Money Talks

The US banking sector has had a bad year. Several major regional banks have failed, and stock prices are down. The US Federal Reserve blames bad management for failing to respond to an era of higher interest rates that made it more expensive to cover customers' deposits, while still turning a profit. These smaller banks were exempt from tough liquidity rules imposed on their bigger counterparts in the wake of the 2008 financial crisis. The most recent casualty was First Republic, which fell on the 24th of April.

#USBankingCrisis #JPMorgan #FirstRepublicBank

It is a topic that has been stirring conversations across the globe: Will Artificial Intelligence take away our jobs? IBM CEO Arvind Krishna thinks so. His company is holding off on hiring for jobs that A-I could potentially perform. IBM is one of the first companies to openly talk about an A-I takeover. But what will it look like?

#IBM #AI #JobsTakeover

The US Federal Reserve is set to announce its next decision on interest rates. Markets are expecting a 25 basis point rise, or perhaps keeping base rates stable. The US missed growth expectations for the first quarter, leading some to believe regulators will ease off on efforts to cool the economy and ease inflation. Price increases are down from last summer's 40-year highs, showing the tightening has worked. But the Fed's medicine for inflation comes with side effects, including the potential for lending to dry up in the banking sector. But so far, unemployment remains low and consumer spending strong.

#USFed #USEconomy #USBankingCrisis

The US could default on $31.4 trillion in debt as soon as June 1. That's the date Treasury Secretary Jannet Yellen announced Monday, giving Congress less than a month to strike a deal. US President Joe Biden has called for a meeting with Republican Speaker of the House Kevin McCarthy and other leaders to hash out an agreement on spending that avoids an unprecedented default. Democrats want to pass an increase to the debt ceiling and keep paying interest on US bonds, that doesn't involve slashes to social spending that Republicans have proposed. The new date adds serious urgency to a problem that has been brewing since January when the Treasury Department started using stop-gap measures to keep paying its obligations to creditors. President Biden on Monday stressed the importance of protecting the creditworthiness of the country.

#USDebtCeiling #USEconomy #JannetYellen

US financial authorities have finalized a deal that rescues clients of First Republic Bank but shuts down the bank itself. The institution has been in crisis since March when it fell victim to a crisis of confidence across the financial sector. Wall Street behemoth JP Morgan Chase will take over responsibility for the depositors' accounts. First Republic's troubles came in the wake of the collapse of Silicon Valley Bank. On Friday, the Federal Reserve said severe mismanagement and a lack of oversight led to SVB's demise. A recent rapid rise in interest rates intended to tame inflation caught both institutions off guard, and some lawmakers blame the relaxation of rules in 2018 that let banks operate with less cash on hand to meet depositors' needs.

#FirstRepublicBank #JPMorganChase #USBankingCrisis

Turkiye's premier aerospace and technology festival opened its doors on Thursday, showcasing the latest in Turkish innovation. Teknofest is also looking to seeking to attract the brightest minds from across the country. Ilyas Avci reports.

#TürkiyeTechnology #Kizilelma #Gokbey

It's been a hard 12 months for tech. Lay-offs have eliminated thousands of jobs in Silicon Valley, and more may be on the way. But for the sector's biggest firms, there's some good news. Alphabet, Microsoft, Meta and Amazon have all reported strong first-quarter results, despite clouds on the horizon.

#Alphabet #Microsoft #Meta

After an almost three-year diplomatic row, South Korea has once again begun normalising trade with Japan, putting Tokyo back on its so-called "white list" of countries that enjoy preferential treatment in trade. The relationship went sour over a South Korean court ruling, demanding reparations for victims of forced labor during World War Two. Emre Boz has more.

#SouthKoreaTrade #SouthKoreaEconomy #JapanTrade

Artificial Intelligence is the next frontier in tech that has the industry a-buzz, and critics alarmed. Supporters say A-I will have the power to transform lives - and livelihoods - for the better.. while skeptics fear the technology could one day render humans obsolete. And now governments are scrambling to get ahead of A-I's rapid development. Wilson Dizard reports.

#ChinaAIServices #ChinaTech #ArtificialIntelligence

The world's biggest economy is slowing down, US GDP fell to an annualized 1.1 percent last quarter, after growing 2.6% from October through December. Politics may put further pressure on the US economy as lawmakers spar over raising the debt ceiling. If they disagree the US faces its first-ever default on its debt which would rock its economy and beyond, Tulay Kalyon Haznederoglu has more:

#USHouse #DebtCeiling #USEconomy