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North America
CNBC Finance

World Cup travel boost hasn't materialized for U.S. businesses — yet

The 2026 World Cup is expected to bring a wave of global soccer fans to North America. But the travel boom is shaping up to look less like one uniform surge and more like a city-by-city, match-by-match test of pricing power. "Demand is real and positive, but it's not evenly distributed across host cities," said Jay Wardle, president of travel data intelligence company Sojern. New flight-booking data from Sojern shows most U.S. and Canadian host cities are seeing year-over-year gains for the tournament window, led by Houston and Dallas. But Seattle and all three Mexican host cities are trailing last year's pace. The tournament kicks off Thursday in Mexico City and runs through mid-July, ending with the final at New York New Jersey Stadium — better known as MetLife Stadium — in East Rutherford, New Jersey. It is the biggest World Cup ever, with 48 teams, 104 matches and games across the United States, Canada and Mexico. For hotels, restaurants, airlines, ride-sharing companies and host cities, the pitch has been straightforward: more teams, more games, more fans and more spending. But Deutsche Bank said even if it brings 1.2 million international fans to North America, the overall economic impact will likely be limited in a U.S. economy of this size — amounting to a short-term GDP lift of roughly 0.05% if FIFA's estimate is reached. The financial bonanza is likely to be split unevenly among cities, hotels, restaurants and other tourism-dependent businesses. Airbnb said it is expecting its best event ever, surpassing the 2024 Paris Olympics. The company expects to benefit from families and groups looking for larger accommodations or lower per-person costs. It could also benefit from how long travelers are staying. Sojern's data shows more than three-quarters of World Cup travelers plan to spend six to 12 nights at their destination. "We're pretty enthusiastic about the impact of FIFA as we look at booking patterns coming into the summer," Marriott CEO Tony Capuano told CNBC. "We're seeing really strong demand patterns in both FIFA and non-FIFA cities in the U.S." Capuano said Marriott expects the World Cup to lift U.S. revenue per available room by about 40 basis points. Marriott, the world's largest hotel chain, said it's particularly well-positioned because of its brand recognition and rewards ecosystem.

World Cup travel boost hasn't materialized for U.S. businesses — yet
Europe
BBC Business

'A little goes a long way': New York's candy stores sweeten economic gloom

With US consumer confidence at historic lows, it's a tough time for retailers across the country. But in and around New York City one niche sector is expanding – candy stores. Mitchell Cohen, the third-generation owner of Economy Candy, on Manhattan's Lower East Side, has a theory – people will still buy candy (or sweets, as they are called in British English) – when economic times are difficult. "The dollar isn't going as far these days," he says. "Inflation, uncertainty, all that, but there's always candy." The business, the oldest sweet shop in New York, first opened its doors in 1937, towards the end of the Great Depression. Initially it was a hat and shoe repair store, with candies sold from a cart out front as an extra earning stream. But people couldn't afford to get things repaired, Cohen says. So his grandfather entirely pivoted to what was still selling – the affordable sweet treats. Eighty-nine years later, Economy Candy is still going strong. While the most recent official data shows that US retail sales are still growing, up 4.9% in April from the same month last year, US consumer sentiment hit a new all-time low in May, according to one closely-watched report. Echoing the thoughts of Mitchell Cohen, Kate Bolger says that as candy has a low price point "everyone can partake" despite people feeling the economic pinch. Next month she is due to open The Village Confectionery, a candy store in Sleepy Hollow, the Hudson Valley town 28 miles north of New York City that is best known as being the setting of the 19th Century horror short story The Legend of Sleepy Hollow. Bolger, who previously worked as a movie producer, says that while consumers may be putting off making big, expensive purchases, they can still treat themselves to a piece of candy. It is an extension of the so-called "lipstick effect" economic theory that was popularised in the early 2000s, whereby people who couldn't afford to buy something really expensive would buy a little luxury item instead. Back in New York City, an upmarket candy store company called BonBon now has five shops across Manhattan and Brooklyn, and another in the Hamptons on Long Island that opened last summer.

'A little goes a long way': New York's candy stores sweeten economic gloom
Europe
BBC Business

I'd have vetoed foreign sale of UK tech giant, says Business Secretary

Business Secretary Peter Kyle says he would have intervened to block the sale of UK microchip company ARM Holdings had he been in government at the time. The firm, at one time considered the crown jewel of UK tech, was bought by Japanese company Softbank in 2016 before being listed in New York in 2023. Kyle told the BBC ARM Holdings could have been biggest firm on the London Stock Exchange if it had stayed, and that "it would be 40% of the way there to the trillion-dollar company I think our country needs". His comments come as the government sets out how it would back British technology companies, as US tech giants SpaceX, Anthropic and OpenAI prepare for blockbuster share sales in New York. Cambridge based Arm Holdings had been listed on the London Stock Exchange until it was bought by Softbank 10 years ago for £24 billion ($32 billion). It is now listed on the New York Stock Exchange and is worth £285 billion ($380 billion). Kyle also said he "regretted" that UK based pioneering AI company Deep Mind was acquired by Google in 2014, saying that although it continues to operate in the UK, "the wealth that it has created is going elsewhere". Kyle was speaking during London Tech Week as the government announced a number of initiatives designed to attract and keep fast growing technology companies in the UK. "Now, what I don't want to do is be interventionist in a way that I'm just using the powers I have to block: what I do want to do is create the circumstances where they do not want to leave in the first place," he added. The Business Secretary said the government was prepared to make bigger investments of taxpayer money in promising companies and create a cross-government concierge service to help companies get the skills, finance and support they need. "I've upped the risk threshold," Kyle said. "There are two risks. The first is that we get so slowed down by caution and anxiety about AI that we don't embrace and shape it. The other risk is that we embrace and shape it and get some things wrong – I choose to take the latter." The government has recently announced substantial investments of public money in energy software company Kraken, self-driving firm Wayve and a UK tech focused investment fund Playground Global. But while tech firms may be enjoying the government's help and generosity, Kyle admits that other sectors are struggling. Particularly in hospitality, which has seen sharp rises in the national living wage and employers' national insurance contributions.

I'd have vetoed foreign sale of UK tech giant, says Business Secretary
India
The Hindu BusinessLine

Sensex today | Stock Market Live Updates: Markets may open lower on fresh West Asia escalation, US inflation

The United States launched new strikes against multiple targets in Iran, the US military said on Wednesday, as President Donald Trump vowed even more attacks if no peace deal is secured. The escalation pushed Brent crude futures up 1.1 per cent to $94 per barrel, while Asian stocks dropped 0.4 per cent. GIFT Nifty futures were trading at 23,069 as of 7:43 a.m. IST, indicating that the benchmark Nifty 50 would open below Wednesday’s close of 23,214.95. The Iran war, now in its fourth month, has raised energy prices and triggered concerns over its impact on growth and inflation in India, the world’s third-largest oil importer. Data released overnight showed that US consumer inflation increased at its fastest pace in three years in May, boosted by surging energy prices amid the West Asia conflict, giving the Federal Reserve more ammunition to keep interest rates unchanged into 2027. Higher interest rates in the US tend to make emerging market equities less attractive for foreign portfolio investors (FPIs). FPIs sold Indian shares worth ₹2,125 crore ($223.06 million) on Wednesday, marking a ninth straight session of outflows. They have offloaded a record $30.4 billion worth of shares in India so far this year. The Sensex traded 456.47 points or 0.62 per cent lower at 73,526.71 at 9:17 a.m. after opening at 73,615.99 from the previous close of 73,983.18, while the Nifty 50 fell 127.55 points or 0.55 per cent to 23,087.40. Gold prices fluctuate as US strikes on Iran escalate tensions, impacting global markets and inflation amid volatile trading conditions. Time Technoplast has executed a Share Purchase Agreement (SPA) with Systoverse Private Ltd (SPL), a company incorporated in Maharashtra, India, to record the terms of the investment, including the terms on which the company shall acquire equity shares equivalent to 76 per cent of the total paid-up share capital of Systoverse Private Ltd on a net asset basis. The remaining 24 per cent stake will continue to be held by the existing shareholders of SPL. Adani Airport City Ltd (AACL), a wholly owned step-down subsidiary of Adani Enterprises, has completed the acquisition of 100 per cent of the equity share capital of Portus Ventures Private Ltd (PVPL). “Nifty is expected to open lower around 23,050, down nearly 150 points, indicating a cautious start amid mixed global cues. The index is now trading near a crucial support zone, making today’s session important from a technical standpoint. 23,000–23,100 remains a key support range, and a sustained break below this zone could trigger further selling pressure and weaken the short-term structure.

Sensex today | Stock Market Live Updates: Markets may open lower on fresh West Asia escalation, US inflation
North America
CNBC Economy

Consumer prices rose 4.2% annually in May, highest in three years

Inflation accelerated in May as rising energy costs contributed to pain for consumers, though underlying pressures were less intense. The consumer price index, a broad gauge of goods and services costs across the U.S. economy, rose at a seasonally adjusted 0.5% for the month, putting the annual inflation rate at 4.2%, the Bureau of Labor Statistics reported Wednesday. Both numbers were in line with the Dow Jones consensus though the monthly number was 0.1 percentage point below the April reading. Inflation climbed above 4% for the first time in three years, though the increase met expectations amid concerns over how much the surge in energy prices would impact the economy. The level was the highest since April 2023 and above the 3.8% reading from April. However, stripping out volatile food and energy prices, the so-called core CPI accelerated 0.2% for the month and 2.9% from a year ago. While the annual rate was in line with the forecast, the monthly gain was below the 0.3% estimate and less than the 0.4% April increase. "Americans are getting squeezed financially by inflation that's back at a 3-year high," said Heather Long, chief economist at Navy Federal Credit Union. "The frustration for many Americans is that so many of the basics are up in price right now -- gas, food, electricity, and medical care are all clear pain points that are above 3% inflation. Ending the war in Iran will help to moderate inflation, but the worst is likely still to come for rising food prices." The report arrives at a sensitive time for markets and policymakers as Federal Reserve officials contemplate their next move on interest rates. Markets largely expect the rate-setting Federal Open Market Committee to remain on hold when the decision is released June 17, but investors will be looking for signs of how concerned officials are over the inflation surge. With the U.S. caught in ongoing hostilities with Iran, concerns are rising that the surge in oil prices could spread to other energy-sensitive parts of the economy. Markets were rattled again Wednesday when President Donald Trump warned that Iran will "pay the price" for not taking a peace deal. Stock market futures held in negative territory but were off their lows after the CPI release while Treasury yields were flat. The report indicated that much of the inflation surge came from a 3.9% jump in energy prices, putting the 12-month increase at 23.5%. Core commodities prices actually posted a 0.1% decline on the month, indicating muted tariff pressures. "Washington economic officials are going to redouble their efforts to tell Americans there isn't a cost-of-living crisis," said Chris Rupkey, chief economist at Fwdbonds. "The sky isn't falling after all and the inflation risks for core consumer goods are in retreat for now." Food accelerated just 0.2% and shelter costs, a key input for Fed policy, rose 0.3%, half the gain of April. Shelter, which makes up more than one-third of the CPI weighting, rose 3.4% annually. Elsewhere, transportation services fell 0.6%, a potential indicator that high energy costs were not filtering into other areas. Similarly, services less energy services, also an indicator of whether higher oil costs were bleeding through, increased 0.3% after rising 0.5% in April.

Consumer prices rose 4.2% annually in May, highest in three years
Europe
BBC Business

World Cup expected to be the biggest betting event in history

The Fifa Men's World Cup is set to be the biggest betting event of all time, with more than $50bn (£37.4bn) in wagers placed globally. The tournament will see punters place bets worth around $500m per match, according to a forecast by financial services firm Macquarie. The expected $50bn total would be a major increase from the $35bn of wagers placed during the 2022 World Cup, which was held in Qatar. Gambling awareness groups warned almost all punters lose money in the long-run, and that those betting during the World Cup risk being encouraged to try more addictive forms of betting. Macquarie analyst Chad Benyon said the expected surge in gambling revenue is primarily due to an expansion of the number of teams at this year's tournament, from 32 to 48. As a result, there will be more than 100 matches over the six-week schedule, compared with the 64 played in Qatar in 2022. The favourable time zones of hosts the US, Canada and Mexico will also boost global viewership, Benyon added, fuelling demand among punters in Europe, Latin America and Africa. Another driver of the increase is the growing sports betting market in the US, with around 65% of the population now able to gamble on sports, up from 40% in 2022. It means this is the first World Cup on which a majority of the US can place bets. But Benyon warned the tournament could be a flash in the pan for betting giants if they cannot convert one-off punters into "repeat, multi-sport bettors". He added that those with casino platforms on their website stand to benefit most from the surge. Les Bernal, national director of Stop Predatory Gambling, warned that "hundreds of thousands of people across the world, especially young men, will suffer life-changing debt and financial distress" because of gambling during the World Cup games. Bernal said: "99 out of 100 sports bettors lose money in the long-term... the business model for commercialised sport gambling operators is completely based upon the people who have been turned into addicted gamblers, an addiction that causes victims to die by suicide at a rate unlike any other."

World Cup expected to be the biggest betting event in history
Europe
BBC Business

US inflation surges to three-year high of 4.2%

US prices in May rose at their fastest rate in three years, with inflation surging to 4.2%. The rise, from 3.8% a month earlier, was largely driven by rising energy costs, the Bureau of Labor Statistics (BLS) said. It marked the third month in a row the Consumer Price Index (CPI) has risen, with households increasingly feeling the strain of the US and Israel's war in Iran. Higher inflation raises the likelihood of the US Federal Reserve raising interest rates in a bid to curtail spending. The last time inflation was higher was in April 2023, when the US was still grappling with the fallout from the energy shock sparked by Russia's invasion of Ukraine. Overall energy bills including gas and electricity were almost a quarter higher in May than a year earlier, with petrol responsible for much of the increase. According to separate figures from motoring group the AAA, the average price of a gallon of regular petrol in the US is currently $4.15, a sharp increase from $2.98 on February 28, when President Donald Trump launched strikes on Iran. In response to the strikes, Iran has effectively shuttered the crucial Strait of Hormuz waterway, typically responsible for shipping around a fifth of the world's oil and gas which has resulted in a surge in prices. Elsewhere, the BLS pointed to the increasing cost of plane tickets, personal and medical care, recreation and communication. The CPI is a measure of how much prices have risen in a given month compared to the same month a year prior. The Fed's long-term inflation target is 2%. May's inflation increase captures the challenge facing President Trump and the Republicans ahead of November's midterm elections. Economists have warned that, even with a swift resolution to the war, it could take until 2027 for the the normal flow of goods through the Strait of Hormuz to be restored.

US inflation surges to three-year high of 4.2%
North America
CNBC Economy

Energy prices take center stage as the ECB prepares to decide on rates

The European Central Bank is expected to hike interest rates on Thursday, as policymakers address the threat of second-round inflation effects amid elevated energy prices. Unlike the Fed, the ECB has a single mandate — keeping inflation close to a target of 2% — and recent data shows an uptick in both its headline and core readings. Headline euro zone inflation rose to 3.2% in April as energy prices soared 10.9% year-on-year. The euro zone is a major energy importer and the bloc is particularly vulnerable to the surge in oil prices sparked by the Iran war. But core inflation also rose to 2.5% in April, primarily driven by higher services costs. That's a major concern for the ECB as this could be the first signs of second-round effects. The ECB is also concerned that tighter monetary policy could push the euro zone from feeble growth to outright recession. Nevertheless, the bank's Governing Council is expected to hike its key deposit rate by 25 basis points to 2.25%. Market watchers will also be keeping a close eye on the ECB's projections for inflation and economic growth. The market is pricing in three rate hikes for the rest of the year. "Compared with March, we expect ECB staff to mark down the growth projections for 2026-27 and raise both headline and core inflation projections, reflecting a more persistent energy shock and stronger indirect effects into prices," Sven Jari Stehn, chief European economist at Goldman Sachs, wrote in a note at the end of May. "Our energy price index—the average of oil and gas—is up about 12% through the projection horizon since the March meeting." "The core inflation forecasts will be more interesting, especially for 2027," wrote Anatoli Annenkov, senior European economist at Société Générale in a note from May. "This forecast will tell us a lot about the ECB staff's confidence in coming second-round effects, especially taking into account the weakening activity data since March." "We expect the ECB to keep rates market pricing relatively unchanged," said Deutsche Bank Securities Director Mark Wall in research published early this month. "Interpreting June as a one-off hike won't suit the ECB." Get this delivered to your inbox, and more info about our products and services.

Energy prices take center stage as the ECB prepares to decide on rates
Europe
The Guardian

US inflation jumped to 4.2% in May, the third consecutive increase since start of Iran war

People pump gas at a gas station in Washington DC on 30 May 2026. Photograph: Bonnie Cash/UPI/ShutterstockView image in fullscreenPeople pump gas at a gas station in Washington DC on 30 May 2026. Photograph: Bonnie Cash/UPI/ShutterstockInflationUS inflation jumped to 4.2% in May, the third consecutive increase since start of Iran warBefore the conflict began, inflation was at 2.4%, but the closure of the strait of Hormuz has affected energy prices US inflation jumped to an annual rate of 4.2% in May, the third consecutive monthly increase since the start of the Iran war and a three-year high, as Americans continue to face steep oil prices. Prices have increased sharply over the past several months, rising at an annual rate of 3.3% in March before going up to 3.8% in April. In February, before the conflict began, inflation was at 2.4%. Energy prices were once again responsible for the increase in the consumer price index, according to new data from the Bureau of Labor Statistics, accounting for 60% of the overall monthly increases. The national average price for a gallon of gas is $4.15, according to AAA, which is slightly lower than where the price was a month ago but still $1 per gallon more than a year ago. Airline fares also increased 26.7% annually, a squeeze travelers may have already noticed ahead of the busy summer season. Other essential everyday expenses, such as food, energy services and clothing, also increased. Stripping out volatile energy and food prices, core CPI increased 2.9%. The White House said the newest inflation figures reinforce that “despite temporary disruptions as a result of Iran’s efforts to subvert the free flow of energy, President Trump’s broader economic agenda continues to deliver meaningful results for the American people”. “Prices of prescription drugs, dairy products, cars, as well as both health and auto insurance continue to decline thanks to the Trump administration’s policymaking,” Kush Desai, a White House spokesperson, said in a statement. “The Administration will continue pushing our affordability agenda to enable Americans to keep more of their hard-earned money.” Since the beginning of the US-Israel war with Iran, inflation has hit its highest levels since 2023, though they still remain well below the peaks recorded in 2022, when inflation hit 9%. Higher prices have dampened Americans’ expectations of their financial outlook. According to a survey released on Monday from the Federal Reserve Bank of New York, households have become more pessimistic about inflation, the labor market, finding a job and the potential for layoffs. Consumer sentiment has also plummeted to a historic low, according to data from the University of Michigan, after falling for three consecutive months. The new inflation data puts pressure on officials with the US Federal Reserve, who are meeting for the first time next week under the central bank’s new chair, Kevin Warsh. The Fed has voted to maintain interest rates since the end of last year. The central bank has been aiming for a target annualized inflation rate of 2%. Warsh said he believed the rates, which stand at 3.5% to 3.75%, should be lowered, aligning himself with Donald Trump, who has spent the last year trying to coerce the central bank into lowering rates. Even though prices are rising, the president is unlikely to be deterred from calling for rate cuts. On Tuesday, Trump told reporters that he didn’t think US fuel prices were “very high, relatively speaking.”

US inflation jumped to 4.2% in May, the third consecutive increase since start of Iran war