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Is the US Dollar Losing Its Global Grip? Central Banks Are Gradually Moving Away
Global Economic Outlook

Is the US Dollar Losing Its Global Grip? Central Banks Are Gradually Moving Away

The US dollar has long been considered the cornerstone of global forex reserves, but recent trends indicate a subtle yet significant shift. According to the International Monetary Fund (IMF), the dollar's share in these reserves has fallen from over 70% in 2000 to about 55% by the last quarter of 2023. This reduction, described as "stealth erosion" by the IMF, marks a notable change in the global financial landscape. While the dollar remains the predominant currency in the reserves of the world's central banks, its dominance is gradually being challenged. Non-traditional reserve currencies, such as the Australian dollar, Canadian dollar, Chinese renminbi, South Korean won, Singaporean dollar, and various Nordic currencies, are gaining traction. According to the IMF data, this shift is ...
SpaceX Scandal: Allegations of a Secret Romance Between Elon Musk and Former Intern
Industry Insights

SpaceX Scandal: Allegations of a Secret Romance Between Elon Musk and Former Intern

A new report by The Wall Street Journal has brought to light allegations of a brief romantic relationship between Elon Musk and a former SpaceX intern. This revelation comes amidst ongoing scrutiny of SpaceX over workplace conduct and sexual harassment claims. According to the report, the woman, whose identity remains confidential, first met Musk in the early 2010s during her internship at SpaceX while she was still a college student. She told friends that her initial interactions with Musk included sharing ideas to improve the company, which eventually led to a date where they bonded over "Star Wars" and shared a kiss. The report further details how Musk flew the woman to Sicily to visit him at a resort, citing documents reviewed by The Wall Street Journal. In 2017, Musk personally...
Tesla Revs Up Hiring Again After Brutal Layoffs
Industry Insights

Tesla Revs Up Hiring Again After Brutal Layoffs

Tesla appears to be ramping up hiring again, nearly two months after Elon Musk initiated widespread layoffs. The electric vehicle giant has begun advertising a host of new roles, signaling a shift from the drastic cuts it made earlier this year. Back in April, Tesla made headlines by slashing 10% of its global workforce. This massive reduction saw the number of job listings on Tesla’s website for North America plummet from 3,400 to just 3. In the weeks that followed, even more workers were let go. However, late May brought a glimmer of hope as Tesla posted over a dozen jobs in its autopilot division. Now, Tesla’s hiring efforts appear to be expanding further. As of this month, the company has over 60 positions advertised across the US and Canada on its website. These job listings, w...
Golden Break: Why China’s Central Bank Stopped Buying Gold
Global Economic Outlook

Golden Break: Why China’s Central Bank Stopped Buying Gold

In an unexpected move, China's central bank has paused its gold buying spree, halting an 18-month purchasing streak. This decision comes after gold prices surged to record highs earlier this year, driven by global geopolitical tensions and economic uncertainties. For the first time in over a year and a half, China's gold holdings remained unchanged in May, signaling a break from their aggressive acquisition strategy. The People's Bank of China (PBOC) has been a major player in the gold market, significantly influencing prices. However, with gold reaching such high prices, even the PBOC has decided to take a step back. On Friday, official data confirmed that China's gold reserves did not increase in May, marking the end of their continuous purchasing period. This pause could put down...
Sberbank CEO Warns of Overheated Russian Economy as War Continues
Global Economic Outlook

Sberbank CEO Warns of Overheated Russian Economy as War Continues

Russia's economy is "definitely and strongly overheated," according to Herman Gref, the CEO of Sberbank, Russia's largest bank by assets value. According to TASS news report, Gref made these remarks while speaking in parliament, highlighting that the current production capacity has reached a historically high level of 84%. He emphasized that it is "impossible" to exceed this production capacity and produce more, signaling significant strain on the economy. Despite the West's sweeping sanctions, Russia's economy has shown a remarkable resilience, with a reported GDP growth of 3.6%. However, this apparent robustness is primarily driven by wartime activities, which generate demand for military goods and services, along with subsidies and sharp policy-making strategies. These factors creat...
China’s Push to Globalize the Yuan: A Shield Against Potential Sanctions
Global Economic Outlook

China’s Push to Globalize the Yuan: A Shield Against Potential Sanctions

In a rapidly changing geopolitical landscape, China is accelerating efforts to promote the use of the yuan globally. The driving force behind this initiative is not to challenge the dominance of the US dollar outright, but to safeguard against the potential impact of Western sanctions, particularly in the event of geopolitical conflicts such as those surrounding Taiwan. Zoe Liu, a fellow for China Studies at the Council on Foreign Relations, emphasized this perspective in a recent article published on the Official Monetary and Financial Institutions Forum (OMFIF) website. Liu contends that China's strategies to develop an alternative financial system are currently defensive rather than offensive. “China's strategies to develop an alternative financial system are defensive rather than o...
Elon Musk’s Next Big Bet: A Supercomputer to Surpass Meta’s AI Cluster
Innovation & Technology

Elon Musk’s Next Big Bet: A Supercomputer to Surpass Meta’s AI Cluster

Elon Musk is once again making headlines with his ambitious plans to build a supercomputer, which he aims to have operational by fall 2025. According to a report by The Information, this "gigafactory of compute" will leverage Nvidia GPUs and is intended to outdo Meta's extensive chip cluster. Musk’s AI startup, xAI, is at the forefront of this venture. On Sunday, the company announced it had raised an impressive $6 billion in a new funding round, demonstrating that the excitement surrounding AI is far from waning. As per The Wall Street Journal, notably, Musk himself has invested $750 million into xAI, while his social media platform, X, has contributed computing power valued at $250 million. The driving force behind these efforts is Musk’s desire to bolster xAI’s operations. Despit...
Tesla’s Latest Offers for China Car Owners: Free Car Use, Factory Tours, and More!
Innovation & Technology

Tesla’s Latest Offers for China Car Owners: Free Car Use, Factory Tours, and More!

In a bid to attract new customers and boost its electric vehicle adoption, Tesla has rolled out an enticing array of offers for new car owners in China. According to the official Tesla Weibo account, these promotions are designed to make switching to electric vehicles both exciting and accessible. Six Months of Free Driving One of the standout offers is the chance to drive a Tesla vehicle for free for six months. This is part of a broader push to demonstrate the benefits and joys of owning an electric car without any financial commitment upfront. Exclusive Factory Tours Tesla is also offering new owners an exclusive tour of their Shanghai Gigafactory. This two-day, one-night experience allows customers to see where their cars are made, adding a personal touch to the ownership ...
Chipmakers ASML and TSMC: Ready to Activate ‘Kill Switch’ Amid Taiwan Tensions
Innovation & Technology

Chipmakers ASML and TSMC: Ready to Activate ‘Kill Switch’ Amid Taiwan Tensions

In a dramatic move that underscores the escalating geopolitical tensions between China and Taiwan, two of the world's leading chipmakers, ASML and TSMC, have reportedly implemented a remote "kill switch" for their advanced chipmaking machines. This development, reported by Bloomberg, highlights the growing concerns over a potential Chinese invasion of Taiwan and its implications for the global economy. ASML and TSMC's Strategic Response ASML, a Netherlands-based company and Europe's top tech firm by market value, supplies cutting-edge chipmaking equipment to various semiconductor companies, including Taiwan's TSMC. TSMC is estimated to produce around 90% of the world's most advanced processor chips, making it a pivotal player in the global tech industry. The introduction of the "...
Shocking $25 Million Scam: Deepfake Scammers Target Major Engineering Firm
Innovation & Technology

Shocking $25 Million Scam: Deepfake Scammers Target Major Engineering Firm

In a shocking scam, deepfake technology was used to trick an employee at Arup, a major engineering firm, into handing over $25 million. This shows how advanced AI scams are becoming more common and dangerous. The scam happened in January. An employee in Arup's Hong Kong office thought they were on a video call with the company's Chief Financial Officer (CFO) and other staff members. However, the video call was fake. Hong Kong public broadcaster RTHK reported that the scammers used AI to create realistic video and audio of the CFO and other employees. During the call, the employee was told to transfer HK$200 million (about $25.6 million) to five different bank accounts. The employee did this over 15 transactions. It took about a week before the employee realized it was a scam when th...