Raphael Stevens

Nothing changes sentiment like price, according to one investing maxim. The world-weary saying reflects the fact that after a stockmarket surge speculators usually scramble for reasons to believe further price rises are on the way. The recent surge in the Chinese market is one such example. More

There was no disruption to trading and none of the protestors appeared to make it to the historic trading floor.
NYSE security fences off a perimeter area outside of the exterior of the building on Broad Street in lower Manhattan.
Chants such as “we want housing, not genocide” and “let Gaza live” could be heard in a livestream on social media platform X.

Pro-Palestinian protesters stage a demonstration outside New York Stock Exchange building in New York, United States on October 14, 2024. 
Fatih Aktas | Anadolu | Getty Images

A pro-Palestinian protest erupted outside of the New York Stock Exchange on Monday. There was no disruption to trading and none of the protestors appeared to make it to the historic trading floor.
NYSE security fences off a perimeter area outside of the exterior of the building on Broad Street in lower Manhattan. According to video shared on social media, the group, representing Jewish Voices for Peace, broke into that area and protestors were chaining themselves to the security fence and some exterior doors. Some of the protestors were arrested and being carried away in zip ties, the videos showed.

The exchange was limiting entry to the building because of the protests. NYPD was removing the final people inside the exterior security gate midday. There were still people outside the exterior gate.

Officers from New York Police Department detain some protesters and intervene in the Pro-Palestinian demonstration outside New York Stock Exchange building in New York, United States on October 14, 2024. 
Fatih Aktas | Anadolu | Getty Images

Chants such as “we want housing, not genocide” and “let Gaza live” could be heard in a livestream on social media platform X.
“As Gaza is bombed, Wall Street booms,” Jewish Voices for Peace said in a post on X Monday. “The stock prices of weapons manufacturers have skyrocketed this year. The U.S. war economy is profiting from genocide.” 

Officers from New York Police Department detain some protesters and intervene in the Pro-Palestinian demonstration outside New York Stock Exchange building in New York, United States on October 14, 2024.
Fatih Aktas | Anadolu | Getty Images

The NYSE has declined to comment.
The protest followed the ongoing bloodshed in the Israeli-Palestinian conflict, triggered by Hamas’ attack on southern Israel just more than a year ago. Israel has since carried out military assault on Gaza. The NYSE has had heavy security in place since the 9/11 attacks on the World Trade Center buildings nearby.
— CNBC’s Bob Pisani contributed reporting.

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China’s exports grew by 2.4% in September from a year ago in U.S. dollar terms, while imports rose by 0.3%, customs data showed Monday.
Both figures were well below what analysts had expected, according to a Reuters poll.
Exports have otherwise been a bright spot in China’s economy, which has been weighed down by lackluster consumer spending and a real estate slump.

A shipping container and gantry cranes at the Yangshan Deepwater Port in Shanghai, China, on Thursday, Oct. 10, 2024.
Bloomberg | Bloomberg | Getty Images

BEIJING — China’s exports and imports both missed expectations in September, raising concerns about one of the few bright spots in the world’s second largest economy.
Customs data out Monday showed exports rose by 2.4% in September from a year ago in U.S. dollar terms, while imports added 0.3%. 

Analysts had expected faster growth. China’s exports were forecast to have risen by 6% year-on-year in September in U.S. dollar terms, with imports anticipated to have posted a 0.9% year-on-year climb last month, according to Reuters polls.
Exports have been a major driver of growth in China’s economy, which in recent years has been weighed down by lackluster consumer spending and a real estate slump.
But heightened trade tensions will make it difficult for China’s exports to keep growing at a strong pace heading into next year, Zhiwei Zhang, president and chief economist at Pinpoint Asset Management, said in a note. “The change of fiscal policy stance as indicated by the press conference over the weekend is critical as a pillar for growth next year.”
The U.S. and European Union have increased tariffs on China-made electric cars, among other products.
China’s exports to the U.S., its largest trading partner, rose by 2.2% in September from a year ago, while imports from the U.S. climbed by 6.7%, according to CNBC’s analysis of official data.

“Import volumes fell last month, but they are likely to rebound in the short run as faster fiscal spending drives up demand for industrial commodities,” Zichun Huang, China economist at Capital Economics, said in a note on Monday.
“We think [the finance ministry’s increase in fiscal expenditure will boost construction activity and drive higher demand for industrial commodities, at least for a quarter or two,” Huang said.
China’s Ministry of Finance had hinted at plans to increase the fiscal deficit on Saturday, without elaborating on the scale of such support at the time.

Exports to the Association of Southeast Asian Nations, China’s largest trading partner on a regional basis, rose by 5.5%, while imports climbed by 4.2%. China’s exports to the European Union edged 1.3% higher, while imports dropped by 4%.
China’s exports to BRICS partner Russia surged by 16.6%, but imports fell by 8.4%, the analysis showed.
Growth in China’s overall exports of autos slowed to a 25.7% year-on-year increase in September, while those of shoes, toys and smartphones all fell over the same period. Home appliances, integrated circuits and ships were among the categories that posted export growth.
In another sign of soft domestic demand, China’s crude oil imports dropped by 10.7% in U.S. dollar terms in September, compared with the same period of last year, while imports of natural gas and coal both climbed.
The latest data reflected Beijing’s efforts to bolster food supplies and access to rare earths, in order to ensure national security. China’s rare earths trade shrunk further, with exports plunging by more than 40% in September from a year ago, and imports down by around 9%.
Intake of soybeans, a major ingredient in livestock feed, surged by nearly 39%.

Lackluster demand

The data adds to a depressed picture of the Chinese economy, with the inflation print out Sunday pointing to further weakness in domestic demand.
The core consumer price index, which strips out more volatile food and energy prices, rose by 0.1% in September from a year ago. That’s the slowest since February 2021, according to the Wind Information database. Tourism-related prices fell by 2.1% year-on-year, despite the Mid-Autumn Festival in September and Golden Week holiday that kicked off Oct. 1.
China’s National Bureau of Statistics is scheduled to release third-quarter GDP data on Friday, along with retail sales, industrial production and fixed asset investment for September.
Chinese authorities have ramped up stimulus announcements since late last month, while so far falling short on the fiscal policy details many investors have hoped for. Stocks in China have swung wildly as beaten-down markets debate the ultimate impact of Beijing’s economic support. More

China’s Ministry of Finance’s weekend press briefing underscored how it is focused on addressing local government debt, even though some investors were anticipating fiscal stimulus.
Minister of Finance Lan Fo’an laid out four measures, starting with increasing support for local governments in resolving debt risks.
“The press conference is consistent with our view that addressing local government financing struggles is a priority,” Robin Xing, chief China economist at Morgan Stanley, and his team said in a report Sunday.

The 597-meter high Goldin Finance 117 Tower in Tianjin, China, started construction in September 2008, but still stands unfinished in this picture, taken Aug. 28, 2024.
Nurphoto | Nurphoto | Getty Images

BEIJING — China’s Ministry of Finance press briefing over the weekend underscored how it is focused on tackling local government debt problems, instead of the stimulus markets have been waiting for.
In his opening remarks on Saturday, Minister of Finance Lan Fo’an laid out four measures, starting with increasing support for local governments in resolving debt risks. It was only after he outlined those four points that Lan teased that the country was looking to increase debt and the deficit.

“The press conference is consistent with our view that addressing local government financing struggles is a priority,” Robin Xing, chief China economist at Morgan Stanley, and his team said in a report Sunday. They also expect that the central government will play a larger role in debt restructuring and housing market stabilization.
“However, we believe upsizing consumption support and social welfare spending will likely remain gradual,” the Morgan Stanley analysts said.China’s real estate market slump has cut into a significant source of revenue for local governments, many of which struggled financially even before needing to spend on Covid-19 measures. Meanwhile, lackluster consumption and slow growth overall have multiplied calls for more fiscal stimulus.

The four policies announced by the Ministry of Finance are focused more on tackling structural issues, Chinese economic think tank CF40 said in a report Saturday.
“They are not specifically aimed at addressing macroeconomic issues such as insufficient aggregate demand or declining price levels through Keynesian-style fiscal expansion,” the report said, in reference to expectations of greater government intervention.
CF40 estimates China does not need additional fiscal funding to achieve the full-year growth target of around 5%, as long as the spending that it has already announced happens by the end of the year.

Local governments drag on domestic demand

Finance Minister Lan on Saturday did say the central government would allow local governments to use 400 billion yuan ($56.54 billion) in bonds to support spending on payroll and basic services.
He added that a large plan to address local governments’ hidden debt would be announced in the near future, without specifying when. Lan claimed that hidden debt levels at the end of 2023 were half what they were in 2018.
Historically, local governments were responsible for more than 85% of expenditure but only received about 60% of tax revenue, Rhodium Group said in 2021.
Constrained local government finances have “contributed to the downward pressure on prices,” the International Monetary Fund said in an Aug. 30 report on China.
The core consumer price index, which strips out more volatile food and energy prices, rose by 0.1% in September, compared to a year ago. That’s the slowest since February 2021, according to the Wind Information database.
To Morgan Stanley, resolving local government debt problems is a “critical step” toward halting the declining trend of prices — almost just as important as stimulus directed at boosting demand.

Waiting for another meeting

After a flurry of policy announcements in the last few weeks, investors are looking ahead to a meeting of China’s parliament, expected at end of the month. China’s legal process requires it to approval national budget changes. The meeting last year, which ended on Oct. 24, oversaw a rare increase in the fiscal deficit to 3.8%, from 3%, according to state media.
Analysts are divided over the specific amount of fiscal support that is needed, if any.
“Whether it’s 2 trillion [yuan] or 10 trillion, for us, it actually doesn’t make so much of a difference,” Vikas Pershad, fund manager at M&G Investments, said Monday on CNBC’s “Squawk Box Asia.” “Our bet on China is a multi-year bet. The Chinese equities are too low in valuation.”
He emphasized the policy direction is “on the right path,” regardless of the stimulus size.
Pershad has talked about buying opportunities in Chinese stocks since January but he said Monday that the latest flurry of activity from the region hasn’t made him any more active in the sector.
China’s policymakers have generally remained conservative. Beijing did not hand out cash to consumers after the pandemic, unlike Hong Kong or the U.S.
Julian Evans-Pritchard, head of China economics at Capital Economics, said at least 2.5 trillion yuan of additional funding is needed to keep growth around 5% this year and next.
“Anything less than that, and I think the risk really is the economy just continues to slow next year given all the structural headwinds that it faces,” he said Monday on CNBC’s “Squawk Box Asia.”
Evans-Pritchard insisted that fiscal policy is more critical for addressing the latest economic slump since China’s other support tools have previously included real estate and credit, which are not as effective this time.
“It’s hard to put a specific number on it because obviously there’s a lot of talk of recapitalizing the banks, dealing with the existing debt problems among the local governments,” he said. “If a lot of the additional borrowing goes into those areas it actually does not stimulate current demand that significantly.”
— CNBC’s Sonia Heng contributed to this report. More

For airlines, banks, electric vehicle makers, health-care companies, media firms, restaurants and tech giants, the presidential election’s outcome could result in stark differences in the rules they’ll face, the mergers they’ll be allowed to pursue, and the taxes they’ll pay.
As president, Donald Trump slashed the corporate tax rate, imposed tariffs on Chinese goods, and sought to cut regulation and red tape and discourage immigration, ideas he’s expected to push again if he wins a second term.
Corporate insiders expect Harris to broadly continue President Joe Biden’s policies, including his war on so-called junk fees across industries, although there is hope for a more moderate approach.

Former President Donald Trump and Vice President Kamala Harris face off in the ABC presidential debate on Sept. 10, 2024.
Getty Images

With the U.S. election less than a month away, the country and its corporations are staring down two drastically different options.
For airlines, banks, electric vehicle makers, health-care companies, media firms, restaurants and tech giants, the outcome of the presidential contest could result in stark differences in the rules they’ll face, the mergers they’ll be allowed to pursue, and the taxes they’ll pay.

During his last time in power, former President Donald Trump slashed the corporate tax rate, imposed tariffs on Chinese goods, and sought to cut regulation and red tape and discourage immigration, ideas he’s expected to push again if he wins a second term.
In contrast, Vice President Kamala Harris has endorsed hiking the tax rate on corporations to 28% from the 21% rate enacted under Trump, a move that would require congressional approval. Most business executives expect Harris to broadly continue President Joe Biden’s policies, including his war on so-called junk fees across industries.
Personnel is policy, as the saying goes, so the ramifications of the presidential race won’t become clear until the winner begins appointments for as many as a dozen key bodies, including the Treasury, Justice Department, Federal Trade Commission, and Consumer Financial Protection Bureau.
CNBC examined the stakes of the 2024 presidential election for some of corporate America’s biggest sectors. Here’s what a Harris or Trump administration could mean for business:

Airlines

The result of the presidential election could affect everything from what airlines owe consumers for flight disruptions to how much it costs to build an aircraft in the United States.

The Biden Department of Transportation, led by Secretary Pete Buttigieg, has taken a hard line on filling what it considers to be holes in air traveler protections. It has established or proposed new rules on issues including refunds for cancellations, family seating and service fee disclosures, a measure airlines have challenged in court.
“Who’s in that DOT seat matters,” said Jonathan Kletzel, who heads the travel, transportation and logistics practice at PwC.
The current Democratic administration has also fought industry consolidation, winning two antitrust lawsuits that blocked a partnership between American Airlines and JetBlue Airways in the Northeast and JetBlue’s now-scuttled plan to buy budget carrier Spirit Airlines.
The previous Trump administration didn’t pursue those types of consumer protections. Industry members say that under Trump, they would expect a more favorable environment for mergers, though four airlines already control more than three-quarters of the U.S. market.
On the aerospace side, Boeing and the hundreds of suppliers that support it are seeking stability more than anything else.
Trump has said on the campaign trail that he supports additional tariffs of 10% or 20% and higher duties on goods from China. That could drive up the cost of producing aircraft and other components for aerospace companies, just as a labor and skills shortage after the pandemic drives up expenses.
Tariffs could also challenge the industry, if they spark retaliatory taxes or trade barriers to China and other countries, which are major buyers of aircraft from Boeing, a top U.S. exporter.
— Leslie Josephs

Banks

Big banks such as JPMorgan Chase faced an onslaught of new rules this year as Biden appointees pursued the most significant slate of regulations since the aftermath of the 2008 financial crisis.
Those efforts threaten tens of billions of dollars in industry revenue by slashing fees that banks impose on credit cards and overdrafts and radically revising the capital and risk framework they operate in. The fate of all of those measures is at risk if Trump is elected.
Trump is expected to nominate appointees for key financial regulators, including the CFPB, the Securities and Exchange Commission, the Office of the Comptroller of the Currency and Federal Deposit Insurance Corporation that could result in a weakening or killing off completely of the myriad rules in play.
“The Biden administration’s regulatory agenda across sectors has been very ambitious, especially in finance, and large swaths of it stand to be rolled back by Trump appointees if he wins,” said Tobin Marcus, head of U.S. policy at Wolfe Research.
Bank CEOs and consultants say it would be a relief if aspects of the Biden era — an aggressive CFPB, regulators who discouraged most mergers and elongated times for deal approvals — were dialed back.
“It certainly helps if the president is Republican, and the odds tilt more favorably for the industry if it’s a Republican sweep” in Congress, said the CEO of a bank with nearly $100 billion in assets who declined to be identified speaking about regulators.
Still, some observers point out that Trump 2.0 might not be as friendly to the industry as his first time in office.
Trump’s vice presidential pick, Sen. JD Vance, of Ohio, has often criticized Wall Street banks, and Trump last month began pushing an idea to cap credit card interest rates at 10%, a move that if enacted would have seismic implications for the industry.
Bankers also say that Harris won’t necessarily cater to traditional Democratic Party ideas that have made life tougher for banks. Unless Democrats seize both chambers of Congress as well as the presidency, it may be difficult to get agency heads approved if they’re considered partisan picks, experts note.
“I would not write off the vice president as someone who’s automatically going to go more progressive,” said Lindsey Johnson, head of the Consumer Bankers Association, a trade group for big U.S. retail banks.
— Hugh Son

EVs

Electric vehicles have become a polarizing issue between Democrats and Republicans, especially in swing states such as Michigan that rely on the auto industry. There could be major changes in regulations and incentives for EVs if Trump regains power, a fact that’s placed the industry in a temporary limbo.
“Depending on the election in the U.S., we may have mandates; we may not,” Volkswagen Group of America CEO Pablo Di Si said Sept. 24 during an Automotive News conference. “Am I going to make any decisions on future investments right now? Obviously not. We’re waiting to see.”
Republicans, led by Trump, have largely condemned EVs, claiming they are being forced upon consumers and that they will ruin the U.S. automotive industry. Trump has vowed to roll back or eliminate many vehicle emissions standards under the Environmental Protection Agency and incentives to promote production and adoption of the vehicles.
If elected, he’s also expected to renew a battle with California and other states who set their own vehicle emissions standards.
“In a Republican win … We see higher variance and more potential for change,” UBS analyst Joseph Spak said in a Sept. 18 investor note.
In contrast, Democrats, including Harris, have historically supported EVs and incentives such as those under the Biden administration’s signature Inflation Reduction Act.
Harris hasn’t been as vocal a supporter of EVs lately amid slower-than-expected consumer adoption of the vehicles and consumer pushback. She has said she does not support an EV mandate such as the Zero-Emission Vehicles Act of 2019, which she cosponsored during her time as a senator, that would have required automakers to sell only electrified vehicles by 2040. Still, auto industry executives and officials expect a Harris presidency would be largely a continuation, though not a copy, of the past four years of Biden’s EV policy.
They expect some potential leniency on federal fuel economy regulations but minimal changes to the billions of dollars in incentives under the IRA.
— Mike Wayland

Health care

Both Harris and Trump have called for sweeping changes to the costly, complicated and entrenched U.S. health-care system of doctors, insurers, drug manufacturers and middlemen, which costs the nation more than $4 trillion a year.
Despite spending more on health care than any other wealthy country, the U.S. has the lowest life expectancy at birth, the highest rate of people with multiple chronic diseases and the highest maternal and infant death rates, according to the Commonwealth Fund, an independent research group.
Meanwhile, roughly half of American adults say it is difficult to afford health-care costs, which can drive some into debt or lead them to put off necessary care, according to a May poll conducted by health policy research organization KFF. 
Both Harris and Trump have taken aim at the pharmaceutical industry and proposed efforts to lower prescription drug prices in the U.S., which are nearly three times higher than those seen in other countries. 
But many of Trump’s efforts to lower costs have been temporary or not immediately effective, health policy experts said. Meanwhile, Harris, if elected, can build on existing efforts of the Biden administration to deliver savings to more patients, they said.
Harris specifically plans to expand certain provisions of the IRA, part of which aims to lower health-care costs for seniors enrolled in Medicare. Harris cast the tie-breaking Senate vote to pass the law in 2022. 
Her campaign says she plans to extend two provisions to all Americans, not just seniors: a $2,000 annual cap on out-of-pocket drug spending and a $35 limit on monthly insulin costs. 
Harris also intends to accelerate and expand a provision allowing Medicare to directly negotiate drug prices with manufacturers for the first time. Drugmakers fiercely oppose those price talks, with some challenging the effort’s constitutionality in court. 
Trump hasn’t publicly indicated what he intends to do about IRA provisions.
Some of Trump’s prior efforts to lower drug prices “didn’t really come into fruition” during his presidency, according to Dr. Mariana Socal, a professor of health policy and management at the Johns Hopkins Bloomberg School of Public Health.
For example, he planned to use executive action to have Medicare pay no more than the lowest price that select other developed countries pay for drugs, a proposal that was blocked by court action and later rescinded. 
Trump also led multiple efforts to repeal the Affordable Care Act, including its expansion of Medicaid to low-income adults. In a campaign video in April, Trump said he was not running on terminating the ACA and would rather make it “much, much better and far less money,” though he has provided no specific plans. 
He reiterated his belief that the ACA was “lousy health care” during his Sept. 10 debate with Harris. But when asked he did not offer a replacement proposal, saying only that he has “concepts of a plan.”
— Annika Kim Constantino

Media

Top of mind for media executives is mergers and the path, or lack thereof, to push them through.
The media industry’s state of turmoil — shrinking audiences for traditional pay TV, the slowdown in advertising, and the rise of streaming and challenges in making it profitable — means its companies are often mentioned in discussions of acquisitions and consolidation.
While a merger between Paramount Global and Skydance Media is set to move forward, with plans to close in the first half of 2025, many in media have said the Biden administration has broadly chilled deal-making.
“We just need an opportunity for deregulation, so companies can consolidate and do what we need to do even better,” Warner Bros. Discovery CEO David Zaslav said in July at Allen & Co.’s annual Sun Valley conference.
Media mogul John Malone recently told MoffettNathanson analysts that some deals are a nonstarter with this current Justice Department, including mergers between companies in the telecommunications and cable broadband space.
Still, it’s unclear how the regulatory environment could or would change depending on which party is in office. Disney was allowed to acquire Fox Corp.’s assets when Trump was in office, but his administration sued to block AT&T’s merger with Time Warner. Meanwhile, under Biden’s presidency, a federal judge blocked the sale of Simon & Schuster to Penguin Random House, but Amazon’s acquisition of MGM was approved. 
“My sense is, regardless of the election outcome, we are likely to remain in a similar tighter regulatory environment when looking at media industry dealmaking,” said Marc DeBevoise, CEO and board director of Brightcove, a streaming technology company.
When major media, and even tech, assets change hands, it could also mean increased scrutiny on those in control and whether it creates bias on the platforms.
“Overall, the government and FCC have always been most concerned with having a diversity of voices,” said Jonathan Miller, chief executive of Integrated Media, which specializes in digital media investment.”But then [Elon Musk’s purchase of Twitter] happened, and it’s clearly showing you can skew a platform to not just what the business needs, but to maybe your personal approach and whims,” he said.
Since Musk acquired the social media platform in 2022, changing its name to X, he has implemented sweeping changes including cutting staff and giving “amnesty” to previously suspended accounts, including Trump’s, which had been suspended following the Jan. 6, 2021, Capitol insurrection. Musk has also faced widespread criticism from civil rights groups for the amplification of bigotry on the platform.
Musk has publicly endorsed Trump, and was recently on the campaign trail with the former president. “As you can see, I’m not just MAGA, I’m Dark MAGA,” Musk said at a recent event. The billionaire has raised funds for Republican causes, and Trump has suggested Musk could eventually play a role in his administration if the Republican candidate were to be reelected.
During his first term, Trump took a particularly hard stance against journalists, and pursued investigations into leaks from his administration to news organizations. Under Biden, the White House has been notably more amenable to journalists. 
Also top of mind for media executives — and government officials — is TikTok.
Lawmakers have argued that TikTok’s Chinese ownership could be a national security risk.
Earlier this year, Biden signed legislation that gives Chinese parent ByteDance until January to find a new owner for the platform or face a U.S. ban. TikTok has said the bill, the Protecting Americans From Foreign Adversary Controlled Applications Act, which passed with bipartisan support, violates the First Amendment. The platform has sued the government to stop a potential ban.
While Trump was in office, he attempted to ban TikTok through an executive order, but the effort failed. However, he has more recently switched to supporting the platform, arguing that without it there’s less competition against Meta’s Facebook and other social media.
— Lillian Rizzo and Alex Sherman

Restaurants

Both Trump and Harris have endorsed plans to end taxes on restaurant workers’ tips, although how they would do so is likely to differ.
The food service and restaurant industry is the nation’s second-largest private-sector employer, with 15.5 million jobs, according to the National Restaurant Association. Roughly 2.2 million of those employees are tipped servers and bartenders, who could end up with more money in their pockets if their tips are no longer taxed.
Trump’s campaign hasn’t given much detail on how his administration would eliminate taxes on tips, but tax experts have warned that it could turn into a loophole for high earners. Claims from the Trump campaign that the Republican candidate is pro-labor have clashed with his record of appointing leaders to the National Labor Relations Board who have rolled back worker protections.
Meanwhile, Harris has said she’d only exempt workers who make $75,000 or less from paying income tax on their tips, but the money would still be subject to taxes toward Social Security and Medicare, the Washington Post previously reported.
In keeping with the campaign’s more labor-friendly approach, Harris is also pledging to eliminate the tip credit: In 37 states, employers only have to pay tipped workers the minimum wage as long as that hourly wage and tips add up to the area’s pay floor. Since 1991, the federal pay floor for tipped wages has been stuck at $2.13.
“In the short term, if [restaurants] have to pay higher wages to their waiters, they’re going to have to raise menu prices, which is going to lower demand,” said Michael Lynn, a tipping expert and Cornell University professor.
— Amelia Lucas

Tech

Whichever candidate comes out ahead in November will have to grapple with the rapidly evolving artificial intelligence sector.
Generative AI is the biggest story in tech since the launch of OpenAI’s ChatGPT in late 2022. It presents a conundrum for regulators, because it allows consumers to easily create text and images from simple queries, creating privacy and safety concerns.
Harris has said she and Biden “reject the false choice that suggests we can either protect the public or advance innovation.” Last year, the White House issued an executive order that led to the formation of the Commerce Department’s U.S. AI Safety Institute, which is evaluating AI models from OpenAI and Anthropic.
Trump has committed to repealing the executive order.
A second Trump administration might also attempt to challenge a Securities and Exchange Commission rule that requires companies to disclose cybersecurity incidents. The White House said in January that more transparency “will incentivize corporate executives to invest in cybersecurity and cyber risk management.”
Trump’s running mate, Vance, co-sponsored a bill designed to end the rule. Andrew Garbarino, the House Republican who introduced an identical bill, has said the SEC rule increases cybersecurity risk and overlaps with existing law on incident reporting.
Also at stake in the election is the fate of dealmaking for tech investors and executives.
With Lina Khan helming the FTC, the top tech companies have been largely thwarted from making big acquisitions, though the Justice Department and European regulators have also created hurdles.
Tech transaction volume peaked at $1.5 trillion in 2021, then plummeted to $544 billion last year and $465 billion in 2024 as of September, according to Dealogic.
Many in the tech industry are critical of Khan and want her to be replaced should Harris win in November. Meanwhile, Vance, who worked in venture capital before entering politics, said as recently as February — before he was chosen as Trump’s running mate — that Khan was “doing a pretty good job.”
Khan, whom Biden nominated in 2021, has challenged Amazon and Meta on antitrust grounds and has said the FTC will investigate AI investments at Alphabet, Amazon and Microsoft.
— Jordan Novet More

Two exchange-traded funds are looking for profits in China with two different strategies.
While the Rayliant Quantamental China Equity ETF dives into specific regions, the newly launched Roundhill China Dragons ETF buys the country’s biggest stocks.

“[It’s] focused just on nine companies, and these companies are the companies that we identified as having similar characteristics to magnitude in the U.S.,” Roundhill Investments CEO Dave Mazza told CNBC’s “ETF Edge” this week.

Arrows pointing outwards

Since its inception on Oct. 3, the Roundhill China Dragon ETF is down almost 5% as of Friday’s close.
Meanwhile, Jason Hsu of Rayliant Global Advisors is behind the hyper-local Rayliant Quantamental China Equity ETF. It has been around since 2020.
“These are local shares, local names that you would have to be a local Chinese person to buy easily,” the firm’s chairman and chief investment officer told CNBC. “It paints a very different picture because China is sort of a different part of its growth curve.”

Arrows pointing outwards

Hsu wants to give access to names that are less familiar to U.S. investors, but can deliver big gains on par with recent Big Tech stocks.

“Technology is important, but a lot of the higher growth stocks are actually people who sell water [and] people who run restaurant chains. So, often they actually have a higher growth than even many of the tech names,” he said. “There’s very little research, at least outside of China, and they may represent what is more of a thematic in the moment trade inside China.”
 As of Friday’s close, the Rayliant Quantamental China Equity ETF is up more than 24% so far this year.

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