US economy remains resilient in second quarter; labor market tight (3 min read)

The US economy maintained a solid growth pace in Q2, with GDP increasing at 2.1% year-over-year. The labor market is still tight, with the number of new unemployment claims slightly rising. Some economists see the resilience as a potential reason for the Fed to raise interest rates in November. However, challenges like a possible government shutdown and an ongoing auto workers' strike could dim the economic outlook for the rest of 2023.

America's $1 trillion credit card bill really isn't as bad as it seems (4 min read)

The $1 trillion US credit card debt may not be as bad as it seems when considering factors like income, wealth, and credit card utilization. US consumer spending growth has remained stable, credit card utilization is low, some debt is from first-time credit card holders like Gen Z, there are significant home equity cushions, and delinquency rates are slowing. More on each is available in the article.

OpenAI and Jony Ive in talks to raise $1bn from SoftBank to build ‘iPhone of AI’ (3 min read)

OpenAI is in talks with former Apple designer Sir Jony Ive and SoftBank's Masayoshi Son to develop an AI-focused iPhone. The project, backed by over $1 billion from SoftBank, aims to create a more natural and intuitive user experience for interacting with AI. While discussions are serious, no deal has been finalized. Although the product may take years to reach the market, this collaboration also explores new possibilities as the smartphone market reaches a plateau.

Evergrande halts share trading as woes mount for China property giant (2 min read)

Chinese property giant Evergrande has randomly halted share trading on the Hong Kong stock exchange just a month after it resumed trading following a 17-month suspension. This development follows reports that Evergrande's chairman, Hui Ka Yan, has been put under police surveillance. The reasons for the surveillance are unclear but many speculate it's related to Evergrande’s massive accrued debt that has contributed to the property crisis in China.

All of Schwab’s Bond ETFs Now Cost Just Three Basis Points (2 min read)

Schwab is significantly reducing fees on its bond ETFs, making them among the cheapest in the market. The company will cut fees on its $50 million Schwab High Yield Bond ETF and $11.6 billion Schwab U.S. TIPS ETF to just 0.03%. This move brings all nine of Schwab's fixed-income funds below that threshold. While these reductions might seem small, they may lead to substantial inflows, as seen with other ETF providers in the past.

2 Excellent ETFs That Will Help You Capitalize On the AI Revolution (5 min read)

This article highlighted two notable AI-focused ETFs, the First Trust Nasdaq Artificial Intelligence & Robotics ETF (ROBT) and the Global X Autonomous & Electric Vehicles ETF (DRIV). ROBT offers exposure to hardware, software, and AI users, while DRIV concentrates on companies transforming the automotive industry with AI. ROBT is more diverse with over 100 stocks, but DRIV offers a hybrid approach, emphasizing vehicles and AI together.

24 Things I Believe About Investing (4 min read)

A financial advisor and blogger share a list of 24 things he believes about investing and mistakes investors should avoid based on his experience. Each point is just a short bullet and some of them are a great reminder for those in long-term investing.

As CD rates top 7%, experts explain how to decide between cash and stocks (3 min read)

Investing in the stock market can be intimidating due to its volatility. Although high-yield savings accounts and certificates of deposit (CDs) offer safety and currently pay rates as high as 7%, they may not be ideal for long-term growth. Many experts still suggest diversifying your portfolio in safer accounts, but not solely relying on them. The stock markets yield better returns over time and keeping money in safe accounts might lead to missed investment opportunities.

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Thomas

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