Businesses

• Long-term U.S. Treasury yields surged to their highest levels since 2007 on Tuesday, triggering a significant bond market sell-off. • In response to the volatility, the Treasury Secretary doubled the government's buyback of debt to stabilize the market. • This "bond market quake" is viewed as negative for governments, businesses, and consumers due to the potential for higher borrowing costs.

• Long-term U.S. Treasury yields surged to their highest levels since 2007 on Tuesday, triggering a significant bond market sell-off. • In response to the volatility, the Treasury Secretary doubled the government's buyback of debt to stabilize the market. • This "bond market quake" is expected to increase borrowing costs for governments, businesses, and consumers, potentially slowing economic growth.

• European governments are aggressively seeking new ways to fund cutting-edge start-ups to bridge a nearly $1 trillion investment gap. • The initiative aims to bolster Europe's ability to compete with the United States and China in the development of pioneering technologies. • Officials attribute the current competitive disadvantage to soaring energy costs, high labor expenses, and the European Union's slow decision-making processes.

• China is intensifying its crackdown on online rumors targeting businesses, with a specific focus on combating AI-generated misinformation. • To support these efforts, the Supreme People's Court is currently developing new judicial policies regarding AI and data rights. • The country's top legislature has officially added AI-related legislation to its preliminary legislative agenda to strengthen the legal framework.

• CrowdStrike's 2026 Threat Hunting Report has identified a new cyberattack trend called "LLMJacking," where hackers hijack corporate AI access to inflate usage costs. • In one highlighted incident, attackers utilized a stolen cloud identity to execute nearly 200,000 API requests within a two-minute window. • This shift in tactics differs from traditional data theft or ransomware, as attackers treat AI access as a financial resource to run up massive bills for the victimized business.

• The UK economy grew by 0.4% in the second quarter, with growth in June offsetting a stagnation in May despite geopolitical tensions involving Iran. • Ofwat has authorized five English water companies to increase household bills to fund £3.4bn in infrastructure spending for datacenters, housing, and chemical removal. • Southern Water will see the most significant impact, with average bill increases of £43 in the 2027/28 financial year and £37 in 2029/30.

• The U.S. Treasury's Financial Crimes Enforcement Network (FinCEN) has issued a final rule eliminating beneficial ownership information (BOI) reporting requirements for U.S. companies and persons. • This decision comes more than two years after the Treasury first began accepting BOI reports under the Corporate Transparency Act. • While the reporting mandates are removed for these entities, the Corporate Transparency Act itself remains active on the books.