The Bank for International Settlements said the world economy faces heightened uncertainty due to trade fragmentation, rising debt and geopolitical shocks. Outgoing BIS chief Agustin Carstens warned that public trust in institutions is fraying and called for urgent action to strengthen economic resilience.
Despite record highs in the S&P 500 and Nasdaq, many investors remain cautious due to President Donald Trump's unpredictable policy decisions. The April tariff announcements on major trading partners nearly pushed the S&P 500 into a bear market, and although a recent rally was driven by a US-brokered ceasefire between Israel and Iran, market participants remain wary of future volatility. JPMorgan Chase and Bank of America highlight the extreme policy uncertainty, with institutional investors hesitant to fully embrace the rally.
The Senate advanced the tax and spending package in a 51-49 procedural vote over the weekend, clearing the way for a "vote-a-rama" on amendments beginning this morning. House votes on the bill are expected to start at 9 a.m. on Wednesday if the legislation gains Senate approval. President Donald Trump has signaled that he wants the bill on his desk by July Fourth.
Global M&A hit $2.14 trillion in the first half of 2025, driven by a surge in $10 billion-plus deals and record activity in Asia, despite headwinds from tariffs and high rates. Bankers see renewed optimism for H2 as volatility eases and U.S. policy shifts open the door to larger transactions.
CFOs and investors have differing opinions about the global economy this year, with 43% of CFOs expecting economic improvement in the second half of the year, compared with more than 75% of investors, according to a Teneo survey. The divide is also evident in their outlook on capital market access and deal-making challenges, highlighting persistent uncertainty and divergent sentiment between the two groups.
US consumer spending unexpectedly declined by 0.1% in May, as the impact of pre-emptive buying ahead of tariffs faded. The Commerce Department report shows a 0.8% drop in goods spending, particularly on motor vehicles, while services spending rose by only 0.1%. Personal income fell by 0.4%, the most significant decline in nearly four years.
Leaders may be tempted to judge others harshly in stressful situations, but true leadership requires assuming positive intent and practicing empathy even when it's difficult, management consultant Marc Cugnon writes. Leaders who view colleagues as adversaries can undermine morale and collaboration, while those who support rather than blame can help colleagues feel valued and trusted, leading to better personal and productivity outcomes, Cugnon notes.
Global shipping is increasingly facing navigation challenges from GPS jamming and spoofing, particularly in conflict zones like the Persian Gulf, Strait of Hormuz, Black Sea and Baltic Sea. The issue has led to incidents such as the Nissos Nikouria losing GPS during Israeli strikes on Iran and a tanker collision near the Strait of Hormuz, raising concerns about safety and insurance. The International Maritime Organization and other UN bodies have issued warnings, highlighting the vulnerability of maritime trade.
