Latest Developments

North America
CNBC Finance

GM launching new customer software experience with redesigned Chevy, GMC pickups

DETROIT — General Motors is releasing a new in-vehicle information and entertainment software experience for its customers, beginning later this year with its redesigned Chevrolet Silverado and GMC Sierra pickup trucks, it said Tuesday. The Detroit automaker is touting the new user interface, controls and software as offering convenience and customization similar to a smartphone. The new system comes as vehicles are becoming more digital. GM has also revamped its organizational processes to put its digital experience operations under design rather than software, led by former Apple and Google executive Sebastian Bauer. "This was all part of a very strategic, very intentional restructuring to ensure that we are best positioned to create the best possible customer experience," Bauer, GM executive director of human interface design, told CNBC. "Our job is to make sure that we reduce cognitive load, and we give people the information that they need to see at the moment when they see it." For example, GM designed the system to proactively surface relevant controls without requiring drivers to navigate several screens or menus. That can apply to opening or closing a garage door, answering a call or other functions. The system will also launch the most significant visual upgrade for GM's Super Cruise advanced driver-assistance system, including by showing objects, such as other vehicles or pedestrians, on the driver cluster screen. The "hands-free" system did not previously provide the surroundings as many other non-GM vehicles do. "It's making sure, especially as you are in a hands-off situation, that you understand that the vehicle sees what is happening around it," Bauer said. Another major update is how the vehicles will operate with popular Apple CarPlay and Android Auto phone projection systems, which have previously caused problems for many automakers. Instead of the Apple or Android systems taking over the entire screen, which can make it difficult to get back to other in-vehicle features, they show on part of the screen, allowing both systems to operate as needed for drivers. Those issues with the third-party programs have been included in third-party surveys such as J.D. Power's 2026 U.S. Vehicle Dependability Study. The study found that infotainment and connectivity remain the least reliable parts of the vehicle across the U.S. automotive industry. "The thought here is that these should coexist and you should get the best of both worlds," Colin McCormick, a GM product manager overseeing in-vehicle phone projection, said during a demo of the system in a new GMC Sierra. "We're constantly working with Google and Apple on what else we can bring to make this even better." GM said the system is expected to expand "across the broader portfolio" of the company's vehicles over an undisclosed amount of time.

GM launching new customer software experience with redesigned Chevy, GMC pickups
North America
CNBC Finance

Novo CEO tells CNBC why drugmaker is rebranding, needs to 'rethink' obesity strategy

Novo Nordisk on Monday said it is rebranding its name to "Novo" and updating its corporate culture, as the company works to win back market share in the obesity drug space. The Danish drugmaker called the changes the beginning of a new chapter, as it has been grappling with stiff competition from chief rival Eli Lilly and investor pressure to deliver new blockbuster products and chart a path toward long-term growth. Novo is preparing to detail its business strategy changes during its Capital Markets Day event on Sept. 21. In an exclusive interview with CNBC, Novo CEO Mike Doustdar said the rebrand and culture shift are "part of the same package" for the company to evolve its strategy as it tries to win back customers from Lilly. "I think there's no secret that over the last four or five years, the external environment and what has happened to Novo Nordisk has really made us reflect how we need to readjust and rethink about the next decade to come and what shifts are needed in our strategic direction," he told CNBC. Doustdar said the "work is cut out for us," adding that Novo needs to improve several aspects – from research and development and manufacturing to sales and marketing – to be able to compete in the obesity drug market. Shares of Novo have dropped about 15% this year despite the successful launch of the oral version of Wegovy, which surpassed 3 million prescriptions as of June. The company recently scrapped three trials on an experimental cardiovascular drug. That challenge came as it continues to lag in the obesity space with 38.8% market share compared to Lilly's 60.9% in the second quarter, according to a Lilly earnings presentation citing IQVIA data. In a release, Novo also announced a broader company rebrand focused around the phrase "Lasting Health Starts Now," which promotes the idea that patients should make progress toward long-term well-being immediately rather than later. The company said the marketing is a bid to build relevance and trust with the public and other stakeholders, and bring "breakthrough science closer to people's daily lives." When asked whether the rebrand and cultural overhaul were driven by Novo's recent market share losses in obesity, Doustdar said the changes were less about competitive setbacks and more about adapting to a dramatically different operating environment. He said the rapid growth of obesity treatments has transformed Novo's patient base and shifted the market toward a more consumer-oriented model, where patients move on and off therapies more frequently than in traditional diabetes care. As a result, Doustdar said Novo needs to become more focused on meeting patients where they are, while increasing the speed and clarity of its decision-making to keep pace with the evolving market. "Our operating environment phenomenally changed compared to just 10 years ago," he told CNBC. Novo Nordisk will remain the legal name for the company, according to the release. That original name dates back to the 1989 merger of two competing Danish pharmaceutical companies: Novo Terapeutisk Laboratorium and Nordisk Insulinlaboratorium. The drugmaker said its corporate culture will be based on a new set of four principles that will help it gain advantages in an increasingly competitive market where more of its products have gone direct-to-consumer.

Novo CEO tells CNBC why drugmaker is rebranding, needs to 'rethink' obesity strategy
Europe
BBC Business

Warren Buffett steps down after six decades at Berkshire - 'Father Time always wins'

Image source, Getty ImagesImage caption, Howard Buffett's main duty as chairman will be guarding the firm's "culture and values." Warren Buffett has stepped down as chairman of Berkshire Hathaway, handing over leadership to his son Howard in the final chapter of a long-planned transition at the US business giant. At 96, the world-famous investor will move into an advisory role as chairman emeritus and remain on the company board to offer his "judgement and perspective", according to a letter to shareholders, external. The decision comes nine months after Buffett passed the chief executive role to Greg Abel, with his son, Howard, who has been a director since 1993, taking over non-executive board duties. Known as the "Oracle of Omaha," Buffett built one of the most successful investment track records in modern history. He took control of Berkshire Hathaway in 1965 when it was a struggling New England textile mill and turned it into a $1.1 trillion (£822b), global conglomerate. Today, the business owns a wide range of well-known brands including GEICO car insurance, Dairy Queen, and BNSF railway system. It also owns large stakes in companies like Apple and Coca-Cola – a brand close to Buffett's heart, as he famously drinks five cans a day. Buffett has made his mark through "value investing" – a strategy focused on finding companies with solid fundamentals, buying them at fair prices, and holding them for decades. His annual letters to shareholders and festival-like annual meetings turned him into a leading mentor across the financial world. Despite his retirement from the top board post, the change is considered an orderly passing of the baton rather than a sudden shock. "The timing is right to complete the transition," Buffett wrote, noting he had recently celebrated his 96th birthday and the first birthday of one of his great-grandchildren, who is "moving a bit faster" than he is. While Greg Abel manages corporate strategy and capital decisions, Howard Buffett's main duty as chairman will be guarding the firm's "culture and values". A former farmer, philanthropist, and sheriff, the younger Buffett brings more than three decades of board experience to the role.

Warren Buffett steps down after six decades at Berkshire - 'Father Time always wins'
Europe
BBC Business

Flight chaos caused by 'millisecond' software defect, report says

An air traffic control failure that sparked widespread travel chaos earlier this month was caused by a "software defect" affecting the system underpinning UK air space management, the national air traffic service Nats has said. The problem happened "in the space of a millisecond", Nats said, leading to the system producing corrupted data. The failure led to more than 2,000 flights being cancelled and hundreds of thousands of passengers affected, with some sleeping on airport floors or getting stuck overseas. Nats chief executive Martin Rolfe told the BBC he would not resign, saying the software defect was "very, very obscure." "You can fly to almost anywhere from almost any airport at almost any time. If that stops, even for a moment, then you get huge disruption. "My job is to make sure that we have this happen as infrequently as possible," he added. Transport Secretary Heidi Alexander called the disruption "completely unacceptable", while industry body Airlines UK is writing to Nats to demand immediate compensation for costs incurred. The incident prompted questions over the resilience of Nats' systems, and some airlines questioned the position of Mr Rolfe. There has also been anger from passengers about how much support they got from airlines, and about the fact that they are unlikely to be entitled to compensation because the regulator judges the situation was extraordinary circumstances. In an initial report, external, Nats said the software defect meant air traffic controllers had reduced information available, so restrictions were put in place to limit air traffic to maintain safety. The defect occurred at 10:00am on 8 September, but it did not become apparent this was a serious problem for another two and a half hours. The system restart did not start until just after 3:15pm, and restrictions on UK airspace were not lifted until 7:30pm.

Flight chaos caused by 'millisecond' software defect, report says
North America
CNBC Economy

Consumer outlook plunges in September as inflation outlook worsens

Consumer sentiment plunged in September amid heightened inflation fears, hitting its second-lowest level on record in the University of Michigan's monthly survey released Friday. The survey's headline index hit a level of 47.8, down 7.5% from the August reading and off 13.2% from a year ago. This was the second-lowest reading on record for data going back to 1952 — the bottom coming in May as rising prices also jolted the outlook. "Year-ahead expectations for both personal finances and business conditions plunged," Joanne Hsu, survey director, said. "With a resurgence in fuel prices and trade tensions, consumers anticipate greater pressures on their pocketbooks to come." Indeed, the one-year inflation outlook surged to 4.6%, up 0.6 percentage point from the prior level and the highest since hitting the same level in June. The current conditions index in the survey fell 1.9% from the prior month, while the expectations measure tumbled 11.1%. Bureau of Labor Statistics data also out Friday showed gasoline prices rose 3.9% in August and were up 27.4% from a year ago. Fuel oil prices soared 10.1% and were up 52% annually. Traders now see a Federal Reserve rate hike next week as a near certainty, with odds rising past 85% Friday after the BLS released its consumer price index showing inflation at 3.4% annually, far above the central bank's 2% target. Get this delivered to your inbox, and more info about our products and services. Data is a real-time snapshot *Data is delayed at least 15 minutes. Global Business and Financial News, Stock Quotes, and Market Data and Analysis.

Consumer outlook plunges in September as inflation outlook worsens
Europe
BBC Business

Trump says AI safety fears a 'hoax' as he rejects calls for greater safeguards

US President Donald Trump has said fears about the safety of AI are a "hoax", as he criticised calls to have more guardrails for the fast-moving technology. It comes after Jack Clark, a co-founder of AI giant Anthropic, told the BBC that a "kill switch" for dangerous AI that can be checked by a third party may need to be mandatory for the industry. Clark's comments followed warnings about the risks the technology poses to humanity that have been raised in recent days by several executives and staff at leading AI firms. Those concerns triggered a selloff in shares of some tech firms on Monday as investors weighed the impact of a potential slowdown in the development of AI. In a series of social media posts on Monday, the US president compared warnings about AI to the "Global Warming Scam", that he said was "being perpetrated by the Radical Left Dumocrats". On Monday, Chinese state media said experts had warned that "Washington's growing anxiety over China's rapid AI development appears to be increasingly distorting its policy priorities". "They know that China has become a strong competitor in AI, and worry that if the US slows down development or tightens regulation, China could catch up even faster," Xin Qiang, a professor of American Studies at Fudan University, told the Global Times. Clark, who is one of Anthropic's seven founders, said earlier on Monday that a way of shutting off AI software completely if it gets too dangerous was something society "might want to eventually pass rules around". He added that "most labs have different ways of being able to pull the plug", including Anthropic, but said lawmakers may need to enforce having one. Clark's comments add to the growing number of tech industry and political figures calling for better safeguards. On Monday, Microsoft AI became the latest major company to discuss limiting the models it is developing, as it published an outline document on what it called "humanist AI". The firm's chief executive Mustafa Suleyman told business news channel CNBC that it had been working on the new guidance for months and had decided to publish it now due to the current debate around the technology.

Trump says AI safety fears a 'hoax' as he rejects calls for greater safeguards
Europe
BBC Business

Why we bought our first home with a 100% mortgage - despite the risks

Until last year, Conroy, 32, and his partner Amber, 28, saw little prospect of owning their own home. They were renting in central Manchester where they work and could not afford to save up for a deposit. Then they came across a relatively niche, and some experts say riskier, type of mortgage that offered a solution. The Track Record mortgage from Skipton Building Society covers 100% of the value of a property, with the borrower paying nothing upfront. Borrowers must meet strict eligibility checks and pay a higher interest rate - in Conroy and Amber's case 5.33% fixed for five years - but they were happy to do this. And in August they bought a four-bed home for £242,000 in Swinton on the edge of Manchester. "I don't think it's dawned on us it's really ours," says Conroy, a video editor. According to the Bank of England, the share of UK mortgages with deposits worth less than 10% of the property's value is currently the highest it has been since 2008, external when such loans were widely available. It comes as lenders such as Lloyds, Santander, Skipton and Yorkshire Building Society have launched a raft of new mortgage deals over the last few years covering upwards of 95% of the value of a property, and in some cases as much as 100%. They say they want to help first-time buyers get on the housing ladder as property prices continue to rise and while saving for a deposit remains a struggle. But these loans tend to charge higher rates, aren't available for all types of property or borrower, and come with risks customers should be aware of. Conroy and Amber, a solicitor, have a 25-year loan with monthly repayments of £1,500 - roughly what they were paying in rent. He says they feel comfortable with the higher cost because they "earn quite well" and expect their salaries to rise. But he is aware there is a greater risk of falling into negative equity with a no- or low-deposit mortgage. That is when the value of a property falls below the value of the loan still owed on it - leaving the borrower with potentially painful costs if they suddenly have to sell.

Why we bought our first home with a 100% mortgage - despite the risks
North America
CNBC Economy

Inflation persisted in August, potentially locking in a Fed interest rate hike

Prices for a wide swath of goods and services continued to climb in August, according to a report Friday that raises the specter of a Federal Reserve interest rate hike next week. The consumer price index rose a seasonally adjusted 0.4% for the month, putting the 12-month increase at 3.4%, the Bureau of Labor Statistics reported Friday. Both readings were in line with the Dow Jones consensus. However, stripping out volatile food and energy prices, the core CPI posted a 0.3% monthly gain, or 0.1 percentage point higher than forecast. The core annual rate came in at 2.4%, matching the estimate. The report is the final major inflation indicator the Fed will see before it holds its policy meeting next week, concluding Wednesday with a vote on its key interest rate. Traders responded to the numbers by ramping up bets that the Federal Open Market Committee will increase its benchmark interest rate by a quarter percentage point. Odds for a hike jumped to nearly 90%, according to the CME Group's FedWatch tracker of fed funds futures prices. "There's no guarantee that the Fed will hike next week, but it's hard to see how the central bank can justify leaving rates on hold," said Chris Zaccarelli, chief investment officer for Northlight Asset Management. Stock market futures nonetheless surged as oil prices plunged in morning trade. Treasury yields were mixed, though the policy-sensitive 2-year note jumped 4.6 basis points to 4.594%. One basis point equals 0.01%. Energy propelled the headline number higher, as gasoline prices jumped 3.9%, accounting for more than one-third of the index's gain. The energy index broadly rose 2.1% amid pressure from escalating tensions in the Middle East and was up 16.3% from a year ago. Gasoline rose 27.4% and fuel oil surged 52% on a 12-month basis. Food prices edged 0.1% higher as food at home costs held flat. The food index accelerated 2.7% annually. Another significant factor was a 0.3% climb in shelter costs, which had moderated over the prior two months. Transportation services saw a 0.5% increase. Used cars and trucks rose 0.4% and new vehicle prices were up 0.3%, part of what appeared to be broad-based gains for the index. Tariff-sensitive apparel prices were flat and motor vehicle insurance fell 0.8%. Heading into the CPI release, markets already were pricing in a nearly 70% probability that the central bank would vote to increase its benchmark interest rate by a quarter percentage point. However, there have been differing views on which way the rate-setting Federal Open Market Committee will tilt, with some speculating that the difference could come down to hundredths of a percentage point in the CPI reading.

Inflation persisted in August, potentially locking in a Fed interest rate hike
North America
Yahoo Finance

Stock Market Is 'Overdue' For An Over 10% Correction, Says BofA Ahead Of FOMC Meeting

The stock market was taking a double hit Monday from growing concerns around the AI trade and another jump in oil prices, while BofA raised its S&P 500 target to 7,400 with a warning that stocks may be “overdue for a pullback.” In a note to investors cited by TheFly, BofA equity and quantitative strategist Savita Subramanian lifted her year-end S&P 500 target from 7,100 to 7,400. The new target still implies roughly 3% downside from current levels, underscoring the bank's cautious near-term view despite the higher full-year forecast. Subramanian said stocks are entering a “seasonally weak period” and due for a correction. She noted that the S&P 500 has experienced only one 5% pullback this year, compared with an average of roughly three per year, according to BofA. It added that a correction of at least 10% typically occurs about once a year, but the last such decline came in spring 2025. The warning comes as markets prepare for the Federal Reserve's policy meeting on Wednesday. CME FedWatch data showed a roughly 87% probability of a quarter-point rate hike. The market was already under pressure Monday, with Nasdaq-100 futures falling as much as 1.8% in early trading. Semiconductor stocks were hit particularly hard. Direxion Daily Semiconductor Bull 3X Shares (SOXL) fell about 14%, marking its second double-digit decline since August 18. Oil prices provided another source of pressure Monday, with West Texas Intermediate crude for October delivery up about 2.75% near $103 a barrel. Brent crude for November gained roughly 2.7% to above $107. Despite the near-term risks, Wall Street remains broadly bullish on the S&P 500. Barclays last week raised its year-end target to 7,950 from 7,800, citing a “standout earnings season” and “AI-driven earnings durability,” while noting that higher rates could keep valuations in check. HSBC raised its target to 8,100 from 7,650, while Fundstrat's Tom Lee has an 8,000 target. That leaves BofA's 7,400 target well below several major Wall Street forecasts, even after Subramanian raised her projection.

Stock Market Is 'Overdue' For An Over 10% Correction, Says BofA Ahead Of FOMC Meeting