The Global Trade Effects of the AI Infrastructure Boom

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According to the Federal Reserve, artificial intelligence (AI) has become a key driver of the global economic outlook, underscored by the unprecedented scale of announced investment commitments aimed at expanding AI-related infrastructure. The AI boom is also increasingly influencing international trade by boosting demand for critical inputs and intermediate goods needed to build data centers. This surge in AI-related investment has already supported international trade since early 2025, with strong demand for critical components boosting exports in key supplier economies.

Looking ahead, AI-related trade is likely to remain an important feature of the global trade landscape as investment in AI infrastructure continues to scale.

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Hello World: Learn What Janet L. Yellen Says About Removing Lisa Cook as a Fed Governor in USA

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Janet L. Yellen, who was Mr. Jerome Powell’s immediate predecessor as Fed chair and later served as Treasury secretary under President Joseph R. Biden Jr., said she was “utterly alarmed” by the move [of Trump firing Lisa Cook].

“I feel this is now turned into an all-out assault on the Federal Reserve and an attempt by President Trump to really gain control over decision-making at the Fed,” she said. 

Read the full article at The New York Times reporting that Trump's firing of Fed Governor Lisa Cook will set off a long legal battle. Economists warn it could lead to higher inflation and government borrowing costs.

The Average Tariff on Imported Goods is Now the Highest It's Been Since the Great Depression

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The average tariff on imported goods is now the highest it's been since the Great Depression. And Trump has threatened to impose even higher taxes on goods from many countries, beginning on Aug. 1.

The uptick in inflation last month cements expectations that the Federal Reserve will hold interest rates steady when policymakers meet later this month, despite mounting pressure from the White House for lower rates.

President Trump has frequently attacked Fed chairman Jerome Powell and his colleagues for not cutting rates more aggressively.

Blame is not a strategy.  

Today in Global Small Business: Get Ready for the Wave of Digitization

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What's affecting me, my clients, my colleagues and other global small business owners:

• A rapid wave of digitization over the last few years sparked a significant shift in how businesses make and receive payments. American Express introduces Global Pay, a B2B cross-border payment solution for small businesses.
• The market read the Federal Reserve wrong.  Here's how.
• Here are five things by Gene Marks in technology that happened this past week and how they affect your business.
• Quote of the week: "One of the factors that I believe is the biggest obstacle to transformation is the fear of cannibalization.”— Ganesh Ayyar, Mphasis
• As provided by Gene Marks, more than than 60% of world population will use digital wallets by 2026.  Get ready.
• IRS updates crypto questions for 2022 tax return to include gifts.