Newsletter May 25, 2023

Quick Six

Fed economists forecasting 'mild recession' despite hikes
US Federal Reserve economists still expected a "mild recession" at the most recent interest-rate meeting earlier this month, according to minutes. The Fed voted to raise interest rates for a 10th consecutive time following the most recent meetings on May 2-3 in order to tackle stubborn inflation. The economic forecast prepared by Fed staff ahead of the next meeting continued to assume tight financial conditions "would lead to a mild recession starting later this year, followed by a moderately paced recovery."
SEE WHAT CENTRAL BANKERS ARE EXPECTING FOR 2023

Debt ceiling talks continue as default fears come into focus
The White House and Congressional Republicans are still locked in crunch talks to try and avert the first debt default in US history, which Treasury officials say could come as soon as June 1. While the odds that policymakers fail to lift or suspend the debt limit are low, the risk of the US failing to meet all its financial obligations -- known as the "X-date", rises with every day that passes.
WHO WILL BE THE MOST IMPACTED IF THE US DEFAULTS?

Musk hints at riding 'third horse' in artificial intelligence race
Twitter owner Elon Musk hinted at a potential artificial intelligence project spearheaded by three of his companies – X.AI, Twitter and Tesla – as the race for AI dominance heats up. Musk founded X.AI, a company dedicated to developing AI, in March. Media reports say that Musk purchased thousands of graphic processing units (GPUs) to bolster work on a new generative AI product.
SEE WHAT MUSK SAID ABOUT A POTENTIAL AI PROJECT

You Might Like

Markets

DJIA	32,799.92	-0.77%
S&P 500	4,115.24	-0.73%
Nasdaq Composite	12,484.16	-0.61%
Japan: Nikkei 225	30,682.68	-0.89%
UK: FTSE 100	7,627.10	-1.75%
Crude Oil Futures	74.07	-0.36%
Gold Futures	1,962.80	-0.09%
Yen	139.22	-0.18%
Euro	1.08	0.03%
* As of market close

DeSantis' Twitter launch filled with glitches

Florida Governor Ron DeSantis said on Wednesday he would seek the 2024 Republican nomination for president, setting up a showdown with his one-time ally, former President Donald Trump, that will shake up the race for the White House. DeSantis made the announcement in a video ahead of an audio interview on Twitter with its CEO, Elon Musk. The Musk interview, which had been intended to be the formal launch for the DeSantis campaign, was beset by technical issues that prevented listeners from hearing him, an inauspicious start for his campaign.

SEE THE TWITTER ISSUES THAT PLAGUED DESANTIS' LAUNCH

House committee calls for action on China

A new U.S. congressional committee on China approved reports on Wednesday pushing back on Beijing over its treatment of Uyghurs and other ethnic minorities and seeking to deter the initiation of a conflict with Taiwan, hoping some of its recommendations become law this year. Members of the Republican-led House of Representatives Select Committee on the Chinese Communist Party approved both reports.

SEE THE COMMITTEE'S PROPOSED ACTIONS AGAINST CHINA

'Queen of Rock' Tina Turner passes at 83

Tina Turner, the songstress whose explosive presence electrified fans for five decades -- first with husband Ike Turner, then as a successful solo act -- died at the age of 83. The Black eight-time Grammy winner lit up the stage from the 1960s, and won a new generation of fans after escaping her violent marriage. Abandoned as a child, she emerged from Tennessee's cotton fields to become the "Queen of Rock and Roll".

THE AMAZING RAGS-TO-RICHES LIFE STORY OF TINA TURNER

Extra point

What rock legend credits Tina Turner with teaching him how to dance?

Wednesday's answer: Lebron James broke Kareem Abdul-Jabbar's all-time NBA scoring record of 38,387 in February. James now has 38,652.