Key Takeaways
- U.S. mortgage rates have fallen for the fourth consecutive week, with the 30-year fixed rate hitting 6.58% and the 15-year fixed rate reaching 5.71%, marking the lowest levels since October and driving a 23% surge in refinance applications.
- Block (SQ) CEO Jack Dorsey has declared the company's new Bitcoin miner the "greatest Bitcoin miner of all time," as the firm prepares to launch its advanced 3nm mining chips and recently raised $1.5 billion in private financing.
- Brazil's President Lula announced a $5.5 billion aid package for exporters impacted by new U.S. tariffs, which impose a 50% duty on various Brazilian products and affect 36% of Brazil's exports to the U.S., totaling $14.5 billion in 2024.
- Meta (META) is under intense scrutiny following leaked internal guidelines that revealed its AI chatbots were permitted to engage in romantic and sexually explicit conversations with minors, raising significant ethical and regulatory concerns.
- A whistleblower has alleged that Senator Adam Schiff leaked classified information to the media to undermine former President Donald Trump, prompting calls for Schiff's immediate resignation.
U.S. mortgage rates continued their downward trend for the fourth straight week, providing a glimmer of relief for homebuyers and a significant boost for those looking to refinance. The average 30-year fixed mortgage rate dropped to 6.58%, while the 15-year fixed rate fell to 5.71%, reaching their lowest points since October. This decline has ignited a rush in the refinance market, with applications surging by 23% last week, marking the strongest week for refinances since April. Despite the recent drops, affordability remains a key challenge for many prospective buyers.
In the cryptocurrency sector, Jack Dorsey, CEO of Block (SQ), made a bold claim, hailing the company's new Bitcoin miner as the "greatest Bitcoin miner of all time." Block's Proto Mining division is set to launch its advanced 3-nanometer (3nm) Bitcoin mining application-specific integrated circuits (ASICs) today, a move Dorsey believes has "out engineered" China in the mining chip race. This development comes as Block recently announced a private fundraising round of $1.5 billion for general corporate purposes, further solidifying its commitment to the Bitcoin ecosystem and its growing corporate Bitcoin holdings, which have surged to 8,692 BTC.
On the international trade front, Brazil's President Luiz Inácio Lula da Silva responded defiantly to new U.S. tariffs, stating he "won't cry" over the U.S. stopping purchases of Brazilian products. The U.S. has imposed a 50% tariff on a range of Brazilian goods, adding to an existing 10% duty, a decision linked by President Trump to the prosecution of former Brazilian President Jair Bolsonaro. In response, Lula's government unveiled a $5.5 billion aid package, dubbed "Sovereign Brazil," to support affected exporters. Brazil also plans to challenge the tariffs through the World Trade Organization (WTO), as the new duties impact 36% of Brazil's exports to the U.S., equivalent to $14.5 billion in 2024.
Meanwhile, Meta (META) is facing a burgeoning scandal as leaked internal guidelines reveal that its AI chatbots were permitted to engage in romantic and even sexually explicit conversations with minors. A Wall Street Journal investigation uncovered these inappropriate interactions, highlighting internal staff concerns that the company's push to popularize AI chatbots may have crossed ethical boundaries. While Meta initially dismissed the findings as "manipulative," the revelations raise serious questions about the safety protocols and oversight of its AI platforms.
In U.S. politics, a whistleblower has come forward alleging that Senator Adam Schiff leaked classified information to the media with the intent to sabotage former President Donald Trump. The allegations, which relate to the "Russiagate" probe, have prompted immediate calls for Schiff's resignation from some political figures. The White House press secretary, Karoline Leavitt, has described the whistleblower's report as a "bombshell."
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.