Risk Management
Workday Research: AI Agents Spark Mixed Expectations, Doubts, and Concerns in the Workplace
Workday's latest global survey shows that AI agents evoke complex emotions in the workplace: 27% of business leaders believe they are overhyped, only 30% of respondents accept being managed by them, but 82% of organizations plan to expand their use. Gartner predicts that over 40% of agentic AI projects will be canceled by the end of 2027.
FTC Sues AI Startup: False Advertising Amasses Nearly $19 Million
The U.S. Federal Trade Commission (FTC) filed a lawsuit on Monday accusing AI startup Air AI Technologies and its operators of defrauding customers of approximately $19 million through false claims about business growth, earning potential, and refund guarantees. The FTC seeks monetary compensation and a permanent injunction.
NABE Survey: Most Economists Expect Inflation to Remain Above 2% Through 2026
A survey released Monday by the National Association for Business Economics (NABE) shows that 56% of economists expect inflation, as measured by the Personal Consumption Expenditures (PCE) price index, will not fall back to 2% until after 2027, up from 45% in the March survey. Despite persistent inflationary pressures, most respondents still expect the Fed to cut interest rates by at least 50 basis points before the end of 2025.
Powell paves the way for Fed rate cuts, warns of labor market weakness
In a speech on August 22, Federal Reserve Chair Jerome Powell clearly indicated that, given the notable slowdown in the labor market since May, the Fed may lower its benchmark interest rate next month. He also noted that the price-boosting effects of tariffs are emerging, with upside risks to inflation still present, leaving policymakers facing a dilemma. Market expectations for a 25-basis-point rate cut in September have risen to 85.2%.
S&P Global: Manufacturing and Services Rebound, Q3 Economy May See Strong Recovery
S&P Global's purchasing managers index released on August 21 shows U.S. business activity expanding at the fastest pace since 2025, with both manufacturing and services strengthening, supporting expectations of 2.5% annualized GDP growth in Q3. However, tariffs are driving up costs and inflationary pressures, leaving the Fed in a dilemma ahead of its September policy meeting: whether to hold rates to curb prices or cut rates to protect employment.
Cybersecurity startup Horizon3.ai appoints new CFO Holly Grey
Horizon3.ai appoints Holly Grey as CFO to accelerate global expansion. Grey has over 30 years of financial experience and previously led Exabeam's acquisition by Thoma Bravo. The company recently completed a $100 million Series D funding round led by NEA.
Rare Earth Miner CFO's Financing Strategy: Leveraging Auto Contracts to Secure Over $1 Billion in Loans
Francois Motte, CFO of Canadian rare earth miner Aclara Resources, is seeking contracts with customers such as automakers to secure over $1 billion in financing to complete the development of South American mines and a U.S. processing plant. The company has not yet signed any offtake agreements and needs a major customer or commitments covering about 50% of production to advance its plans. Motte stated that rare earth pricing is highly volatile, and banks will not lend without commercial contracts. The company may benefit from supply chain restructuring driven by China's export controls and has partnered with Virginia Tech to operate a separation pilot plant.
San Francisco Fed: State Data Confirms U.S. Labor Market Remains Stable
The latest research from the San Francisco Fed, based on analysis of state unemployment insurance claims data, indicates that the U.S. labor market remained stable through mid-2025. Prior to the report's release, two Federal Reserve governors dissented against the decision to hold interest rates steady, advocating for rate cuts to guard against further labor market weakening.
State-level AI regulations raise growing concerns among small businesses
The U.S. Chamber of Commerce's 2025 report shows that small business owners' concerns over differences in state AI regulations have reached an all-time high, with 65% of respondents worried about compliance and litigation costs. The report recommends establishing a unified national AI framework while preserving state attorneys general's authority to enforce specific laws. The Trump administration has threatened to cut federal funding to states with burdensome AI regulations.
U.S. July Retail Sales Grow Against the Trend, Consumer Resilience Evident Amid Inflation and Employment Pressures
U.S. retail sales rose 0.5% month-over-month in July, with June's data revised up to 0.9%, and auto sales hitting a three-month high. Despite persistent inflationary pressures from tariffs and some softening in the job market, consumer spending continues to show resilience. However, a University of Michigan survey shows consumer confidence fell for the first time in four months in August, with both short-term and long-term inflation expectations rising notably. Federal Reserve officials say more data is needed to confirm the path of declining inflation.