Financial news

• Why is Trump’s justice department investigating Fed chair Jerome Powell?

  12-01-2026 20:40 via theguardian.com
  Powell publicly denounced the inquiry as punishment for not bowing to the president’s wishes on interest ratesThe US Department of Justice has opened a criminal investigation into the Federal Reserve chair, Jerome Powell, as Donald Trump’s White House escalates its campaign against the central bank’s independence.In a video posted on Sunday, a typically reticent Powell took the extraordinary step of denouncing the investigation as punishment for not setting interest rates in ac
  
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• The Guardian view on regulating big tech: politicians must back Ofcom’s challenge to Musk | Editorial

  12-01-2026 19:50 via theguardian.com
  A flood of non-consensual deepfake bikini shots on X is putting the UK’s Online Safety Act to the testThe unleashing on X (formerly Twitter) of a torrent of AI-generated images of women and children wearing bikinis, some in sexualised poses or with injuries, has rightly prompted a strong reaction from UK politicians and regulators. Monday’s announcement that X is being investigated was Ofcom’s most combative move since key provisions in the Online Safety Act came into forc
  
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• The Guardian view on Europe’s crisis of self-confidence: a new mindset needed for new times | Editorial

  12-01-2026 19:49 via theguardian.com
  The tumultuous start to 2026 should force a reckoning in Brussels and European capitals, and a recognition of the power the EU can exertAnother week, another set of dilemmas for Europe’s beleaguered political class to deal with. On Wednesday Brussels is due to outline the terms of the €90bn loan it has promised to Ukraine, amid internal tensions over whether Kyiv can use the money to buy US as well as EU weapons. On the same day, the US secretary of state, Marco Rubio, is due to meet
  
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• US bond markets should be in revolt. Fed independence matters | Nils Pratley

  12-01-2026 19:08 via theguardian.com
  It is a perilous time to mess with the principle that rate-setters under an independent system should be free of political pressureEx-Fed chairs condemn Trump’s bid to weaken central bank’s independenceTrump’s attempts to influence Fed risk 1970s-style inflation and global backlash’Well said, Jerome Powell. The chair of the US Federal Reserve responded to news of a subpoena from the US Department of Justice with a statement that was extraordinary, necessary and stark.A cr
  
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• US plan to exploit Venezuela’s oil could eat up 13% of carbon budget to keep 1.5C limit

  12-01-2026 18:38 via theguardian.com
  Exclusive: ClimatePartner analysis shows how move would risk plunging Earth further into climate catastropheUS plans to exploit Venezuela’s oil reserves could by 2050 consume more than a tenth of the world’s remaining carbon budget to limit global heating to 1.5C, according to an exclusive analysis.The calculation highlights how any moves to further exploit the South American nation’s oil reserves – the largest in the world, at least on paper – would put increasing
  
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• Social media is corrupting young minds – but a ban is not the answer | Zoe Williams

  12-01-2026 18:37 via theguardian.com
  Kicking under-16s off the social platforms is tempting, but it ignores the root of the problem: the older generations who made them so toxic in the first placeKemi Badenoch is evolving into one of those politicians who, whatever she says, it’s not just likely to be wrong, it’s likely to be the opposite of what’s right. She says Greenland is not a big deal (a “second-order issue” is how she described it to the BBC) – it is a big deal. She says net zero is too e
  
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• UK media regulator investigating Elon Musk’s X after outcry over sexualised AI images

  12-01-2026 18:25 via theguardian.com
  Liz Kendall describes content as vile and illegal and says Ofcom has the government’s backing to use its full powersThe UK media watchdog has opened a formal investigation into Elon Musk’s X over the use of the Grok AI tool to manipulate images of women and children by removing their clothes.Ofcom has acted after a public and political outcry over a deluge of sexual images appearing on the platform, created by Musk’s Grok, which is integrated with X.Failing to assess the risk o
  
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• Ex-Fed chairs condemn Trump’s bid to weaken central bank’s independence

  12-01-2026 18:21 via theguardian.com
  Statement signed by 13 former senior officials condemns ‘unprecedented’ assault on Fed’s independenceTrump’s attempts to influence Fed risk ‘70’s-style inflation and global backlash’Nils Pratley: US bond markets should be in revolt. Fed independence mattersEvery living former head of the Federal Reserve condemned an “unprecedented” attempt by the Trump administration to weaken the US central bank’s independence, after the Department of
  
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• Google parent Alphabet hits $4tn valuation after AI deal with Apple

  12-01-2026 18:14 via theguardian.com
  After Apple chose Gemini to power Siri, Alphabet surpassed Apple to become second-most valuable company in worldGoogle’s parent company hit a major financial milestone on Monday, reaching a $4tn valuation for the first time and surpassing Apple to become the second-most valuable company in the world.Alphabet is the fourth company to hit the $4tn milestone after Nvidia, which later hit $5tn, Microsoft and Apple. Continue reading...
  
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• Paramount to nominate directors to Warner Bros board to vote against Netflix deal

  12-01-2026 16:56 via theguardian.com
  Paramount also files lawsuit seeking disclosure of financial information related to $82.7bn agreementParamount Skydance plans to nominate directors to Warner Bros Discovery’s (WBD) board to vote against the approval of its deal with Netflix, and filed a lawsuit seeking disclosure of financial information related to the $82.7bn (£61.4bn) agreement.In a letter sent to WBD investors on Monday, Paramount said it would nominate directors for election at the company’s annual meeting,
  
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• To anybody still using X: sexual abuse content is the final straw, it’s time to leave | Marie Le Conte

  12-01-2026 16:18 via theguardian.com
  It was hard for me to quit Elon Musk’s poisoned platform, but I urge others to do the same, especially in light of Grok’s imagery of women and childrenSome wars can’t be won. It can be hard to come to terms with this fact when you’re still on the battlefield, but if somehow you manage to step out for a moment, then the truth will become obvious. You have lost, the people on your side have lost, the villains have won and, if anything, you should have run away a long time a
  
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• Chaos, crying and poo explosions: baby-friendly comedy clubs take off in Britain

  12-01-2026 15:53 via theguardian.com
  Daytime gigs where parents can bring their infants without fear of judgment are proving a sellout successWhen Nick Page saw the exhaustion of the new mothers arriving at his comedy gig, he suggested turning the hour-long set into a sleepover. He had been joking – but the women enthusiastically agreed.In any other room, a comedian asking the audience to fall asleep would have been career ruining. In the world of baby-friendly comedy clubs, however, it was a masterstroke. Continue reading...
  
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• US Federal Reserve chair says DOJ has threatened criminal indictment – video

  12-01-2026 14:36 via theguardian.com
  Jerome Powell said on Sunday that the Department of Justice had threatened him with a criminal indictment and served grand jury subpoenas over Congressional testimony he gave last summer regarding a Federal Reserve building renovation project. Powell says this action is a pretext aimed at putting further pressure on the central bank to lower interest ratesJustice department opens investigation into Jerome Powell as Trump ramps up campaign against Federal Reserve Continue reading...
  
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• X rated: Ofcom investigates Grok – podcast

  12-01-2026 13:52 via theguardian.com
  Ofcom has launched an investigation into X over its AI tool Grok – but what does it mean when the platform is widely used by the government? Plus, Pippa and Kiran discuss Nadhim Zahawi’s defection to Reform UK, and why it could both help and hinder the party Continue reading...
  
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• Major incident declared as 30,000 homes left without water in Kent and Sussex

  12-01-2026 13:45 via theguardian.com
  South East Water blames cold weather and Storm Goretti for problems, with schools and libraries closed for dayA major incident has been declared after 30,000 homes in Kent and Sussex were left without water.People in areas including Tunbridge Wells, Canterbury and Maidstone have been without water for as long as five days. Continue reading...
  
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• US frackers were already facing a global oil supply glut. Trump’s Venezuelan dream could make it worse

  12-01-2026 12:00 via theguardian.com
  Picture is as murky as a barrel of oil, with US companies in 2026 expecting their first production drop in four yearsUS shale-oil producers were already contending with oil prices at four-year lows. News that they may soon face a significant competitor in their back yard probably wasn’t how frackers wanted to greet 2026.The US capture of Venezuela’s President Nicolaá Maduro and his wife, Cilia Flores, hit the share prices of independent shale-oil producers, such as Diamondback
  
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• JD Sports plans to let shoppers buy through AI platforms

  12-01-2026 09:13 via theguardian.com
  Retailer to allow ‘one-click purchases’ through assistants such as ChatGPT and Microsoft Copilot, beginning in USBusiness live – latest updatesJD Sports has said it plans to allow customers to buy its products directly through AI platforms without leaving the apps.The British trainer and sportswear company will allow “one-click purchases” through platforms such as ChatGPT and Microsoft Copilot, as big retailers attempt to keep up with AI-powered shopping. Continue r
  
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• I’m sick of avocado toast – I just want to keep my local, untrendy cafe | Rhiannon Lucy Cosslett

  12-01-2026 09:00 via theguardian.com
  With its pasties, decent brews and staff who are happy to chat, it’s a vital community space. So why are its days numbered?What do James McAvoy and my three-year-old son have in common? Very little, you might think, notwithstanding their shared awareness of the book The Dinosaur That Pooped a Planet. Yet their lives overlap in a more tangible way, because they, along with Benedict Cumberbatch, patronise the same cafes on Hampstead Heath. Both actors have signed a petition protesting agains
  
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• Amazon insists I return a phone it says ‘may be lost’

  12-01-2026 08:00 via theguardian.com
  I have paid two monthly £108 instalments but am now phone-less and out of pocketI ordered a £544 phone from Amazon. A tracking update later informed me that it “may be lost” and I could request a refund. I pressed the refund option and was directed to customer service, which insisted I wait a week to claim.A week later I was told I needed to file an incident report from the email address associated with my account. When I complied, the report was rejected as coming from a
  
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• Publishers fear AI search summaries and chatbots mean ‘end of traffic era’

  12-01-2026 07:00 via theguardian.com
  Media bosses expect web referrals to plunge and want journalists to emulate content creators, report findsMedia companies expect web traffic to their sites from online searches to plummet over the next three years, as AI summaries and chatbots change the way consumers use the internet.An overwhelming majority are also planning to encourage their journalists to behave more like YouTube and TikTok content creators this year, as short-form video and audio content continues to boom. Continue reading
  
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• Lending to small businesses and low-income areas must expand, say Labour backbenchers

  12-01-2026 07:00 via theguardian.com
  Senior politicians have tabled bill that would force UK banks to make affordable finance more accessibleSenior Labour backbenchers are urging the government to introduce legislation forcing UK banks to expand affordable lending to small businesses and low-income neighbourhoods.The former minister Gareth Thomas has tabled a 10-minute rule bill – a type of private member’s bill – echoing the US Community Reinvestment Act (CRA). Continue reading...
  
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• Mattel launches its first autistic Barbie

  12-01-2026 06:00 via theguardian.com
  Company says doll is the latest expansion of its commitment to representation and inclusionWith an animated Barbie film in development, following the success of Greta Gerwig’s 2023 blockbuster movie, Mattel Studios will certainly have a diverse range of characters to bring to life.On Monday, Mattel launches its first autistic Barbie. Coming barely six months after its first doll with type 1 diabetes, this newest addition to Barbie’s Fashionistas range is designed so that more childre
  
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• ‘Serious fire risk’: nearly 3,000 Australian EV drivers warned not to fully charge cars

  12-01-2026 05:31 via theguardian.com
  Federal government issues recall notice for Volvo EX30 and urges owners to keep charge below 70%Follow our Australia news live blog for latest updatesGet our breaking news email, free app or daily news podcastAlmost 3,000 electric vehicle drivers will be asked to keep their car less than fully charged while the manufacturer develops a solution to a serious fire risk.The federal transport department has issued a recall notice for Volvo EX30 electric vehicles sold in Australia during 2024 in a mov
  
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• UK business confidence weakened and hiring fell at end of 2025, surveys find

  12-01-2026 01:01 via theguardian.com
  Rising costs and economic uncertainty take toll, in contrast to Keir Starmer saying Britain will start to feel richerUK business confidence weakened sharply at the end of 2025 and hiring fell amid rising costs and uncertainty about the economic outlook, according to key business surveys.Contrasting with the prime minister’s optimistic new year message that the country was about to start feeling richer again, the jobs market weakened, with full-time and temporary appointments falling in Dec
  
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