Latest Developments

North America
CNBC Finance

Lululemon cuts annual outlook, citing 'negative' media commentary and disappointing product launches

The athletic apparel retailer lowered its full-year guidance and issued a weak current-quarter outlook on Thursday as interim CEO Meghan Frank blamed "negative commentary in the media" and recent product launches that failed to wow shoppers. "We experienced spikes of negative commentary in the media and on social channels with regard to our brand, which had an impact on traffic and overall top line performance," Frank told analysts during the company's earnings call while explaining why the company's performance declined at the end of its fiscal first quarter. "And second, not all of our product launches have met our expectations. While we've had several successful launches so far this year, we've seen others as we start Q2 not generate the anticipated guest response." When pressed on what specific negative commentary led to a decline in sales, Frank pointed to Lululemon's proxy contest with founder Chip Wilson, who was outspoken in his criticism of the brand, as well as "questions about the composition" of some of its products. "These stories have died down and subsided," said Frank. "But we have not yet seen a return to our pre-disruption ... trends." She said the company is "not sitting still" and is "moving with urgency to make the necessary adjustments to reaccelerate momentum, particularly in North America." The company's shares dropped 11% in extended trading following the report. Lululemon's stock has plunged about 40% this year as of Thursday's close. Lululemon is now expecting fiscal 2026 sales to be between $11 billion and $11.15 billion, down from a previous range of between $11.35 billion and $11.50 billion. Analysts were expecting full-year sales of $11.48 billion, according to LSEG. Lululemon also cut its earnings guidance by more than $1 per share. It's now expecting earnings per share to be between $10.95 and $11.15 for the year, down from a previous range of $12.10 to $12.30. Analysts were expecting $12.30 per share, according to LSEG. The current quarter doesn't look much better. Lululemon is expecting sales to be between $2.45 billion and $2.48 billion, below expectations of $2.60 billion, according to LSEG. It's expecting earnings per share to be between $1.76 and $1.81, well below expectations of $2.68, according to LSEG. While Lululemon's guidance failed to meet forecasts, it did beat expectations on the top and bottom lines during its fiscal first quarter, albeit on expectations that have come down significantly since the retailer last reported earnings. Here's how the company performed compared with what Wall Street was anticipating, based on a survey of analysts by LSEG: The company's reported net income for the three-month period that ended May 3 was $195 million, or $1.69 per share, compared with $314.6 million, or $2.60 per share, a year earlier. Sales rose to $2.47 billion, up about 4% from $2.37 billion a year earlier. Comparable sales grew 1%, better than expectations of 0.4%, according to LSEG.

Lululemon cuts annual outlook, citing 'negative' media commentary and disappointing product launches
North America
CNBC Economy

The May jobs report will be released Friday. Here's what to expect

The stronger-than-expected start this year for job creation could be in for a reality check when the Bureau of Labor Statistics releases the May nonfarm payrolls report Friday. Economists surveyed by Dow Jones expect the employment rolls to show that just 80,000 jobs were added during the month, which would mark a notch step down from the average of 150,000 over the prior two months, including 115,000 in April. Moreover, some prominent Wall Street voices think the month could feature some catch-up for a labor market that was teetering at this time last year, with risks to the downside for the headline number. "We're continuing to hear and see the low-hire, low-fire sentiment, which is that if you have a job, it's OK right now," said Laura Ullrich, director of economic research at Indeed Hiring Lab. "People are continuing this kind of job-hugging trend. But if you're looking for a job, it's a very hard time to find a job because hires are so low." Ullrich added that she "wouldn't be surprised" if the May number comes in at or below consensus. BLS data earlier this week showed a surprise jump in job openings for April, but the level of those quitting their jobs is at its lowest since August 2020, during the pandemic era. The consensus sees the unemployment rate holding steady at 4.3%. "From a macro point of view, we're going to see stagnation, because if people aren't leaving jobs and they're not creating new jobs, it's just a quite stagnant market," she said. Around Wall Street, expectations are muted as economists expect that mild weather and other seasonal factors helped boost the prior numbers other than in February, which saw a decline of 156,000 — the only negative month of the year. May saw a total 97,006 planned reductions, a 16% increase from April and the highest total for the month since 2020, when the Covid pandemic saw massive job cuts, according to Challenger, Gray & Christmas. The highest May prior to that was in 2009, around the nadir of the global financial crisis. Moreover, the firm said artificial intelligence-related announced job cuts totaled 38,242, the highest single-month total since Challenger began collecting the data about three years ago. Initial jobless claims last week posted their biggest total since early February. Goldman Sachs is expecting payroll gains of just 60,000, noting that "big data indicators of job growth we track slowed" during the month. Vanguard chief economist Adam Schickling is forecasting a mere 20,000 "as we expect a partial unwind from the strong [January]-April jobs numbers that were biased by unseasonably warm and dry weather." Likewise, EY-Parthenon is expecting growth of 50,000, which according to most estimates now is enough to keep the unemployment rate little changed from its current level, with perhaps a slight upside bias. "The step down reflects some payback from earlier weather-related strength and a still-cautious hiring backdrop," Gregory Daco, the firm's chief economist, said in a note. "We expect the unemployment rate to edge higher to 4.4%, consistent with a labor market where labor demand and supply have slowed in sync."

The May jobs report will be released Friday. Here's what to expect
Europe
BBC Business

Driving test booking rules tightened after thousands of no shows

Learner drivers are now only able to swap their test to the three centres nearest to their original booking location in a bid to cut down waiting times. It comes as official figures shared exclusively with the BBC suggest no-one turned up to take 64,500 practical driving tests last year. The average wait for practical driving tests across Britain is longer than five months. The new rules will stop learners booking the soonest test available anywhere, then making a series of swaps to get a slot closer to home. Learner driver Emma told the BBC she was waking up at 05:30 every Monday to try to book a test only to find herself in a queue of thousands. She now has a test in seven months' time. In England the wait time for a driving test is 22.7 weeks, Scotland 22.9 weeks and in Wales 17.3 weeks, according to figures provided to the BBC by the Driver and Vehicle Standards Agency (DVSA) for April 2026. Last year, 1,998,608 driving tests were booked in the UK but no one turned up for 64,500 of them meaning 3.2% were wasted, according to the DVSA. Some of these were booked by third party resellers using bots with the intention of charging inflated prices but were unable to sell them, the BBC understands. The number of no shows last year was higher than the 52,000 recorded the previous year. Emma, not her real name, is 21 and has been learning to drive in West London for nearly a year. "Some of my friends who need to drive for work were booking tests at test centres not local to them in areas that they hadn't really driven before...just so that they could get the test and just try and pass as fast as they could," she said. Emma managed to book a test near to where she lives but it is not for seven months. "I'm then paying for lessons every week, which is fine, it's good to have the practice, but when you've got so long until your test, it's just a little bit of a waste of money and a massive time burden," she said.

Driving test booking rules tightened after thousands of no shows
Europe
BBC Business

Tech stocks plunge in Asia after record rally and renewed Middle East attacks

South Korea's stock market was forced to halt trading for 20 minutes after the Kospi index plunged by nearly 9% within minutes of Monday's opening. The halt is part of a circuit breaker mechanism designed to prevent panic trading and was triggered for the third time this year after a sharp sell-off in technology stocks. Japan's Nikkei 225 index slid by around 4.5% - the most in three months - as shares of major tech companies fell. Oil prices also rose on Monday, fuelling concerns of inflation, after Iran and Israel exchanged strikes for the first time since a ceasefire was agreed between the sides and the US in April. Traders are nervously watching a "messy mix" of several shocks to the market mainly tied to the tech sector and accelerated by rising energy prices, said chief investment strategist Charu Chanana from Saxo. Tech stocks have seen a strong run in recent weeks, but investors are "repositioning" over fears the investments into artificial intelligence may be overvalued, she said. Markets like the Kospi and Nikkei are particularly exposed to such shocks given their exchanges are dominated by tech stocks. The losses follow a sharp drop on Wall Street on Friday, where a sell-off in tech stocks saw shares on the Nasdaq lose about 4% - its biggest drop in more than a year. Part of the decline on Friday followed fears of a hike in US interest rates, due to a lower-than-expected US unemployment rate in April as well as persistently high inflation linked to the war in the Middle East. Trading in South Korea has resumed since the circuit breaker was triggered, with the Kospi index down by about 7.9% in the early afternoon. The share prices of major South Korean tech companies were sharply lower, including those of chipmakers Samsung and SK Hynix. South Korean President Lee Jae-myung said on Monday that the stock market was expected to experience volatility but he believed domestic shares were still "slightly undervalued".

Tech stocks plunge in Asia after record rally and renewed Middle East attacks
Europe
BBC Business

M&S launches new traineeship for 1,000 young people

Marks and Spencer is launching a new training scheme for young people trying to get on the career ladder in a bid to tackle the "growing youth unemployment challenge". Aimed at 16 to 24-year olds, it will create 1,000 training places in the UK and Ireland over the next 18 months. M&S said the paid scheme was intended to help tackle the rising number of young people not in employment, education or training, or Neets as they are known. The latest official figures show more than a million young people are Neets - the highest level in more than 12 years and equating to roughly one in eight young people. Last month, a key review warned one in six would be Neet in five years if action was not taken. The review found job and career opportunities for those hoping to enter employment were "not growing, they're shrinking". Its author, former minister Alan Milburn, warned of a potential "lost generation". It said there was no one single factor causing the crisis, citing the Covid-19 pandemic, smartphones, health issues and the current jobs market, which has seen a sharp drop in the number of entry-level positions. High Street retailers and hospitality businesses such as restaurants, cafes and pubs often offer the first experience of work for many. M&S said its new scheme would provide six months of training, with successful participants then receiving further training to become a store manager. Retail director Thinus Keeve said: "We want more young people to see retail not just as a first job, but as a career with real opportunity, real responsibility and real progression... "This programme is about opening doors for the next generation and giving talented young people the chance to thrive." Over the weekend, the government announced a partnership with industry and trade unions examining how artificial intelligence (AI) affects entry-level roles.

M&S launches new traineeship for 1,000 young people
Asia
The Hindu BusinessLine

Indian AI startups pitch for funds from venture capitalists in US: Anirudh Arun

More Indian startups in the artificial intelligence sector are raising funds from the US where investors have taken note of a good rate of return on investments and the Government of India’s drive to develop advanced technologies both for the domestic and international markets, an AI startup said. “We are seeing an increasing number of Indian AI companies pitching for funds in San Francisco, where venture capitalists and equity investors have been closely monitoring the potential of innovations created in India,” said Anirudh Arun, CEO and Founder of Agentic Universe, a Bangalore-based AI company focused on banking, finance services and insurance (BFSI) products. He has also called for more support from Indian venture capitalists, especially to help Indian startups raise funds and go global. “Our applications are appreciated in the global markets, and investing in India also offers investors a good rate of return,” he highlighted. Arun pointed out that the Indian government-initiated AI Mission, incentives, and campaigns like “Make for the World” strongly support innovations created in India for both large domestic and international markets. Agentic Universe, among leading Indian startups working on AI applications, is expected to complete $10 million second fund raising by end of this year for scaling its capacity. “We are already running out of cloud capacity, and the new fund is to scale infrastructure for global enterprises,” said 23-year-old Arun who has spent three years on building his startup on USD165,000 raised as seed money in 2023. “We are trailing demand amidst growing markets driven by technology upgrades and AI-adoption by enterprises,” said the Manipal University minted technologist who sees Indian tech groups increasing collaborations with Silicon Valley and American funds. “Our domestic and global markets are set for double-digit growths while we are accelerating AI development programs to cope with demands,” he said of AI business prospects given the latest AI applications will be transforming the global economy in the coming decade. Speaking at SuperAI 2026 over the weekend, Arun believes the current geopolitical issues are short-term and MNCs will use the most advanced technologies to accelerate plans to rebuild global economies despite the West Asia conflict. Over 700+ startups applied, 10 pitched, five made it to the final at the exhibition and conference held June 10-11 attended by 10,000 trade visitors. 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.

Indian AI startups pitch for funds from venture capitalists in US: Anirudh Arun
North America
CNBC Finance

Soaring stocks created 2 million new millionaires around the world last year

Soaring stock markets created nearly 2 million new millionaires around the world last year, with the ultra rich seeing the strongest growth, according to a new study. The population of global millionaires surged 7.9% to 25.3 million in 2025, according to the Capgemini World Wealth Report. Their total wealth increased by 8.7% to $98.3 trillion, marking the fastest growth in five years. At the same time, a wealth gap between millionaires and the ultra wealthy continues to widen. The increasing wealth of millionaires — defined by Capgemini as those with $1 million or more in investible assets, excluding primary home, collectibles and consumer goods — was outpaced by the growth of so-called "ultra-high-net-worth individuals (UHNWI)," or those with $30 million or more. The population of UHNWIs grew 9.4% in 2025, to 250,000, and their fortunes rose 9.7%, according to the report. UHNWIs now represent 1% of the overall millionaire population, but they hold 35% of all millionaire wealth, according to the study. Gareth Wilson, global banking industry lead at Capgemini, said one reason the ultra wealthy are outpacing millionaires is their access to higher-returning private investments. "They have access to investments and opportunities that aren't afforded even to the millionaires next door, whether it be pre-IPO investments or private markets," Wilson said. "When you look at those individuals who have investable assets at that scale, they probably have more influence in terms of access to some of the hedge funds, access to the private markets, and they're probably afforded access to some other kind of pre-IPO investments that us mere mortals probably don't even know about." Geographically, the U.S. continues to power much of the global millionaire growth. The U.S. added 730,000 new millionaires in 2025, bringing the total U.S. millionaire population to 8.73 million, according to the report. Their fortunes surged by nearly $3 trillion to $31.3 trillion. Asia also posted strong growth, with its millionaire wealth up 10.5% and millionaire population up 9.4%. While China had been the main growth engine for Asian wealth for years, Korea and Taiwan are now leading Asian wealth creation, as the Korean stock market surged 76% last year and semiconductor stocks powered Taiwanese markets higher. Asia's total millionaire population reached 8.3 million in 2025, according to the report. Europe's millionaire population grew 6.5%, while Latin America's rose 0.3% and the Middle East saw a decline of 1.4%. When it comes to their investments, the world's millionaires are increasing their holdings of stocks. They held an average of 25% of their portfolios in stocks in 2025, up from 22% in 2024 — most likely due to rising share prices. Their share of alternatives declined to 12% from 15% and their cash holdings also fell to 24% from 26%. Their holdings of fixed income increased from 18% to 20% and their real estate investments remained flat at 19%. The increased holdings of stocks and drawdowns in cash point to a continued "risk on" attitude among millionaire investors. With markets coming off three years of double-digit gains, investors are more fearful of missing out on a bull run than they are of losses. "The equities performance is encouraging the movement from lower-risk to higher-risk investments," Wilson said. "I would say we've probably seen an increase in the risk appetite, and we've also seen the high-net-worth individuals follow the money in terms of equity performance."

Soaring stocks created 2 million new millionaires around the world last year
North America
CNBC Finance

As the largest World Cup ever kicks off, health officials are focused on more than Ebola

As athletes and millions of fans gear up for the FIFA World Cup starting next week, global health officials are preparing for a high-stakes challenge of their own: protecting against infectious diseases. For the first time, the tournament will span 16 host cities across three countries — the United States, Canada and Mexico — and feature 48 teams, making it the largest World Cup in history. The event also comes amid an Ebola outbreak in Congo and Uganda that the World Health Organization has designated a "public health emergency of international concern." Despite those worries, the risk of widespread Ebola transmission during the tournament is low, infectious disease experts told CNBC. Public health departments, hospitals and other partners are also well equipped to respond to a range of potential threats — even after sweeping cuts to critical federal agencies and the U.S. exiting from the WHO under the Trump administration. "Ebola and hantavirus, I worry about a lot less," Dr. Shruti Gohil, the associate medical director for University of California, Irvine Health Epidemiology and Infection Prevention, said in an interview. "The overall likelihood of risk is not nonzero, but it's low, very low, because it is not easy to transmit person to person." Instead, experts say more contagious threats could pose greater challenges during the tournament and other large events this summer, particularly because international visitors could move through multiple venues and cities in a matter of days. Those threats include measles — one of the world's most contagious diseases — as well as respiratory viruses such as Covid-19 and influenza. The concern comes after the U.S. recorded its highest number of measles cases in decades last year, driven in part by growing vaccine hesitancy and declining immunization rates. Some experts also pointed to arboviruses spread by infected insects, such as dengue, while others highlighted heat-related and foodborne illnesses as notable risks beyond infectious diseases. Preparing for the World Cup has involved scaling up existing programs, such as wastewater monitoring, and adding new tools to track infectious disease threats. Those systems will face their first major test when the tournament kicks off on June 11, but public health officials say they are ready to take on the challenge. "Public health prides itself in being the invisible shield, but I don't want that to get lost in the actual Herculean effort it takes to have an operational invisible shield, so that people can enjoy events like the World Cup and feel safe and secure in their public health when they're here," said Dr. Theresa Tran, director for the Houston Health Department. "That's a system that I'm extraordinarily proud about … we are absolutely working so hard every single day in preparation for things like this," said Tran, who is overseeing the response in a host city. Ebola does not spread as easily as Covid and other respiratory diseases, making it less of a threat during the World Cup despite the growing outbreak, experts said. Global health authorities have confirmed more than 260 cases and are investigating 1,100 more possible infections in Congo and Uganda, according to the WHO. The current strain of Ebola, the Bundibugyo virus, is an often fatal form of the disease with no approved treatment or vaccine.

As the largest World Cup ever kicks off, health officials are focused on more than Ebola
Asia
The Hindu BusinessLine

Officials survey farms around Tata iPhone parts plant after water pollution warning

Under the lens. The Tata Electronics plant in Hosur, Tamil Nadu, which makes Apple iPhone components Indian ​officials stepped up government checks on farmland surrounding Apple supplier ⁠Tata’s iPhone parts factory near Bengaluru on Monday, after Reuters reported state authorities found discharge from the plant had contaminated groundwater. Tata Electronics is central to Apple’s push to diversify iPhone ‌making beyond China. The plant facing scrutiny is located in Hosur, 25 miles south of tech hub Bengaluru, and makes back ‌panels and other components for iPhones. Tamil Nadu’s pollution ⁠body has warned Tata of a forced shutdown unless it explains ⁠why the body’s inspections between December 2025 and May 2026 found that wastewater discharge was affecting open wells in adjacent agricultural lands, Reuters reported on Saturday. Tata says its independent analysis determined ​it was in compliance with regulatory ‌norms and it was “committed to responsible business practices and protection of the environment and local communities.” Reuters reporters on Monday saw a team of three district administration officials, who oversee agricultural land issues, surveying the fields, walking ‌behind the Tata factory with farmers who had expressed concerns about ​alleged water odour and contamination due to discharge from the factory. “We are here to assess the situation,” district official N. Velu ⁠told Reuters, declining to elaborate. One farmer near the Tata plant, P. Pushparaj, told Reuters on Monday he had filed a complaint with authorities after observing ‌discharge from the plant was “dirty and had a bad smell”, adding he suspected it affected his crops. Tata and Apple did not immediately respond to Reuters queries. Reuters is first to report on Monday’s government scrutiny. The state pollution control body has said Tata discharged wastewater into a rainwater harvesting ‌pond inside its facility and that the pond overflowed to contaminate “groundwater in the open wells ​located in the adjacent agricultural lands”. The Tata notice adds to a series of issues that have dogged Apple’s India supply chain. ⁠A fire at Tata’s Hosur plant in September 2024 halted iPhone component production ⁠briefly, while a fire in September 2023 at former supplier Pegatron’s iPhone plant shut production for days. In 2024, a Reuters investigation found ‌that major Apple supplier Foxconn systematically excluded married women from iPhone assembly jobs at one of its plants in India, although the company said ​at the time that it complied with all laws.

Officials survey farms around Tata iPhone parts plant after water pollution warning