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The IMF has warned that growing dependence on AI investment could expose the global economy to a significant slowdown if the technology fails to meet expectations. Speaking at the IMF and World Bank annual meetings in Bangkok, financial leaders highlighted how surging spending on data centers, semiconductors, and related infrastructure is supporting U.S. growth and driving strong Asian exports. However, the IMF's downside scenario suggests that disappointing AI returns could trigger falling investment, declining stock markets, and weaker exports, potentially reducing global economic growth by as much as 1.3 percentage points in 2028. Alternative scenarios suggest AI could deliver substantial productivity gains, although supply constraints might initially increase inflation and interest rates. The IMF also warned that AI-enabled cyberattacks pose growing risks to financial stability. Managing director Kristalina Georgieva cautioned that investors may overestimate AI's immediate benefits, creating the potential for market disruption before longer-term productivity gains materialize.

 

Wall Street Journal

Reuters reports that JPMorgan and Deutsche Bank are among global finance firms that are allowing their Saudi Arabia-based employees to work remotely following escalating Houthi strikes ​in the kingdom. Citi last week said that it was allowing staff to work from home. "The ​safety of our employees and the families of our employees have always been our ​top priority," Citi finance chief Gonzalo Luchetti explained. Reuters has previously reported that Saudi Arabia plans to shift its flagship ⁠Future Investment ​Initiative conference later this month to a hybrid ​event.

 

Reuters

President Trump has said he could still pursue criminal investigations against former President Bill Clinton, former Secretary of State Hillary Clinton, and former President Barack Obama, claiming he has “a lot of information” on them. In an interview with Newsmax's Rob Finnerty, Trump said: “I could have done numbers on Hillary Clinton, I could have done numbers on Bill Clinton . . . I could have done numbers on Barack Hussein Obama, still could, I still could. I could do big numbers if I wanted to. I turned down going after Hillary Clinton.” When asked what he meant by “big numbers,” Trump said he could “go after them criminally” or “destroy their reputations.” When pressed on whether he will pursue the former government officials, Trump indicated that he probably would not, The Hill notes.

 

The Hill

U.S. import prices increased by 1.1% in September 2026, exceeding economists’ expectations of a 0.8% rise, as higher energy costs and broader price increases added to inflationary pressures. The increase followed a downwardly revised 0.5% gain in August, according to the Bureau of Labor Statistics. On an annual basis, import prices climbed 8.1%, their largest increase since July 2022, compared with 6.7% in August. The figures, which exclude tariffs, reinforce concerns that inflation is spreading beyond energy, following strong increases in consumer and producer prices earlier in the week. The ongoing U.S.-Israeli conflict with Iran has disrupted supply chains and kept oil prices elevated, contributing to higher import costs. Despite accelerating inflation, financial markets expect the Federal Reserve to leave interest rates unchanged in October before potentially tightening monetary policy in December. The Fed raised its benchmark interest rate by 25 basis points in September, bringing it to a range of 3.75% to 4.00%.

 

US News and World Report

Wall Street Journal

KPMG U.S. chief executive Tim Walsh has warned that AI presents significant and lasting cybersecurity challenges, with the firm’s 2026 U.S. CEO Outlook revealing that 85% of executives expect cyber threats to affect their organizations over the next three years, while 48% plan to increase cybersecurity investment. The survey of 400 U.S. CEOs also highlights AI’s growing impact on workforce strategies, with 53% planning job reductions in certain areas, 86% redesigning roles for human-AI collaboration, and 83% prioritizing employee retention and retraining. Despite concerns about automation, 89% anticipate overall workforce growth, reflecting continued demand for AI and technology expertise. Mr. Walsh emphasized that KPMG is investing in employee development, AI-powered cybersecurity solutions, and its newly established client technology and innovation unit to accelerate adoption.

 

Fortune

CVS Health has agreed to pay $315m to resolve a Justice Department case alleging the unlawful dispensation of medically unnecessary prescriptions of opioids. A 2024 lawsuit had accused the pharmacy operator of providing massive amounts of opioids and other controlled substances “to fuel its own profits at the expense of public health and safety.” Associate Attorney General Stanley Woodward said: “Today’s settlement is a significant milestone in the Justice Department’s efforts to combat the opioid epidemic by cracking down on pharmacies who unlawfully fulfill prescriptions for controlled substances.” CVS said that its pharmacists were trained “in the safe and appropriate use of all medications” and it had implemented “best-in-class” programs to help them “make the best decisions on behalf of patients.”

 

Reuters

PBS

NBC News

The Supreme Court is reviewing the Video Privacy Protection Act (VPPA) in a case that could redefine consumer privacy rights in the digital age. The case stems from a class-action lawsuit filed by Michael Salazar against Paramount Global, which alleges that the company violated the VPPA by using a Facebook tracking pixel on its 247Sports.com newsletter, sharing his video viewing history without consent. Salazar argues that he qualifies as a “consumer” under the VPPA; Paramount contends that his subscription does not meet the law's criteria. A decision is anticipated by next summer.

 

The Hill

Law

U.S. News

U.S. retailers are facing growing consumer concerns over the adoption of artificial intelligence (AI)-powered pricing tools, digital shelf labels and personalized pricing practices, amid fears that algorithms could enable frequent price changes or different charges for individual shoppers. Major retailers including Walmart and Whole Foods are expanding their use of electronic price labels, and a global survey found that 41% of businesses use AI for market intelligence and 28% for real-time price optimization. Lawmakers in at least 30 U.S. states have considered legislation addressing algorithmic and personalized pricing this year, while the Federal Trade Commission has warned that undisclosed use of consumer data to set individual prices could breach consumer protection laws. Retailers maintain that the technologies improve pricing efficiency, although concerns persist over transparency, data privacy and potential anti-competitive practices.

 

US News and World Report

Nike has announced plans to establish a new global campus in Bengaluru, India, as part of chief executive Elliott Hill’s long-term turnaround strategy aimed at strengthening the company’s international presence and tapping into India's growing consumer market. Expected to open within the next few years, the campus will support corporate operations across Nike, Jordan Brand, and Converse. The investment comes amid continued financial pressures, including a 26% decline in Greater China revenue during the fiscal first quarter. Nike is also restructuring its operations, cutting jobs, and implementing supply chain changes intended to generate approximately $2.5bn in savings through fiscal 2031. India presents significant growth potential, with its e-commerce market projected to expand from $159.25bn in 2026 to $332.94bn by 2031. However, analysts caution that the expansion may do little to address Nike’s immediate challenges, emphasizing the need for stronger product offerings, competitive pricing, localized marketing, and improvements in its China business.

 

CNBC

Employer health care costs are forecast to rise by 8.2% per employee next year - the highest increase since 2003 and the fifth year in a row health benefit costs will go up - according to benefits consultancy Mercer, which calculated the increase based on its annual National Survey of Employer-Sponsored Health Plans.  Among the reasons behind these increases, “Two other recent developments are also driving the current spike in health benefit cost,” Mercer observed. “One is the rapid adoption of AI-enabled software that assets physicians with claims submission and has resulted in more claims, and higher-level claims, being submitted for payment than before the system was in place . . . Another is an unintended consequence of ‘The No Surprises Act,' which was designed to protect patients from big bills when they go to the hospital and see a provider they didn't choose or who is out-of-network.”

 

Al.com

NJ.com

U.S. air traffic controllers are to ‌get a 2.8% pay increase retroactive to January 1 under a deal announced ​by the Federal Aviation Administration ​and the National Air Traffic Controllers Association (NATCA). The union had previously been handed ​a 1% raise; the remainder was contingent on workforce ​reforms, including the tracking ​of controllers' time, aligning staffing with demand, ‌and ⁠improving controller reassignments.

 

FAA

Reuters