Financial Times (August 28)
In the U.S., “corporate profits have hit a record high while workers’ slice of the pie has sunk to historic lows, fuelling discontent among many Americans and a growing political backlash.” In this tale of two cities, corporate “pre-tax earnings hit an annualised $4.8tn in the second quarter, or 18 per cent of national income… the highest share since the aftermath of the second world war.” Meanwhile, “employees’ share from wages and benefits fell to 60 per cent, the lowest level since the 1950s.”
Tags: $4.8tn, Benefits, Corporate profits, Discontent, Employees, Historic lows, Political backlash, Pre-tax earnings, Q2, Record high, Sunk, U.S., Wages, Workers, WW2
The Economist (July 31)
“Despite robust spending, America’s economy grew slower than expected in the second quarter, expanding by an annualised 1.5%. Consumer activity grew by 3.2% thanks to a fall in gasoline prices and higher-than-usual tax refunds. AI-driven investment continued to boom. These bright spots were, however, offset by a decline in net exports and companies drawing down their inventories.”
Tags: 1.5%, AI-driven investment, Boom, Consumer activity, Decline, Economy, Expanding, Gasoline prices, Inventories, Net exports, Q2, Robust spending, Slower, Tax refunds, U.S.
Market Watch (June 30)
“Even Wall Street bulls are worried about a stock-market pullback after dazzling second quarter. The earnings story remains strong, but uncertainty surrounding the path of Fed policy and worries about excessive leverage propping up the market are near the top of the list of concerns”
Tags: Bulls, Concerns, Dazzling, Earnings, Excessive leverage, Fed policy, Pullback, Q2, Stock market, Uncertainty, Wall Street, Worried, Worries
Washington Post (January 6)
“The data center rebellion is here, and it’s reshaping the political landscape.” During the second quarter of 2025 alone, “more projects were blocked or delayed than during the previous two years combined, according to Data Center Watch, a tracking project by the nonpartisan research firm 10a Labs. Some $98 billion in planned development was derailed in a single quarter.”
Tags: $98 billion, 2025, Blocked, Data center, Data Center Watch, Delayed, Derailed, Planned development, Political landscape, Q2, Rebellion, Reshaping, Tracking project
Wall Street Journal (August 1)
“There is an irony in Detroit right now: The automaker most reliant on U.S. manufacturing is among the hardest hit by tariffs.” Of any automaker, Ford manufactures the most vehicles in the U.S. “Some 80% of the cars Ford sells in the U.S. are built there,” but Ford is being “put it at a disadvantage with foreign rivals. Those deals now set a 15% tariff rate.” Ford which paid $800 million for tariffs in Q2 has been particularly hard hit as it “faces steeper tariffs on many parts as well as higher costs for imported aluminum, which is subject to 50% duties.”
Tags: $800 million, 15%, 50, Aluminum, Automaker, Detroit, Disadvantage, Ford, Foreign rivals, Irony, Manufacturing, Parts, Q2, Reliant, Tariffs, U.S., Vehicles
Investment Week (August 15)
“The UK economy grew by 0.6% in the second quarter, following an increase of 0.7% in the previous three months.” Year over year, “gross domestic product expanded by 0.9% from April to June…. The figures confirm that the economy has enjoyed a strong recovery from its mild technical recession last year.”
Tags: 0.6%, 0.7%, 0.9%, Economy, Expanded, GDP, Grew, Q1, Q2, Strong recovery, Technical recession, UK
Wall Street Journal (July 17)
“A clearer outlook on interest rates is giving bankers hope that dealmaking is emerging from a two-year slowdown.” Though up about 8% from a year ago, Q2 global M&A volumes “are still below those of the deal boom coming out of the pandemic,” with M&A activity “unlikely to kick into full gear until interest rates come down.”
Tags: 8%, Bankers, Boom, Clearer, Dealmaking, Emerging, Interest rates, M&A, Outlook, Pandemic, Q2, Slowdown
Reuters (July 3)
“Japanese business sentiment improved in the second quarter as raw material costs peaked and removal of pandemic curbs lifted consumption… a sign the economy was on course for a steady recovery.” The quarterly survey or “tankan” by the central bank offers “policymakers hope that conditions for phasing out their massive monetary stimulus may be gradually falling into place.”
Tags: Business sentiment, Consumption, Costs, Economy, Japan, Monetary stimulus, Pandemic curbs, Peaked, Policymakers, Q2, Raw material, Steady recovery
Reuters (August 10)
“What a difference a year makes: Consumers have gotten off the couch…. There is evidence that the streaming market has hit a saturation point. Netflix lost 1.3 million American and Canadian customers in the second quarter, where it enjoys the highest average revenue per user.”
Tags: ARPU, Canada, Consumers, Couch, Customers, Difference, Netflix, Q2, Saturation, Streaming market, U.S.
Bloomberg (August 13)
“It seems like Japan’s big recovery is always a quarter away.” The economy may just barely manage growth in the second quarter, but the slow vaccination rollout and ongoing surges mean “the bounce in consumer spending that analysts had been forecasting will have to wait even longer.” Japan has earned “the dubious distinction of being the only G-7 economy to have its growth outlook for this year cut by the International Monetary Fund.”
Tags: Analysts, Bounce, Consumer spending, Economy, G-7, Growth, IMF, Japan, Outlook, Q2, Recovery, Surges, Vaccination
