Top stories for the morning: Trump visited the Fed and argued with Musk again, Intel cuts costs

Donald Trump made a rare visit to the Federal Reserve, donning a helmet and setting up a showdown with Jerome Powell over the cost of fixing the regulator's buildings. He also rejected accusations that he intended to destroy Ilon Musk's business. Intel, despite revenue growth, posted a net loss, cut 15% of its staff and announced austerity. The $8 billion deal between Paramount and Skydance received approval from a specialized regulator. These and other topics - in our review of key events by the morning of July 25.

Intel beat analysts' expectations for second-quarter revenue, but the company's shares fell about 5 percent in extended trading after the report was released, wrote CNBC. 

The company reported revenue of $12.86 billion on forecasts of $11.92 billion, but an adjusted loss per share of 10 cents. Net loss for the quarter was $2.9 billion, or 67 cents per share, up from $1.61 billion a year earlier. The earnings results did not match estimates because of an $800 million write-down related to unused manufacturing assets, the TV station points out.

For the third quarter, Intel forecasts revenue of $13.1 billion - above analysts' expectations. In terms of earnings per share, the company expects a zero result, although the consensus estimate is 4 cents of profit.

The company's new chief, Lip-Bu Tan, has announced major cost optimization, including suspending construction of a number of chip factories. Since his appointment in March, he has embarked on a reform that includes simplifying the management structure and cutting 15% of staff. The company has also set a goal of reducing operating expenses by $17 billion by the end of 2025.

Intel shares are up 13% since the start of the year, rebounding from a 60% drop in 2024, the worst year in the company's history.

Donald Trump has rejected accusations that he allegedly intends to destroy Ilon Musk's business empire in response to their disagreement over the US president's key tax reform, reports Bloomberg.

"Everyone says I'm going to destroy the Ilon companies by stripping them of all or part of their massive subsidies from the U.S. government. That's not true! I want Ilon and all the companies in our country to thrive," Trump wrote on social media Thursday, without specifying whose remarks he was responding to. - The better they do, the better for the U.S. - and that's good for all of us."

Musk responded in X: "The so-called 'subsidies' in question simply don't exist. Trump has already eliminated or set expiration dates for all sustainable energy support programs, while leaving huge subsidies to the oil and gas industry intact."

Tesla shares fell 8.2% on Thursday after a weak quarterly report and Musk's warnings of tough times for the company. The stock has lost more than 24% of its value since the beginning of the year;

The U.S. Federal Communications Commission (FCC) has approved an $8 billion deal to merge media holding company Paramount and Skydance Media, reports CNBC. The deal, which has been under discussion for more than a year, encompasses assets such as the CBS television channel, Paramount Pictures movie studio and Nickelodeon children's channel.

"Americans no longer trust the traditional national media for the completeness, accuracy and objectivity of news," said Brendan Carr, head of the regulator. - It's time for something to change. That's why I applaud Skydance's commitment to make major changes to the once legendary CBS television network."

According to Carr, Skydance has given written assurances that the new company will ensure a diversity of political and ideological viewpoints in its content. In addition, there are plans to hire an independent outside monitor who will report to the president of the combined company and evaluate complaints of bias.

US President Donald Trump made an unusual visit to the Federal Reserve on Thursday, donning a construction helmet and touring the construction site accompanied by Fed chief Jerome Powell, reports Yahoo Finance. The occasion was the growing scandal surrounding the $2.5 billion Federal Reserve building renovation project.

There was also a brief public argument between Trump and Powell, with the U.S. president saying the cost of the project had allegedly risen to $3.1 billion. Powell shook his head in response and pointed out that the figure included the William McChesney Martin building, whose renovation was completed years ago. "You just added a third building," Powell said, standing next to Trump. - It's not new."

The actual cost of renovating two buildings is still $2.5 billion, according to internal Fed documents. However, Trump's team insists that all three should be accounted for. The president's deputy chief of staff, James Blair, who attended the visit, accused Powell of "casuistry."

The US president also reiterated his displeasure with the current level of interest rates and said he had discussed the issue with Powell. "We had a little conversation about rates. I think he'll do the right thing," Trump said.

At the same time, he tried to soften his tone toward the Fed chief and distanced himself from the idea of firing him. "I don't want to get personal," Trump said, adding later, "Firing him is a serious step, and I don't think it's necessary right now."

- Japan's broad Topix index rose 1.2% to a record high during morning trading in Asia, according to LSEG data. It was falling 0.8% at the time of publication.

- In South Korea, the Kospi index was up 0.26%, while the Kosdaq small-company index was down 0.16%.

- The benchmark Nikkei 225 added 0.85%.

- Australia's S&P/ASX 200 fell 0.49 percent.

- Mainland China's CSI 300 index was down 0.55 percent, while Hong Kong's Hang Seng Index, which includes China's largest companies, lost 1.11 percent.

- S&P 500 futures added 0.18%, Nasdaq 100 futures added 0.11% and Dow Jones Industrial Average contracts added 0.19%.

This article was AI-translated and verified by a human editor