes will improve customer service without disrupting operations, but nutrition advocates worry the move could cost experienced staff, pointing to productivity losses when the agency relocated other divisions during the first Trump administration.

For families, the squeeze arrives at a difficult moment. Food prices remain elevated, and both tariffs and the renewed conflict in the Middle East could push grocery costs higher through their effect on oil. The Center on Budget and Policy Priorities notes that cuts to WIC would force affected families to spend more of their own money to give their children the same amount of produce — money many simply do not have as savings rates sit near multiyear lows.

WIC has long enjoyed bipartisan support, and Congress rejected a similar cut last year, with the Senate restoring funding before the bill passed. Whether that pattern repeats will be decided as the appropriations process moves forward. For now, millions of families and the grocers who serve them are watching a benefit that helps put fruits and vegetables on the table hang in the balance.

This article covers a policy affecting food assistance; families who need help affording groceries can dial 211 or contact their state WIC agency to learn about available benefits.

JBizNews Desk | New York
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WASHINGTON, July 16 — As the White House Office of Management and Budget’s proposed overhaul of the federal grantmaking process continues to generate widespread opposition, the U.S. Department of Health and Human Services has entered the evaluation phase of a separate artificial intelligence initiative built on a different model—one that HHS says is designed to complement traditional federal research through a public-private partnership.

The broader grantmaking proposal drew 496,769 public comments before the deadline. Researchers who analyzed the 52,322 comments publicly available at the time found that approximately 95% opposed the proposal, while roughly 1% supported it. The most common concerns centered on reducing the role of independent scientific peer review, expanding the influence of political appointees over funding decisions, allowing grants to be terminated before completion, and creating uncertainty for universities, hospitals, research institutions, biotechnology companies, nonprofits, and patient advocacy organizations that rely on federal research funding.

Those comments, however, were directed at the Administration’s proposed government-wide grantmaking rule—not at HHS’s LymeX innovation initiative.

At the same time, HHS has officially closed applications for its TOPx AI & Invisible Illness Challenge, moving the competition into the evaluation phase following the July 15 deadline. The challenge seeks breakthrough artificial intelligence solutions for Lyme disease, Long COVID, Myalgic Encephalomyelitis/Chronic Fatigue Syndrome (ME/CFS), Alpha-gal syndrome, and other invisible illnesses by bringing together innovators from healthcare, academia, technology, entrepreneurship, and patient advocacy.

According to HHS, the initiative builds upon the LymeX Innovation Accelerator, a public-private partnership between the Department of Health and Human Services and the Steven & Alexandra Cohen Foundation, originally launched during President Donald Trump’s first term. HHS’s multi-year Lyme disease strategy states that the partnership was established through a $25 million commitment from the Foundation and was designed to complement—not replace—traditional federally funded scientific research. HHS has also previously stated that more than $10 million in LymeX cash prizes have been underwritten by the Foundation as part of the initiative’s innovation prize competitions.

The current TOPx AI & Invisible Illness Challenge, which offers up to $2 million in prizes, is one of the latest initiatives developed under that broader LymeX framework.

Among those participating in the evaluation process is Duvi Honig, Founder and CEO of the Orthodox Jewish Chamber of Commerce, who was appointed to serve on the HHS evaluation panel for the AI & Invisible Illness Challenge.

Honig said the ongoing public debate surrounding federal grantmaking demonstrates the importance of distinguishing between traditional government grant programs and innovation challenges built through public-private collaboration.

“The concerns being raised about the broader federal grantmaking proposal deserve to be heard and debated on their own merits,” Honig said. “At the same time, I respectfully ask whether many people realize the HHS AI & Invisible Illness Challenge follows a different model. HHS has made clear that LymeX is a public-private partnership with the Steven & Alexandra Cohen Foundation that was specifically created to complement traditional federally funded research while accelerating innovation through prize competitions.”

Honig praised HHS Secretary Robert F. Kennedy Jr. for embracing what he described as a collaborative approach to solving some of healthcare’s most difficult challenges.

“I applaud Secretary Kennedy’s leadership for recognizing that government does not have to work alone,” Honig said. “By bringing together federal leadership, private philanthropy, researchers, entrepreneurs, clinicians, artificial intelligence developers, universities, hospitals, nonprofit organizations, industry leaders, and patient advocates, HHS is creating another pathway to identify breakthrough solutions for patients living with invisible illnesses. Public-private partnerships like LymeX expand the innovation ecosystem and encourage the best minds from across the country to compete to solve problems that have challenged patients and physicians for decades.”

Honig said he believes innovation challenges should be viewed as complementary to traditional research funding rather than a replacement for it.

“Patients suffering from Lyme disease, Long COVID, ME/CFS, Alpha-gal syndrome and other invisible illnesses have waited far too long for answers. Every credible pathway that accelerates scientific discovery, responsible artificial intelligence, earlier diagnosis, and better treatments deserves serious consideration. When government, philanthropy, academia and the private sector work together, patients are the ultimate beneficiaries.”

HHS has not yet announced how many applications were submitted for the challenge. The Department is expected to complete the evaluation process in the coming months before selecting finalists and ultimately announcing the winning teams.

JBizNews Desk | Washington

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The Trump administration moved on Thursday to tighten the duration of visas for foreign students, cultural exchange visitors and journalists, according to a government notice.

The new final rule from the US Department of Homeland Security creates a fixed time period for F visas for international students, J visas that allow visitors on cultural exchange programs to work in the US, and I visas for members of the media. Those visas are currently available for the duration of the program or US-based employment.

The effective date is 60 days from publication in the Federal Register, subject to congressional review.

US President Donald Trump kicked off a wide-ranging immigration crackdown after taking office in January 2025. The latest action would create new hurdles for international students, exchange workers, and foreign journalists.

The Trump administration has increased scrutiny of legal immigration, revoking student visas and green cards of university students over their ideological views and stripping legal status from hundreds of thousands of migrants.

Under the new regulation, the student and exchange visa periods would be no longer than four years. The visa for journalists – which currently can last years – would be up to 240 days or, in the case of Chinese nationals, 90 days.

The visa holders could apply for extensions, it said.

DHS cites rise in visa applications for change in guidelines

The department cited a dramatic rise in such visas in the posting. It said there were more than 1.8 million student visa admissions in 2024, a more than 11% increase over the previous year.

The US granted visas to more than 500,000 exchange visitors and 37,300 members of the media in fiscal year 2024, which began on October 1, 2023, it said.

The significant increase in the volume of such visitors “poses a challenge to DHS’s ability to monitor and oversee these nonimmigrants while they are in the United States,” DHS said.

DHS said it has many examples of students and exchange visitors staying for decades on their visas.

Visa holders who want to stay in the United States beyond their fixed period of admission will need to apply to DHS for an extension or gain readmission by traveling abroad and then re-entering the United States, the new rule said.

This post was originally published on here.

The Republican-controlled House Budget Committee unveiled a 47-page budget resolution on Wednesday, July 15, outlining a $95 billion reconciliation package that would provide $73 billion in new funding over the next decade for defense and intelligence priorities while also directing billions toward agriculture and election administration.

The committee is scheduled to mark up the resolution Thursday morning as House Republican leaders push to move the package through Congress using the budget reconciliation process, allowing the legislation to pass the Senate with a simple majority rather than the traditional 60-vote threshold.

The proposal arrives as Congress continues debating military spending, support for U.S. allies, border security and the growing federal deficit.

Breaking Down the Package

The resolution instructs four House committees to produce legislation by September 11.

The House Armed Services Committee would receive authority to draft legislation providing $60 billion in new defense spending.

The House Permanent Select Committee on Intelligence would receive $13 billion, bringing total national security funding to $73 billion.

The House Agriculture Committee would receive a $12 billion target for agricultural assistance, while the House Administration Committee would receive $10 billion to encourage states to implement portions of the SAVE America Act, including proof-of-citizenship requirements for voter registration and voter identification measures.

While the resolution establishes overall funding targets, it does not specify how individual defense dollars would ultimately be allocated.

Republican leaders have indicated the funding could support replenishing U.S. weapons stockpiles, strengthening military readiness, expanding the defense industrial base and covering costs associated with continuing operations in the Middle East.

Well Below the White House Request

Although substantial, the proposal falls far short of what President Donald Trump requested.

The administration previously sought approximately $350 billion in reconciliation funding as part of a broader $1.5 trillion defense budget proposal for the coming fiscal year.

The House blueprint provides just $73 billion for defense and intelligence priorities—roughly one-fifth of that request.

Equally notable is what the proposal does not include.

The resolution contains no corresponding spending reductions to offset the additional funding, despite repeated Republican pledges to pair new spending with reductions elsewhere in the federal budget.

That omission comes as federal borrowing costs continue climbing.

Net interest payments on the national debt are projected to approach $857 billion this fiscal year, while the federal deficit has already exceeded $1.4 trillion through the first nine months of fiscal 2026.

For businesses, additional federal borrowing ultimately means additional Treasury issuance, influencing long-term interest rates that affect commercial lending, mortgages and corporate financing costs.

A New Path After Senate Gridlock

The proposal also follows a significant setback on Capitol Hill.

One day earlier, Senate Democrats blocked consideration of the National Defense Authorization Act, citing disagreements over defense spending levels and the continuing conflict involving Iran.

The reconciliation package therefore represents an alternative strategy for advancing Republican priorities outside the traditional bipartisan appropriations process.

Whether that strategy succeeds remains uncertain.

Speaker Mike Johnson hopes to move the resolution quickly before Congress enters its August recess, but the legislative calendar continues to tighten ahead of the November midterm elections.

If approved by the House, the measure would become the third reconciliation package considered during this Congress.

Why Agriculture Is Included

The proposal’s $12 billion agriculture provision reflects growing concern over rising production costs facing American farmers.

Earlier Wednesday, the Federal Reserve’s Beige Book reported continued pressure on fertilizer and fuel prices across portions of the Midwest.

Farm operators in the Chicago Federal Reserve district reported purchasing diesel fuel in smaller quantities because of uncertainty over future prices, while some producers shifted acreage from corn to soybeans because corn requires substantially more fertilizer.

Those observations closely mirror arguments made by lawmakers supporting additional agricultural assistance as producers continue facing elevated input costs.

What Businesses Should Watch

Defense contractors will naturally focus on the potential increase in military spending.

Manufacturers serving aerospace, defense and national security industries could benefit if the package ultimately becomes law.

Agricultural suppliers and farm equipment companies will also closely monitor the legislation, particularly if fertilizer and fuel assistance becomes part of the final bill.

For the broader business community, however, the larger issue remains fiscal policy.

Additional federal spending without corresponding offsets increases Treasury borrowing requirements, placing continued pressure on long-term interest rates that directly affect business investment, commercial real estate financing and borrowing costs across the economy.

The House Budget Committee is expected to begin consideration of the proposal Thursday morning, marking the first step in what is likely to become one of Congress’s most closely watched fiscal debates of the summer.

JBizNews Desk | Washington
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JPMorgan Chase CEO Jamie Dimon on Wednesday said there is still a lot of uncertainty over how AI will impact the workforce and people shouldn’t be “breathless” in their concerns as new technologies have historically created new jobs.

Dimon said in a conversation with Sen. Dave McCormick, R-Pa., at the Pennsylvania Defense and Innovation Summit that “we don’t really know” about the impact of AI on the workforce as the emerging technology advances.

“I think people should stop being breathless over it. You know, it’s created a lot of jobs in our company, and yeah, there are areas where it’s reduced jobs a little bit,” Dimon said.

“Technology always creates new jobs. The question is going to be if it happens too fast, somehow, people are adopting it too fast and jobs are being lost – middle-class jobs before they could be retrained to replace,” Dimon said.

“We’re talking about work skills, it’s the exact same thing we should be doing anyway. That is how to fix it,” he added.

“People know, at JPMorgan, we’re going to redeploy our own people. We reskill them, retrain them,” Dimon said. “I think there are fixes for that.”

“I think we’re kind of scaring the whole world much more rapidly than we should about it,” he said.

The JPMorgan Chase CEO said that based on experience within his company, he thinks “we all have to be more rational in how we use some of this.”

“Here’s the choice: do you save money over here because you know that you can do less, or do you simply want to do faster? I’m kind of, of the mindset, do what I want to do faster, give you better stuff quicker,” Dimon said.

“So the headcount won’t go down because I want to make you happier, not less happy. So people should just take a deep breath, but the planning should be around jobs – I think that planning will protect us against too rapid job loss from AI if, in fact, it ever happened,” he added.

Greg Fleming, President and Chief Executive Officer of Rockefeller Capital Management, said the rapidly growing U.S. national debt poses a greater long-term threat to the American economy than inflation, while arguing that artificial intelligence could ultimately help reduce inflation by boosting productivity. His remarks were published by Bloomberg on Tuesday, July 14, from an interview recorded on May 13, 2026.

Fleming’s comments come as government inflation reports have begun showing signs of easing price pressures, shifting attention back toward Washington’s mounting fiscal challenges.

A Veteran Wall Street Voice

Fleming has spent decades leading some of the nation’s largest financial institutions.

Before becoming the founding President and CEO of Rockefeller Capital Management in 2017, he served as President and Chief Operating Officer of Merrill Lynch and previously led Morgan Stanley’s investment management and wealth management businesses.

He also serves on the board of directors of BlackRock and teaches ethics and financial markets at Yale Law School.

In October 2025, Rockefeller Capital completed a recapitalization that valued the firm at approximately $6.6 billion.

The Numbers Behind the Concern

The United States now carries approximately $39.4 trillion in national debt.

During the first nine months of Fiscal Year 2026, the federal government recorded nearly $1.4 trillion in budget deficits—already exceeding the same period a year earlier.

That equates to roughly:

• $155 billion in new borrowing each month.
• Nearly $39 billion in additional debt every week.

Interest payments alone have become one of the federal government’s fastest-growing expenses.

According to the Congressional Budget Office (CBO), net interest on the national debt is projected to total approximately $857 billion during Fiscal Year 2026.

Interest costs reached approximately $970 billion during Fiscal Year 2025 and are projected to climb to roughly $2.1 trillion annually by 2036, totaling $16.2 trillion over the next decade.

The CBO projects interest expenses will equal approximately 3.2% of Gross Domestic Product this year—the highest level on record.

Net interest now exceeds annual federal spending on either Medicare or Medicaid, trailing only Social Security among the government’s largest expenditures.

Not Just Wall Street

Fleming is far from alone in expressing concern.

Maya MacGuineas, President of the Committee for a Responsible Federal Budget, recently warned that federal borrowing could exceed $2 trillion during the current fiscal year despite continued economic growth and relatively low unemployment.

She also noted that both the Social Security and Medicare trust funds are projected to face depletion within the next several years absent congressional action.

Meanwhile, the Congressional Budget Office projects federal debt held by the public will climb to approximately 120% of GDP by 2036.

The Bipartisan Policy Center estimates the United States could once again reach its statutory debt limit sometime between late winter and mid-summer of 2027, depending upon federal revenues and spending.

Why the Timing Matters

Fleming’s warning arrives just as inflation data have begun improving.

This week, the Producer Price Index declined 0.3% in June while the Consumer Price Index fell 0.4%, easing concerns that inflation was accelerating.

Federal Reserve Chairman Kevin Warsh told Congress the latest reports represent encouraging progress but cautioned policymakers against assuming inflation has been permanently defeated.

For Fleming, that distinction is critical.

Inflation tends to rise and fall with economic cycles, energy markets and geopolitical events.

Federal debt, however, continues to grow regardless of monthly inflation reports.

Earlier this year, several Treasury auctions attracted weaker-than-usual investor demand, increasing attention on how financial markets will absorb continued large-scale federal borrowing.

What It Means for Main Street

Growing federal interest costs eventually affect households and businesses alike.

As Treasury borrowing expands, upward pressure on long-term interest rates can increase mortgage costs, commercial real estate financing expenses and borrowing costs for small businesses.

Fleming has repeatedly argued that investors should pay closer attention to federal deficits than short-term inflation data.

At the same time, he remains optimistic that advances in artificial intelligence could improve productivity enough to help moderate future inflation.

Whether those productivity gains arrive quickly enough to offset a national debt approaching $40 trillion remains one of the central economic questions facing policymakers and financial markets.

JBizNews Desk | New York

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Israel should be able to produce its own Joint Direct Attack Munition (JDAM) bombs en masse within two years, which will revolutionize its warfare capabilities, The Jerusalem Post has learned.

Under orders from former defense minister Yoav Gallant and with recommendations from the commission of Jacob Turkel, Israel started producing more of its own bombs in late 2024 after decades of relying much more on the US for such items, especially during a crisis.

This came after the Biden administration slapped a partial arms freeze on certain bombs to Israel in May 2024 over differences related to the IDF’s invasion of Rafah in Gaza.

The initial idea was for Israel to become more independent in producing so-called dumb bombs.

But that was only the beginning of a process to make Israel more independent in weapons production, especially regarding munitions, which accelerated and expanded much more in 2025-2026, and eventually also focused on producing smarter bombs, like JDAMs.

JDAMs convert bombs into precision-guided munitions

The JDAM is a guidance kit that converts unguided bombs, or “dumb bombs”, into precision-guided munitions (PGMs) which can be used in all weather conditions, including those where using dumb bombs would not be effective.

On January 7, 2025, the Defense Ministry signed two major agreements with Elbit Systems, totaling approximately NIS 1 billion, as part of a strategic effort to strengthen the IDF’s self-sufficiency and operational readiness both in munitions and in raw materials.

In November 2025, the Defense Ministry, where Amir Baram had moved to the position of director-general from serving as IDF deputy chief by March 2025, announced that to date, over 120,000 tons of military equipment, munitions, weapons systems, and protective gear were transferred to Israel via 1,000 aircraft and approximately 150 maritime vessels, mostly from the US.

Baram declared that the ministry over the past two years “has led a tremendous effort to ensure the supply of weapons, equipment, technology, and everything required to enable the IDF to fight and prevail. The 1,000th aircraft that landed today represents another crucial link in the strategic supply chain for the State of Israel.”

He said it was critical to pursue “two parallel tracks: on one hand, strengthening Israel’s defense production base to ensure manufacturing independence, and on the other hand, strengthening cooperation and political and defense relations with our allies around the world, to maintain such an airlift, both in routine and emergencies, and to further strengthen the IDF’s capabilities.”

In January of this year, the Defense Ministry announced it had issued a multi-year order for air munitions manufactured by Elbit Systems, valued at approximately NIS 570 million. 

Baram stated at the time, “This air munitions deal joins a series of multi-year force-building agreements currently being advanced across air, land, and additional domains. These agreements will enable inventory replenishment and procurement for years ahead, while investing in the expansion of our defense industrial base.”

“This will enhance the IDF’s readiness for a challenging security decade, support increased defense exports, and strengthen the economic resilience of Israel’s defense industries and the broader Israeli economy,” he said.

Munitions production ramped up during war with Lebanon, Iran

In March, mid-war with Iran and Lebanon, Baram announced an additional ramping up of munitions production with Elbit, “The central focus of the Ministry of Defense…is aerial munitions. Months of preparation and early readiness have enabled the IDF to operate with virtually no constraints in Iran and Lebanon.”

“At the same time, we are now working to replenish all munitions expended in order to be prepared for any scenario. The decisions we made to expand and accelerate production lines in Israel before the operation will now allow us to take production rates to the next level,” Baram stated.

He complimented Israel’s “distinctive integration between the IDF, the Defense Ministry, and the defense industries that enables the rapid translation of operational needs and battlefield lessons into real-time modifications and upgrades, creating exceptionally fast feedback loops,” he added.

While these statements do not divide up which funds went to JDAMs, which to dumb bombs, and when, the continuous rounds of Israel pouring in additional funds to the weapons independence issue leave room for an emphasis on different weapons at different times.

Where did Israel get the money for all of these rapid increases in homegrown munitions?

The Post has learned that the Defense Ministry did not have enough money to pay for the rapid increases in munitions production at some point, as well as for increasing Arrow 3 interceptor production.

Fights with the Finance Ministry over the need to increase the budget delayed funds or left insufficient funds.

Defense Ministry increased Arrow production funds through sales to Germany

In fact, the only way that the Defense Ministry had enough money to jump-start Arrow production was by the creative and quick use of an influx of additional billions of dollars from a second and new deal to sell the Arrow to Germany.

These funds both enabled increasing the development of locally produced munitions and exponentially increased the number of Arrow interceptors produced by a factor of between two and four times.

Some Israeli media outlets criticized Israel for sending Arrow interceptors to Germany mid-war when Israel was carefully budgeting the use of its remaining interceptor supply, and at times was using David’s Sling to try to shoot down Iranian ballistic missiles.

Despite the criticism, the Post understands that only a very small percentage of Arrow interceptors went to Germany.

Effectively, this means the deal gave Israel several dozen or more interceptors over certain critical periods that it would not have had absent the deal with Germany, and this is true even after the small number of Arrows that it sent to Berlin during that time.

Israel does already produce its own kits which convert “dumb bombs” to precision weapons, but not yet anywhere near close to the necessary volume it needs to be independent on the issue.

This post was originally published on here.

The White House is considering releasing sensitive intelligence related to China and its ability to interfere in US elections that some Trump officials worry could be misleading, according to four people with knowledge of the deliberations.

Trump may disclose the intelligence, which was collected and analyzed during his first term, in a speech that he is due to deliver on Thursday night, when he is expected to outline information about alleged vulnerabilities in the voting infrastructure that could allow for foreign interference in US elections, the sources said.

Reuters could not determine the details of the intelligence, but sources said it is classified and related to whether China had the intention or ability to disrupt US elections in 2020. The sources, who were granted anonymity to discuss classified material, said the intelligence did not show Beijing had manipulated or changed votes.

Trump has continued to repeat the debunked claim that the 2020 election was rigged, suggesting a foreign actor was involved in flipping votes despite legal rulings that Democrat Joe Biden won.

His speech on Thursday may reveal new information about a year-long effort by the Trump administration to collect and review material on what the White House says are vulnerabilities in the nation’s voting infrastructure.

Wider campaign of extending federal control over state powers

The effort is part of a wider campaign to exert federal control over the administration of US elections – a role that rests solely with the states under the US Constitution.

“As usual, anonymous sources are speculating about what President Trump will say during his speech on Thursday evening. The truth is, nobody knows yet what President Trump will ultimately say,” White House spokeswoman Karoline Leavitt said.

The Office of the Director of National Intelligence did not respond to requests for comment. The CIA declined to comment.

No evidence China manipulated votes

The China intelligence was integral to the first Trump administration’s debate about foreign interference in the 2020 election and was reviewed as part of the official intelligence community’s assessment on the issue, the four sources said.

Trump officials said publicly during the first administration that Chinese hackers were targeting election infrastructure ahead of the 2020 election.

Former officials have repeatedly said there is no evidence to suggest China or any other foreign adversary manipulated votes in 2020. A 2021 US intelligence community assessment found no indications that any foreign actor attempted or succeeded in altering “any technical aspect” of the 2020 presidential election vote, including voter registrations, ballots, tabulations or results.

But former intelligence analysts, including Christopher Porter, who served as a national intelligence officer on cyber at the Office of the Director of National Intelligence, wrote a dissent to that report, saying China had the ability to interfere in the elections and could be trying to do so.

A version of that dissent was included in the public release of the 2021 intelligence community assessment.

Porter also wrote a highly classified paper on the subject, expanding on his original argument, two sources said.

Two of the sources who reviewed the paper described it as detailed, outlining specific details of Beijing’s thinking on US elections. Two others said the paper pulled from a small subset of raw intelligence and did not necessarily represent Beijing’s official viewpoint.

Porter has since publicly accused the intelligence community of covering up his dissent reports during Trump’s first term.

Porter declined to comment.

The sources expressed concern that the Trump administration could exaggerate the significance of Porter’s dissent and use it to argue that China did have influence over the outcome of the 2020 vote.

The Chinese embassy in Washington did not immediately respond to a request for comment.

Debate over classification

Current Trump officials have debated in recent weeks whether to declassify the intelligence, with some inside the intelligence agencies worried that doing so could reveal sources and methods of collection and insinuate that Beijing successfully interfered in past elections, two of the sources said.

A White House task force led by conservative journalist John Solomon recently asked the intelligence community for documents outlining the intelligence and has spent the past several weeks reviewing them in anticipation of Trump’s speech, one source familiar with the group’s work said.

The White House did not respond to questions about Solomon’s efforts.

The text of the speech has not been finalized and may still change, the source said.

The White House may also release information related to a years-old allegation that China gained access to US voter data in 2020, a source familiar with the White House’s debates said.

Two people familiar with that issue said that voter data is not confidential, is already available to political consultants for use in targeting election materials, and cannot be manipulated.

The Trump and Biden administrations both reviewed intelligence about China’s potential access to voter data, but two former officials said the intelligence community largely believed that China did not gain entry to US voter systems but instead accessed the information online.

This post was originally published on here.

The Federal Reserve reported Wednesday, July 15, that economic activity increased at a slight to moderate pace in 11 of the 12 Federal Reserve districts during late May and June, while one district reported no change. The finding came in the central bank’s latest Beige Book, released at 2:00 p.m. ET and based on information collected through July 6.

The line that matters is on prices.

Compared with the previous reporting period, price growth was the same or slower in every Federal Reserve district, the central bank said.

That is a reversal, not a nuance.

What Changed Since June

Six weeks ago, the picture was considerably worse. The June 3 Beige Book described prices rising at a moderate to strong pace, with most districts reporting higher inflation than in the previous report.

Businesses pointed to energy costs connected to the Middle East conflict as a major driver, with the pressure spreading into shipping, transportation, packaging, groceries, fertilizer and other raw materials. Nonlabor input costs were rising faster than many companies could increase their selling prices, squeezing profit margins.

Consumer-facing businesses were having the greatest difficulty passing those costs along.

Wednesday’s report said prices still increased moderately overall, but the direction improved. Nine districts described price growth as moderate, two described it as robust and one reported only slight growth.

Not one district reported that inflation accelerated compared with the previous Beige Book.

Some business contacts continued to attribute cost increases to the conflict in the Middle East, while others cited tariffs. Consumer prices were still rising, and several districts said customers had become more sensitive to price increases.

That creates a complicated environment for businesses: costs are no longer accelerating as quickly, but customers are also becoming less willing to absorb another round of price increases.

The Labor Market

Employment increased on balance.

Five districts reported modest, moderate or solid employment gains, while seven reported little or no change.

That describes a labor market that is neither collapsing nor overheating — approximately the balance the Federal Reserve wants as it evaluates whether inflation is moving sustainably toward its target.

The report also suggested that labor costs are not currently the primary source of inflation pressure. Nonlabor expenses, including energy, transportation and raw materials, remain the larger concern.

The One Issue Still Worrying Businesses

Fuel.

Business contacts generally expected the economy to continue expanding in the coming months, but several districts reported elevated uncertainty over future fuel costs.

That caveat is doing a great deal of work.

Agricultural operators in the Chicago district reported buying diesel in smaller quantities rather than purchasing it by the truckload because they were unwilling to commit at current prices.

Fertilizer costs were identified as an even greater concern heading into the fall and winter, when farmers begin locking in expenses for the next growing season. The report said a modest number of acres had been switched from corn to soybeans specifically because corn requires more fertilizer.

That is what geopolitical instability does to a business plan.

Companies are not only paying more. They are delaying purchases, changing production decisions and avoiding long-term commitments because they cannot reliably forecast what fuel and other energy-related costs will be several months from now.

Inflation Data Moves in the Right Direction

The Beige Book followed two significant inflation reports released over the previous two days.

On Tuesday, the Bureau of Labor Statistics reported that consumer prices fell 0.4 percent in June, the largest monthly decline since April 2020, while annual inflation cooled to 3.5 percent, below the 3.8 percent economists had expected.

On Wednesday morning, the Bureau of Labor Statistics reported that the Producer Price Index for final demand fell 0.3 percent in June, compared with expectations for no change.

The decline was driven by a 1.4 percent drop in final-demand goods prices, including a 6.4 percent decline in energy prices. Gasoline prices fell 12 percent, while diesel, jet fuel and crude petroleum prices also declined.

Services prices, however, increased 0.2 percent, showing that inflationary pressure has eased but has not disappeared.

Then the Beige Book arrived Wednesday afternoon and confirmed that price growth had either slowed or remained unchanged in all 12 districts.

John Williams, president of the Federal Reserve Bank of New York, said in a speech Wednesday morning that there were encouraging reasons to believe inflation had peaked. He projected that overall inflation would decline to approximately 3.25 percent by the end of the year before moving closer to the Federal Reserve’s 2 percent objective in 2027 and reaching the target in 2028.

Financial markets responded to the improving inflation picture. Expectations for a rate increase by September declined, while the two-year Treasury yield moved lower and risk assets, including Bitcoin, strengthened.

What the Federal Reserve Does With It

The Beige Book is published eight times each year, generally about two weeks before a Federal Reserve policy meeting. It provides policymakers with business-level information that may not yet appear in official economic statistics.

Federal Reserve Chairman Kevin Warsh will lead his second rate-setting meeting on July 28 and 29.

At the June meeting, policymakers raised their median 2026 inflation projection to 3.6 percent, up from 2.7 percent, and increased their median federal-funds-rate projection to 3.8 percent.

Minutes from that meeting showed officials divided over the appropriate path for interest rates. Some remained concerned that elevated inflation could require another increase, while others saw reasons to wait for additional information.

Warsh spent Tuesday and Wednesday testifying before Congress. He acknowledged that any central bank would welcome data moving in the right direction but stopped short of declaring the inflation fight finished.

That restraint is understandable. Much of June’s improvement came from declining energy prices during a relative lull in the conflict with Iran. Renewed hostilities and rising oil prices could reverse some of that relief before it becomes embedded in the broader economy.

What It Means for Business

For anyone operating a company, Wednesday’s Beige Book delivers three messages.

Input costs have stopped accelerating as quickly. Customers are watching prices more closely than before. And nobody knows with confidence what fuel costs will do next.

The first two developments offer relief. The third explains why the Federal Reserve is not declaring victory — and why businesses locking in transportation, agricultural or manufacturing contracts for the fall are still making a calculated bet rather than following a predictable plan.

JBizNews Desk | Washington
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Gov. Kathy Hochul on Wednesday announced the development team selected to transform a Hell’s Kitchen parking lot used by the Intrepid Museum into a mixed-use development with more than 1,100 apartments. Gotham Organization, Fisher Brothers, and Mural Real Estate Group will turn the state-owned site at 621 West 45th Street into two connected skyscrapers with 1,127 homes, including about 338 affordable units, new facilities for the museum, and a public park that connects to the existing pedestrian bridge. The project stems from a request for proposals issued in February 2025 for one of the largest remaining undeveloped parcels on Manhattan’s Far West Side.

“The far West Side of Manhattan has a storied history as a vibrant, inclusive community, and this proposal will carry that legacy forward by building for a more affordable future,” Hochul said.

“By transforming a State-owned parking lot into more than 1,100 new homes — with hundreds of permanently affordable units and homeownership opportunities — we are taking direct aim at the housing shortage while strengthening one of New York’s great cultural institutions. This is what’s possible when we put State land to work for the people of New York.”

The state Department of Transportation acquired the land through eminent domain in 2000 and 2002 during the reconstruction of the West Side Highway. Under an agreement with the Intrepid Sea, Air & Space Museum, the state allows the museum to use the surface lot for parking during school trips and special events, as 6sqft previously reported. As required by the RFP, the proposal will preserve parking for the buses and provide access to the pedestrian bridge that connects to Hudson River Park.

Since the lot was the site of a manufactured gas plant, the development team intends to remediate it as part of the state’s Brownfield Cleanup Program.

The two connected towers will have a total of 1,127 homes, with 30 percent, or 338 units, affordable to those earning between 40 and 130 percent of the area median income. Some units will be designated as workforce housing, set aside for middle-income earners like teachers, nurses, and first responders. The developers also propose 108 for-sale condos, with about a quarter made affordable.

As 6sqft previously noted, the RFP sought proposals for buildings with a maximum floor area ratio of 18 and for them to incorporate “forms and facades” that enhance both visual appeal and walkability of Hell’s Kitchen.

In addition to housing, the project will include retail space and replacement parking that will open in phases. Intrepid Park, a new 9,800-square-foot landscaped open space, will connect to the museum’s existing sky bridge.

The project will also expand the museum’s footprint with a new 22,000-square-foot community hub across the West Side Highway called Intrepid Concourse, which will include a visitor center, STEM education facility, and cafe.

“We are thrilled to be a part of such a vital development project for New York City, and appreciative of Governor Hochul’s vision for the neighborhood and belief in the Museum’s mission,” Susan Marenoff-Zausner, president of the Intrepid Museum, said.

“We are excited to collaborate with ‘best in class’ firms that exude excellence and share our belief in community. This project enables us to expand our award-winning educational programs that the Intrepid Museum is renowned for and that have been so impactful for the City’s youth.”

Officials did not release a timeline for the project.

The redevelopment builds upon Hochul’s efforts to identify and convert underutilized or vacant state-owned sites into housing to help address the state’s housing shortage. Other initiatives include the conversion of the Bayview Correctional Facility in Chelsea and the Lincoln Correctional Facility in Harlem.

Another state-owned parcel on the West Side slated for redevelopment is “Site K” at 418 11th Avenue. In December 2024, Hochul unveiled plans for a $1.35 billion mixed-use project with nearly 1,400 homes across from the Javits Center. The development would include a 72-story residential tower, a 28-story hotel, and a five-story podium housing a permanent home for the Climate Museum and community facilities.

RELATED:

• Intrepid Museum parking lot in Hell’s Kitchen slated for development
• East Village parking lot to become 130-unit affordable housing project
• 1,000-unit affordable and supportive housing project breaks ground in East Flatbush

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The New York Times asked a federal court Wednesday to quash subpoenas served on three of its journalists in connection with a Justice Department investigation into the disclosure of information about security concerns involving a new presidential aircraft.

The motion was filed under seal in the U.S. District Court for the Southern District of New York, where the reporters had been directed to appear before a federal grand jury. The Times is also seeking permission to make its filing public, while protecting any information that remains subject to grand-jury secrecy.

FBI agents delivered subpoenas Friday to the homes of Times journalists Julian E. Barnes, Eric Lipton and Eric Schmitt, according to the newspaper. The government also attempted to serve reporters Tyler Pager and Adam Goldman, but those subpoenas were not completed.

The subpoenas seek testimony and information that could identify confidential sources used in the newspaper’s coverage of security issues involving a Boeing 747 provided by Qatar for presidential use. The aircraft, valued at roughly $400 million before extensive modifications, is being converted for use as Air Force One.

The Times reported that President Donald Trump traveled aboard an older presidential aircraft after security concerns were raised about the newer plane’s readiness and defensive capabilities. The government subsequently opened an investigation into whether officials improperly disclosed classified or otherwise protected information connected to the reporting.

The Justice Department has said its investigation is focused on identifying government employees responsible for unauthorized disclosures, rather than prosecuting the journalists who received and published the information. The subpoenas nevertheless seek evidence from the reporters that could reveal the identities of their sources.

In its motion, the Times argued that the subpoenas were issued in bad faith and violated the constitutional rights of the newspaper and its journalists. David McCraw, the Times’ senior vice president and deputy general counsel, said the demands were intended to punish the newspaper for its reporting.

“These subpoenas are brought in bad faith to punish The Times for its coverage,” McCraw said in a statement. “They violate the constitutional rights of The Times and its journalists.”

The newspaper also argued that forcing its reporters to disclose confidential sources would interfere with newsgathering and make government officials less willing to provide information to journalists. The Times said it would challenge the subpoenas and defend its reporters’ ability to protect confidential sources.

The subpoenas were delivered two days after the Times published reporting about Trump’s use of an older Air Force One aircraft during a return trip from Turkey. The report said the decision was connected to security concerns involving the aircraft being prepared for presidential service.

The legal dispute comes after the Justice Department changed internal policies that had limited the circumstances under which prosecutors could seize journalists’ records or compel reporters to testify in leak investigations. Those restrictions had generally required prosecutors to pursue other investigative methods before seeking evidence directly from members of the news media.

Federal law does not provide journalists with an absolute privilege allowing them to refuse testimony in every grand-jury investigation. Courts have previously required reporters to testify in certain criminal cases, particularly when prosecutors demonstrate that the information is relevant and cannot reasonably be obtained elsewhere.

The Times is expected to argue that the subpoenas are overly broad, that they intrude on First Amendment protections and that prosecutors have not shown they exhausted alternative ways to identify the officials under investigation. The government can seek evidence through agency records, communications data, access logs and interviews with officials who handled the information.

Because the newspaper’s motion remains sealed, the complete legal arguments and the precise testimony sought from each journalist have not been made public. The Times’ request to unseal the filing could provide additional details if approved by the court.

The Justice Department had not filed a public response to the motion as of Wednesday evening. No hearing date had been announced.

The judge handling the matter may enforce the subpoenas, narrow their scope or quash them. Any proceedings involving grand-jury information or classified material could be conducted partly or entirely under seal.

The case now places a federal court between the Justice Department’s investigation into a possible national-security leak and a newspaper seeking to protect the identities of the government sources behind its reporting.

JBizNews Desk | New York

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Warren Buffett, chairman of Berkshire Hathaway Inc., warned Wednesday, July 15, that today’s stock market has become increasingly driven by speculation rather than disciplined investing, saying it has become more difficult to find bargains when investors are focused on short-term bets instead of long-term value.

Speaking with CNBC’s Becky Quick on Squawk Box, Buffett summarized today’s investing environment in one sentence:

“It’s tough to find values when everybody is preferring gambling.”

The comments came as markets continued digesting another volatile week that saw some of the year’s hottest technology stocks suffer sharp declines despite relatively little company-specific news.

Investing versus gambling

Buffett said opportunities always come in cycles.

There are periods when attractive investments appear frequently, he explained, and other periods when investors may wait years before finding exceptional value. He suggested today’s market more closely resembles the latter.

His larger concern was not simply valuation.

Instead, Buffett argued that the financial industry increasingly profits from encouraging constant trading rather than patient investing.

He illustrated the point with Berkshire Hathaway.

An investor who purchased Berkshire shares several decades ago may have generated only a single brokerage commission before simply holding the investment for decades. That, Buffett noted, is not a particularly profitable business model for firms built around frequent trading activity.

He also questioned Wall Street’s constant pursuit of market forecasts and short-term predictions.

According to Buffett, America’s long-term economic growth—not constant trading—is what has historically created wealth for investors.

When he purchased his first stock, the Dow Jones Industrial Average had only recently crossed 100. Today it trades above 51,000, demonstrating the power of long-term ownership rather than short-term speculation.

Wednesday’s market reflected his concerns

Buffett’s remarks came during one of the most volatile trading weeks of the year.

SpaceX fell below its $135 IPO price for the first time.

Leading memory-chip companies including Micron Technology, SanDisk, and SK hynix posted steep declines despite no major deterioration in business fundamentals.

Meanwhile, the broader market continued moving higher as investors welcomed improving inflation data.

The contrast highlighted Buffett’s point: individual stocks can experience dramatic swings while the broader economy continues expanding.

Berkshire remains cautious

Buffett’s investment positioning also reflects his comments.

Berkshire Hathaway’s cash holdings have grown to approximately $397 billion, one of the largest cash balances in corporate history.

The enormous reserve suggests Buffett continues struggling to find acquisition opportunities that meet Berkshire’s strict value-investing standards.

Although Buffett stepped down as Berkshire’s chief executive at the end of 2025, turning day-to-day operations over to Greg Abel, he remains chairman and continues shaping the company’s investment strategy.

He also confirmed that Berkshire now owns an investment in Alphabet Inc. valued at more than $31 billion, adding that he—not Abel—initiated the position before both executives approved expanding it.

A changing legacy

Buffett also discussed his philanthropic plans.

After contributing approximately $47 billion to the Bill & Melinda Gates Foundation over the years, Buffett said he has revised earlier plans and now intends to accelerate charitable giving directly through his family, with the goal of distributing most of his fortune by 2034.

Why his comments matter

Few investors carry Buffett’s credibility.

For more than six decades, Berkshire Hathaway has consistently outperformed the broader stock market through disciplined, long-term investing.

His warning comes as markets continue setting records despite elevated geopolitical tensions, rapid advances in artificial intelligence, historically high valuations and increased retail speculation.

Whether investors choose to follow Buffett’s advice remains to be seen.

But his message was straightforward:

Successful investing depends less on chasing excitement and more on waiting patiently until opportunity clearly outweighs risk.

JBizNews Desk | Omaha

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New York City’s unemployment rate dropped to 5.4% in May, its lowest level in 10 months, according to the monthly economic and fiscal outlook released Wednesday by New York City Comptroller Mark Levine. But the report is blunt about why the number moved: the 0.2-point decline came from a dip in how many New Yorkers are looking for work, not from more New Yorkers finding jobs.

That distinction is the whole story for anyone hiring in this city right now.

Underneath the headline number, the city’s labor market is holding up better than the country’s by almost every measure the Comptroller’s office tracks. New York City’s labor force participation rate stands at 62.6%, near a record high, at a moment when the national rate has slid to a five-year low. The share of working-age New Yorkers who actually hold a job — the employment-population ratio — held steady at a record 59.2% in May. The national figure fell to 59.0% in June. Before this year, the city had never beaten the country on that measure.

The job growth that exists is narrow. Professional and Business Services added 7,000 jobs over the month and 14,000 over the year — the closest thing the city has to a broad-based engine, and the sector that fills office towers and pays the wages that ripple into restaurants, retail and services. Healthcare and Social Assistance added 5,400 over the month and 22,300 over the year, by far the largest gain, though those jobs pay less and lean heavily on government funding.

Financial Activities and Securities are the ones to watch. Both are up from a year ago, but the report says hiring in each essentially stalled over the past month. For a city whose tax base rides on Wall Street bonuses, a stall is not a small detail.

The national picture is worse. Private-sector payrolls grew by just 49,000 in June, and the Labor Department revised April and May down by a combined 74,000, dragging the three-month average to 99,000. Leisure and Hospitality lost 61,000 jobs in what should be a peak tourism month. The U.S. unemployment rate edged down to 4.2%, but again for the wrong reason — participation fell to 61.5% as people gave up looking. Jobless claims stay low. Hiring stays low. The Comptroller’s economists call it a low-hire, low-fire economy, and it has now been the story for the better part of a year.

One number improved. National GDP grew at an annualized 2.1% in the first quarter, revised up from an earlier estimate of 1.6%, with imports up 11.8% and exports up 10.9%.

What it costs to live here

Home selling prices have been essentially flat. Market rents have not. Rents are up 5% to 6% since the middle of 2025 and now sit 35% above where they were before the pandemic — the single biggest pressure on the workforce that every tri-state employer is trying to recruit and keep.

The supply answer is slowly moving. Developers filed plans for nearly 17,000 housing units in the first quarter of 2026 alone, on top of strengthening completions through 2025. Levine’s message with the report was that those units take time to deliver and that inaction is not an option, whatever policymakers decide to argue about.

Tourism has picked up since the World Cup rounds began in early June, but the summer has not delivered what the industry hoped. Hotel room rates are running above a year ago while occupancy is roughly flat with 2025 — meaning hotels are charging more to fill the same rooms, and summer bookings have come in under expectations.

The city’s books

Preliminary tax receipts for fiscal 2026, counted through June, are 7.3% higher than the prior year. The City Council adopted a $125.8 billion budget for fiscal 2027 on June 30, roughly $1.14 billion above what the mayor proposed in his Executive Budget in May. Just over a quarter of that increase came from higher tax revenue projections — about $300 million more than the Office of Management and Budget had forecast.

Levine has testified in support of building a formal framework around the city’s Rainy Day Fund, including a target balance and clear rules for putting money in and taking it out. The Charter Revision Commission is expected to release its final report and any ballot proposals in the coming weeks.

For business owners, the read is this: revenue coming into the city is strong, the job market is stable but not growing much outside health care, and the cost of housing your workers keeps climbing. Those three facts don’t point in the same direction, and the next budget cycle is where they collide.

JBizNews Desk | New York © JBizNews.com All Rights Reserved. Reproduction or distribution without written permission is prohibited.

President Donald Trump publicly attacked New York Governor Kathy Hochul on Wednesday, July 15, over her decision to temporarily halt new large-scale data center development in New York, calling the move a “terrible decision” in a post on Truth Social and urging the state to reverse course immediately.

“Both the Taxes and the Jobs amount to LIQUID GOLD!” Trump wrote, arguing New York was driving away billions of dollars in investment and thousands of high-paying jobs.

The criticism came just one day after Hochul signed an Executive Order establishing what her administration described as the nation’s first statewide moratorium on new hyperscale data centers while regulators develop new standards governing electricity demand, environmental impacts, water usage and community protections.

“As data center development threatens to hike up utility bills, deplete our natural resources, and create uncertainty for New Yorkers, it’s my responsibility to take action and lead,” Hochul said in announcing the order.

What the Executive Order Does

The Executive Order immediately pauses state environmental permitting for new hyperscale data centers requiring 50 megawatts or more of electricity for up to one year, giving state agencies until July 2027 to develop a comprehensive regulatory framework.

During the moratorium, New York will prepare a Generic Environmental Impact Statement evaluating the industry’s effects on electricity demand, water consumption, air quality and surrounding communities.

Within 60 days, Empire State Development must also publish a Community Investment Framework designed to help municipalities negotiate community benefit agreements with developers. Those negotiations could include infrastructure improvements, childcare investments, workforce development and direct financial contributions.

Hochul also directed state agencies to explore requiring large data centers to contribute toward electric grid upgrades and said she intends to support repealing an existing sales tax exemption benefiting large facilities, subject to legislative approval.

Why Hochul Took Action

The governor argued that rapid growth in energy-intensive artificial intelligence infrastructure threatens to increase electricity costs for residential customers.

According to the governor’s office, average residential electricity prices in New York have increased nearly 68 percent since 2019.

A Siena College Research Institute poll conducted in June found 46 percent of New Yorkers support a one-year pause on permitting large data centers, while 21 percent oppose the proposal. The survey found majority support among both Democrats and Republicans.

The same poll showed Hochul holding a significant lead over likely Republican gubernatorial challenger Bruce Blakeman, Nassau County Executive.

Industry Pushback

The Data Center Coalition, representing many of the nation’s largest technology companies, sharply criticized the Executive Order.

“Gov. Hochul’s statewide moratorium on data centers will ensure that those investments, jobs, and economic activity flow elsewhere rather than to New York,” said Dan Diorio, the organization’s Executive Vice President for State Policy and Government Affairs.

The coalition argued that modern data centers generate substantial construction activity, long-term tax revenue and support growing artificial intelligence infrastructure.

Supporters of the pause disagreed.

Laura Shindell, New York State Director for Food & Water Watch, called the Executive Order an important step toward protecting communities from uncontrolled development.

State Assemblymember Didi Barrett said residents deserve a better understanding of how rapidly expanding data centers affect local infrastructure, natural resources and electricity prices before additional projects move forward.

What Comes Next

The Executive Order differs from legislation already passed by the New York Legislature.

Lawmakers previously approved the Responsible Data Center Development Act, which would impose a one-year moratorium on facilities consuming 20 megawatts or more, establish separate electric and water rate classes for large data centers and require public hearings before project approval.

Hochul has not signed that legislation, saying additional negotiations with lawmakers remain necessary while her Executive Order provides immediate action.

New York joins a growing number of states reassessing incentives for large data center development.

Earlier this year, Maine Governor Janet Mills vetoed a proposed moratorium because it failed to exempt projects already underway, while Arizona Governor Katie Hobbs signed legislation establishing a three-year pause on new sales tax incentives for data centers.

The timing is significant.

Regional grid operator PJM Interconnection is currently operating under Maximum Generation and Hot Weather Alerts amid record electricity demand. PJM’s most recent capacity auction cleared at a record $333.44 per megawatt-day, with independent market monitor Monitoring Analytics attributing roughly 63 percent of the increase to growing data center electricity demand.

The political fight between Trump and Hochul ultimately centers on a broader national question: how to balance artificial intelligence investment, economic development and rising electricity costs as data centers consume ever-larger amounts of power.

JBizNews Desk | New York

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