Latest Business News
UN cuts global growth forecast to 2.7% amid tariffs and fiscal strains
The United Nationsâ *World Economic Situation and Prospects 2026* projects **global GDP growth of 2.7%**, down from an estimated 2.8% in 2025 and well below the preâpandemic 3.2% average. The UN warns that higher US tariffs, geopolitical tensions and tight fiscal conditions are weighing on trade and investment, even as declining inflation and monetary easing provide some relief.
Growth in the US is forecast at 2.0% and the EU at 1.3%, while global trade growth is expected to slow to 2.2% in 2026.
Federal Reserve governor backs 150-basis-point rate cuts this year
A US Federal Reserve governor has signaled support for about **150 basis points of interestârate cuts** over the year, reinforcing expectations of significant monetary easing. The comments align with broader market views that declining inflation allows room to lower rates, with Treasury Secretary Scott Bessent also pushing for deeper cuts to support growth.
Looser US policy is a key driver for global financial conditions and capital flows.
Trump trade tariffs face critical US Supreme Court ruling
The US Supreme Court is expected to rule imminently on the legality of former President Trumpâs sweeping emergency tariffs, which imposed a baseline charge on most trading partners and higher âreciprocalâ tariffs on many others. Analysts say a ruling against the administration could force **refunds of some tariffs** and complicate its trade strategy, though the White House has indicated it may use other statutes to maintain barriers.
The case introduces fresh uncertainty for global supply chains and exportâdependent economies.
Oil market in focus as Trump targets $50 crude and OPEC unwinds cuts
US media report that Trump is aiming to push **oil prices down to about $50 per barrel**, increasing pressure on producers and reshaping energy markets. At the same time, OPEC is unwinding 1.65 million barrels per day of voluntary cuts, although it recently kept output unchanged amid geopolitical shocks including the US capture of Venezuelaâs Nicolas Maduro and moves to control that countryâs oil assets.
Lower prices would benefit importers but deepen fiscal challenges for producers and energy companies.
World Economic Forum flags shifting global cooperation as geopolitical risks rise
The World Economic Forumâs latest **Global Cooperation Barometer 2026** finds that overall global collaboration has held steady but is changing shape under mounting geopolitical tensions and conflict. Experts note that regional cooperation is faring better than global mechanisms, as traditional multilateral forums face strain.
This evolving landscape affects crossâborder investment, supply chains and corporate risk planning worldwide.
AI investment emerges as a primary driver of US and global growth
Analysts highlight **artificial intelligence investment** as a central factor behind projected US economic outperformance in 2026, with JPMorgan forecasting a 33% rise in AIârelated capex after a 69% surge in 2025. AIâlinked physical investment in data centers, computing and communications equipment rose 26% in real terms over the four quarters to Q2 2025, and banks see further upside if productivity gains accelerate.
The UN cautions, however, that the benefits of AI are likely to be unevenly distributed, potentially widening inequalities.
UN warns trade growth to slow as policy uncertainty and tariffs bite
The UN expects **global trade growth** to decelerate from an estimated 3.8% in 2025 to 2.2% in 2026, after last yearâs frontâloaded shipments and robust services trade. Rising tariffs, especially from the US, and policy uncertainty are weighing on merchandise flows, while investment remains subdued in many regions.
The report notes that only targeted fiscal measures and AIâdriven spending are offering pockets of strength.
Gulf economies seen resilient as UAE accelerates diversification
The UN and regional analysts say Gulf Cooperation Council economies, particularly the UAE, are showing resilience as they **diversify away from oil** into tourism, advanced manufacturing and technology. The UAEâs nonâoil private sector grew at its fastest pace in 11 months in November, supported by strong market conditions, according to the S&P Global UAE PMI.
Continued investment in nonâoil industries is expected to cushion the region against oilâprice volatility.
Nasdaq to launch new global indexes, expanding benchmarks for investors
Nasdaq announced it will begin disseminating a set of **new indexes** on its Global Index Watch platform and Nasdaq Global Index Data Service, effective Friday. The move expands the range of benchmarks available to global investors and ETF providers, potentially shaping product development and passive investment flows.
New thematic or regional indexes often influence capital allocation and portfolio construction in institutional and retail markets.
Corporate and tech sector moves: Google, Amazon, crypto and cybersecurity
Fortune reports that Google coâfounder Larry Page has purchased a **$173 million Miami compound**, underscoring continued techâwealth migration to lowâtax US states. Amazon is asking corporate employees to document three to five key accomplishments, a move seen as tightening performance management amid broader productivity and AIâdriven automation efforts.
Separately, a report finds Russia and Iran are increasingly relying on **crypto and stablecoins** to skirt sanctions, while cybersecurity firm ThreatModeler is acquiring rival IriusRisk for over $100 million as demand for robust softwareâsecurity tooling grows.
Global economy seen âsteady but subduedâ as monetary easing gathers pace
Echoing the UN, other analyses describe the global outlook as **steady but subdued**, with growth supported by monetary easing yet constrained by geopolitical and technological frictions. Lower inflation and expected rate cuts in major economies provide relief for borrowers and risk assets, but fiscal strains and conflictâdriven uncertainty continue to dampen sentiment.
This environment is pushing companies to focus on cost control, resilience of supply chains and selective capital spending rather than aggressive expansion.