Senator Warren Asks Ratings Firms How They Assess Private Credit Risk
In the letter to ratings firms including S&P Global Inc., Moody's Ratings and Fitch Ratings, the Massachusetts Democrat expressed concern that some companies may be 'inflating' ratings of private debt instruments, which could pose risks to the larger financial system.
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Yahoo
2 minutes ago
- Yahoo
LGES signs new copper foil deal with SK Nexilis
South Korea's SK Nexilis Company has agreed to supply local battery electric vehicle (EV) manufacturer LG Energy Solution Company (LGES) with up to KRW 3 trillion (US$ 2.2 billion) worth of copper foil over the next 5-6 years, according to unconfirmed local reports. Copper foil is a key component of EV batteries, used mainly as separator material between cathodes and anodes. This is understood to have been the first deal signed between the two companies in the last five years, after LGES and LG Chem ceased signing new business with SK Group's SK On, SK Nexilis and SKIET, following a dispute over alleged leaks of trade secrets in 2020. Local officials have suggested that the thaw in relations between the two sides is due mainly to growing pressure for South Korea battery manufacturers to reduce their dependence on Chinese supply chains, as they look to expand their businesses in the US. A local industry official told reporters the relationship between the two companies 'has improved under the current management. The Trump administration's supply chain policy of decoupling from China led them to renew their supply deal.' An SK Nexilis official confirmed that his company had held new talks with LGES, but did not confirm the agreement. "LGES signs new copper foil deal with SK Nexilis" was originally created and published by Just Auto, a GlobalData owned brand. The information on this site has been included in good faith for general informational purposes only. It is not intended to amount to advice on which you should rely, and we give no representation, warranty or guarantee, whether express or implied as to its accuracy or completeness. You must obtain professional or specialist advice before taking, or refraining from, any action on the basis of the content on our site.
Yahoo
2 minutes ago
- Yahoo
Hedge funds ditch tech and buy essentials, Goldman Sachs says
By Nell Mackenzie LONDON (Reuters) -Hedge funds fled technology stocks at the fastest pace in 12 months in the latest week, just as the S&P 500 reached all-time highs, a note to Goldman Sachs clients and seen by Reuters said. The S&P 500, which includes seven tech stocks in its top 10 largest constituents by market value, has surged roughly 28% since its 2025 low, while the Nasdaq Composite has jumped 38% in that time. As of Friday, the S&P 500's forward price to earnings ratio, which reflects the value of a company's stock relative to its projected future earnings, was 23.11, around five-month highs, according to LSEG/Datastream. "U.S. equities valuations (such as price earnings ratios) are now 30% higher than their recent decade average, while 10-year yields remain stubbornly high and volatile. The future path of equities may depend partly on a decline in long-term rates; however, we do not seem to be there yet," Lombard Odier Investment Managers head of macro Florian Ielpo said in a note on Friday. Globally, hedge funds sold tech stocks, some of the most richly valued equities, more than any other sector last week, the Goldman Sachs note said. Rather than shorting the sector, hedge funds tended to ditch long bets and exit trades, the bank said. A short bet is designed to profit from a drop in an asset price. This week's exodus was the largest the bank had seen since July 2024, Goldman Sachs said. Hedge funds fleeing tech stocks centered on trading in North America and Europe. Every kind of tech stock was sold, including semiconductor chip companies, as well as those in software and IT services, the bank said. Meanwhile, shares in consumer staples - companies that sell items that people purchase regardless of economic conditions - were among the most net bought U.S. stock sectors this week, Goldman said. Hedge funds piled into these stocks for the fourth straight week and their trades were almost entirely long positions - those that will profit if the stock prices rise. The kind of companies whose shares hedge funds bought included those that sell food and beverages and personal care products.
Fox News
5 minutes ago
- Fox News
America must win the AI race — and prepare for the worst
Artificial intelligence is no longer a niche tool for tech labs or science-fiction thrillers. It's now the battleground where the future of American power, prosperity, and freedom will be decided. With the release of "Winning the AI Race: America's AI Action Plan," the Trump administration is rightfully treating this moment as the 21st-century equivalent of the space race or the nuclear age. This bold strategy outlines over 90 policy actions that span three key pillars: Accelerating Innovation, Building American AI Infrastructure, and Leading in International Diplomacy and Security. Each of these pillars sends a clear message to the world: America intends to lead – not follow – on artificial intelligence. And we must. This is a race we can't afford to lose. The Trump administration's plan does what Washington too often fails to do: it combines vision with action. From fast-tracking permits for critical data centers and chip fabrication plants, to expanding the skilled trades workforce needed to maintain those facilities, the plan hits both high-tech and firsthand realities. Crucially, the plan calls for exporting secure, full-stack American AI packages – hardware, software, models, applications and standards – to trusted allies. That's smart policy. In a world where China exports authoritarian surveillance technology, America must counter with liberty-based alternatives. And most refreshingly, the plan defends free speech. It mandates that federal procurement contracts only go to developers of large language models that are free from ideological censorship. That's a huge win for constitutional values in a time when Big Tech algorithms increasingly silence dissent. The optimism in this action plan is well-founded – but incomplete. As foreign policy analysts Matan Chorev and Joel Predd recently warned in their Foreign Policy article, the U.S. must also assume the worst about artificial intelligence – especially artificial general intelligence (AGI). That's the version of AI that can perform at or above human levels across a wide range of tasks. Unlike nuclear weapons, AGI won't announce itself with a mushroom cloud. It may slip quietly into our systems, our economy and even our military decision-making – without a clear warning shot. The nightmare scenario? A rogue AI, either built by an enemy nation or evolving beyond human control, triggering economic collapse or catastrophic warfare. That's why the U.S. must not only pursue victory in AI, but vigilance. Planning for worst-case scenarios isn't fearmongering – it's common sense. The COVID-19 pandemic taught us what happens when leaders fail to prepare for known risks. With AI, we may not get a second chance. What happens if a U.S. company suddenly claims to have developed AGI and asks for national security protections – access to classified data, regulatory exemptions and federal backing? What if China gets there first? The Biden-era playbook of strategic ambiguity and global appeasement won't cut it. America needs break-glass protocols: clear, tested plans to respond to AI emergencies – whether cyberattacks, misinformation campaigns or autonomous systems going rogue. This requires massive coordination across the Pentagon, the Department of Homeland Security, our intelligence community and private industry. The federal government must build the analytical muscle to separate hype from real breakthroughs – and act fast when a threat emerges. Advanced AI attacks may not come with a digital return address. Whether an attack comes from Beijing, a terrorist network or a self-replicating algorithm, our cyber defenses must be able to detect, contain and recover without waiting for attribution. That means hardening critical infrastructure, isolating vulnerable data centers and ensuring military continuity of operations in a high-tech crisis. These aren't science-fiction concerns – they're strategic imperatives. The Trump administration's emphasis on exporting U.S. technology to allies is critical – but we must also export American values. Freedom. Accountability. Innovation with restraint. Our allies want alternatives to China's surveillance-driven tech regime. America can lead that coalition – but only if we speak as clearly about ethics as we do about engineering. David Sacks, the White House's AI and crypto czar, put it plainly: "To win the AI race, the U.S. must lead in innovation, infrastructure, and global partnerships. At the same time, we must center American workers and avoid Orwellian uses of AI." He's right. Victory in AI is not just about lines of code – it's about preserving what it means to be human in an age of machines. Winning the AI Race is a historic first step. It champions free markets, American jobs, national strength and liberty-based governance in the AI era. But we must not mistake ambition for immunity. America needs a dual-track strategy: drive innovation with urgency – and prepare for disaster with equal urgency. Our adversaries won't wait. Neither will the technology. We can – and must – lead the world into the AI future. But let's do it with eyes wide open, grounded in our values and ready for anything.
