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CNBC’s Jim Cramer credited the fall in the U.S. dollar with helping stocks close higher on Tuesday.
“It’s time to recognize that the dollar’s in charge. Today, at least, the dollar rally took a break, which means the bears took a break, too,” he said.

CNBC’s Jim Cramer credited the fall in the U.S. dollar with helping stocks close higher on Tuesday.
“It’s time to recognize that the dollar’s in charge. Today, at least, the dollar rally took a break, which means the bears took a break, too. If the greenback keeps pulling back, maybe they’ll go into hibernation,” he said.

Stocks gained on Tuesday for a third consecutive trading session, buoyed in part by a decline in bond yields and a weaker dollar.
The value of the U.S. dollar has surged in recent months, driven by the Federal Reserve’s interest rate hike campaign and the strong U.S. economy. 
The dollar’s strength has hurt companies that perform business overseas, since their balance sheets are subject to unfavorable exchange rates.
At the same time, “bond yields reflect whether Wall Street expects more pain from the Fed, which is why it’s so good when both of these things go down,” Cramer explained.
He added that the dollar was due for a decline, according to charts analysis by DeCarley Trading’s Carley Garner. And while the central bank could be looking to slow hikes in December, according to a report in The Wall Street Journal, it remains unclear whether the market’s recent strength will continue, Cramer said.

“The market needs time to adjust, and the Fed doesn’t want to rock the boat too aggressively right before the [midterm] election,” he said.

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Monday – Friday, 6:00 – 7:00 PM ET

It’s that time again: Jim Cramer’s lightning round.

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PayPal (PYPL): “PayPal did very well today. They are already on the road to redemption.”

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MicroVision (MVIS): “It’s a $3 stock. It’s a dice roll. It could go down $3. Stocks stop at zero. It is losing a lot of money. So therefore, it’s not my cup of tea.”

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Verizon (VZ): “Verizon’s got that big [annual dividend] yield. But it looks like AT&T has finally passed them. And I am concerned they [Verizon] are going to have to spend a lot more to get back in competition with AT&T. So right now, I cannot recommend the stock of Verizon.”

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Signature Bank (SBNY): “I think the stock is probably incorrectly valued. But it does not have a big [annual dividend] yield. Most of the bank stocks have a good yield and are levered to the yield curve [in the bond market], so to speak. … It’s not going to react as well as some of the traditional banks.”

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Cummins (CMI): “I think Cummins is a great company. This is the kind of stock that is working right now in this environment. It doesn’t really get hurt much by rates. … It’s got superior products [that] it’s selling all over the world. I like Cummins.”

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Huawei once looked unstoppable. Having began in 1987 selling phone switches from a flat in the southern city of Shenzhen, in 2012 the Chinese technology firm overtook Ericsson, a Swedish rival, to become the world’s biggest maker of telecoms gear. By 2020 its market share in the business exceeded 30%, roughly as much as Ericsson and Nokia of Finland, its two main competitors, combined. The same year it surpassed Samsung as the largest maker of smartphones. Its fast-growing software and cloud-computing businesses were beginning to compete with America’s ibm and Oracle.The American government had other plans. Successive administrations have regarded Huawei as a national-security risk, claiming that it had deep links with the People’s Liberation Army and that its gear could be used for spying (allegations that have not been proven and that Huawei denies). Washington has banned Huawei’s wares at home and urged allies to ditch them from their 5g mobile networks. Most cripplingly, it used export controls to starve the company of American technology and products, including computer chips, the manufacturing of which relies on such tech, wherever these come from. In the latest blow, on October 24th the Justice Department said it had indicted two Chinese spies for attempting to obtain inside information about a federal investigation into Huawei.All this has turned a company on track to be one of the world’s biggest into its most controversial. The results have been devastating. After years of uninterrupted growth Huawei’s revenues collapsed by nearly 30% in 2021, from a peak of almost $140bn the year before (see chart 1). As countries across the globe roll out 5g, Huawei’s market share for telecoms networks—its main business—looks set to decline. Its mobile-phone business is dead, insiders say. The company’s 78-year-old founder and boss, Ren Zhengfei, recently told employees in a leaked memo that the company was in a fight for survival. To prevail in that fight, Mr Ren is transforming the company from one laser-focused on a few core telecoms products to a provider of tech and services to a variety of industries, from automakers to agribusiness. Whether this transformation can succeed matters not just for Huawei. America’s campaign to forestall China’s rise as a technological superpower is intensifying. This month Joe Biden’s administration announced new restrictions, covering more Chinese firms and more areas where Washington and Beijing are vying for dominance, such as artificial intelligence (ai) and supercomputing. Huawei is thus a case study in how effective American sanctions really are, how Chinese firms can adapt to the new world order and, ultimately, whether China has a shot at winning the tech race.Immobile networkFirst, consider the American effort to block Huawei from the global 5g roll-out. Geographically, the results have been mixed. America’s strategy is working in the rich Western markets of its allies. Australia, Canada, New Zealand and Sweden have followed America in banning Huawei gear outright. New rules in Britain force carriers to remove all Huawei technology from public 5g systems by 2027. The French government has asked operators to rip out Huawei gear from many parts of their networks. Other countries, such as Japan, have not barred Huawei but signalled that the company is not welcome. The constant risk of fresh restrictions has led many customers in places without bans to steer clear of Huawei. This has happened in Italy and Portugal. The developing world still seems open to Huawei’s cheap equipment. The company is furnishing 5g networks in Indonesia, Saudi Arabia, South Africa and Turkey. Brazil, another potentially large market, has flip-flopped but does not appear poised to issue a ban. Huawei executives boast of more than 5,000 commercial 5g contracts globally, ranging from full deployment of 5g networks for national carriers to upgrading networks at ports. How many more such agreements it can ink depends in part on the effectiveness of American export controls, the second anti-Huawei weapon. The restrictions, which since 2019 have limited the sale to the company of high-end chips and Google’s Android mobile operating system, have already obliterated the firm’s once-thriving smartphone business. Huawei’s own operating system, Harmony, is unattractive to consumers since it offers few apps, and it offers few apps because it lacks the consumer numbers that would make it worth developers’ while. The chip ban, meanwhile, means that even though the company has built China’s 5g network its phones lack 5g because the required radio chips rely on American tech. This forced Huawei to spin off its Honor smartphone brand in 2020. Revenues from Huawei’s remaining devices business fell by 25% in the first half of 2022, compared with a year earlier.The impact of the chip ban on the carrier business is a closely guarded secret. The processors used in network gear are less advanced than those used in smartphones and some of them could be produced locally by chipmakers such as smic, a state-controlled firm. But probably not all, at least in the near future. The Tiangang processor, designed by Huawei’s HiSilicon chip division for use in 5g networks, was fabricated by tsmc, a giant Taiwanese contract manufacturer that can no longer supply Huawei as a result of the American rules. Publicly, Huawei claims to be shipping units as normal, thanks to a stockpile. But that “will start to run out very shortly”, expects Bill Ray of Gartner, a consultancy. Behaviour in tenders for carrier contracts suggests as much. In the past 18 months Huawei has routinely bid that the highest allowed price. This implies that it is trying to maximise profits while conserving its component inventories rather than seek market share, says Edison Lee of Jefferies, an investment bank. According to disclosures on a large tender for China Mobile analysed by Jefferies, Huawei kit accounts for 47% of China Mobile’s locally manufactured servers, down from 61% last year.Globally, the company’s share of telecom-gear revenues has so far declined by less than two percentage points from its peak of more than 30% in 2020, according to Dell’Oro, a research firm (see chart 2). But Huawei’s global sales of such equipment fell by 7% last year. Much of its remaining revenue comes from China and, abroad, from less lucrative 4g networks, which are still being built in poorer countries. As investment in China’s 5g roll-out winds down, Huawei’s global market share may be eroded, says Stefan Pongratz or Dell’Oro. The idea of saving the foreign 5g business by selling it to a Western owner, which Mr Ren entertained in an interview with The Economist in 2019, appears to have been shelved. Mr Ren is undaunted, however. His leaked memo in late August, in which he asks staff to “feel the chill” brought on by gloomy economic conditions in China and abroad, should be read not as an act of despair but as his way of rallying the troops, say some executives. And there is plenty for them to rally around. Mr Ren wants Huawei to become a purveyor of technology to a wide spectrum of industries. It has already sold 300m devices running on Harmony, including laptops, wearables such as smart watches and app-controlled home appliances. This month the Financial Times reported that it may attempt to relaunch the production of 5g phones using less advanced chips. And it is venturing beyond consumer goods and telecoms. It is making sensors to monitor soil conditions to help farmers fine-tune irrigation systems and cut back on fertiliser. The company is building a business in systems for clean-power generation. It has also become a big supplier of software and electronics for carmakers, with which it has teamed up to develop various bespoke systems, such as energy management for electric vehicles (evs). Huawei says that in July alone it had sold more than 7,200 aito m5s, a model of car jointly developed with Seres, a Chinese-owned electric-vehicle maker based in California.Huawei is also beefing up its enterprise division. The unit is building data centres and cloud-computing businesses around the world. Its prospects look strong in China, where the biggest source of demand over the next decade will come from the government (including at provincial and city level, where authorities are upgrading their systems with a view to offering more public services online) and state-owned companies (which are frantically digitising and installing the industrial “internet of things”). Huawei does not enjoy a technical advantage in such “infrastructure as a service” (IaaS) over giant local competitors such as Alibaba and Tencent. But it has the government connections needed to win the most important contracts over the next decade, says Yi Zhang of Canalys, a research group. In just a few years this has helped Huawei become the second-largest cloud provider in China, behind Alibaba. Many Chinese firms are tossing out Oracle databases and asking Chinese companies to build local ones. Huawei is scooping up this business. As revenues from devices tumbled in the first half of 2022, its overall sales from the enterprise division surged by 28% to 55bn yuan ($7.6bn), or about 18% of total revenues. Gartner reckons that Huawei has become the world’s fifth-largest IaaS provider (see chart 3). Maintaining a presence in foreign markets poses a bigger challenge. Mr Ren has long understood the importance of grabbing global market share. In the late 1990s he began deploying staff to far-flung places in Africa and South America in the hope of making local connections. The strategy helped make Huawei China’s first genuinely multinational corporation. Huawei’s new businesses are not expected to make headway in America. But the company thinks much of the rest of the world is fair game. Its energy-management products are growing fast in Europe. One insider points out that over the past three years Huawei has been building up its foreign iaas engineering capabilities in Africa, Latin America, the Middle East and South-East Asia. Barriers to entry in such businesses are high even in places that welcome Huawei. Much of the world’s computer technology runs on programmes designed by Microsoft, an American tech company. Huawei’s databases use Linux, an open-source operating system. The technical difficulty of hiring Huawei to replace American systems that run on Oracle and ibm systems, which are much more compatible with Microsoft, is high, says Boris Van of Bernstein, a broker. Edging out the American firms in China is one thing; doing so abroad is quite another. And although Mr Ren has amassed heaps of chips needed for its enterprise products, the new American rules will make these harder to replenish.Most important, taken together these changes amount to a revolution in how Huawei functions as a business. In the past its sprawling research-and-development (r&d) operation dreamed up new technologies, its engineers developed them into a few core products and its sales team sold those to customers in two main sectors: telecoms and consumer electronics. This one-way end-to-end system is being replaced by a more open, two-way model, where Huawei develops new products in partnership with its growing array of client industries. People close to the group say it now resembles a vast web of startups with deep r&d coffers. The company often spends 20% of annual revenues on r&d, as much as Meta and nearly twice as much as Alphabet. That More

If you’re eager to secure 9.62% annual interest for Series I bonds for six months, the deadline is quickly approaching.
You must purchase I bonds and receive your confirmation email by Oct. 28 to lock in the record 9.62% rate.
The rate is expected to drop to roughly 6.48% in November, based on inflation, experts predict.

Insta_photos | Istock | Getty Images

If you’re eager to secure 9.62% annual interest for Series I bonds for six months, the deadline is quickly approaching.
You must purchase I bonds and receive your confirmation email by Oct. 28 to lock in the record 9.62% rate, according to TreasuryDirect.

The rate is expected to drop to roughly 6.48% in November, based on the latest inflation data from the U.S. Bureau of Labor Statistics. 
More from Personal Finance:You can save $22,500 in 401(k) plans and $6,500 in IRAs in 2023Here’s how much you can earn and still pay 0% capital gains taxes in 2023IRS: Here are the new income tax brackets for 2023
While I bond rates shift twice yearly based on inflation, you can still lock in 9.62% annual interest for six months — as long as you complete the purchase by Oct. 28. And six months after your purchase date, you’ll earn roughly 6.48% for another six months.
“That’s an option if someone wants the best of both worlds,” said Ken Tumin, founder and editor of DepositAccounts.com, who tracks I bonds, among other assets. 

How to estimate I bond rates for one year

There are two parts to I bond rates: a fixed rate, which stays the same after purchase, and a variable rate, which shifts twice per year based on inflation.

The U.S. Department of the Treasury announces new rates every May and November, and you can estimate the next variable rate about two weeks before from the consumer price index reports released in April and October.
The estimates offer a brief period to know roughly what you’ll earn for one year, which is how long you’ll lose access to the funds after buying.

“It’s nice to know what interest rates you will get when you’re committing to a 12-month lockup,” said Jeremy Keil, a certified financial planner with Keil Financial Partners in Milwaukee.
While it’s too early to estimate rates for May 2023, buying I bonds before the end of October means you’ll receive the May and November rates for six months each.
“There’s no doubt that it’s better to get the 9.62% for the first six months, and then 6.48% for six months,” said David Enna, founder of Tipswatch.com, a website that tracks I bond rates. 

It’s nice to know what interest rates you will get when you’re committing to a 12-month lockup.

Jeremy Keil
Financial advisor at Keil Financial Partners

“A short-term investor — somebody just wanting to put away cash — should definitely buy in October,” he said.
However, if you’re trying to secure the 9.62% rate before November, Enna suggests making the purchase no later than a few business days before the end of October.

The downsides of buying I bonds

While roughly knowing I bond rates for one year may be appealing, there are a few things to consider before buying, experts say.
“The biggest downside is you are locked in for 12 months,” Keil said. “You cannot take it out for any reason.” And you’ll give up three months of interest by cashing in before five years. 

Still, I bonds may be worth considering for a portion of your emergency savings, as long as there’s other cash readily available for unexpected costs, he said. 
And if you’re expecting college tuition bills in 2024, Keil said it’s a “great time” to secure guaranteed interest for one year, which is tax-free for qualified education expenses.

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Boeing and Airbus have been struggling with parts and labor shortages.
The issues have made it difficult to ramp up production of new planes.
The limitations mean airlines can’t expand flying as easily and airfare prices are likely to remain high.

The first U.S.-made Airbus jetliner moves down the assembly line at the company’s factory in Mobile, Alabama, U.S. on September 13, 2015. Picture taken on September 13, 2015.
Alwyn Scott | Reuters

Air travel demand is showing no sign of easing, airline executives said this month. But new planes are in short supply, they warned, limiting growth and keeping fares high.
JetBlue Airways said Tuesday it was supposed to receive 29 planes from Airbus next year but will only get about 22.

“I think we’re all well aware that they’re struggling from ramp-up challenges driven by manpower and supply chain,” JetBlue’s CFO, Ursula Hurley, said on the New York-based carrier’s quarterly call. “We’re working hand in hand with them to manage through those.”
Last week, American Airlines CFO Derek Kerr said the carrier expects to take delivery of 19 Boeing 737 Max 8 planes in 2023, compared with the 27 it previously expected based on guidance from the manufacturer.
That means airlines that had parked planes and slashed growth are now struggling to expand. Along with shortages of pilots, the problems could make bargain flights even more elusive.
Executives at Boeing and its chief rival, Airbus, in recent months have said supply chain problems and labor shortfalls have prevented the companies from ramping up production to meet the recovery in air travel.
Boeing and Airbus are set to report results on Wednesday and Friday, respectively.

“We continue to work closely with suppliers to address industry challenges, stabilize production and meet our commitments to customers,” Boeing said in a statement to CNBC. Airbus declined to comment on Tuesday.
The issues have been felt throughout the manufacturers’ suppliers, such as engine makers.
“While we are working many actions across our businesses every day to mitigate the impacts of supply chain constraints and labor availability … we do expect these pressures will continue to persist into next year as well,” said Raytheon Technologies CFO Neil Mitchill during the company’s quarterly earnings call on Tuesday.
Raytheon’s Pratt & Whitney engines fly on both Boeing and Airbus planes, and its Collins Aerospace unit supplies both manufacturers.

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The couple was indicted for allegedly defrauding investors with fake claims about a watercraft that could partially submerge for underwater views.
The two allegedly lied about a relationship with Governor David Ige and agreements with Blackrock and the Department of Homeland Security.
They allegedly used the money they raised from investors for personal gain, including for luxury homes, marijuana and a Mercedes-Benz.

A little girl who is 5 years old is looking through a window inside a submarine. She is looking at the ocean underwater. Shot in Maui, Hawaii.
Bradleyhebdon | Istock | Getty Images

A Hawaii couple was criminally charged with defrauding investors out of more than $28 million with bogus claims about building a watercraft that could partially submerge to give passengers underwater views, federal prosecutors said Tuesday.
The Department of Justice said in an indictment unsealed this week that Curtiss and Jamey Jackson used a substantial portion of the money for their own benefit, including for luxury homes in California and Hawaii, a Mercedes-Benz, vacations, psychics and marijuana.

The couple was charged with securities fraud, conspiracy, mail fraud and wire fraud in an indictment unsealed this week. Each charge carries a maximum penalty of 20 years in prison.
The couple was also sued by the Securities Exchange Commission for fraud in August over their actions in connection with their company, Semisub Inc., based in Hawaii.
A lawyer for Curtiss Jackson did not immediately respond to a request for comment. An attorney for Jamey Jackson was not listed.
The couple is accused of misleading more than 400 investors, routinely telling them over a decade that a prototype vessel was “weeks” or “months” away from starting operations.
The two also allegedly lied about their relationship with Hawaii Governor David Ige, claiming him as a close friend and supporter of their venture. They also falsely told investors they had relationships or agreements with parties including the Department of Homeland Security and private equity giant Blackrock, according to the indictment.

The couple reportedly sold securities for the company to investors across the country, including in Pennsylvania and California, where they had been barred from selling securities in 2008 and 2009, respectively.
The company website, Semisub.com, is still online and claims the Jacksons operated a 44-passenger semisubmersible vessel on Maui for “numerous years” before moving to develop their own vehicle. The site claims that “new vessel design is slated to be completed in early 2020.”
A detention hearing is set for Wednesday and the trial is set to begin in December. 
Curtiss Jackson made his initial court appearance Monday in Hawaii, the Justice Department said. Jamey Denise Jackson made her initial court appearance in Connecticut.
An employee who picked up the phone at the company’s listed phone number declined to provide an immediate comment.

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Sunak is the U.K.’s third prime minister this year, following Boris Johnson, who resigned in July, and Liz Truss, who became the country’s shortest-serving PM after announcing her resignation Thursday.
He was elected leader of the Conservative Party by other members of Parliament on Monday, and will take office Tuesday after a meeting with King Charles III.
His inbox includes reassuring financial markets of the U.K.’s economic competence after the turbulence of the Truss administration; the European energy crisis; a looming U.K. recession; and navigating calls for a general election.

Britain’s new Prime Minister Rishi Sunak delivers a speech outside Number 10 Downing Street, in London, Britain, October 25, 2022.
Hannah Mckay | Reuters

LONDON — Rishi Sunak on Tuesday became the U.K.’s third prime minister of the year following a meeting with King Charles III.
The tradition sees the monarch invite the leader of the party with the highest number of MPs to form a government, which since the 2019 general election has been the Conservatives.

Sunak was elected party leader by fellow Conservative lawmakers on Monday after the resignation of Truss on Thursday.
In a speech outside 10 Downing Street after the meeting, he said: “Our country is facing a profound economic crisis. The aftermath of Covid still lingers, Putin’s war in Ukraine has destabilized energy markets and supply chains the world over.”
He paid tribute to his predecessor Liz Truss, who he said was “not wrong” to want to improve U.K. growth. But, he continued, “some mistakes were made,” not “borne of ill will or bad intentions” but “mistakes nonetheless” — and he had been elected “in part to fix them.”
“I will place economic stability and confidence at the heart of the government’s agenda. This will mean difficult decisions to come. But you saw me during Covid doing everything I could to protect people and businesses with schemes like furlough. There are always limits, more so than ever, but I promise you this, I will bring that same compassion to the challenges we face today.”
Sunak then indicated he would implement the manifesto on which the Conservatives were elected in 2019.

The British pound was trading 0.4% higher against the dollar following the speech, at $1.1321. Sterling has failed to get a significant boost from Sunak’s appointment, but has recovered from the lows below $1.10 it reached earlier in the month.
Meanwhile, yields on short- and long-term U.K. sovereign bonds, known as gilts, dropped sharply Monday as it became clear Sunak would take office, and continued to move lower Tuesday. Yields move inversely to prices.
Sunak is now expected to begin appointing new Cabinet figures in yet another reshuffle at the top of British politics.

Milestone marker

The 42-year-old will be the youngest U.K. prime minister since 1812, and the first person of color to lead the country, which U.S. President Joe Biden said Monday was “a groundbreaking milestone.” Sunak’s parents are of Indian descent and in the 1960s moved from East Africa to the U.K.
Sunak also has the greatest personal wealth of any of his predecessors. His wife, Akshata Murthy, is the daughter of N. R. Narayana Murthy, the billionaire co-founder of Indian IT company Infosys.
Sunak and Murthy have a combined net worth of £730 million ($824 million), according to the Sunday Times Rich List, making them the joint 222nd wealthiest people in the U.K.
Earlier this year, Murthy made headlines over her non-domiciled tax status, which allows her to avoid paying millions in U.K. taxes on international earnings. She said she would start paying U.K. taxes on these earnings following the controversy.

King Charles III welcomes Rishi Sunak during an audience at Buckingham Palace, London, where he invited the newly elected leader of the Conservative Party to become Prime Minister and form a new government. Picture date: Tuesday October 25, 2022. 
Aaron Chown | Via Reuters

Before entering politics, Sunak worked as an analyst as Goldman Sachs and a partner at billionaire Chris Hohn’s Children’s Investment Fund Management. He was privately educated in the U.K. and studied philosophy, politics and economics at Oxford, like four prime ministers and dozens of senior political figures before him, followed later by an MBA at Stanford University.
He was elected Conservative MP for a constituency in North Yorkshire in the 2015 general election, and was finance minister under former Prime Minister Boris Johnson from February 2020 to July 2022. Through this he oversaw the U.K.’s economic response to the Covid-19 pandemic, including the program for furloughing millions of workers.

He ran for party leadership following Johnson’s resignation in July and was supported by MPs into the two-candidate battle against Truss, but lost in a vote by the Conservative Party’s roughly 200,000 members, who backed Truss against Sunak by 57% to 42.6%.
Many members favored Truss’ strong stance on slashing taxes and regulation as soon as she took office, which Sunak warned was misguided at a time of central bank tightening and increased spending on energy bill support. His warnings that the plan would cause a sell-off in British assets including gilts (sovereign bonds) and sterling proved prophetic.

Political muddle

Truss’ resignation came just 44 days into her tenure, on 10 of which government business was suspended due to the death of Queen Elizabeth II. A wave of Conservative MPs sent letters expressing a lack of confidence in her government after she oversaw a controversial “mini-budget” that rocked financial markets, making government borrowing more expensive and raising interest rate expectations.
Truss had sacked her finance minister, reversed the majority of the proposals and attempted to reassert her position. But pressure on her from within the party continued, particularly following a chaotic night which saw the resignation of her interior minister and reports of MPs in tears after being “bullied” into a vote on fracking, which was seen as a vote of confidence in the government.

Johnson’s departure was similarly chaotic, coming after months of outrage among the public and MPs over a series of scandals. They included both Johnson and Sunak being fined by police for events held at Downing Street during Covid-19 lockdowns, and Johnson’s appointment of a senior political figure despite knowing of previous misconduct allegations against him.
Sunak now faces a packed in-tray which includes numerous forecasts that the U.K. is heading for a recession; a cost-of-living crisis with inflation above 10%; the ongoing issues of the European energy crisis and war in Ukraine; the weak pound; the planned revamped budget on Oct. 31, which Finance Minister Jeremy Hunt has said will contain “difficult decisions” on spending; and the need to reassure financial markets of the U.K.’s economic competency.

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He will also be navigating calls for a general election, as advocated by the opposition Labour, Scottish National, Liberal Democrat, Plaid Cymru and Green parties, as well as a few Conservative MPs who did not support Sunak.
Many Conservative MPs are resistant to an election given the party’s current poor polling figures. The next election will take place in January 2025 unless one is called by the prime minister earlier. It is also possible for an election to be forced if a majority of the U.K.’s 650 MPs vote for one.

Truss exit

Truss held her final Cabinet meeting Tuesday morning. In a speech outside 10 Downing Street, she said, “It has been a huge honor to be prime minister of this great country, in particular to lead the country in mourning the death of Her Majesty the Queen after 70 years of service and the accession of his Majesty King Charles III.”

Britain’s new Prime Minister Rishi Sunak waves in front of Number 10 Downing Street, in London, Britain, October 25, 2022.
Hannah Mckay | Reuters

Truss only took office on Sept. 6. She cited her short-lived administration’s accomplishments as supporting households and businesses with energy bills and reversing the planned rise in national insurance tax, one of the only tax cuts that remained from the package of fiscal policies she was forced to reverse after market chaos.
Repeating themes she campaigned and governed on, she said: “We simply cannot afford to be a low-growth country, where the government takes up an increasing share of our national wealth, and where there are huge divides between parts of the country. We need to take advantage of our Brexit freedoms to do things differently.”
“It means lower taxes so people can keep more of the money they earn. And it means delivering growth that will lead to more job security, higher wages and more opportunities for our children and grandchildren.”

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UPS reported revenue that fell below analyst expectations and earnings per share that beat them.
United Parcel Service said declines came from its supply chain solutions division, which includes freight forwarding.
The company reaffirmed its full year guidance of $102 billion in revenue and adjusted operating margin of 13.7%.

United Parcel Service driver pulls away after making a delivery in Washington, D.C.
Andrew Harrer | Bloomberg | Getty Images

United Parcel Service reported mixed third quarter results Tuesday morning, posting earnings that beat analyst expectations and revenue that fell short of predictions.
Here’s how the company performed compared to Wall Street expectations, according to Refinitiv.

Earnings per share $2.99 vs. $2.84 expected.
Revenue $24.16 billion vs. $24.30 billion expected.

Shares of the company rose more than 4% in light volume during premarket trading.
The company said softening demand globally hurt volumes, which was partially offset by higher pricing driven by inflation.
UPS also reaffirmed its outlook for full-year revenue of $102 billion and adjusted operating margin of about 13.7%, despite what CEO Carol Tomé called a “very dynamic” macroeconomic environment.
The company did scale back its expected capital expenditures to $5 billion from about $5.5 billion, however.
Revenue in U.S. domestic and international packages grew from the same period last year, while the company’s supply chain solutions saw revenues shrink 6.3% due to declines in air and ocean freight forwarding.

Freight forwarding is the company’s large-volume pallet shipping operation, which — distinct from its small package services — delivers large quantities of cargo across the world, managing customs and border logistics. The services sometimes use UPS vehicles and can also consolidate shipments into other vehicles and their routes.
The company said the declines were partially offset by growth in its logistics and health care businesses.
The shipping giant struggled in the prior quarter with declining volumes, partially offset by higher rates. The decrease in shipments was attributed to less business with large clients like Amazon.
For the holidays, Tomé said the company expects shipments to peak later in December than last year, as consumers return to more pre-pandemic spending habits.
UPS expects holiday volumes to be lower than last year, which the company attributed to changes in its contracts with larger clients. Last quarter, UPS said it was reducing its work with Amazon.
Rival FedEx lowered its holiday volume forecast in October, weeks after it reported weakening demand, announced rate hikes and implemented broad cost-cutting measures. FedEx CEO Raj Subramaniam warned of a “worldwide recession.”
This is breaking news. Check back for updates.

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