Latest Developments

North America
CNBC Finance

American Express is cutting 5% of its workforce to 'prepare for AI'

American Express is cutting thousands of employees as the leading credit card company prepares for artificial intelligence to take over more of its internal processes. Amex is eliminating 5% of its global workforce and taking a $336 million restructuring charge, CEO Stephen Squeri told analysts Friday on the company's third-quarter earnings call. The firm had almost 77,000 employees at the end of 2025. Chief Financial Officer Christophe Le Caillec told CNBC in an interview that the restructuring was to make American Express "leaner, more agile, and also to prepare for AI." "You don't want to automate processes that are not optimally structured," Le Caillec said. "So what we're doing here is to reduce layers and increase spans of controls, so that we can automate and take advantage of AI in the coming quarters and the coming years." The Amex announcement reflects a broader trend across financial services, where banks are working to replace repetitive roles with AI automation. On Thursday, Barclays confirmed plans to trim 5,000 jobs — also roughly 5% of its staff — in another tech-driven cost initiative. The moves come even as the sector is enjoying robust profits from growing consumer spending and resilient credit. During the analyst call, Squeri said that the charge was to improve the company's efficiency. "We've got good momentum, but to accelerate innovation and win over the next few years, we needed to become [a] more agile and efficient organization," Squeri said. Squeri devoted a 10-minute section of his prepared remarks to his views on AI, focusing mainly on how it will be used to personalize experiences and offers for Amex cardholders. While the CEO emphasized the need to meet customers' desires to use AI, including agents, he added that Amex is "not going to let assistants run rogue through our system." "We need to protect our customers [and] merchants, and we're only going to allow agents to access our systems that are either approved through API or MCP channels," he said, citing two ways to securely connect outside platforms with Amex systems. Amex posted quarterly results that topped Wall Street profit expectations. Adjusted earnings per share were $4.68, topping the $4.48 average estimate of analysts, according to LSEG. The company raised its full-year earnings guidance to a range of $18.30 to $18.60 per share, on an unadjusted basis, up from its previous target of $17.30 to $17.90.

American Express is cutting 5% of its workforce to 'prepare for AI'
North America
CNBC Finance

Fewer people are flying as airfare soars. Here's why airlines aren't worried

Fewer people are flying this year, but with airfare this high and climbing, airline executives say that's just fine. The number of people screened at U.S. checkpoints is on track for its first annual decline since 2020. Major U.S. carriers have said capturing higher fares is more important than fully filling their planes or flying record numbers of travelers. "We're actively prioritizing yield versus load factor and really happy as we see it. It fits right in with the premium investments that we're making," American Airlines Chief Commercial Officer Nat Pieper said on the company's earnings call Thursday. American's load factor, a gauge of how full planes are flying, fell to 83.4% in the third quarter from 86% in the same quarter of 2025. The price of plane tickets has skyrocketed as airlines grapple with a spike in jet fuel prices, their biggest expense after labor, and pass more of those costs on to customers. Fares in September were up more than 22% from a year earlier, according to the latest inflation read. Fare tracker Hopper said it expects this holiday season to come with the most expensive ticket prices in years. The average Southwest Airlines fare in the third quarter, for example, was $231.69, up close to $50 from a year earlier. That doesn't include Southwest's new fees, like its extra charges for checked bags or a seat closer to the front of the plane. The airline's count of revenue passengers, however, fell 3.2% from a year ago, to about 33.5 million people. "Passenger fares came in about $3 above what our forecast was and the more important thing is that passenger volumes also exceeded our expectations," Southwest CEO Bob Jordan said on an earnings call Thursday. Since April — when airlines began warning in earnest about profits taking a hit from the spike in jet fuel — through Thursday, about 9.3 million fewer people were screened at airport checkpoints compared with the same period of 2025, according to the Transportation Security Administration. While that's down less than 2% from last year, it follows years of growth. With jet fuel prices more than double year-ago levels — as seen in U.S. Gulf Coast spot prices going for $4.63 a gallon, according to the U.S. Energy Information Administration — airlines have been focused on recovering as much of the fuel spike as possible. Even despite some drops, airline executives said during their earnings calls that travel demand overall is robust, especially for profitable premium cabins like business class.

Fewer people are flying as airfare soars. Here's why airlines aren't worried
Asia-Pacific
Channel NewsAsia

End of an era: Tracing Lee Biscuits' 92-year journey from Singapore to Johor

From Marie biscuits and cream crackers to colourful iced gems, Lee Biscuits' snacks were household staples for generations of Singaporeans and Malaysians. After 92 years, production is coming to an end. Workers taking photos outside the Lee Biscuits factory in Pontian, Johor on Oct 29, 2026. (Photo: CNA/Zamzahuri Abas) Now, after 92 years, the biscuit maker, also known as Nam Lee, is preparing to cease production at its factory in Pontian, Johor at the end of October. Founded in Singapore in 1934 by prominent businessman and philanthropist Lee Kong Chian, the company moved its manufacturing operations to Johor in 1955, first to Tampoi and later to Pontian. When CNA visited the factory on Thursday (Oct 29), workers declined to comment on the impending closure. Some were seen taking photographs outside the factory as its final days approached. For those whose lives have become intertwined with the factory, however, the closure is a personal loss. Rogayah Othman, 62, has run a food stall just outside its gates since 2012, with workers stopping by regularly for breakfast and lunch. “I am sad as I’ve grown close to some of the workers. They are like my own kids,” she told CNA. Some Lee Biscuits products were still listed for sale on supermarket chain FairPrice’s website as of Thursday. CNA Games Guess Word Crack the word, one row at a time Buzzword Create words using the given letters Mini Sudoku Tiny puzzle, mighty brain teaser Mini Crossword Small grid, big challenge Word Search Spot as many words as you can Show More Show Less Lee Biscuits' factory in Pontian, Johor on Oct 29, 2026. (Photo: CNA/Zamzahuri Abas) 1934-1955: From rubber empire to biscuit manufacturing Lee Biscuits’ origins can be traced to 1934, when it was established in Singapore by Lee Kong Chian, one of Southeast Asia’s most prominent businessmen of his time. Also known as the “Rubber King” and “Pineapple King”, Lee built a vast business empire spanning rubber plantations, pineapple cultivation, manufacturing and other industries.

End of an era: Tracing Lee Biscuits' 92-year journey from Singapore to Johor
Japan
Nikkei Asia

Turkey builds Asia-Europe rail corridor as wars snarl up old trade routes

Transport and Infrastructure Minister Abdulkadir Uraloglu says a planned rail route over the Bosphorus Strait will significantly increase the flow of goods through Turkey. (Photo by Sinan Tavsan) ISTANBUL -- Turkey is accelerating rail projects aimed at creating a seamless freight corridor linking China and Europe through its territory by 2031, investing about $10 billion to remove key bottlenecks along the Middle Corridor while pursuing projects to build additional southern connections to the Middle East.

Turkey builds Asia-Europe rail corridor as wars snarl up old trade routes
Europe
BBC Business

Mbappé dropped by major Chinese brands as backlash grows over Mao joke

Several Chinese brands have dropped French footballer Kylian Mbappé following a backlash over alleged comments referring to the late Chinese leader Mao Zedong. Mbappé reportedly told a French talk show The Bridge the meme "that makes me laugh the most, it's the one where there's a video of a guy, I think it's a Chinese dictator...they put my....", he laughs, as they cut to a meme of his face superimposed on an image resembling Mao. The meme is part of a running joke about the Real Madrid forward's nickname - "the dictator" - because of his huge influence in football. It has led to many such memes involving Mbappé. But the joke did not go down well in China, where Mao is revered by the Communist Party, despite his chaotic and often violent rule that left millions dead. There have been a few people who have come out in support of Mbappé on Chinese social media. But theirs is a rare response given China's tightly controlled internet, where people are expected to toe the party and government line on sensitive topics. And few topics are as sensitive as Mao, which may explain why brands have been so quick to terminate partnerships with a global sports star like Mbappé. The BBC has reached out to Mbappe and Real Madrid for comment. The Bridge is hosted by Mbappé's Real Madrid teammate Aurélien Tchouaméni. The original video is not available on the show's YouTube channel, and it's unclear when the interview first aired. In the unverified clips that have been circulating online, Mbappé does not identify Mao by name. He says he "uses [the meme] with friends all the time". The furore appeared to kick off on Monday night after Chinese football forum Dongqiudi drew attention to the comments in a statement, saying they were "inappropriate" and "hurt the feelings of Chinese people". Screengrabs of the clip and meme have since spread quickly on Chinese social media, with people echoing this sentiment and even calling for a boycott of both the French striker and his club, Real Madrid. But some have blurred the meme itself as well as the part of the comment they found offensive, when Mbappe refers to "a Chinese dictator". Dongqiudi said in its statement that it was "unable to translate" his comments because they were "offensive to China and the Chinese people".

Mbappé dropped by major Chinese brands as backlash grows over Mao joke
Asia
The Hindu BusinessLine

Trump loses lawsuit against Wall Street Journal over Epstein birthday letter story

A federal judge has thrown out President Donald Trump’s multibillion-dollar lawsuit against The Wall Street Journal and media mogul Rupert Murdoch over a story reporting on his ties to wealthy financier Jeffrey Epstein. US District Judge Darrin Gayles in Miami dismissed the suit with prejudice on Saturday, ruling that the president did not prove the defendants made defamatory statements with actual malice. The ruling said the lawsuit was “grasping at straws” as it attempted to “manufacture” flaws in the Journal’s investigative reporting. When a case is thrown out “with prejudice,” it cannot be refiled again and the dismissal is permanent and incontrovertible. The lawsuit was over a story the Journal published last year describing a sexually suggestive letter that the paper said bore Trump’s name and was included in a 2003 album compiled for Epstein’s 50th birthday. The letter was reportedly collected by disgraced British socialite Ghislaine Maxwell as part of a birthday album for Epstein years before he was first arrested in 2006 and subsequently had a falling-out with Trump. The letter bearing Trump’s name includes text framed by the outline of what appears to be a hand-drawn naked woman and ends with, “Happy Birthday -- and may every day be another wonderful secret,” according to the newspaper. Trump denied writing it and called the story “false, malicious, and defamatory.” The lawsuit, filed in federal court in Miami, accused the paper and its reporters of having “knowingly and recklessly” published “numerous false, defamatory, and disparaging statements,” which, it alleged, caused “overwhelming financial and reputational harm” to the president. Comments have to be in English, and in full sentences. They cannot be abusive or personal. Please abide by our community guidelines for posting your comments. We have migrated to a new commenting platform. If you are already a registered user of TheHindu Businessline and logged in, you may continue to engage with our articles. If you do not have an account please register and login to post comments. Users can access their older comments by logging into their accounts on Vuukle.

Trump loses lawsuit against Wall Street Journal over Epstein birthday letter story
Asia-Pacific
The Straits Times

Keppel posts 20% rise in Q3 net profit; New Keppel earnings up 15%

SINGAPORE – Asset manager and operator Keppel reported a 20% increase in its net profit for the third quarter ended Sept 30. Excluding its non-core portfolio for divestment and discontinued operations, net profit for “New Keppel” – which is the term the company uses to refer to its continuing core business – increased by close to 15% year-on-year for the quarter. The increase in New Keppel’s profit was underpinned by stronger performance in its connectivity segment and steady earnings from its infrastructure segment, said the company in a business update on Oct 29. The drop was due to a 4% reduction in its gross asset value of non-core assets that remained on the books of Keppel. The gross asset value fell due to impairments, depreciation, operating and holding costs. However, New Keppel posted a net profit of over 20% from a year earlier for the nine months ended Sept 30. The rise was led by stronger performance by the infrastructure and connectivity segments. Loh Chin Hua, CEO of Keppel, said, “The New Keppel continued to perform strongly in both Q3 and 9M 2026, as we continued to execute our strategy as a global asset manager and operator focused on essential energy and digital infrastructure.” Recurring income for the nine-month period rose more than 10% year-on-year, driven by improvements across its asset management businesses, its sponsor stakes and co-investments, and the company’s operating platform. In the first nine months of 2026, Keppel generated $354 million in asset management fees, an increase of 18% year-on-year. It also completed about $4.5 billion in acquisitions and $3.5 billion in divestments. Its infrastructure division recorded stronger year-on-year performance for the first nine months. Its integrated power business saw a 7% year-on-year growth in its earnings before interest, taxes, depreciation and amortisation (Ebitda), driven by contributions from its 600MW Keppel Sakra Cogen Plant which began operations in May 2026. Its connectivity segment, which includes its data centre portfolio, remains underpinned by a focus on power constrained markets. The segment also continued to grow its technology solutions business, whose revenue expanded to over $900 million, and Ebitda grew 110% year-on-year for the first nine months of 2026. Its real estate division announced over $2.4 billion of non-core property monetisation in the year to date, including the proposed divestment of a 51% interest in Keppel South Central to Keppel Reit.

Keppel posts 20% rise in Q3 net profit; New Keppel earnings up 15%
Asia-Pacific
The Straits Times

Asian shares fall as Alphabet earnings miss drags Wall St futures lower

SYDNEY – Asian shares gave up earlier gains on Oct 29 as AI-related earnings announcements prompted wildly mixed responses, raising the stakes for Amazon and Intel results due later in the day. Hefty cash burn from Alphabet sent its shares 10% lower in after-hours trading, wiping nearly US$400 billion (S$512 billion) off its market value. That drove Nasdaq futures 1% lower. Microsoft, by contrast, beat forecasts with better-than-expected cash flows that lifted its shares by 3%. Overnight, the Federal Reserve held interest rates steady as widely expected, but two committee members voted for a hike. Chairman Kevin Warsh struck a more confident note on the inflation outlook during his press conference, sparking a rally in Treasuries. However, the bigger test came from earnings. Samsung Electronics said on Oct 29 its operating profit rose nearly ninefold to a record high in the third quarter, driven by robust demand for AI chips. Its shares still slid more than 4% and dragged the broader KOSPI index down 2.6% after a nearly 7% surge a day earlier. MSCI’s broadest index of Asia-Pacific shares outside Japan dropped 0.7%, while Japan’s Nikkei trimmed gains to be up 0.3%. Mainland China’s blue chips fell 0.9% and Hong Kong’s Hang Seng index rose 0.2%. “The reason why Alphabet is down is because their traditional revenue service of ad generation has been impacted by the very thing which is the AI boom. So it’s causing a mix of results for Google,” said Jamie Hannah, deputy head of investments at VanEck. “Both of Alphabet and Microsoft confirmed that the AI revenue generation is still solid. We saw that through the data centre growth, the cloud services. So that part of the business is solid, which then flows into a lot of the information coming out of Asia with SK Hynix yesterday as well in Korea.” Shares of SK Hynix rose 1.3% after jumping 11% a day earlier on strong earnings. After the Fed held interest rates steady, all eyes are on US Personal Consumption Expenditures data for September, the Fed’s preferred gauge of inflation. Forecasts are centred on a 0.3% monthly rise in the core measure, picking up from a 0.2% gain the previous month. Markets are still 80% priced for a rate rise in December despite dovish comments from Warsh, which led to a steepening of the Treasury yield curve. The two-year Treasury yield fell 6 basis points overnight and was last flat at 4.6933%. “The dissenting votes to hike rates at today’s meeting could be interpreted as being not about whether the Fed hikes again, but when,” said Kerry Craig, global market strategist at J.P. Morgan Asset Management.

Asian shares fall as Alphabet earnings miss drags Wall St futures lower
North America
Fortune

We served opposing presidents, but we agree on how to fix the data-center mess

One of us led the Environmental Protection Agency under President Biden. The other chaired the Federal Energy Regulatory Commission under President Trump. We disagree on plenty, but not on this: the status quo is failing America. Data centers are being developed faster than the rules meant to govern them can evolve. Communities are pushing back on rising power bills, air pollution, strained water supplies and constant noise. Grid operators are warning about reliability. Governors and county boards are improvising, from moratoriums to new permitting rules, because Washington has no framework, even as the industry asks for one. Without one, the country risks stalling tools central to its competitiveness, or building them at the expense of the communities next door. A century ago, the airplane was years ahead of the rules governing it. Pilots followed rail lines and roads a few hundred feet off the ground and in low-light, they landed by bonfire. The United States invented the airplane but had no national aviation policy, and Europe was pulling ahead. In 1925, President Calvin Coolidge convened a board to study aviation for national defense. The findings were blunt: aviation was essential to the country’s defense, civil aviation served a national purpose, and the public would not trust it until the federal government set standards for the aircraft and the people flying them. Congress answered with the Air Commerce Act of 1926, which put the Commerce Department in charge of commercial flight. By the late 1930s, the country had four major airlines and well over a million air passengers a year. When aviation outgrew the Commerce Department, Congress consolidated oversight into a single independent agency in 1938 and then again in 1958 under the FAA, which moved quickly to strengthen air traffic management and safety rules. As the industry kept growing, Congress added safety, noise and emissions standards to protect the communities living beneath the flight paths. Each framework was designed to keep the country competitive and secure while protecting the public, and the industry grew up inside them. Data centers are at the bonfire stage, but we don’t have decades to get it right. In May, the North American Electric Reliability Corporation issued a Level 3 alert, its most serious, warning that sudden swings in data center demand threaten the stability of the grid. Last month, Pennsylvania’s Public Utility Commission reported that the largest grid in the country will miss its reliability standard starting next year. Governors are responding the only way the current system allows. Some, for example, are imposing moratoriums of up to a year on new hyperscale facilities, while others like Virginia removed future large data center projects from its fast-track permitting process, allowing developers to develop community benefits agreements, protect grid reliability, and meet standards on water, pollution, noise control and local hiring. The “blanket response of no” or forge ahead unbridled are more of a short term political response. The “maybe, but here’s what you have to do” is the beginning of a responsible framework. Data centers house the computing power that underpins American competitiveness, our national security and, increasingly, the everyday digital lives. They will be built, but the questions are how, where and who will benefit? Our responsibility is to set the terms. AI has quickly become a matter of national security and global competitiveness. The country that leads in artificial intelligence will help write the rules of the global economy for generations, and the U.S. will need all of it: cloud computing, the everyday AI tools Americans currently use, and the most advanced systems that can propel society to its highest levels or possibly destroy it as we currently know it. Simply put, to stay economically competitive, America needs computing power that matches or beats its adversaries’. The debate over the most advanced AI systems will keep playing out in national security circles. Our focus is more immediate: the infrastructure behind the ordinary AI tools that a quarter of American adults now use daily. So we must charge forward, but not with a one size fits all approach. Facilities differ in cooling technology, load profile, footprint and demand for water. Community needs differ across the nation and they should have a say in how they participate. The fit should be a deliberate choice, not an imposition. Here is what that choice looks like done well.

We served opposing presidents, but we agree on how to fix the data-center mess