Business

Amtrak is debuting its NextGen Acela trains on Thursday, the company’s next step in its goal of achieving high-speed rail.
The new trains will slowly replace the current Acela equipment, increasing the top speed from 150 mph to 160 mph.
The launch comes amid years of delays and post-pandemic struggles for Amtrak.

Amtrak’s NextGen Acela.
Courtesy: Amtrak

Amtrak rolled out its NextGen Acela trains on Thursday, marking the next phase for the U.S.’s attempt at high-speed rail.
Dubbing itself as “America’s only high-speed rail service,” the new trains will run between Washington, D.C., and Boston, with a top speed of 160 mph. It’s an extension of Amtrak’s existing Acela trains, which run through the busy Northeast corridor and operate at speeds up to 150 mph on certain sections of the route.

According to Amtrak, more than 69 million passengers have traveled on Acela trains since the service began at the end of 2000. In fiscal year 2024, Amtrak said customers rode more than 3 million Acela trips, generating nearly $530 million in ticket revenue.
The new trains, contracted with French manufacturer Alstom, will replace the current Acela equipment. Amtrak said the NextGen Acela trains will accommodate 27% more customers and have enhanced features like free, high-speed Wi-Fi, as well as wider seats, a tilt system that enables a smoother ride and more daily departures.
At its launch, Amtrak said it will begin with five new trains, aiming to deploy all 28 by 2027.

Inside Amtrak’s NextGen Acela train.
Courtesy: Amtrak

“I think America deserves high-speed rail,” Transportation Secretary Sean Duffy said at a Wednesday event with Amtrak in Washington, D.C. “This is, at 160 miles an hour, one great step in that process.”
Like its predecessor, the Acela fleets offer only first class and business class seating. The rail company will operate both the older trains and newer models over the next few months as more of the NextGen trains are added.

“These trains are beautiful, they are fast, they are state-of-the-art, and they are American-made,” Amtrak President Roger Harris said at the Wednesday event. “There has never been a better way to travel by train in America.”
The parts for the new trains were manufactured in 29 states, with 95% produced within the U.S., Amtrak said, adding that the manufacturing generated more than 1,200 new jobs.
As of 2024, Amtrak owned 16 Acela trainsets.

A rocky track record

Amtrak employees walk past the Amtrak NextGen Acela, an all-new high speed train running between Washington, DC, and Boston, prior to the train’s inaugural departure from Union Station in Washington, DC, August 27, 2025.
Saul Loeb | AFP | Getty Images

The new trains are not without struggles. Amtrak originally planned on debuting them in 2022, but faced numerous delays.
In May, Amtrak said it was eliminating 450 roles to save $100 million in annual costs. That came after the White House reportedly forced CEO Stephen Gardner to resign in March as President Donald Trump called for changes. Amtrak has yet to name a new CEO.
The rail company has also lost money for years. In fiscal year 2024, Amtrak reported $3.6 billion in revenue compared with $8.8 billion in capital and operating expenses. It recovered 84% of its operating costs with ticket sales and other revenue, Amtrak added.
The new trains are also significantly slower than their high-speed counterparts in Europe and Asia, with Japanese bullet trains operating at a top speed of 200 mph.
It’s not America’s first attempt at the high-speed rail, either.
California has aimed for more than a decade to build a bullet train that can travel between Los Angeles and San Francisco in under three hours. That vision has since been trimmed, aiming to now connect just a 170-mile stretch of land with questions surrounding its viability.
Last month, Duffy formally terminated all of the California High-Speed Rail Association’s federal funding after a Federal Railroad Administration report determined that the project was unable to complete its goals, and on Tuesday, he pulled an additional $175 million from the project. The state of California has filed to sue the government for what it calls an “illegal” action with the canceled federal funding.
Private rail company Brightline has also attempted the high-speed rail formula in Florida. The company aims to privatize the rail system and has welcomed millions of passengers on its trains, which travel at 125 mph.
But Brightline has had its fair share of financial struggles. The company is facing looming debt and reported a net loss of roughly $549 million in 2024, marking an uncertain road ahead. More

Centers for Disease Control and Prevention Director Susan Monarez has left the role just weeks after being sworn in, the Health and Human Services department said.
At least four other officials also submitted their resignations in a massive shakeup at the health agency.
The departures come at a tumultuous time for the agency, which is reeling from a gunman’s attack on its Atlanta headquarters on Aug. 8.

Susan Monarez, President Donald Trump’s nominee to be the Director of the Centers for Disease Control and Prevention (CDC), testifies during her confirmation hearing before the Senate Committee on Health, Education, Labor, and Pensions in the Dirksen Senate Office Building on June 25, 2025 in Washington, DC.
Kayla Bartkowski | Getty Images

Centers for Disease Control and Prevention Director Susan Monarez has left the role just weeks after being sworn in, the Health and Human Services department said on Wednesday. 
In a post on X, the department said Monarez is longer director and thanked her for “her dedicated service to the American people.”

In a statement, attorney Mark Zaid said he was representing Monarez and that she had not actually been fired yet or stepped down, adding that she would not resign.
At least four other officials also submitted their resignations on Wednesday in a massive shakeup at the agency: Dr. Debra Houry, the CDC’s chief medical officer; Dr. Demetre Daskalakis, director of the National Center for Immunization and Respiratory Diseases; Dr. Daniel Jernigan, the director of the National Center for Emerging and Zoonotic Infectious Diseases; and Dr. Jennifer Layden, director of the Office of Public Health Data, Surveillance and Technology.
Houry, in a resignation letter obtained by NBC News, wrote about the dangers of the spread of vaccine misinformation and said proposed budget cuts and reorganization plans would negatively impact the CDC’s ability to address conditions like hypertension, diabetes, cancer, overdoses and mental health issues.
In his resignation letter, also obtained by NBC News, Daskalakis said he was leaving the agency “because of the ongoing weaponizing of public health.”
Monarez, a longtime federal government scientist, was sworn in on July 31. She is the first CDC director to be confirmed by the Senate following a new law passed during the pandemic that required lawmakers to approve nominees for the role.

The Washington Post first reported her ousting on Wednesday. 
Her departure comes at a tumultuous time for the agency, which is reeling from a gunman’s attack on its Atlanta headquarters on Aug. 8. A police officer died in the shooting. 
Monarez on Friday canceled a meeting with CDC workers that had been scheduled for Monday, according to an email obtained by NBC News. She said she wanted to assure staff that the agency is working to restore their “trust in the safety and security of all CDC workplaces.”
President Donald Trump nominated Monarez after withdrawing his first pick to lead the CDC, former Republican congressman Dave Weldon, hours before his confirmation hearing. Weldon has been criticized for his views on vaccines. 
— CNBC’s Michele Luhn contributed to this report. More

The Food and Drug Administration on Wednesday approved the latest round of Covid vaccines in the U.S., but only for those at higher risk of getting severely sick from the virus.
Health and Human Services Secretary Robert F. Kennedy Jr. said the shots are available for all patients who choose them after consulting with their doctors.
But it’s unclear how easily patients without high risk factors will be able to get a Covid vaccine, and whether insurance plans will still cover the shots for healthy Americans.

Pfizer’s Covid vaccine Comirnaty, seen at a CVS Pharmacy in Eagle Rock, California, Sept. 14, 2023.
Irfan Khan | Los Angeles Times | Getty Images

The Food and Drug Administration on Wednesday approved the latest round of Covid vaccines in the U.S., but set new limits on who can get them.
The agency ended its broader authorization of the shots, only clearing them for people at higher risk of severe illness. That includes those 65 and up and younger adults with at least one underlying condition that puts them at higher risk.

The move could complicate access to the shots for millions of Americans, and raises questions about whether insurance plans will still cover them for healthy adults.
“The emergency use authorizations for Covid vaccines, once used to justify broad mandates on the general public during the Biden administration, are now rescinded,” Health and Human Services Secretary Robert F. Kennedy Jr. said in a post on X.
“The American people demanded science, safety, and common sense,” he said. “This framework delivers all three.”

More CNBC health coverage

It follows several efforts by Kennedy, a prominent vaccine skeptic, to change immunizations in the U.S. The new limited authorizations are a break from U.S. vaccine policy in previous years, which recommended an annual Covid shot for all Americans 6 months and up.
A key panel of vaccine advisors to the Centers for Disease Control and Prevention must vote to recommend the Covid shots. But Kennedy earlier this year gutted that panel and named new members, some of whom are widely known vaccine critics.

In the post, Kennedy said the shots are available for all patients who choose them after consulting with their doctors. But it’s unclear how easily patients without high-risk factors will be able to get a Covid vaccine.
Kennedy said the FDA has authorized Moderna’s shot for those 6 months and up, Pfizer’s vaccine for people ages 5 and up, and Novavax’s jab for those ages 12 and up, but only for those specifically at higher risk of getting severely sick from the virus.
Adults ages 65 and up are at higher risk of severe Covid, and so are younger adults who are immunocompromised or have underlying medical conditions such as cancer, obesity, diabetes, chronic kidney disease and heart diseases, according to the CDC’s website.
The end of the so-called emergency use authorizations means that Pfizer’s shot is no longer cleared for children ages 6 months to 4 years. It comes after Pfizer in August said it has requested that the FDA keep that authorization in place for the upcoming fall and winter season.
In a release, Pfizer confirmed that the FDA had cleared its updated Covid shot for use in adults 65 and above and those ages five through 64 with at least one underlying condition that puts them at high risk for severe illness. The company will begin shipping the shot immediately, and it will be available in pharmacies, hospitals and clinics nationwide “in the coming days.”
In a separate release, Moderna also confirmed that its updated Covid shot is approved for those 65 and up and people 6 months through 64 years of age who are at higher risk of severe illness. The company added that its new, next-generation Covid vaccine is approved for older adults and high-risk patients ages 12 through 64. Moderna said it expects the shots to be available in the coming days.
Shares of Pfizer and Moderna were trading slightly higher Wednesday afternoon, while Novavax shares dipped.
In May, the CDC dropped the recommendation that pregnant women and healthy children receive Covid shots. But the American Academy of Pediatrics diverged from the agency earlier this month, recommending Covid shots for children between 6 months and 2 years old.
In a statement on Wednesday, Dr. Susan Kressly, president of the American Academy of Pediatrics, called the FDA’s more limited approval “deeply troubling.” She said respiratory illnesses like Covid can be “especially risky for infants and toddlers, whose airways and lungs are small and still developing.”
“Any parent who wants their child vaccinated should have access to this vaccine,” she said. “Today’s unprecedented action from HHS not only prevents this option for many families, but adds further confusion and stress for parents trying to make the best choices for their children.”
She said the AAP urges the administration to “allow these choices to remain with medical experts and families.”
The American College of Obstetricians and Gynecologists also advised pregnant women to get the Covid vaccine to protect themselves and their infants, who cannot be immunized until they are 6 months old.

Don’t miss these insights from CNBC PRO More

Shares of Cracker Barrel Old Country Store rose more than 8% on Wednesday after the restaurant said it would discard its new logo amid widespread backlash.
The switch occurred just hours after President Donald Trump weighed in on the rebranding.
Cracker Barrel shares are close to restoring their original losses from when the new logo was first announced last week.

A Cracker Barrel sign featuring the old logo is seen outside of a restaurant on August 21, 2025 in Homestead, Florida.
Joe Raedle | Getty Images

Shares of Cracker Barrel Old Country Store rose more than 8% on Wednesday after the restaurant chain said it would scrap its new logo and return to the original one, amid mounting criticism from social media users and even President Donald Trump.
The stock moves on Tuesday night and Wednesday morning have brought Cracker Barrel shares close to restoring their original losses from when the new logo was first announced last week.

“We thank our guests for sharing your voices and love for Cracker Barrel. We said we would listen, and we have. Our new logo is going away and our “Old Timer” will remain,” the company said in a statement Tuesday.
The switch occurred just hours after Trump weighed in on the rebranding, writing on social media “Cracker Barrel should go back to the old logo, admit a mistake based on customer response (the ultimate Poll) and manage the company better than ever before.”
After Trump’s message, shares of Cracker Barrel were up more than 6% at Tuesday’s close.
Trump congratulated the company in a social media post later Tuesday evening after the announcement that the original logo would remain.
“Congratulations ‘Cracker Barrel’ on changing your logo back to what it was. All of your fans very much appreciate it. Good luck into the future. Make lots of money and, most importantly, make your customers happy again!” the post read.

Taylor Budowich, White House deputy chief of staff, also said in a post on X that he had spoken with the company earlier in the evening and Cracker Barrel had thanked the president for weighing in on the matter.

Cracker Barrel’s old and new logo.
Courtesy: Cracker Barrel

The proposed logo redesign, which the company announced last week, removed the image of the restaurant’s “Uncle Herschel” character leaning against a barrel that was prominently featured in the original, leaving behind just the words “Cracker Barrel” against the outline of a yellow barrel. The phrase “Old Country Store” was also removed.
The colors, which the company said were inspired by the restaurant’s eggs and biscuits, stayed close to the original.
Social media users were quick to blast the new logo, calling it “generic,” “soulless” and “bland.” Conservatives in particular accused the restaurant chain of going “woke,” by doing away with the classic American branding.
A YouGov poll of 1,000 adults over the weekend found that 65% of Americans were aware of the new logo and 76% preferred the old one.
The company addressed the backlash in a statement Monday, saying it has “shown us that we could’ve done a better job sharing who we are and who we’ll always be.”
Cracker Barrel has repeatedly stated that the new branding would not change the core values of the company.
“At Cracker Barrel, it’s always been – and always will be – about serving up delicious food, warm welcomes, and the kind of country hospitality that feels like family,” the statement from Tuesday night read. “As a proud American institution, our 70,000 hardworking employees look forward to welcoming you to our table soon.”

Don’t miss these insights from CNBC PRO More

Shares of American Eagle rose Wednesday after NFL star Travis Kelce announced a partnership with the apparel brand.
The announcement came just a day after Kelce proposed to singer Taylor Swift.
The stock previously got a bump last month when it joined a class of meme stocks after a collaboration with actress Sydney Sweeney.

American Eagle launches AE x Tru Kolors by Travis Kelce.
Courtesy: American Eagle

Shares of American Eagle rose Wednesday morning after the apparel company announced a collaboration with football star Travis Kelce, just a day after he and singer Taylor Swift said they were engaged.
The stock was up roughly 5% in early trading.

Kelce’s sportswear brand, Tru Kolors, is launching a limited-edition collaboration with American Eagle, pairing the jeans brand with Kelce’s picks, including vintage-inspired T-shirts and “reimagined” varsity jackets. The collaboration was more than a year in the making, Kelce said, but the announcement came just a day after his proposal caused a global internet stir among fans.
“It was an awesome opportunity to team up with an established brand where both sides were excited to truly collaborate on every decision in the design and creative process that brought the ‘AE x TK’ collection to life,” Kelce, the creative director of the collection, said in a statement.
The new pieces are launching in two drops on Wednesday and on Sept. 24.
American Eagle wasn’t the only stock to get a bump from the NFL star’s engagement announcement this week. Shares of Signet Jewelers popped briefly following the proposal as fans focused on Swift’s “cushion cut” engagement ring.
Other companies wasted no time in using the proposal to promote their products, such as Domino’s, Grubhub and Solidcore, among others.

Kelce’s American Eagle collaboration comes after the jeans brand announced a collaboration with actress Sydney Sweeney in July. That team-up captivated the internet over what some critics deemed a tone-deaf campaign for its wordplay of good “jeans” and “genes.”
Shares of the company soared in a meme-stock fashion after the Sweeney promos were unveiled, aided by President Donald Trump calling the campaign the “hottest ad out there.”
The stock is up about 20% since mid-July.
Clarification: This story has been updated to clarify that Travis Kelce and Taylor Swift announced their engagement on Tuesday.

Don’t miss these insights from CNBC PRO More

Kohl’s shares jumped more than 20% after the retailer topped Wall Street’s fiscal second-quarter earnings and revenue expectations.
It also narrowed its full-year sales guidance toward the higher end of its range.
The department store has been trying to turn around slumping sales and find a permanent CEO after the firing of Ashley Buchanan.

A sign is displayed above a Kohl’s store in Chicago on March 1, 2023.
Scott Olson | Getty Images

Kohl’s shares climbed more than 20% on Wednesday after the retailer topped Wall Street’s fiscal second-quarter earnings and revenue expectations, even as its sales declined and it looks for a new CEO.
The Wisconsin-based department store narrowed its full-year sales guidance to reflect the higher part of its previous range. It said it now expects net sales to decline by between 5% and 6%. It had previously anticipated sales would fall 5% to 7%.

It also revised its full-year earnings per share guidance. Kohl’s said it expects earnings to be in the range of 50 cents to 80 cents per share adjusted. It was unclear how that compared with a previous outlook of 10 cents to 60 cents per share, which was not adjusted.
Here’s how the retailer did for the three-month period that ended Aug. 2 compared with what Wall Street was expecting, based on a survey of analysts by LSEG:

Earnings per share: 56 cents adjusted vs. 29 cents expected
Revenue: $3.35 billion vs. $3.32 billion expected

Kohl’s fiscal second-quarter net income was $153 million, or $1.35 per share, compared with $66 million, or 59 cents per share, in the year-ago period. Net sales dropped from $3.53 billion in the year-ago quarter.
Kohl’s shares and sales have both been slumping — and the company’s leadership turmoil has tripped up its turnaround. Annual revenue has declined three years in a row. Its market value, which was just under $7 billion at the end of 2021, has fallen to roughly $1.5 billion. And the retailer has had three chief executives in as many years.
The company’s leadership changes began in late 2022 when Kohl’s CEO Michelle Gass left to become president and eventual CEO of Levi Strauss. Tom Kingsbury, a member of Kohl’s board and the former CEO of Burlington Stores, succeeded Gass. In November, Kohl’s said Kingsbury would step down after two years in the role and named Ashley Buchanan, the then-CEO of Michaels and a veteran of Walmart and Sam’s Club, as his successor.

Less than four months after he started as CEO, Kohl’s fired Buchanan after an investigation found he pushed for deals with a vendor owned by his girlfriend.
Kohl’s named Michael Bender, a member of Kohl’s board since 2019, as its interim CEO.
There have been signs of potential financial concerns, too. Kohl’s recently changed its payment terms with vendors, a move that retailers typically make to delay payments for longer periods and conserve cash.
In a statement, Kohl’s did not specify the changes, but said the company “regularly reviews our work to ensure we are operating as effectively and efficiently as possible.” It said it notified some of its vendors about the updated payment terms in March.
Yet Interim CEO Michael Bender said Wednesday in a news release that the fiscal second quarter’s results are “a testament to the progress we are making against our 2025 initiatives.” He said the retailer reduced its inventory, lowered expenses and gained better traction with customers.
Inventory at the end of the quarter was $3 billion, a 5% drop from the previous year.
To turn around sales, Kohl’s has been expanding departments including petites and fine jewelry, focusing on carrying more exclusive merchandise and overhauling promotions so that its discounts apply to more of its brands, CFO Jill Timm said on the company’s earnings call in May. It’s also added Sephora shops to all of its stores.
Kohl’s continued to post sales declines in the second quarter. Comparable sales decreased 4.2% compared to the year-ago quarter. The industry metric takes out one-time factors like store openings and closures.
— CNBC’s Courtney Reagan contributed to this report.

Don’t miss these insights from CNBC PRO More

Abercrombie & Fitch narrowly beat Wall Street’s expectations thanks to strong growth at its teen-focused Hollister brand.
The company’s namesake brand’s sales fell 5%, while Hollister grew 19%.
Abercrombie has been leaning on partnerships and international expansion to grow sales.

An Abercrombie & Fitch store in New York, US, on Monday, Aug. 19, 2024. Abercrombie & Fitch Co. is scheduled to release earnings figures on August 28. Photographer: Yuki Iwamura/Bloomberg via Getty Images
Yuki Iwamura | Bloomberg | Getty Images

Abercrombie & Fitch sales growth slowed again in its fiscal second quarter as the apparel company struggles to top the surge it enjoyed last fiscal year.
During the quarter, sales at the namesake Abercrombie brand fell 5% while comparable sales dropped 11%. 

But the success of teen-focused Hollister brand helped to salvage the quarter. Overall, Abercrombie & Fitch sales climbed 7%, led by 19% growth at Hollister – the brand’s best-ever second-quarter net sales growth, the company said. Comparable sales across the business rose 3%, led by Hollister, which also saw comparable sales grow 19%.
Abercrombie narrowly beat Wall Street expectations on the top and bottom lines. The company also hiked its full-year revenue outlook and now expects sales to climb 5% to 7%, compared with previous guidance of 3% to 6% growth. Much of that range would top Wall Street expectations of 5.2% growth, according to LSEG.
Shares fell nearly 4% in premarket trading.
Here’s how the company did in its second fiscal quarter compared with what Wall Street was anticipating, based on a survey of analysts by LSEG:

Earnings per share: $2.32 adjusted vs. $2.30 expected
Revenue: $1.21 billion  vs. $1.20 billion expected

The company’s reported net income for the three-month period that ended August 2 was $141 million, or $2.91 per share, compared with $133 million, or $2.50 a share, a year earlier. Excluding the impact of a favorable litigation settlement, Abercrombie saw earnings of $2.32 per share.

Sales rose to $1.21 billion, up about 7% from $1.13 billion a year earlier. 
“We entered the second half of 2025 on offense,” CEO Fran Horowitz said in a news release. “We are increasing our full year net sales outlook, reflecting our strong positioning and growth trajectory, building on record 2024 results. Our team remains focused on delivering for our customers while investing to capitalize on the significant, long-term opportunities for our global brands.”
For its current quarter, Abercrombie’s also gave a better-than-expected sales outlook. It anticipates revenue will rise between 5% and 7%, beating expectations of 4.3% growth, according to LSEG.
Meanwhile, its profit outlook for the fiscal third quarter is weaker than expected. The company anticipates earnings per share will be between $2.05 and $2.25, far below expectations of $2.53, according to LSEG. 
Abercrombie said it expects its operating margin, a closely watched metric on Wall Street, to be between 11% and 12% during its current quarter, also lower than Wall Street expectations of 13.3%, according to StreetAccount.
For the full year, Abercrombie tightened its earnings outlook and now expects earnings per share to be between $10.00 and $10.50. That compares with a previous range of $9.50 to $10.50 per share.
Abercrombie’s guidance incorporates about $90 million in net tariff costs – nearly double what it previously anticipated. When it announced fiscal first quarter earnings in May, Abercrombie said it was expecting a $70 million hit from tariffs that it could reduce to $50 million through mitigation.
At the time, President Donald Trump’s so-called reciprocal tariffs were held at 10% across most of the globe. But now Abercrombie faces higher duties on goods from Vietnam, Cambodia and India, key manufacturing regions for the company. 
At the time, the company said it wasn’t planning broad price increases as part of its mitigation efforts. It’s unclear if Abercrombie will change that stance now that tariffs have increased across Asia. 
Abercrombie & Fitch, once a forgotten mall brand, has been on a rocket ship of growth over the last few years. But the surge has started to slow at its namesake banner.
The company has turned to new categories, such as dresses, athleisure and bridal, to stimulate growth. It’s also working to expand internationally and lean on partnerships. 
On Monday, the company announced it would be the NFL’s first “official fashion partner” – a multiyear deal that will include personal styling for athletes, athlete-led campaigns and player-designed apparel. The partnership comes after Abercrombie launched an assortment of NFL licensed products in 2022, a category that has performed well for the company. 
It has teamed up with star players like Christian McCaffrey, Tee Higgins and CeeDee Lamb to advertise the partnership and designed limited-edition co-designed apparel that will be available for sale during the upcoming season. 
The partnership reflects the steps retailers are taking to ensure they can continue to grow sales and stay relevant with consumers at a time when shoppers are pulling back on nice-to-have items like new clothes and accessories. Competitors like Levi, American Eagle and Gap have teamed up with celebrities in recent marketing campaigns ahead of the back to school and fall shopping seasons.
Still, the slowdown raises questions about how the brand will grow in the quarters ahead, especially as competition continues to heat up, said Neil Saunders, managing director of GlobalData, in a note.
“Better numbers… will probably come through as the prior year comparatives start to ease, but they also need to be engineered by the company. We believe there are some good initiatives in play here, including the overseas expansion of the brand,” said Saunders. “Our recent channel checks at new stores in London were all positive, although we believe the stores can reach a higher potential once the consumer economy in the UK strengthens.”‘
Internationally, Abercrombie’s efforts to expand are paying off in some parts of the world. During the quarter, sales in its Asia Pacific region grew 12%, while comparable sales climbed 3%. That was offset by a slowdown in Europe, the Middle East and Africa, where sales slid 1% and comparable sales were down 5%. 
Abercrombie has also started to expand into wholesale for its Abercrombie Kids brand. The company has a very small share of the overall market, which was worth $82.1 billion last year, Saunders said.
“This leaves considerable headroom for growth,” said Saunders. “Expanding through wholesale is a sensible strategy: it provides relatively fast access to new customers and requires far less capital than opening additional stores – of which Abercrombie Kids still has relatively few.” More

Capital is increasing and “bidder dynamics” are stabilizing, according to JLL’s global Bid Intensity Index, which saw improvement in July — its first since December. 
The index measures bidding activity in order to give a real-time view of liquidity and competitiveness in private real estate capital markets.
The sector seeing the most improvement is so-called “living,” which is largely multifamily apartments but also includes senior living and student housing.

Housing block in Warsaw, Poland
Busà Photography | Moment | Getty Images

A version of this article first appeared in the CNBC Property Play newsletter with Diana Olick. Property Play covers new and evolving opportunities for the real estate investor, from individuals to venture capitalists, private equity funds, family offices, institutional investors and large public companies. Sign up to receive future editions, straight to your inbox.
After a pullback in commercial real estate activity earlier this year due to broad economic uncertainty, there are new signs that activity is on the move again. 

Capital is increasing and “bidder dynamics” are stabilizing, according to JLL’s global Bid Intensity Index, which saw improvement in July — its first since December. 
The index measures bidding activity in order to give a real-time view of liquidity and competitiveness in private real estate capital markets. That, in turn, is an indicator for future capital flows across investment sales transactions.
It is composed of three sub-indices: 

Bid-Ask Spread: Final winning bid vs. the asking price
Bids per Deal: Average number of bids per deal
Bid Variability: Pricing variability of final bids

The stabilization in bidding dynamics comes as property sector performance fundamentals are holding up and asset valuations have generally held firm so far this year, despite weaker investor sentiment, according to the report.
“With no shortage of liquidity, institutional investors are returning to the market with more capital sources and a renewed appetite for real estate,” said Ben Breslau, chief research officer at JLL. “While further recovery is expected to be gradual after moderating earlier this year, borrowing costs and real estate values in most markets have stabilized, so we expect momentum to pick up through the second half of the year.”

Get Property Play directly to your inbox

CNBC’s Property Play with Diana Olick covers new and evolving opportunities for the real estate investor, delivered weekly to your inbox.
Subscribe here to get access today.

Bid-ask spreads, the difference between the highest price a buyer is willing to pay for an asset and the lowest price a seller is willing to accept, are narrowing to more healthy levels across multiple sectors. The sector seeing the most improvement is so-called “living,” which is largely multifamily apartments but also includes senior living and student housing.
Retail is doing better than last year, but has been in decline over the last few months as tariffs weigh heavily on that sector. Industrial is the biggest laggard, thanks to supply chain uncertainty also muddied by potential and real tariffs. 
Office bid dynamics are showing improvement, driven by a growing number of bidders and more lenders quoting on office loans. Some have called a bottom to the office market after its Covid-induced crash. Investors are bargain hunting in some cases, but as fundamentals strengthen with more return-to-office, overall deal demand is rising.
Bottom line: Investors appear to be accepting uncertainty as the new normal, according to the JLL report. Bloxam said that includes accepting higher risk. 
“The attractiveness of CRE investments as a long-term store of value remains intact. As more investors move to a ‘risk-on’ mode, coupled with the exceptionally strong debt markets, we expect this will lead to continued growth in capital flows,” he said. More