Key Takeaways
- Intel (INTC) shares surged approximately 3% in premarket trading after CEO Lip-Bu Tan met with President Donald Trump, signaling a potential de-escalation of previous tensions over Tan's alleged ties to Chinese businesses.
- Italian Prime Minister Giorgia Meloni is reportedly seeking to reduce Chinese holdings in key Italian companies, a move that could reshape foreign investment dynamics and align Italy more closely with U.S. interests.
- Visa's (V) crypto division is strategically positioning itself to capitalize on the burgeoning stablecoin market, which analysts project could reach $2 trillion by 2030, marking a significant expansion of its digital asset strategy.
- German investor morale, as measured by the ZEW Economic Sentiment Index, is anticipated to fall in August, ending a three-month improvement streak, following a new US-EU trade deal that introduced a 15% import tariff on most EU goods.
- The UK labor market is showing signs of cooling, with fewer jobs lost than initially predicted but a continued decline in payrolled positions, attributed in part to Chancellor Rachel Reeves' recent tax increases.
A magnitude 6.14 earthquake has reportedly struck West Papua, Indonesia, on Tuesday, August 12, according to the German Research Centre for Geosciences (GFZ). This follows other recent seismic activity in the region, including a magnitude 5.93 earthquake reported by GFZ on July 26, 2025, and a magnitude 4.9 earthquake on August 11, 2025.
In Europe, Italian Prime Minister Giorgia Meloni's government is exploring strategies to reduce Chinese investors' stakes in critical Italian companies. This initiative aims to mitigate potential geopolitical tensions with the United States and could lead to a significant restructuring of foreign direct investment in Italy.
Meanwhile, Intel (INTC) saw its shares climb approximately 3% in premarket and after-hours trading following a Monday meeting between CEO Lip-Bu Tan and U.S. President Donald Trump. The meeting, described as "candid and constructive" by Intel, occurred days after Trump had publicly demanded Tan's resignation over alleged ties to Chinese businesses, indicating a potential resolution to the controversy and renewed investor confidence.
The financial services giant Visa (V) is making significant strides in the digital currency space, with its crypto chief aiming to leverage the burgeoning $2 trillion stablecoin era. Visa is expanding its global settlement network by integrating new stablecoins and blockchains, positioning itself as a crucial "global translator" between traditional finance and programmable money. Analysts project the stablecoin market could exceed $2 trillion by 2030, or even by 2028, highlighting the strategic importance of Visa's move.
German investor confidence is expected to decline in August, with the ZEW Economic Sentiment Index set to fall. This anticipated drop follows a new US-EU trade deal that included a 15% import tariff on most European Union goods. The deal has been described as a "mood killer" for investor sentiment in the Eurozone, with the Sentix index already turning negative, and significantly dampening sentiment in Germany, Europe's largest economy.
In the artificial intelligence sector, a former OpenAI researcher, Liam Fedus, has co-founded Periodic Labs, an AI materials science startup that is reportedly raising $200 million in funding. This round, led by Andreessen Horowitz (a16z), values the company at $1 billion pre-funding. This development underscores a broader trend of former OpenAI researchers launching new AI ventures, with another former chief scientist, Ilya Sutskever, raising over $1 billion for his startup, Safe Superintelligence (SSI), at a $30 billion valuation.
Finally, the UK labor market is experiencing a slowdown, though fewer jobs were lost than initially predicted. The Office for National Statistics (ONS) reported a drop of 26,000 payrolled employees in June, a revision from an earlier estimate of 41,000. Over the year to July, 164,000 payrolled positions were lost, and the unemployment rate remained at 4.7%. Chancellor Rachel Reeves' recent tax increases, particularly the hike in employers' national insurance, have been cited as a contributing factor to the decline in job numbers, with the hospitality and retail sectors being particularly affected.
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.