Finance News · Wednesday, 4 November 2026

Japan's Nikkei falls as much as 4.5% and the dollar slides as Democrats are projected to win both houses of the US Congress, putting the AI building boom in doubt

31 stories 50 sources

Signals on this beat

The bar and the word are our reading of how hard each one is pushing, and the arrow is where it is heading.

Money for AI getting dearer Building↑

Meta is borrowing up to $25 billion days after S&P Global warned its grade could fall. [10]
Blackstone's Jon Gray said AI building will need more money from shareholders. [11]
Tech firms now pay the most extra interest since 2003. [12]

Companies cutting jobs High↑

Schaeffler, a German car-parts maker, will cut 3,460 jobs in Europe. [13]
Virgin Media O2, a UK phone company, will cut its wage bill by 30%. [14]

Governments stepping into markets Building↑

China's state-backed funds put 76.7 billion yuan into shares on Tuesday. [15]
India's central bank made bets against the rupee dearer. [16]
Japan's state fund plans to sell JSR, a chip-chemicals maker. [17]

Shops losing shoppers High↑

David Jones, an Australian department store, has not paid rent since September. [18]
Asda's sales fell 0.5% in three months. [19]
Primark's sales in mainland Europe fell 4.7%. [20]

The stories

31 stories on this beat today.

Every story told the same way: what happened, who is involved, why it matters, how it works, the truth and the good news.

01
Japan's Nikkei falls as much as 4.5% and the dollar slides as Democrats are projected to win both houses of the US Congress, putting the AI building boom in doubt

4.5%

fall in Japan's Nikkei 225 at its worst, to its lowest since May

chip and AI shares led the fall [1]

9.1%

fall in SoftBank, which owns about 13% of OpenAI

it invests heavily in AI firms [9]

about a third

of AI data-centre spending is in Texas and Georgia

one strategist's estimate of the two states [4]

2.1%

fall in the Nasdaq 100 that trading before New York's open pointed to

Europe's Stoxx 600 pointed 1.3% lower [1]
What happened
- Japan's main share index, the Nikkei 225, fell as much as 4.5% on Wednesday, to its lowest level since May. [1]
- By the midday break in Tokyo it was down 3.56%, at 60,835.36. [2]
- Traders were selling as the AP projected that Democrats will win both houses of the US Congress. [3]
- Investors fear the Democratic gains, and new governors in Texas and Ohio, will slow the building of AI data centres. [1]
- The AP projected Democrat Gina Hinojosa beat Texas governor Greg Abbott. [3] She has pledged a pause on new data centres there. [3]
- Texas and Georgia make up about a third of all AI data-centre spending, a Moomoo strategist told Reuters. [4]
- Kioxia, a memory-chip maker, fell 11.55%. [2] Advantest, which makes chip-testing machines, fell 7.8%. [2]
- SK Hynix and Samsung, the biggest makers of AI memory chips, fell 6.5% and 5.9%. [1]
- South Korea's Kospi index rose as much as 3.2% early, then swung to a 4% loss. [5]
- Singapore's Straits Times index fell 1.4% to 5,193.61, about 11% below its September high. [6]
- India's Nifty 50 rose 0.5%, against the trend in Asia. [6]
- Before New York opened, trading pointed to a 2.1% fall in the Nasdaq 100, a measure of big tech shares. [1]
- It pointed to falls of 1.2% in the S&P 500 and 1.3% in Europe's Stoxx 600. [1]
Who is involved

Asian firms that make chips and machines for those buildings fell sharply. [1] SoftBank, which owns about 13% of OpenAI, fell 9.1%. [1]
- Gina Hinojosa the Democrat the AP projects won the Texas governor's race; she pledged a pause on new data centres
- Data centres a pause pledged
- SoftBank Group a Japanese tech investor that owns about 13% of OpenAI; its shares fell 9.1%
- SK Hynix and Samsung Electronics South Korea's biggest makers of AI memory chips; both fell
- The Associated Press a US news agency whose projections call the races
How it unfolded

The Nasdaq 100 had already fallen nearly 10% since its October record. [1]
1. October the Nasdaq 100 hits records, then falls nearly 10% [1]
2. Tue 3 Nov Americans vote for all 435 House seats and 35 Senate seats [7]
3. Tue night US share futures fall as results come in [21]
4. Wed 4 Nov the Nikkei falls as much as 4.5%, to its lowest since May [1]
Why it matters

Pepperstone's Dilin Wu said AI rules, chip export limits and data-centre energy policy could all change after the vote. [5]

How it works

Governors control zoning and building permits, so a governor can pause new data centres in a state. [1]
Economists call this irreversible investment: a build that cannot be undone waits for its rules, as Texas's may. [1]

Seen it before

A family waits to buy a house near a school until it knows the new catchment map.
The truth
- What is really going on Traders sold AI shares because they expect Democrats in the US Congress, and new governors in Texas and Ohio, to slow the building of data centres. [1]Several analysts said AI shares were already falling for weeks, so the vote added to a fall that had started before it. [4]
- The AP's calls are projections, and two Democratic-held Senate seats were still being counted. [7]
- Who pays Asia's chip and equipment makers — They sell into the US data-centre build, so a slower build delays their orders. [5]
- Nobody knows yet
  How much of the fall was the vote, and how much was AI doubts already there.
  
  Tai Hui and Jesper Koll told Reuters the AI worries began weeks earlier. [4] ING had said a Democratic win was already expected by markets. [8]
- Nobody knows yet
  Whether Texas will actually pause new data centres.
  
  Hinojosa pledged a pause, but no plan, date or law has been set out. [3]
What comes next

The US Treasury sets out on Wednesday how it will sell its debt in the coming months. [8]

02
The dollar falls to a one-month low
What happened
- The dollar fell 0.5% against its trading partners' currencies, to its lowest in more than a month. [1]
- The dollar index weighs the dollar against six other currencies. [22] Reuters had it 0.32% lower at 101.39. [23]
- The euro rose 0.4% to $1.1239, and the pound rose to $1.3464. [23]
- The Japanese yen strengthened to 158.30 per dollar in early trading. [22]
Who is involved

Carol Kong of Commonwealth Bank of Australia said a Democratic US Congress would limit government spending. [22]
- Carol Kong Commonwealth Bank of Australia
Why it matters

MUFG, a Japanese bank, said less US spending would weigh on US interest rates and the dollar. [9]

How it works

Currency economists call this the interest-rate link: lower US rates weigh on the dollar, as MUFG expects. [9]

Seen it before

Savers move money to the bank that pays more interest, and away from the one that pays less.
The truth
- MUFG said tariffs and trade stay mostly under the president's control, which limits what the US Congress changes. [9]
03
US government borrowing costs fall
What happened
- The rate on 10-year US government bonds fell nearly 5 basis points to 4.902%. [24]
- That is its lowest level in nearly two months. [9]
- The 2-year rate fell 6 basis points to 4.55%. [24] A basis point is one hundredth of one percent. [24]
- Investors bought US government bonds for safety as share prices fell overnight. [24]
Why it matters

ANZ, an Australian bank, said a Democratic US Congress makes US budget plans harder to change. [9] The budget gap may stop growing but stay large. [9]

How it works

Bond traders call a bond's return its yield. [24] A bond's yield and its price move in opposite directions. [24]
So the rush to buy bonds pushed their prices up, and the 10-year yield fell to 4.902%. [24]

Seen it before

A sought-after concert ticket sells for more, so each pound spent buys a smaller share of the show.
The truth
- Who gains Holders of US government bonds — When bond yields fall, bond prices rise, so bonds bought before Tuesday are worth more. [24]
- Nobody knows yet
  Whether the fall in US bond rates lasts.
  
  ANZ said strong US data still support more rate rises. [9]
04
Solar shares rise as tech falls
What happened
- Solar company shares rose in late trading on Tuesday as most tech shares fell. [3]
- The Invesco Solar fund, which holds shares in solar firms, was up 3% on the Robinhood app. [3]
- In South Korea, shares of solar companies also rose on Wednesday. [5]
How it unfolded

President Trump's government has taken steps against the solar industry. [3]

Why it matters

Traders bet a Democratic US Congress would halt those policies, CNBC reported. [3]
The truth
- Analyst Ed Yardeni noted that Trump has made many policies by his own orders. [21] The US Congress cannot easily block those. [21]
05
SpaceX and Tesla shares fall
What happened
- Shares of SpaceX, Elon Musk's rocket company, fell more than 6% in overnight trading. [3]
- Tesla, his electric-car company, was down more than 4%. [3]
How it unfolded

Musk said in 2024 he would move both companies' headquarters from California to Texas. [3]
Musk spent $212 million backing Ken Paxton for a Texas Senate seat. [7] The AP projected Democrat James Talarico won it. [7]
1. 2024 Musk moves both firms to Texas
2. Tuesday Texas votes for Democrats
Why it matters

Jay Woods, a market strategist, said firms that moved to Texas to escape California now face the same risk. [3]
The truth
- Those overnight prices come from the Robinhood app, before the main New York market opens. [3]
06
AMD's data-centre sales nearly double
What happened
- AMD, a US chip maker, said its sales rose 45% to $13.38 billion in July to September. [25]
- Sales in its data-centre business nearly doubled. [25] That business is now 64% of AMD's sales, up from 47% a year ago. [25]
- AMD expects about $17 billion of sales in the last three months of the year. [6]
- Its shares rose 8% in trading after the New York market closed on Tuesday. [25]
Who is involved

Chief executive Lisa Su said she expects AMD's server sales to double in 2027. [25]
- Lisa Su AMD's chief executive
How it unfolded

Intel's shares fell 29% last Friday over a weak forecast. [25]

Why it matters

Asian chip shares still fell on Wednesday, despite AMD's strong numbers. [6]

How it works

Analysts judge results against the consensus, the average forecast: AMD made $2.09 a share against $1.95 expected. [25]

Seen it before

A pupil who expected a C and got a B is happier than one who expected an A.
07
Meta borrows up to $25 billion
What happened
- Meta, which owns Facebook and Instagram, sought to borrow $20 billion to $25 billion by selling bonds on Tuesday. [10]
- People familiar with the sale told CNBC a third would be in euros. [10] Semafor said it is Meta's first euro borrowing. [26]
- Meta expects to spend $135 billion to $145 billion on buildings and equipment this year. [10]
- Last quarter, $2.12 billion more cash went out of Meta than came in. [10]
How it unfolded

Days earlier, S&P Global Ratings changed Meta's outlook to negative, citing that spending. [10]

Why it matters

Tech firms now pay the most extra interest over other big borrowers since 2003, Bloomberg data show. [12]

How it works

Credit analysts call this a negative outlook: a warning a grade may fall, as S&P gave Meta's AA- grade. [10]

Seen it before

A friend who keeps borrowing for one big project gets asked more questions each time.
08
Blackstone says AI needs more shares sold
What happened
- Jon Gray, president of the investment firm Blackstone, said building AI will need more money from shareholders. [11]
- He spoke on Tuesday at a summit held by the Hong Kong Monetary Authority, Hong Kong's central bank. [11]
- Pimco's chief Emmanuel Roman said AI spending could reach about $10 trillion over 5 years. [11]
- He compared it with a world market for company bonds of about $20 trillion. [11]
- About $550 billion of AI debt has been issued this year, Roman said. [11]
Who is involved
- Jon Gray Blackstone's president
Why it matters

Gray said lenders are now too exposed to the same few companies. [11]

How it works

Corporate finance calls lent money debt and owned money equity. [11] Shareholders share growth, but lenders get only interest, Gray said. [11]

Seen it before

A friend who lends to a lemonade stand gets the money back; a part-owner gets part of the profit.
09
Japan's state fund to sell JSR
What happened
- Japan Investment Corp, a state-backed fund, plans to sell JSR to Mitsui Chemicals, two people told Reuters. [17]
- The deal could be worth more than 1.3 trillion yen, about $8.2 billion. [17]
- JSR makes photoresists, chemicals used to print circuit patterns onto chip wafers. [17]
Who is involved
- Japan Investment Corp seller
- Mitsui Chemicals buyer
How it unfolded

The fund bought JSR about two years ago for some 900 billion yen. [17]
It had planned to use JSR to merge Japan's chip-materials firms. [17]

Why it matters

The fund is selling while AI spending has raised what chip firms are worth. [17]

How it works

JIC's exit, as fund managers call a sale, could fetch 1.3 trillion yen for a firm bought for 900 billion. [17]

Seen it before

Someone buys a bike, fixes it up, and sells it once bikes are in demand.
The truth
- Nobody knows yet
  Whether the JSR sale goes ahead, and whether it tops 1.3 trillion yen.
  
  It comes from two unnamed people, and none of the three companies replied to Reuters. [17]
What comes next

A decision could come within the month. [27]
10
Schaeffler cuts 3,460 jobs in Europe
What happened
- Schaeffler, a German maker of car parts, will cut 3,460 jobs and close five sites in Europe. [13]
- About 2,660 of the jobs, and four of the sites, are in Germany. [13]
- Two of the closing plants, in Dortmund and Morbach, make parts for petrol and diesel engines. [13]
- Schaeffler's sales fell 0.2% to 5.8 billion euros in July to September. [13]
How it unfolded

New-car sales in the EU fell from 15.3 million in 2019 to 10.8 million in 2025. [13]

Why it matters

Electric cars need fewer parts, so suppliers sell less, said Rico Luman, an ING economist. [13]
The cuts should add about 300 million euros a year to earnings from 2030. [13] They cost about 480 million euros first. [28]

How it works

Economists call it overcapacity when factories can make more than buyers want, as Schaeffler says of its plants. [28]

Seen it before

A pizza shop with ten ovens and customers for five turns some ovens off.
The truth
- Who pays Schaeffler's factory workers — About half the jobs cut are in production, where the plant closures fall. [28]
Good news
- Schaeffler's managers, starting with its board, will take a voluntary pay cut so that fewer of its workers lose their jobs.
11
Aramco's profit rises on dear oil
What happened
- Saudi Aramco, the world's biggest oil producer, made $36.25 billion of net profit in July to September. [29]
- That was 34% more than a year earlier, it told the Saudi stock exchange. [29]
- Its revenue rose to $140.5 billion, from $111.6 billion. [29]
- The average price it got for its oil rose 35%. [30]
- Its board approved a $21.9 billion dividend, a payout to its owners, for the quarter. [29]
How it unfolded

It sold less oil and fuel, as attacks hit its plants and Iran disrupted the Strait of Hormuz. [29]

Why it matters

Aramco's profits fund Saudi Arabia's government, which still relies on oil sales. [29]

How it works

Economists call it a supply shock when war cuts how much oil reaches buyers, as attacks did here. [29]
Aramco sold fewer barrels, but each sold for 35% more, so its profit still rose. [30]

Seen it before

When a storm shuts most bakeries, the one still open sells fewer loaves at a higher price.
The truth
- Who gains Saudi Arabia's government — It owns most of Aramco, so the war's higher oil price reaches it as dividends. [30]
- Nobody knows yet
  Which profit figure Aramco's 34% rise refers to.
  
  The National reported net profit up 34% to $36.25 billion. [29] Semafor reported a 9% rise to $31.2 billion, and neither says how the two differ. [30]

12
Fannie and Freddie shares jump
What happened
- Shares of Fannie Mae and Freddie Mac have risen more than 60% since 14 October. [31]
- The two firms buy home loans from banks and bundle them into bonds for investors. [31]
- He says the shares could rise 10 times from today's prices. [31]
- Ackman said the release is held back because of the midterm elections. [31]
Who is involved

Investor Bill Ackman, who owns shares in both, wants that government control to end. [31]
- Bill Ackman Pershing Square, a shareholder
How it unfolded

The US government took control of both in September 2008, during the financial crisis. [31]
1. Sept 2008 government takes control
2. Now Ackman pushes for release
Why it matters

The two firms are central to the US housing market, helping banks keep lending for homes. [31]
How it works
Why a company waits for the new rules before it builds something it cannot undo

Economists who study investment say a firm delays a big build it cannot undo while the rules that decide its payoff may still change.

The twist

A vote can cut a chip maker's share price before any law changes. Builders stop ordering until they know the rules, so the orders the price was counting on move later.

The picture

Texas votepause pledged
Builderswait
Chip orderslater
Read left to right: a pledged pause makes builders wait, and the chip orders move later. Shares fell before any rule was written.
Step by step
1. A data centre costs billions and cannot be undone once built
2. A new governor may pause new data centres in a state
3. Builders wait to see the rules before they spend
4. Orders for chips and machines move later or shrink
5. Investors pay less for the chip makers' shares today
The same force, elsewhere today

Where this chain is also running, in today's other stories.
- Fannie Mae and Freddie Mac
  
  Ackman says freeing them from government control, a step hard to reverse, was held back until the election was over.
- Dateline's California mine
  
  nothing can be dug until three judges rule on the court order, so the project waits on a rule, not on its gold.
Where you've seen this

Home buyers

wait to buy near a school until the new catchment map is published

Wind farm builders

hold off when a subsidy may be cut before the turbines are up

Factories abroad

firms delay a new plant while a tariff on its goods is still being decided

The catch

Waiting costs something too. A rival that builds first can win the customers, so some firms keep building, as Meta is still borrowing to do.

And the whole of it

The vote was in Texas, but the waiting reaches chip makers in Japan and Korea and the people who work for them. Each sees one link in the chain, and nobody yet knows when the new rules will be written.
The truth
- To leave government control, they would need to raise new money, possibly by selling shares. [31]
- Who gains Pershing Square, Bill Ackman's fund — It owns shares in both firms, so a release from government control would lift what it holds. [31]

13
China's state funds buy shares
What happened
- Funds backed by China's government put 76.7 billion yuan into nine share funds on Tuesday. [15]
- These state-backed buyers are known as China's national team. [15]
- It was the second-biggest day on record, and the most since April 2025. [15]
- Companies are buying back their own shares too. [15] CXMT, a chip maker, plans to spend 2.5 to 5 billion yuan. [15]
How it unfolded

China's Star 50 index of tech shares steadied on Wednesday, after falling nearly 4% the day before. [15]

Why it matters

Homin Lee of Lombard Odier said China's government sees that more support is needed. [15]

How it works

Economists call a big buyer that steps in when others sell a backstop, as these state funds did on Tuesday. [15]

Seen it before

A parent buys the last cakes at a school sale, so the stall is not left with them.
14
India's firms hedge fewer dollars
What happened
- Indian companies' forward dollar buying fell 35% in October, to $49.5 billion. [16]
- A forward is a promise to buy dollars later at a price set today. [16]
- It was the lowest since February, clearinghouse data showed. [16]
How it unfolded

Last month India's central bank, the Reserve Bank of India, made such bets dearer to defend the rupee. [16]

Why it matters

Foreign investors sold about $590 million of Indian government bonds in October. [16]

How it works

Economists call it hedging when a firm locks in a price so a swing cannot hurt it. [16]
An importer that must pay in dollars later buys them forward, so a weaker rupee cannot raise its bill. [16]

Seen it before

A family books a holiday at today's price, so the price cannot go up before they go.
The truth
- Madhavi Arora, an Emkay economist, called the steps "tactical fixes rather than structural solutions". [16]
- Who pays Indian importers — Insuring against a weaker rupee now costs more, after India's central bank's curbs pushed the price to multi-year highs. [16]
Good news
- India's rupee has risen about 2% against the dollar since its central bank acted to defend it last month.
15
India's stock exchange earns 23% more
What happened
- India's National Stock Exchange made Rs 2,578 crore of profit in July to September. [32] That is 25.78 billion rupees, up 23%. [32]
- They are its first results since its own shares started trading. [32]
- The NSE is the world's largest exchange for derivatives, contracts whose price follows something else. [32]
- Its fees from trades rose 9%, as more shares and options changed hands. [32]
- The rule, due on 1 April, started on 1 July. [33] Traders used the gap to extend their bank guarantees. [33]
How it unfolded
1. 1 April rule due
2. 1 July rule starts
Why it matters

Traders who trade their own money got round new Reserve Bank of India curbs on bank loans, the NSE said. [33]
16
MCX shares fall despite profit
What happened
- Shares in MCX, India's commodity exchange, fell 7% on Wednesday. [34]
- Its profit more than doubled, from Rs 197.47 crore to Rs 455 crore, in July to September. [34]
- A commodity exchange is where traders buy and sell gold, silver and metals. [34]
How it unfolded

MCX shares had risen 50% this year. [34]

Why it matters

The fall hits investors who bought MCX shares during this year's 50% rise. [34]

How it works

Analysts called it profit booking: holders sell a share that has risen to keep the gain. [34]

Seen it before

A collector sells cards that have doubled in price, even if they might rise further.
17
Fractal Analytics' profit jumps 139%
What happened
- Shares of Fractal Analytics, an Indian AI company, rose as much as 12% on Wednesday. [35]
- Its profit jumped 139% to Rs 79.2 crore in July to September. [35]
- Its sales in one quarter passed $100 million for the first time. [35]
- Its health and life sciences business grew 79%. [35]
- It sells AI tools to big companies, including banks and insurers. [35]
Why it matters

It rose on a day when AI-linked shares fell across most of Asia. [6]
18
Copper falls to a seven-week low
What happened
- Copper fell 2.2% on the London Metal Exchange on Tuesday, to $14,036 a tonne. [36]
- That was its lowest since 14 September. [36]
- Tin, used to solder electric circuits, fell 4.5% to its lowest since April. [36]
How it unfolded

Copper is still up about 13% this year. [36]
Its rise came mostly from expected US taxes on imports of refined metal. [36]

Why it matters

Traders had bet copper would gain from building AI data centres, which use a lot of it. [36]
RBC analysts said the AI sell-off has put that bet under renewed scrutiny. [36]
19
Primark speeds up home delivery
What happened
- Primark, the cut-price clothing chain, will start home deliveries in the UK by December next year. [37]
- That is about two years sooner than planned, after its profits slid. [37]
- It bought a robot-assisted warehouse in Sheffield from Debenhams to do it. [37]
- Sales in Primark's stores in mainland Europe fell 4.7% this financial year. [20]
Who is involved

George Weston runs Associated British Foods, Primark's owner. [37] Primark makes about two-thirds of its profit. [20]
How it unfolded

Primark used to say it could not make money from home delivery. [37] Delivery and return charges now cover most of the cost, said its owner's boss. [37]
1. The old plan about two years later
2. Now by December next year
Why it matters

It faces online rivals such as Shein, plus H&M and Zara. [37]

How it works

Retailers call it cannibalisation when online sales just replace shop sales; Weston says delivery will win new shoppers instead. [37]

Seen it before

A cafe that starts delivering gains only if its new customers would never have walked in.
20
Asda hires an outside boss
What happened
- Asda, the UK's third-largest supermarket, made David Potts its chief executive at once. [19]
- Asda's sales fell 0.5% in the three months to 4 October. [19]
- Aldi is about 1 percentage point from overtaking Asda as the third-largest supermarket. [19]
Who is involved

Executive chair Allan Leighton, who has run Asda since 2024, moves to a non-executive role. [19]
- David Potts Asda's new chief executive
- Allan Leighton steps back
How it unfolded

Potts, 69, ran the rival chain Morrisons from 2015 to 2023. [19]
1. 2015 Potts runs Morrisons
2. 2023 he leaves Morrisons
Why it matters

Asda and Morrisons both carry high debts and face heavy competition. [19]
The truth
- Leighton had said he expected to pick someone from inside, so the outside choice surprised. [19]
21
Virgin Media O2 to cut thousands
What happened
- Virgin Media O2, a big UK phone and broadband company, will cut thousands of jobs. [14]
- It aims to save 800 million pounds a year by 2029. [14]
- Its job cuts will lower its wage bill by 30% over two years. [14]
- That could be up to a quarter of its 16,000 staff, the Guardian estimates. [14]
How it unfolded

The company owes 22 billion pounds. [14] It is owned by Liberty Global and Telefonica. [14]

Why it matters

The Prospect union said the scale of the cuts would be devastating for the staff affected. [14]
The truth
- Who pays Virgin Media O2 staff away from customers — Most cuts fall on roles that do not face customers, as AI takes on network planning and fault work. [14]
- Nobody knows yet
  How many jobs Virgin Media O2 will cut.
  
  The company gave only a 30% cut in its wage bill, and the quarter-of-staff figure is the Guardian's estimate. [14]
22
David Jones near collapse
What happened
- David Jones, a 188-year-old Australian department store chain, may appoint administrators as soon as Thursday. [38]
- It has not paid rent to Westfield's owner, Scentre, since September. [18]
- Scentre said owner Anchorage Capital Partners rejected its offer to keep the chain trading. [18]
- David Jones has 43 stores in Australia and New Zealand. [18]
Who is involved
- Scentre Westfield's owner
- Anchorage Capital David Jones' owner
How it unfolded

Anchorage, a private equity firm, bought the chain from Woolworths Holdings in late 2022. [18]
1. Late 2022 Anchorage buys David Jones
2. Since September no rent paid
Why it matters

Other commercial landlords are also owed rent, a source told the SMH. [38]

How it works

Lawyers test solvency, whether a firm can pay its debts when due. [38] Unpaid rent is why the board must now decide. [38]

Seen it before

A family that cannot pay this month's rent has to decide what to give up.
The truth
- Who pays David Jones staff — Research firm MST Marquee expects store closures that would cost thousands of jobs before Christmas. [39]
- Nobody knows yet
  Whether David Jones goes into administration.
  
  Its board was meeting on Wednesday evening, with a decision expected by Thursday morning. [38]
What comes next

Its main lender, Hilco Capital, would then appoint a receiver to sell the business, a columnist wrote. [39]
23
Uber loses an $81 million tax case
What happened
- Uber must pay more than $81 million in payroll tax to the Australian state of New South Wales. [40]
- Australia's High Court dismissed its appeal on Wednesday. [40] Just 1 of the 7 judges disagreed. [40]
- Uber argued it only collected fares for drivers, so the money was not wages. [40]
- The court found drivers must take a ride once they accept it, so the payments count as wages. [40]
How it unfolded

Uber won in the state Supreme Court in 2024, then lost in the Court of Appeal. [40]
1. 2024 Uber wins first
2. Last year Uber loses on appeal
3. Wednesday High Court rules
Why it matters

The ruling may set a precedent for hundreds of millions of other payments, the SMH reports. [40]

How it works

Payroll tax is charged on the wages a business pays. [40] So calling a payment a wage makes it taxable. [40]
The truth
- Who gains The New South Wales government — The ruling lets it charge payroll tax on fares Uber said belonged to drivers. [40]
24
Private equity defends continuation funds
What happened
- Private equity bosses defended continuation funds at Hong Kong's main investment summit on Wednesday. [41]
- Such a fund lets a firm move a company it owns into a new fund and keep it longer. [41]
- Hamilton Lane said companies moved this way returned about 4 times the money put in. [41]
Who is involved

Jonathan Sokoloff of Leonard Green said there are "a lot of haters" among investors. [41]
Why it matters

They have become a main way for investors to get cash back, after hard years for share sales. [41]

How it works

Economists call it a conflict of interest when one side acts for both ends of a deal. [41]
Here the same firm sells from its old fund and buys into its new one. [41]
The truth
- The 4-times figure comes from Hamilton Lane, a firm that defends these funds. [41]
25
A California mine waits on a court
What happened
- Dateline Resources, an Australian-listed miner, wants work to restart at its Colosseum mine in California. [42]
- The project could hold gold and rare earths worth up to $1 billion. [42]
- A court order won by the National Parks Conservation Association has halted all work. [42]
Who is involved

Dateline and the US government both asked the Ninth Circuit appeals court to pause that order. [42]
- Dateline miner
- US government backs the miner
How it unfolded

Dateline says its mining plan was approved in 1985, before the Mojave National Preserve was created. [42]
1. 1985 mining plan approved
2. Later the preserve is created
Why it matters

The US government's support adds a geopolitical side to the case, the SMH reports. [42]

How it works

nothing can be dug until three judges rule on the court order, so the project waits on a rule, not on its gold.
The idea, in story 12: Why a company waits for the new rules before it builds something it cannot undo →

What comes next

A panel of 3 judges will decide whether work can resume while the full appeal is heard. [42]
26
India's market regulator turns to AI
What happened
- SEBI, India's markets regulator, signed a deal on Tuesday to offer its services in India's regional languages. [43]
- The tools include speech recognition, text-to-speech and machine translation. [43]
- SEBI will also help BHASHINI's models learn the words used in share markets. [43]
Who is involved

It will use translation tools from BHASHINI, a government division whose tools cover over 20 Indian languages. [43]
- SEBI markets regulator
- BHASHINI government language tools
Why it matters

Investors can then read market news and SEBI services in their own language, not only in English. [43]
27
Investcorp eyes Gulf infrastructure deals
What happened
- Investcorp, one of the Gulf's largest asset managers, expects a run of infrastructure deals in the region. [44]
- Gulf governments want to build routes that rely less on the Strait of Hormuz. [44]
Who is involved

They will partner with investment funds to keep their cash, said Investcorp's Rishi Kapoor. [44]
- Rishi Kapoor Investcorp's investment chief
How it unfolded

Gulf governments have been selling stakes in oil pipelines long kept under state control. [44]
1. Now deals in the works
2. 1 to 2 years a new fund possible
Why it matters

Funds that pay for the build would own part of pipelines and other assets long held by Gulf states. [44]
The truth
- Investcorp says several deals are in the works but named none. [44]
What comes next

Investcorp could raise a new infrastructure fund in 1 to 2 years. [44]
28
The pound waits on the Bank of England
What happened
- The pound rose to $1.3440 before Thursday's decision by the Bank of England, the UK's central bank. [22]
- The Bank is expected to raise its rate for the first time since August 2023. [22]
Who is involved
- European Central Bank raised
- US central bank raised
How it unfolded

The European Central Bank and the US central bank have already raised rates this year. [45]
The Bank of England has so far waited and watched, Reuters reported. [45]

Why it matters

They acted against price rises driven by energy costs from the Iran war. [45]
29
Wall Street rose before the results
What happened
- On Tuesday, before the results came in, New York's Nasdaq index rose 0.8% to 25,372. [47]
- The broad S&P 500 index rose 0.4% to 7,568. [47] The Dow Jones index slipped 0.4% to 51,786. [47]
- Nvidia, which makes the chips AI runs on, rose 2.3%. [46] Apple fell 1.9% on a weaker profit outlook. [46]
- Microsoft rose 2.7%, and Nvidia passed Apple as the world's most valuable company. [47]
How it unfolded

The Nasdaq had ended Monday 10% below its record close on 6 October. [46]

Why it matters

Tuesday's rise ended a short sell-off of AI and tech shares that began the week before. [46]

How it works

Traders call this a relief rally: shares bounce once a fear eases, as after last week's AI sell-off. [46]

Seen it before

When a feared test turns out fine, the whole class relaxes at once.
30
Shopify shares fall 8.74%
What happened
- Shares of Shopify, which runs online shops for other businesses, fell 8.74% on Tuesday. [48]
- Its sales for July to September were $3.74 billion. [48] Analysts had expected $3.75 billion. [48]
- Shoppers spent $119.15 billion through Shopify's shops, below the $120.03 billion forecast. [48]
- Its profit was 49 cents a share, above the 46 cents expected. [48]
- Spending through its shops has grown more than 20% for 13 quarters in a row, the company said. [48]
Who is involved

Shopify president Harley Finkelstein said, "We're really proud of the print." [48]
Why it matters

Shopify works with Muse, Meta's AI shopping agent, which can buy goods on Shopify for its users. [48]

How it works

Analysts call it a miss when results land below forecasts, as Shopify's sales and shopper spending both did. [48]

Seen it before

A favourite who wins a race more slowly than expected still disappoints the crowd.
The truth
- Finkelstein said AI agents bring new shoppers without pushing prices down. [48] CNBC's report gives no figure for sales made through them. [48]
31
Lufthansa's fuel bill rises 2 billion euros
What happened
- Lufthansa Group, which owns SWISS, Austrian Airlines and Brussels Airlines, expects a 9.3 billion euro fuel bill this year. [49]
- That is roughly 2 billion euros more than the 7.27 billion euros of 2025. [49]
- Even so, its adjusted operating profit rose 6% to 1.4 billion euros. [49] Revenue rose 9% to a record 12.24 billion euros. [49]
- Its shares rose 3.3% in Tuesday morning trading, even as it trimmed its profit forecast. [50]
How it unfolded

Jet fuel became dearer because of the war in the Middle East. [49] Its fuel costs rose 543 million euros in July to September. [49]

Why it matters

Ryanair's boss has said European fares could rise a lot in 2027 as fuel and taxes cost more. [49]

How it works

Airlines call it fuel hedging: buying ahead at fixed prices, as Lufthansa's airlines did for 86% of 2026 fuel. [49]

Seen it before

A family buys a whole year's bus pass in advance, so a fare rise cannot touch it.

What comes next

It now expects 1.7 to 2 billion euros of profit this year, down from up to 2.2 billion. [49]

Across the day

What is true of the whole day.

The truth, across the day

Why it works on people One night of results gives a single, simple cause for a fall that had several.

Japan's Nikkei falls as much as 4.5% and the dollar slides as Democrats are projected to win both houses of the US Congress, putting the AI building boom in doubt

31 stories on this beat today.

Why a company waits for the new rules before it builds something it cannot undo

What is true of the whole day.