Hormuz Shock Raises Recession Risk As Retailers Sound Alarm On Consumer Stress

"Prepare For More Severe Scenarios": Bank Of England Chief Warns Of AI Threat To Global Financial System As the world marches towards open-weight, efficient, unrestricted frontier AI models out of China, Western leaders are starting to panic over the lack of guardrails. Most recently, Bank of England Governor Andrew Bailey suggested that the threat posed by AI could lead to a chaotic correction in global financial markets, as frontier models are now showing "increasingly sophisticated autonomy and problem-solving abilities, as well as threat capabilities." Governor of the Bank of England Andrew Bailey addresses the...

"Demand Signal Is Real": US Bipartisan Senate Delegation Touts Defense Boom At Farnborough Airshow The Farnborough International Airshow kicked off on Monday and is one of the world's largest aerospace, aviation and defense trade shows. It is held every two years at Farnborough Airport in Hampshire. A Reuters report says that a bipartisan group of nine US senators urged allied European defense giants to expand production, as there is soaring demand for missiles, bombs, drones, and interceptors, and as Congress moves to boost defense spending. "Our message is encouragement to them...

Chaos Unleashed: When "Irrational" Makes Perfect Sense Authored by Charles Hugh Smith via OfTwoMinds blog, Once fairness and honesty have been stripped out of a social order, social trust collapses. Once trust collapses, society disintegrates. It's important to understand the dynamics of chaos before the certainties in our lives are swept away. Over the past few months, I've been exploring the dynamics of delusion and breakdown: 1. our reliance on models to make sense of the world and what happens when those models no longer track reality; 2. the difficulties in adapting when our old...