The FTC launches an antitrust probe into Microsoft, while Unusual Machines sees its stock soar following Donald Trump Jr.'s appointment to its advisory board. Ikea's profits dip as price cuts take a toll, and South Korea makes a surprise interest rate cut to stimulate its economy. Meanwhile, U.S. consumer spending shows continued resilience, although inflation progress stalls. All this and more on the November 28 edition of World Street.
FTC Probes Microsoft
The U.S. Federal Trade Commission (FTC) has launched a wide-ranging antitrust investigation into Microsoft, focusing on its software licensing practices and cloud computing operations, Reuters reported. The FTC is investigating claims that Microsoft may be leveraging its market dominance in productivity software to enforce restrictive licensing terms, discouraging customers from migrating data from its Azure cloud service to competitors.
Unusual Machines Soars as Trump Jr. Joins Board
Shares of Unusual Machines, a small U.S. drone and drone component manufacturer, surged nearly 85 percent by the close of trading on November 27. The rally followed the announcement that Donald Trump Jr., the eldest son of President-elect Donald Trump, had joined its advisory board. The stock briefly climbed over 100 percent during the session before settling at $9.89 per share.
Ikea Sees Profit Slump
Ingka Group, the largest IKEA franchisee, reported a significant decline in annual net profit after cutting prices to attract cost-conscious shoppers. Ingka Group's net profit for the financial year ending August 31 came in at 800 million euros (or $841.3 million) , down from 1.5 billion euros the year before. The furniture pioneer has warned that trade barriers from US president-elect Donald Trump would hurt its push to cut prices.
South Korea Cut Interest Rate
South Korea unexpectedly reduced its benchmark interest rate by 25 basis points to 3 percent on November 28, aiming to stimulate its sluggish economy. This marks the first consecutive rate cuts by the Bank of Korea since 2009, following a similar 25 bps reduction in October.
U.S. Consumer Spending
U.S. consumer spending rose slightly more than expected in October, signalling the economy maintained strong growth momentum early in the fourth quarter. However, progress in curbing inflation appears to have stalled in recent months.
Consumer spending, which drives over two-thirds of U.S. economic activity, increased 0.4 percent in October following a revised 0.6 percent rise in September. Inflation-adjusted spending grew just 0.1 percent, down from the 3.5 percent pace recorded in the third quarter, which contributed to the economy's 2.8 percent growth rate.
Discover the latest Business News, Sensex, and Nifty updates. Obtain Personal Finance insights, tax queries, and expert opinions on Moneycontrol or download the Moneycontrol App to stay updated!
