🤖 China Isn't Going To Like This...

Good morning. US stock futures rose in Wednesday morning trading as investors awaited the Federal Reserve’s interest rate decision and May’s consumer inflation data.

🤖 US weighs more restrictions on China chip access

📝 Our report: The Biden administration is mulling over even tighter restrictions on China’s access to AI chip technology, according to insiders chatting with Bloomberg News. The measures being discussed would limit China's ability to use a cutting-edge chip architecture known as gate all-around, or GAA, the report said.

 🔑 Key points:

• The United States has been working to limit Beijing's access to advanced AI chips, such as those designed by leader Nvidia, through tightened trade restrictions amid fears that China may use the technology to bolster its military.

• Leading semiconductor firms including Nvidia, Intel and Advanced Micro Devices, along with chip manufacturers Taiwan Semiconductor Manufacturing and Samsung are aiming to start mass production of chips with the GAA design within the next year, according to the report.

• With the scope of the potential rule still being determined, it is not clear when officials will make a final decision, the report said.

💡 So what: By limiting access to high-end semiconductor technology, the U.S. aims to maintain its competitive edge and address national security concerns. This move is part of a broader strategy to restrict China's ability to develop and deploy cutting-edge tech that could challenge U.S. dominance or be used in ways that threaten global stability.

Wednesday - US Consumer Price Index, US Fed Interest Rate Decision

Thursday - No Major Economic News

Friday - Consumer Sentiment

📈 Carl Icahn shares his investing philosophy

💰 This is how you choose the right savings account

👩🏽‍💼 Here’s why jobs skills might matter more for your next interview

 📈 The Safest Investment You Could Make

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📈 World Bank raises global growth outlook

WHAT: The World Bank has raised its 2024 global growth outlook thanks to the surprisingly robust U.S. economy, but warned that overall output will still lag behind pre-pandemic levels through 2026. The World Bank said in its latest Global Economic Prospects report that the global economy would avoid a third consecutive drop in real GDP growth since a major post-pandemic jump in 2021, with 2024 growth stabilizing at 2.6%, unchanged from 2023.

WHY: The World Bank forecast global growth of 2.7% in both 2025 and 2026, a level well below the 3.1% global average in the decade prior to COVID-19. It also is forecasting that interest rates in the next three years will remain double their 2000-2019 average, keeping a brake on growth and adding debt pressure to emerging market countries that have borrowed in dollars.

📱 More states join Apple monopoly lawsuit

WHAT: Four more U.S. states have joined the Justice Department's lawsuit, accusing Apple of monopolizing the smartphone market. The four additional states were Indiana, Massachusetts, Nevada and Washington state, the Justice Department said.

WHY: The original lawsuit, filed by the Justice Department in March, saw the agency being joined at the time by 15 states and the District of Columbia.

👠 Fashion brands under investigation in Italy

WHAT: Prosecutors in Milan are now eyeing the supply chain of about a dozen more fashion brands, after putting LVMH's Italian unit under court administration for a worker exploitation probe, according to individuals familiar with the matter. This is the third such decision this year by the Milan court in charge of pre-emptive measures, which in April took similar steps in relation to a company owned by Giorgio Armani due to accusations the fashion group was "culpably failing" to properly oversee its suppliers.

WHY: Italy accounts for 50% to 55% of the global luxury goods production, consultancy Bain calculated, with thousands of small manufacturers supplying big brands and allowing them to sport the prized 'Made in Italy' label on their goods.

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