WORD ON THE STREET 

• What’s One More Indictment? – Just add it to the list. Former president Donald Trump and numerous associates (including former NYC mayor Rudy Giuliani) were hit with criminal charges related to anti-racketeering for allegedly trying to overturn the election in Georgia. Trump, who continues to lead the polls for the GOP nomination, called it “shocking and absurd.” 

• America’s Manufacturing Boom – Treasury Secretary Janet Yellen expressed confidence that the labor market will remain strong even as inflation is contained. She also said America’s efforts to bring manufacturing home are paying off. “The explosion in U.S. factory construction is a uniquely American story, one then we do not see replicated in other peer countries,” she said, touting $500 billion in manufacturing investments since January 2021.

• $1.4 Billion Bill For UBS – UBS will pay $1.4 billion to settle claims of fraud and misconduct over selling residential mortgage-backed securities. Many of the claims date back to the financial crisis, and the bank called it a “legacy matter” that put the case firmly behind it.  

• Gas Prices Climbing Again… – Another sign inflation could be increasing. Gas prices are approaching $4.00 a gallon nationally, the highest level since October 19. Supply cuts by Russia and Saudi Arabia and high demand caused by extreme heat are blamed.

HOT SPOTS: What’s Going on in Geopolitics

• Japanese GDP Up By 6% – Some unexpected good news for the global economy – Japan posted annualized 6% growth in the second quarter, far more than expected. Quarterly expansion was 1.5%, more than the 0.8% predicted. The Nikkei 225 was up about 1% on the news.
  

• Russian Central Bank Holds Emergency Meeting – The Russian central bank held an emergency meeting as the ruble has passed 101 rubles to the dollar, hitting its lowest level in about 17 months. The government is expected to hike interest rates and do whatever is needed to strengthen the currency, after a top advisor to Vladimir Putin said a weak currency “negatively affects people’s real incomes.”

• China Won’t Report Youth Unemployment – The National Bureau of Statistics has an interesting way to combat unrest about high unemployment for young people – just don’t report the figures. However, it couldn’t cover up other disappointments, as China in July posted smaller retail sales, industrial production, and fixed asset investment figures than expected.

CUTTING EDGE: What‘s Happening In Tech

• DeSantis Says He’ll Ban TikTok – Florida Governor Ron DeSantis said he would ban TikTok if given the chance. “I do think it represents a threat to our country given China’s ownership of it,” he said. He characterized China as the “top threat to this country.”

• Netflix Testing Video Games – And so it begins. Netflix has begun a testing program with a “small number of users” as it seeks to crack the video game market. “Today, we’re taking the first step in making games playable on every device where our members enjoy Netflix – TVs, computers, and mobile,” it said.

• Musk Auctioning Off Twitter Merchandise – That’s one way to raise capital. Elon Musk will be auctioning off 584 lots from Twitter (now X) as he seeks to rebrand. Oil paintings, bird cages, and other items are on offer – including a Twitter sign that is still attached to the outside of the HQ building.

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