Latest Business News
Samsung forecasts tripling profits on surging AI chip demand
Samsung expects its quarterly profits to **triple year‑on‑year**, driven largely by booming demand for AI-related memory and chips used in data centers and devices. This signals continued strength in the global technology and semiconductor cycle, even as more traditional sectors such as construction and manufacturing face pressure.
UK–Switzerland financial services deal takes effect, reshaping post‑Brexit finance
A new **UK–Switzerland financial services agreement** has formally come into force, aiming to deepen market access for banks, insurers, and asset managers between the two countries. The pact is designed to preserve London’s role as a leading financial hub after Brexit while giving Swiss firms more stable long‑term access to UK clients.
UK trade growth lags global pace amid weak confidence and rising insolvencies
Recent data show **UK trade growth** trailing the global average, reflecting soft business confidence, uneven consumer demand, and a rising risk of corporate insolvencies. Sectors such as construction, hospitality, and investment-led industries are under particular strain, highlighting the importance of tighter cash‑flow management for SMEs trading on credit.
Global stock markets diverge as tech-led US rally contrasts with softer UK and Europe
US indices including the **S&P 500 and Nasdaq** are hovering near record highs, powered by large technology and AI-related stocks. In contrast, the UK’s FTSE 100 has pulled back from recent highs and European markets, while more resilient, remain fragile as investors weigh rate‑cut prospects against weak external demand.
Oil prices fall sharply on prospects of increased Venezuelan supply
Brent crude has dropped into the **low $60s per barrel** after signals that sizable volumes of Venezuelan oil could re‑enter global markets. Lower prices are easing fuel costs for consumers and transport-heavy businesses but are pressuring the share prices and capital plans of major energy producers, particularly in the UK and Europe.
Energy and mining stocks drag on UK and European indices amid commodity slump
Declines in **oil and metal prices** are weighing heavily on energy and mining groups, pulling down the FTSE 100 and similar European benchmarks. Companies such as BP and Shell face weaker margins and investment uncertainty as investors reassess the outlook for global commodity demand and US policy on fossil fuels.
BCG projects resilient global trade growth despite geopolitical fragmentation
A new Boston Consulting Group report projects **global trade growth of about 2.5% annually through 2034**, even as economic nationalism and geopolitical blocs intensify. The study argues that trade is not retreating but reorganizing into regional and thematic networks, rewarding companies that embed geopolitics into capital allocation and supply‑chain strategy.
Analysts highlight AI investment boom as a key driver of 2026 global growth
Economic outlooks for 2026 point to **AI-related capital expenditure**—including data centers and advanced computing hardware—as a major driver of business investment. JPMorgan notes a strong expansion in AI physical capex in 2025, while Morgan Stanley sees potential upside to productivity and GDP if AI adoption accelerates faster than expected.
Goldman Sachs and others forecast healthy but uneven global economic growth in 2026
Goldman Sachs forecasts **global GDP growth of about 2.8% in 2026**, with the US expected to outperform consensus thanks to tax cuts and easier financial conditions. China is projected to grow around 4.8%, though analysts warn that geopolitical flashpoints—such as US–China tensions over Taiwan—could pose risks for businesses and investors.
Report warns AI is often used as a pretext for conventional layoffs
New analysis cited by Fortune suggests **many AI-linked layoffs** are not primarily due to automation but are traditional cost‑cutting measures being rebranded as “AI efficiency” moves. The research finds limited evidence that firms are systematically replacing large numbers of workers with AI at scale, raising questions about corporate transparency in workforce reductions.