Become more informed in minutes...

Chief financial officers face an increasingly complex economic environment, with Moody’s Analytics Senior Economist Emily Mandel advising finance leaders to focus on the issues most relevant to their businesses rather than broad economic signals. She identified the conflict involving Iran and disruption in the Strait of Hormuz as a key near-term risk, warning that prolonged shipping disruptions could keep energy prices elevated and increase supply chain pressures. Mandel also highlighted the growing divide in consumer spending, noting that higher-income households face potential pressure from weaker investment markets, while lower-income consumers continue to struggle with higher living costs and depleted savings, limiting discretionary spending. Despite the uncertainty, recent surveys show CFOs remain optimistic about their own companies’ prospects, with many believing they can manage risks through internal decisions and strategic planning, even as the broader economic outlook remains uncertain.

 

CFO Brew

Microsoft is eliminating 4,800 jobs, or 2.1% of its workforce, as the software giant restructures parts of its commercial and Xbox businesses. Its Xbox division will lose about one-fifth of its staff, including 1,600 jobs immediately and additional cuts in the coming months. “The way technology is built, deployed, and used is transforming faster than at any point in my time here,” Amy Coleman, Microsoft’s chief people officer, wrote in a memo to staff. Xbox chief executive Asha Sharma told employees in an email that the “business today is not healthy.”

 

CNBC

Financial Times

The Times

A group of Democratic state attorneys general has said the Trump ​administration’s proposed tariffs of up to 12.5% on 59 countries and the European ‌Union, amid claims they failed to curb trade in goods made with forced labor, are unlawful. A letter signed by the AGs said the levies will make goods more expensive "and will continue the ​economic devastation that prior tariffs have caused." The U.S. Trade Representative's Office (USTR) is set for a three-day ​public hearing on the proposed tariffs of 10% on 16 economies, including the European Union, ​and 12.5% on 44 other countries. The USTR is abusing its authority under "Section 301" in a bid "to paper over ‌the ⁠administration’s predetermined sweeping tariffs on nearly all imports to the United States," said the AGs of states including Arizona, Michigan, Illinois, Virginia, Colorado, North Carolina, New York and New Jersey.

 

Reuters

The Institute for Supply Management's Services PMI edged down to 54 in June from expectations of 54.2, marking a 24th consecutive month of expansion, as slower growth in business activity and new orders was offset by stronger employment. The report also showed easing price pressures, with the Prices Index falling to 67.7, its lowest level since February, while supply chains continued to stabilize despite shortages of materials tied to data center construction and ongoing tariff-related cost pressures. Relatedly, all seven sectors tracked by S&P Global's U.S. Sector PMI expanded in June for the first time since November 2025, signaling broader economic growth as Technology, Financials, and Consumer Services returned to expansion after contracting in May. Basic Materials led the gains with a Business Activity Index of 57.0, its strongest growth in more than four years, while Technology posted modest growth, suggesting business activity is becoming more balanced across sectors rather than being driven primarily by technology.

 

Quartz

Advisor Perspectives

Federal Reserve Governor Christopher Waller has said indications from policymakers on the future path of interest rates can be useful if done carefully. “I continue to believe that forward guidance can be a valuable tool that has, at times, significantly strengthened policymaking and will continue to be useful,” Waller said to a Bank of Italy conference in Rome on monetary policy transmission. “But forward guidance is more art than science, and there have been times when it has hindered, rather than helped, policymaking.” He said the labor market is showing signs of stabilizing, allowing policymakers to focus on inflation. “Risks have completely flipped around,” Waller said. “That changes how you might want to think about policy.” Fed communications - what information is relayed to the public about the central bank's deliberations - will be a focus of one of five task forces ​new Fed Chair Kevin Warsh plans to name to make recommendations about different aspects of U.S. monetary policymaking.

 

Bloomberg

Financial Times

Reuters

Aspen Group has abandoned plans to sell its WellNow urgent care business as it works to address around $3bn of loans due next year, prompting lenders to hire law firm Gibson Dunn & Crutcher ahead of potential debt negotiations. The company had explored selling WellNow for up to $300m, with proceeds expected to help reduce its debt burden, but has since informed lenders it will no longer pursue the transaction. The owner of Aspen Dental has been exploring options to strengthen its balance sheet following weaker trading, including bringing in outside investors. Adjusted EBITDA fell almost 6% year-on-year to $101.1m in the first quarter, following a 23% decline in the previous quarter, while one of its $1.2bn loans due in 2027 was recently quoted at 89.9 cents on the dollar, reflecting investor concerns over its financial position.

 

Bloomberg

JPMorgan Chase, Bank of America, Wells Fargo and PNC Financial Services Group have held preliminary discussions about acquiring a debit card network owned by Fiserv in a move that could allow them to avoid federal limits on debit-card interchange fees. Ownership of a payments network would exempt banks from fee caps imposed under the Durbin amendment, potentially boosting fee income and giving them greater flexibility to offer debit-card rewards and other services. The talks remain at an early stage, with no guarantee a deal will proceed, and several banks have reportedly stepped back amid concerns that such a transaction could trigger political and regulatory backlash. The discussions highlight growing competition in the payments sector as banks seek new sources of revenue and respond to disruption from fintechs and digital payment providers, following Capital One's acquisition of Discover Financial, which gave it control of its own payments network.

 

Wall Street Journal

KPMG U.S. has acquired a minority stake in Incentify, an artificial intelligence (AI)-powered tax credits and incentives software provider, expanding a partnership that supports the firm's Incentive Credit Opportunity Navigator (ICON) platform. Incentify's technology, including its AI-driven discovery and qualification engine, is already integrated into ICON, helping businesses identify and manage tax credits and incentive programs across multiple jurisdictions. The investment strengthens KPMG's efforts to use artificial intelligence to streamline the identification and administration of tax incentives, reducing analysis times from weeks to days. KPMG said the platform combines its global incentives database and network of more than 1,200 specialists with Incentify's technology to help clients make more informed decisions on capital investment, workforce planning, and market expansion.

 

Consulting

The rapid expansion of artificial intelligence (AI) infrastructure is driving unprecedented demand for memory chips, creating supply constraints that are increasing costs for consumer electronics manufacturers and, ultimately, shoppers. As technology companies invest heavily in new data centers to support AI workloads, demand has surged not only for advanced AI processors, but also for memory chips, which are essential for storing and processing data. The shift toward producing high-bandwidth memory (HBM) for AI applications is reducing the supply of conventional memory used in devices such as smartphones, laptops, and gaming consoles. HBM requires roughly three times more silicon wafer material than standard consumer memory, making it significantly more resource-intensive to manufacture. As a result, memory suppliers are prioritizing production for major cloud providers, including Google and Amazon, where demand and profitability are higher.

 

The Hill

Samsung Electronics has forecast a 19-fold increase in second-quarter operating profit to ₩89.4tn ($58.4bn), beating market expectations as booming artificial intelligence (AI)-driven demand pushed memory chip prices to record levels. Revenue is expected to rise 129% year-on-year to ₩171tn, with profits surpassing the company's combined earnings over the previous three years. Despite the strong results, Samsung's shares fell as much as 10% as investors questioned whether AI infrastructure spending can continue at its current pace. Analysts said the earnings had largely been priced in following a strong share price rally, while concerns over moderating memory chip price growth and the sustainability of the AI investment cycle weighed on sentiment. Samsung will publish full quarterly results, including divisional performance, on July 30th.

 

CNBC

Financial Times

The Korea Times

Reuters

The 2026 FIFA World Cup is expected to generate billions of dollars in economic activity across the United States, Canada, and Mexico, but the tournament also presents a complex web of tax issues for teams, players, and host governments. While athletes and staff may face federal, state, and local tax obligations, depending on where they compete and applicable tax treaties, FIFA itself is expected to benefit from broad tax exemptions on its most lucrative revenue streams, including broadcasting rights and ticket sales. The three host countries have agreed to allocate FIFA prize money based on where matches are played, reducing the risk of double taxation. National teams may also be eligible to apply for U.S. tax-exempt status under Section 501(c)(3), while players and staff may qualify for tax treaty benefits depending on their country of tax residency. However, some states do not recognize federal treaty exemptions, leaving athletes exposed to additional state income taxes, including so-called "jock taxes."

 

CPA Practice Advisor

Starbucks is reviewing its goal to halve greenhouse gas emissions across its value chain by 2030 after reporting that rising supply chain emissions have offset progress in reducing operational emissions. While Scope 1 and 2 emissions have fallen 17% since 2019, Scope 3 emissions, which account for more than 90% of the company's carbon footprint, have increased 8%, resulting in a 7% rise in total emissions over the period. The review forms part of Starbucks' broader "Back to Starbucks" strategy under chief executive Brian Niccol, as the company evaluates evolving regulations, reporting standards, and the challenges of meeting its climate commitments. Starbucks said it remains committed to reducing emissions across its operations and supply chain and will continue to report transparently on its progress, while also pursuing goals around renewable electricity, deforestation-free sourcing, sustainable packaging, and water stewardship.

 

ESG Today

Corporate attorneys say Argentine President Javier Milei's vision of “automated companies" run by AI - introduced as part of a comprehensive bill seeking to modernize and cut bureaucracy in corporate law - would be required to have a human ​administrator to oversee operations. It would be "too wild a first step to dispense with ​human agency entirely,” observed Lawrence Cunningham, director of the Weinberg Center for Corporate Governance at the University of Delaware, who nevertheless called Milei's proposal bold. “We’re not ⁠changing the world here so much as we’re recognizing that you might run a business without any HR,” he said. “It’s the beginning of something."

 

Reuters

Reuters reports on the growing number of Brazilian companies who are turning to creditors to escape debt while avoiding the costs of formal bankruptcy protection proceedings, in response to a 14.25% interest rate imposed on many of them. A 2020 legal reform which made out-of-court restructurings more flexible​ precipitated "a cultural shift," observed Juliana Biolchi, the director of the Brazilian Out-of-Court Restructuring Observatory (Obre). The straightforwardness of the process compared to in-court solutions has made it "increasingly associated with less severe financial distress," Biolchi said.

 

Reuters