Fed ‘Operation Mortgage Twist’ Would Boost Housing, Pimco Says

Beijing announced that TikTok's US app will utilize a Chinese algorithm. This comes as Donald Trump extends the deadline for a potential shutdown of the platform, indicating ongoing negotiations with China.

Editor’s Note: This development is significant as it highlights the complexities of international relations and technology. The use of a Chinese algorithm in a US app raises concerns about data privacy and security, while the extended deadline suggests that a resolution may be on the horizon.

On Bloomberg Businessweek Daily, hosts discuss the upcoming Fed meeting expected to result in rate cuts, alongside updates on the murder case of Charlie Kirk and insights from Katy Kaminsky on market impacts.

Editor’s Note: This episode is significant as it covers critical economic decisions by the Federal Reserve that could influence market trends, alongside important legal developments in a high-profile murder case.

Sree Kochugovindan, a senior economist, predicts that the Federal Reserve will implement three rate cuts this year due to a weakening labor market. She anticipates a slower pace of easing in 2026 if further cuts occur.

Editor’s Note: This insight is significant as it reflects the Federal Reserve's response to economic conditions, which can impact borrowing costs and overall economic growth. Understanding these predictions helps investors and businesses prepare for future financial landscapes.

A new agreement between the US and China regarding TikTok has been reached, mirroring terms discussed earlier this spring. This development is seen as a positive step in easing tensions around the popular app.

Editor’s Note: This agreement is significant as it reflects ongoing efforts to manage the relationship between the US and China, particularly concerning technology and data privacy. A stable resolution could benefit users and stakeholders in both countries.

Mahjabeen Zaman from ANZ highlights that the US growth story remains strong, indicating that the Federal Reserve may need to see more inflation before making aggressive rate cuts.

Editor’s Note: This insight is important as it reflects the current economic climate and the Federal Reserve's approach to monetary policy, which can impact markets and consumers alike.

Fund managers suggest that President Trump's pressure on the Federal Reserve could lead to a steepening of the US yield curve. This development may impact interest rates and economic forecasts.

Editor’s Note: Understanding the relationship between political pressure and economic indicators like the yield curve is crucial for investors and policymakers. It highlights how external factors can influence financial markets and economic stability.

Trump announced that the US has found a buyer for TikTok, signaling a potential resolution to the ongoing concerns about the app's ownership and data security.

Editor’s Note: This development is significant as it could alleviate fears regarding data privacy and national security associated with TikTok, which has faced scrutiny from the US government. A successful sale could also impact the app's future in the American market.

Bandwidth and Out There Media have teamed up to introduce RCS messaging in the US, enhancing communication capabilities for businesses and consumers.

Editor’s Note: This partnership is significant as it brings advanced messaging technology to the US market, allowing for richer interactions and improved customer engagement.

Nissan has announced the closure of its design studios in the US and Brazil, along with downsizing its operations in London and Japan. This decision reflects the company's efforts to streamline operations amid changing market conditions.

Editor’s Note: This matters because it highlights Nissan's strategic shift in response to economic pressures and evolving consumer demands. The closures could impact jobs and the automotive design landscape in these regions.

The UK's hopes for a zero percent tariff on steel exports to the US have been dashed, following initial optimism in July when an agreement was announced.

Editor’s Note: This matters because the steel industry is crucial for the UK economy, and high tariffs can significantly impact trade relations and economic growth.

US retail sales have shown a strong increase, indicating consumer confidence despite challenges in the labor market.

Editor’s Note: This increase in retail sales is significant as it reflects the resilience of the economy and consumer spending habits, which are crucial for economic growth.

PIMCO has advised the Federal Reserve to stop its mortgage unwind strategy to help strengthen the housing market. This recommendation comes as housing prices face challenges.

Editor’s Note: This matters because the housing market is a crucial part of the economy. By halting the unwind, the Fed could provide much-needed support to home prices and overall economic stability.

Beijing announced that TikTok's US app will utilize a Chinese algorithm. This comes as Donald Trump extends the deadline for a potential shutdown of the platform, indicating ongoing negotiations with China.

Editor’s Note: This development is significant as it highlights the complexities of international relations and technology. The use of a Chinese algorithm in a US app raises concerns about data privacy and security, while the extended deadline suggests that a resolution may be on the horizon.

Bank of America predicts that gold prices could reach $4,000 per ounce by the second quarter of 2026, suggesting further growth potential after recent record highs.

Editor’s Note: This prediction is significant as it indicates a bullish outlook on gold, which could impact investors and the commodities market. Understanding these trends can help investors make informed decisions.

The U.S. government has ordered Delta and Aeromexico to end their partnership, which allowed them to coordinate flight pricing and schedules. This decision follows claims from U.S. Transportation Secretary Sean Duffy that Mexico is treating U.S. airlines unfairly.

Editor’s Note: This matters because the dissolution of this partnership could impact flight options and prices for travelers. It highlights ongoing tensions between U.S. and Mexican airlines, potentially affecting competition and consumer choice in the aviation market.

Lei Qiu, CIO at AllianceBernstein, discusses the expanding adoption of AI and the opportunities it presents, emphasizing the need for caution. She shares insights on Bloomberg Tech.

Editor’s Note: This discussion is significant as it highlights the growing role of AI in various sectors and the balance between embracing innovation and exercising caution. Understanding these dynamics can help businesses navigate the evolving landscape.

The FDA has issued over 100 letters to Hims & Hers and other weight loss drugmakers, warning them to stop using false and misleading advertising. This action highlights concerns about the integrity of marketing practices in the weight loss industry.

Editor’s Note: This matters because misleading advertising can lead consumers to make uninformed health decisions. The FDA's intervention aims to protect public health and ensure that companies provide accurate information about their products.

ServiceNow is set to open an AI hub in West Palm Beach, Florida, creating 850 new jobs. This initiative is part of a new tower project developed by Stephen Ross.

Editor’s Note: This expansion highlights ServiceNow's commitment to growing its AI capabilities and workforce, which is significant for the local economy and the tech industry in Florida.