The Federal Reserve kept its benchmark interest rate at 3.50 to 3.75 percent at its July meeting, in a 9-3 vote. Three officials wanted an immediate quarter-point increase. Since then, fresh inflation data has come in milder than expected, giving the Fed room to stay patient. But the debate is not settled. Energy prices have swung with the conflict involving Iran, and mortgage rates climbed to 6.81 percent, their highest level in a year, before easing to 6.65 percent. The Fed's June projections showed nine members expecting at least one hike in 2026 and eight expecting no change. Most economists expect the Fed to hold rates for the rest of 2026, but the three dissents keep a September hike on the table.
Micron Technology announced plans to invest $10 billion over the next decade in Micron Research Labs, a new U.S. research hub headquartered in Boise, Idaho. The organization will focus on advanced memory technologies, memory and computing architectures, chip packaging and future semiconductor manufacturing for the AI era. Construction of the flagship campus is expected to begin in 2027. CEO Sanjay Mehrotra said America's AI future 'will be built on American-made memory.' The investment is separate from Micron's previously announced $250 billion in U.S. manufacturing and R&D through 2035. Micron shares, up roughly 234% this year, moved higher on the news.
The US national debt passed $40 trillion for the first time, according to the Treasury Department. Spending on the Iran war, tax cuts, and tariff refunds has pushed the total higher. President Trump promised to restore fiscal order, but the debt has kept climbing. Interest payments on the debt are also growing each year. Lawmakers remain divided over how to address the problem.
A Chinese court sentenced Hui Ka Yan, founder of property giant China Evergrande, to life in prison on charges of fraud and bribery. The court also fined Evergrande more than $2.3 billion for inflating assets and hiding massive debts. Hui was once one of China's richest men. His company became the world's most indebted property developer before collapsing under its debts. Evergrande's default in 2021 was the largest debt crisis in China's corporate history, sending shockwaves through global markets. The case is a warning to China's real estate sector, which has struggled since the crisis began. The sentence is among the harshest handed down in China's property industry crackdown.
The US national debt passed $40 trillion for the first time this week, according to the Treasury Department, a record milestone reached years earlier than projected. The government has added roughly $1.8 trillion to the debt in the past five months alone, after crossing $39 trillion in March and $38 trillion in October. The Congressional Budget Office had projected in May 2023 that the country would not reach $40 trillion until fiscal year 2028. Rising costs for defense, Social Security, Medicare and interest payments are driving the borrowing, along with tax cuts signed into law last year. Interest payments on the debt are expected to exceed $1 trillion this year, another record. Budget watchdogs warn the current path is unsustainable.
A softer-than-expected July inflation report has eased pressure on the Federal Reserve ahead of its September rate decision. Consumer prices rose 3.4 percent from a year earlier, while core inflation held at 2.5 percent. Traders now price about a 38 percent chance of a rate hike next month, down from earlier expectations. Inflation has run above the Fed's 2 percent target for more than five years, and the central bank has kept rates steady through 2026. A cooling labor market gives officials room to hold, but rising oil prices and a weak dollar keep a hike on the table.
Bank of America announced a $250 billion initiative to finance US infrastructure projects spanning data centers, energy, semiconductors and transportation. The bank said the money will be deployed through loans, bonds and other financing tools over several years. The program responds to surging demand for capital as data centers expand for artificial intelligence, power plants are built, and semiconductor factories come online. Executives called it one of the largest private infrastructure commitments in recent years. Economists say private financing can speed up projects waiting for funding, though it will not replace public spending. The announcement follows similar moves by other major banks and positions Bank of America as a major lender to the AI build-out and the energy transition.
Bank of America has launched a $250 billion initiative to finance U.S. infrastructure projects, covering data centers, energy, semiconductors and transportation. Executives called it one of the largest private commitments to American infrastructure in years. The bank will use loans, bonds and other financing tools to help close a multi-trillion-dollar investment gap. A large share of the money is expected to support technology infrastructure, including new semiconductor plants and data centers built for artificial intelligence. The announcement comes as inflation cools but remains above the Federal Reserve's target, with the central bank weighing further rate moves. Higher borrowing costs make large projects more expensive, yet demand for upgraded power grids, ports and roads shows no sign of slowing.
Liverpool's owners have agreed to sell about a third of the club to a consortium that includes Amazon founder Jeff Bezos, in a deal that values the Premier League club at more than 5 billion pounds, the BBC reported Monday. Fenway Sports Group, which has controlled Liverpool since 2010, will keep majority ownership. The consortium gains a minority stake plus a role in the club's commercial operations. The deal is one of the largest investments in European football and reflects a wave of American capital moving into Premier League clubs. The Premier League is expected to review the transaction under its owners' and directors' test. Liverpool declined to comment on reports linking the investment to stadium expansion plans.
Nvidia announced partnerships with Apollo, BlackRock, Blackstone, Brookfield, Goldman Sachs and KKR to mobilize more than $500 billion for AI infrastructure. The financing platforms will treat AI computing power as an investable asset class, funding data centers that house and cool AI chips plus new factories to manufacture them. CEO Jensen Huang said the effort brings long-term capital providers together to underwrite AI infrastructure. The deal could help Nvidia's biggest customers finance GPU purchases, data center construction and long-term electricity capacity. Analysts note concerns about circular financing, but Nvidia says the platforms bring independent capital into the market. The announcement is one of the largest private financing efforts tied to AI hardware to date.