Hi there, this is your daily ☕️ Finpresso.
In today's newsletter:
🤝 US and China cut tariffs on $30B of goods
🍎 Apple hit with record $5.7B patent verdict
🏦 Nubank in talks to buy Monzo for £10B
🪙 Northern Star turns down $27B gold Fields offer
⚖️ States can regulate prediction markets
Plus: 🌍 9 macro news, 🏢 9 corporate news, and 📑 6 research & reports.
| 🤝 US and China cut tariffs on $30B of goods LINK |
- The US and China agreed to cut tariffs on $30 billion of each other's goods, part of an eight-point accord reached after Xi Jinping's three-day Washington visit, with China's Foreign Ministry announcing the reciprocal deal Saturday.
- Treasury Secretary Scott Bessent said the two sides extended their trade truce by two months beyond its original November 10 expiry, and will set up a trade council to implement commitments made during earlier talks in Kuala Lumpur.
- The deal also opens structured AI talks, with a communication channel for incidents and a next round in November, as Washington keeps advanced-chip export controls limiting Chinese firms' access to Nvidia hardware.
| 🍎 Apple hit with record $5.7B patent verdict LINK |
- A federal jury in San Diego has ordered Apple to pay more than $5.7 billion to Taction Technology, finding the company infringed two patents behind the vibration feedback in its iPhones and Apple Watches.
- The dispute centers on Apple's "Taptic Engine," which Taction alleged copied its tactile transducer technology without a license; Apple plans to appeal, saying it "does not use Taction's technology."
- Taction first sued in 2021 and saw the case dismissed in 2023 before it was revived on appeal; the seven-person jury deliberated two days but did not find Apple's infringement willful.
| 🏦 Nubank in talks to buy Monzo for £10B LINK |
- Nubank is in talks to acquire U.K. digital bank Monzo in a deal that could value the FinTech at up to £10 billion ($13.2 billion), the Financial Times reported, citing people familiar with the matter.
- A takeover using cash and shares is one of three options on the table, valuing Monzo between £8 billion and £10 billion; alternatives include selling up to a 15% stake to private equity or a "venture capital-style" funding round with smaller investor stakes.
- A sale to Nubank, valued at $65 billion with 140 million customers across the Americas and now expanding via a U.S. banking license, would be a setback for the London Stock Exchange, which has been courting Monzo for a listing.
| 🪙 Northern Star turns down $27B gold Fields offer LINK |
- Australia's Northern Star rejected a $27 billion takeover proposal from South Africa's Gold Fields, telling the suitor Friday it would not engage further after its board unanimously deemed the cash-and-shares offer far too low.
- Gold Fields offered 0.3125 of its shares plus A$7.25 cash per Northern Star share, valuing the target at A$38.7 billion ($27.15 billion) when received September 14, a 22% premium, but that had slipped to A$36.1 billion by last Friday.
- Northern Star shares jumped more than 9% Monday after the rebuff, with the board calling the bid "highly opportunistic" and flagging concerns that most of the payment would come in Gold Fields stock rather than cash.
| ⚖️ States can regulate prediction markets LINK |
- A federal appeals court ruled on Friday that Ohio and Tennessee can apply their gambling laws to sports-related contracts on prediction markets like Kalshi, a second major legal setback for the industry as a Supreme Court fight looms.
- The 6th Circuit's unanimous three-judge panel rejected Kalshi's argument that its sports contracts are financial swaps overseen solely by the federal CFTC, siding with states that treat the offerings as sports betting subject to their own rules and taxes.
- The decision leaves prediction platforms with two appeals-court losses, after the 9th Circuit backed Nevada last month, while the 3rd Circuit ruled the opposite way for New Jersey in April, a split now before the Supreme Court after New Jersey's petition this month.
🌍 Macro News
- Brent surged after Trump rejected Iran’s ceasefire offer, gaining 18% this month. LINK
- US lawmakers introduced a bill barring Chinese optical transceivers in sensitive government systems. LINK
- Treasury yields rose as oil-fueled inflation fears drove a global bond selloff. LINK
- SEC says functional crypto networks’ buybacks avoid securities rules absent promised returns. LINK
- US and China agreed to AI dialogue and an emergency line for serious incidents. LINK
- Fed plans higher thresholds for stricter bank oversight, easing compliance burdens. LINK
- Japan’s 10-year yield neared a 30-year high amid inflation and rate-hike bets. LINK
- Gas supply tightness may persist through next summer, threatening prolonged demand destruction. LINK
- Senate procedural defeat collapsed the crypto market-structure bill amid bipartisan opposition. LINK
🏢 Corporate News
- Court upheld the ban on Anthropic government contracts, citing national-security supply-chain concerns. LINK
- OpenAI paused top-model training after an agent escaped its sandbox and accessed the internet. LINK
- Ellison pledged another $9.2 billion in Oracle shares as loan collateral. LINK
- NIO shares rose after Geely took a 30% stake in its battery-swap business. LINK
- British AI cloud firm Nscale raised $3.36 billion before an anticipated US listing. LINK
- Tether disclosed limited EQIBank exposure despite holding some assets with the lender. LINK
- SpaceX president Shotwell plans the first major insider share sale since the IPO. LINK
- Crusoe canceled a $1.25 billion turbine deal with Boom Supersonic for AI facilities. LINK
- Riot repaid Coinbase’s $200 million credit facility, freeing pledged Bitcoin, USDC and cash. LINK
📈 Stocks
| ▲ Biggest winners |
| Viavi Solutions rose 9% after its Aerospace and Defense division achieved Level 2 CMMC cybersecurity certification. LINK |
| Credo Technology Group Holding rose 8% after reporting Q1 FY27 revenue of $479 million, up 114.7% year over year and above forecasts. LINK |
| Tower Semiconductor rose 6% after Mizuho Securities initiated coverage with an Outperform rating and $300 price target. LINK |
| ▼ Biggest losers |
| Zscaler fell 10% after Chief Revenue Officer Mike Rich stepped down for personal reasons. LINK |
| SailPoint fell 7% after Q2 revenue of $309 million missed the $310.4 million consensus estimate. LINK |
| GameStop fell 7% after Q2 net sales slid 19% year over year to $790.2 million. LINK |
📑 Research & Reports
- China has over 24 gigawatts of data-center capacity, exceeding Europe and Asia. LINK
- BlackRock sees major cloud providers’ annual revenue topping $1 trillion by 2030. LINK
- Economists expect AI adoption to accelerate but question data-center job creation. LINK
- Goldman sees on-site generation supplying 25% of data-center power by 2030. LINK
- Middle-market CFOs prioritize cash flow as the working-capital index records its first decline. LINK
- Global funds ended a four-year China underweight, returning to benchmark-neutral positions. LINK