Key Takeaways
- Waymo (GOOGL, GOOG), Alphabet's self-driving unit, is facing a new probe by the U.S. auto safety agency (NHTSA) after one of its autonomous vehicles reportedly struck a child near an elementary school in California, causing minor injuries. This adds to a broader investigation into 22 incidents of "unexpected driving behaviors."
- UK car production has fallen to its lowest level since 1956, primarily driven by a significant shutdown at Jaguar Land Rover (TTM) following a cyber-attack.
- China is implementing strategic measures to stimulate its economy, including plans to convert idle land and housing inventory into tourism projects and expanding visa-free access, which contributed to a nearly 30% surge in foreign arrivals in 2025.
- Whirlpool Corporation (WHR) reported a 0.9% decline in its fourth-quarter revenue to $4.10 billion, largely due to reduced sales volumes across its Americas businesses.
- JPMorgan Chase & Co. (JPM) is reportedly increasing bonuses for its Australian investment banking unit by 10-15%, signaling a robust compensation outlook in the financial sector.
The global economic landscape is presenting a mix of challenges and opportunities, with significant developments across the automotive, technology, and financial sectors, alongside targeted policy initiatives in China.
Waymo Under Renewed Regulatory Scrutiny
Waymo (GOOGL, GOOG), the autonomous vehicle subsidiary of Alphabet, is facing a new preliminary investigation by the National Highway Traffic Safety Administration (NHTSA). The probe was initiated after a Waymo self-driving vehicle reportedly struck a child near an elementary school in California, resulting in minor injuries. This incident is part of a broader inquiry, officially designated PE24-013, which is examining an estimated 444 Waymo vehicles and stems from at least 22 reported incidents, including 17 collisions and other instances of alleged traffic law violations.
The NHTSA's investigation focuses on "unexpected driving behaviors" that could lead to crashes or other dangerous situations. This follows a previous recall in October 2025 of 3,067 Waymo taxis due to a software issue that caused vehicles to pass stopped school buses. The ongoing scrutiny highlights the increasing regulatory pressure on the nascent autonomous vehicle industry to ensure public safety as these technologies expand.
UK Car Production Hits Decades-Low Amid JLR Shutdown
UK car production has plummeted to its lowest level since 1956, a significant downturn attributed primarily to a prolonged shutdown at Jaguar Land Rover (JLR) (TTM). The luxury automaker was forced to halt production for over five weeks following an unprecedented cyber-attack in August 2025, with operations not fully resuming until early October. This disruption contributed to a 27% slump in total UK car production in September 2025 compared to the previous year.
The Society of Motor Manufacturers and Traders (SMMT) highlighted the "total loss of production at Britain's biggest automotive employer" as the main cause for the sharp decline. While the situation has shown some improvement, the sector remains under immense pressure, with full production capacity not expected to return until January 2026. The incident underscores the vulnerability of complex manufacturing supply chains to cyber threats.
China's Economic Revitalization: Tourism and Real Estate Initiatives
In a strategic move to bolster its economy, China is planning to transform idle land and unsold home inventory into tourism projects. This initiative aims to address the country's real estate oversupply and ease financial pressures on developers. Local governments are actively acquiring unused land, with announced acquisition and reserve projects totaling over CNY350 billion (approximately USD48.6 billion) as of May 2025.
Concurrently, China is also studying the expansion of visa-free access as part of a broader work plan to boost international tourism and people-to-people exchanges. In 2025, the country witnessed a remarkable nearly 30% jump in visa-free arrivals, contributing to over 82 million international crossings—a 26.4% year-on-year increase. Over 73% of these international travelers benefited from China's visa exemption or visa-free transit policies, marking a 49.5% increase from the previous year. China has already expanded its 240-hour visa-free transit program to 65 ports and extended unilateral visa-exemption arrangements for more than 40 countries until December 31, 2026.
Whirlpool Reports Q4 Revenue Decline Amid Americas Sales Dip
Whirlpool Corporation (WHR) announced a 0.9% decrease in its fourth-quarter revenue, reaching $4.10 billion, primarily driven by lower sales volumes in its North and Latin American segments. The appliance manufacturer's results missed consensus revenue and earnings per share (EPS) expectations, and its full-year 2026 guidance was at or slightly below Street forecasts.
Despite the top-line challenges, Whirlpool's management highlighted efforts to strengthen its financial position, including announcing $200 million in structural cost reductions and plans to pay down approximately $400 million of debt in 2026. The company anticipates generating meaningful free cash flow of $400-$500 million and approximately $850 million cash from operations, aimed at supporting balance-sheet repair and deleveraging.
LME Aluminum Stocks Fall, JPMorgan Bonuses Rise
In the commodities market, LME on-warrant aluminum stocks have experienced their most significant fall since September, indicating potential supply tightness. This decline has contributed to upward pressure on aluminum prices, with three-month aluminum prices rising 6% month-on-month to $2,584.50 per tonne by June 2025. The market dynamics are complicated by the fact that Russian-origin aluminum constitutes about two-thirds of the remaining LME warehouse inventory, which faces reduced demand in Western markets due to sanctions.
Meanwhile, the financial sector is seeing a positive trend in compensation, with JPMorgan Chase & Co. (JPM) reportedly increasing bonuses for its Australian investment banking unit by 10-15%. This reflects a broader trend of rising bonuses across Wall Street's trading and dealmaking desks, with JPMorgan's investment bankers seeing an approximate 15% increase. These increases follow two years of industry-wide restraint and are attributed to a surge in deal volume and market volatility.
In other currency news, the BoJ Yen-Index for January 29 registered 75.29, a slight decrease from the previous 75.80, indicating a minor strengthening of the yen. This comes as the Japanese Yen has seen broader strengthening against the US Dollar, with the USD/JPY pair falling below 153 amid speculation of coordinated Japanese and US efforts to bolster the yen. The Bank of Japan raised interest rates to 0.75% in December, the highest in 30 years, though yen weakness persists due to still deeply negative real rates.
Ed Liston is a senior contributing editor at TheStockMarketWatch.com. An active market watcher and investor, Ed guides an independent team of experienced analysts and writes for multiple stock trader publications.