AI powers momentum: Global goods trade is proving more resilient than expected despite tariffs, wars and geopolitical tensions, with merchandise trade growth now forecast at 4.6% this year and 3.6% next year. The boom in artificial intelligence equipment is a major driver, accounting for nearly 76% of merchandise trade growth in the first quarter of 2026, while U.S. imports from Taiwan, Vietnam and South Korea have surged as supply chains shift. Bloomberg has the full story.
Housing hit hard: Mortgage rates climbed to 7.49% last week, their highest level in nearly three years, pushing total mortgage application volume down 4.2% from the prior week. Refinancing applications fell 8% weekly and 56% annually, while purchase applications dropped 2% weekly and 15% from a year earlier as higher rates worsen affordability. More borrowers are turning to adjustable-rate mortgages, which accounted for 10.3% of applications, as mortgage rates remain near their highest levels in more than two decades. CNBC has the full story.
Chinese demand falls: Porsche is scaling back after profits collapsed amid weakening Chinese demand, U.S. tariffs and the costly reversal of its electric vehicle strategy, with its profit margin falling to 1.1% from 18% two years earlier. The automaker plans to cut about 25% of its workforce, reduce development costs and focus on higher-priced, more exclusive vehicles as it retreats from its previous growth ambitions in China. The turnaround is also critical for parent company Volkswagen. The New York Times has the full story.
