WION’s Business Desk brings you this daily round up of global stories from the world of business and economy.
UAW reaches agreements with Detroit automakers, ending strikes
After a six-week-long campaign of coordinated strikes, the United Auto Workers (UAW) and General Motors (GM) reached a tentative agreement on Monday, marking the end of the unprecedented strike against Detroit’s “Big Three” automakers. This labour victory follows similar deals made between the UAW and Ford Motor and Chrysler-owner Stellantis, signifying a turning point for auto workers who have endured stagnant wages and concessions since the 2008 financial crisis.
U.S. antitrust trial: Google CEO Sundar Pichai defends default search status
Google CEO Sundar Pichai appeared before the U.S. antitrust trial on Monday and conceded the significance of making Google the default search engine on various devices to retain user loyalty. This admission is central to the ongoing antitrust case, which questions Google’s multi-billion-dollar payments to secure its default status on laptops and smartphones.
India’s stock market may decline by 25 pc if BJP loses 2024 elections: Jefferies
India’s equity markets could face a significant downturn if the ruling Bharatiya Janata Party (BJP) does not secure victory in the upcoming national elections in 2024, warns Chris Wood, the global head of equity strategy at Jefferies LLC, Bloomberg reported on Monday. Comparing the potential impact to the BJP’s unexpected loss in 2004, Wood stated that he anticipates a correction of 25 per cent or possibly more in the stock market if the BJP doesn’t retain power.
X’s valuation takes a dive, falls from $44 billion to $19 billion
X, formerly known as Twitter, which distributed stock grants to its employees recently, has revealed a big drop in its valuation. The company’s value has plummeted to approximately $19 billion. This figure marks a stark 55 per cent decline from the staggering $44 billion that tech mogul Elon Musk paid to acquire the company merely a year ago.
New York Times tech workers stage half-day strike over return-to-office rules
Tech employees at The New York Times have organised a half-day strike, protesting the publisher’s unilateral push to bring them back to the office. The work stoppage commenced at 1 p.m. ET and saw nearly 700 workers participate in demonstrations conducted on Zoom and outside the newspaper’s Manhattan headquarters.
Check Point software thrives amid rising cyberattacks in Israel: Report
Check Point Software Technologies, based in Israel, has reported a surge in cyberattacks in the wake of the October 7th raids by Hamas. Despite the increase in cyber threats, the company continues to operate as planned and anticipates higher annual profits than previously projected. Check Point revised its 2023 adjusted EPS estimate, raising it to a range of $8.20 to $8.40, up from the previous estimate of $7.70 to $8.30.
Japan’s factory output growth slows, adding uncertainty to economic outlook
Japan’s factory output saw a weaker-than-expected increase in September, underscoring concerns about the nation’s export-dependent economy. According to Reuters, government data revealed that industrial production in Japan rose by a mere 0.2 per cent in September compared to the previous month, as demand significantly decelerated. This figure fell short of the market’s median forecast, which predicted a 2.5 per cent gain in September, after a 0.7 per cent decline in August.
Auto industry executives acknowledge Electric Vehicle market challenges
Industry leaders in the automotive sector have recently voiced apprehension regarding the feasibility of their proposed electric vehicle (EV) plans. These executives have acknowledged the challenges that lie ahead and the obstacles that must be overcome to bring their ambitious projects to fruition. Many are sceptical about the future of EVs, including General Motors, Mercedes Benz and market leader Tesla.
Siemens Energy considers sale of stake in Indian affiliate to Siemens AG
Siemens Energy AG is deliberating to sell a significant portion of its 24 per cent stake in a publicly-traded Indian affiliate to its former parent, Siemens AG. This potential move is part of Siemens Energy’s efforts to fortify its balance sheet. The current value of these shares is approximately €3.3 billion ($3.5 billion). It is worth noting that Siemens AG already owns a majority stake of 51 per cent in the Indian business.
Decoding China’s economy: Business activity contracts in October
China’s economic challenges are mounting as its manufacturing activity unexpectedly contracted in October. The official purchasing managers’ index fell to 49.5 in October from 50.2, dipping back below the 50-point level demarcating contraction from expansion. This decline underscores the formidable task facing Chinese policymakers as they grapple with a slew of domestic and global challenges.