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August 12, 2025

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European markets opened on a positive footing Tuesday, riding a wave of global optimism after the United States stepped back from the brink of a trade war escalation with China.

The continent-wide rally provided a moment of calm, but investors remain on high alert as they pivot their focus to a crucial inflation test from the US that could dictate the next major market move.

With trading now underway, London’s FTSE 100 has climbed 0.3%, with the mid-cap FTSE 250 rising 0.4%, both mirroring gains across the continent.

Futures data from IG had already set the stage for a positive session, forecasting gains for France’s CAC 40 (+0.3%), Germany’s DAX (+0.25%), and Italy’s FTSE MIB (+0.27%).

This follows a mixed Monday session and an overnight rally in Asia-Pacific markets, all digesting President Donald Trump’s decision to delay higher tariffs on Chinese goods for another 90 days. In currency markets, the pound strengthened slightly against the dollar to trade above $1.34.

A sterling picture with a retail wrinkle

The positive sentiment in London was bolstered by the release of better-than-expected UK jobs data just as the market opened. However, a shadow looms over the UK’s domestic economy.

A new report from the Association of International Retail revealed that American visitors spent less in the country last year than they did in 2019.

The group attributes the decline directly to the government’s 2021 decision to end tax-free shopping for international visitors, arguing that tourists now simply wait to make major purchases until they reach mainland Europe.

The association continues to advocate for the return of VAT-free shopping, claiming it could provide a significant boost to the British economy at a critical time.

The inflation test awaits

While the trade truce provides a temporary tailwind, the market’s next direction hinges on data from across the Atlantic.

Investors are holding their breath for the latest US consumer price index (CPI) report, hoping it will offer insight into the Federal Reserve’s thinking on interest rates ahead of its key September meeting.

With the S&P 500 hovering near an all-time high, the stakes are incredibly high.

Economists polled by Dow Jones expect the headline CPI to show a 0.2% advance for July, and 2.8% on an annualized basis.

More importantly, the so-called core CPI, which strips out volatile food and energy costs, is forecast to climb 0.3% month-over-month and 3.1% year-over-year.

Any deviation from these figures could send shockwaves through global markets, potentially derailing the fragile sense of optimism that has defined the week’s opening.

The post Europe markets open: FTSE 100 rises as US-China trade truce fuels rally appeared first on Invezz

Lithium, a naturally occurring trace element in the brain, may be able to unlock a key medical mystery: why some people develop Alzheimer’s disease and others don’t, despite similar brain changes.

In a recently published study, scientists at Harvard Medical School state that lithium not only exists in the human brain at biologically meaningful levels, but also appears to protect against neurodegeneration.

Additionally, their work shows that lithium supports the function of all major brain cell types.

The decade-long study drew on mouse experiments and analyses of human brain and blood samples across the spectrum of cognitive health. The Harvard team discovered that as amyloid beta, the sticky protein associated with Alzheimer’s, begins to accumulate, it binds to lithium and depletes its availability in the brain. This drop in lithium impairs neurons, glial cells and other brain structures, accelerating memory loss and disease progression.

“The idea that lithium deficiency could be a cause of Alzheimer’s disease is new and suggests a different therapeutic approach,” said Bruce Yankner, who is the senior author of the study.

Yankner, a professor of genetics and neurology at Harvard Medical School who in the 1990s was the first to show that amyloid beta is toxic to nerve cells, said the new findings open the door to treatments that address the disease in its entirety, rather than targeting single features like amyloid plaques or tau tangles.

To explore this possibility, researchers screened for lithium compounds that could evade capture by amyloid beta.

They identified lithium orotate as the most promising candidate. In mice, the compound reversed Alzheimer’s-like brain changes, prevented cell damage and restored memory, even in animals with advanced disease.

Crucially, the effective dose was about one-thousandth of that used in psychiatric treatments, avoiding the toxicity risk that has hampered lithium’s clinical use in older patients.

“You have to be careful about extrapolating from mouse models, and you never know until you try it in a controlled human clinical trial,” Yankner cautioned. “But so far the results are very encouraging.”

The path to these findings began with access to an unusually rich source of brain tissue.

Working with the Rush Memory and Aging Project in Chicago, the team examined postmortem samples from thousands of donors, from cognitively healthy individuals to those with mild cognitive impairment and full-blown Alzheimer’s.

Using advanced mass spectrometry, they measured trace levels of about 30 metals. Lithium stood out as the only one whose levels dropped sharply at the earliest stages of memory loss.

The pattern matched earlier population studies linking higher environmental lithium levels, including in drinking water, to lower dementia rates. But unlike those correlations, the Harvard team directly measured brain lithium and established a normal range for healthy individuals who had never taken lithium as medication.

“Lithium turns out to be like other nutrients we get from the environment, such as iron and vitamin C,” Yankner said. “It’s the first time anyone’s shown that lithium exists at a natural level that’s biologically meaningful without giving it as a drug.”

To test whether this deficiency was more than an association, the researchers fed healthy mice a lithium-restricted diet, lowering brain lithium to levels seen in Alzheimer’s patients.

The animals developed brain inflammation, lost connections between neurons and showed cognitive decline; however, replenishing them with lithium orotate reversed these changes. What’s more, mice given the compound from early adulthood were protected from developing Alzheimer’s-like symptoms altogether.

The findings raise several possibilities. Measuring lithium levels in blood could become a tool for early screening, identifying people at risk before symptoms emerge. Furthermore, amyloid-evading lithium compounds could be tested as preventive or therapeutic agents, potentially altering the disease course more fundamentally than existing drugs.

For now, researchers stress that no one should self-medicate with lithium supplements.

The team emphasized that the safety and efficacy of lithium orotate in humans remain unproven, and clinical trials will be needed to determine whether the dramatic benefits seen in mice translate to people.

Securities Disclosure: I, Giann Liguid, hold no direct investment interest in any company mentioned in this article.

This post appeared first on investingnews.com

NEW YORK — A top official at the Federal Reserve said Saturday that this month’s stunning, weaker-than-expected report on the U.S. job market is strengthening her belief that interest rates should be lower.

Michelle Bowman was one of two Fed officials who voted a week and a half ago in favor of cutting interest rates. Such a move could help boost the economy by making it cheaper for people to borrow money to buy a house or a car, but it could also threaten to push inflation higher.

Bowman and a fellow dissenter lost out after nine other Fed officials voted to keep interest rates steady, as the Fed has been doing all year. The Fed’s chair, Jerome Powell, has been adamant that he wants to wait for more data about how President Donald Trump’s tariffs are affecting inflation before the Fed makes its next move.

At a speech during a bankers’ conference in Colorado on Saturday, Bowman said that “the latest labor market data reinforce my view” that the Fed should cut interest rates three times this year. The Fed has only three meetings left on the schedule in 2025.

The jobs report that arrived last week, only a couple of days after the Fed voted on interest rates, showed that employers hired far fewer workers last month than economists expected. It also said that hiring in prior months was much lower than initially thought.

On inflation, meanwhile, Bowman said she is getting more confident that Trump’s tariffs “will not present a persistent shock to inflation” and sees it moving closer to the Fed’s 2% target. Inflation has come down substantially since hitting a peak above 9% after the pandemic, but it has been stubbornly remaining above 2%.

The Fed’s job is to keep the job market strong, while keeping a lid on inflation. Its challenge is that it has one main tool to affect both those areas, and helping one by moving interest rates up or down often means hurting the other.

A fear is that Trump’s tariffs could box in the Federal Reserve by sticking the economy in a worst-case scenario called “stagflation,” where the economy stagnates but inflation is high. The Fed has no good tool to fix that, and it would likely have to prioritize either the job market or inflation before helping the other.

On Wall Street, expectations are that the Fed will have to cut interest rates at its next meeting in September after the U.S. jobs report came in so much below economists’ expectations.

Trump has been calling angrily for lower interest rates, often personally insulting Powell while doing so. He has the opportunity to add another person to the Fed’s board of governors after an appointee of former President Joe Biden stepped down recently.

This post appeared first on NBC NEWS

President Donald Trump took aim at Ukrainian President Volodymyr Zelenskyy in a press event on Monday over his frustration with the Ukrainian leader’s objection to ‘land swapping.’

‘I get along with Zelenskyy, but, you know, I disagree with what he’s done, very, very severely, disagree. This is a war that should have never happened,’ Trump said, reiterating his belief that the Ukrainian president is in part at fault for Russia’s illegal 2022 invasion.

‘I was a little bothered by the fact that Zelensky was saying, ‘Well, I have to get constitutional approval’,’ Trump said. ‘I mean, he’s got approval to go into war and kill everybody, but he needs approval to do a land swap, because there’ll be some land swapping going on.’

‘I know that through Russia and through conversations with everybody,’ Trump added, noting it was ‘for the good of Ukraine.’

Zelenskyy – who did not declare war on Russia, as Moscow had already invaded, did declare Martial Law on Feb. 24, 2022 with the approval of Ukraine’s parliament, which gave him presidential powers to mobilize a military response — made clear over the weekend that he objected to Trump’s ‘land swapping’ proposal and has repeatedly said it would require a national referendum under the nation’s constitution, not a unilateral decision by him. 

Trump wouldn’t detail what exactly he hopes to get out of the meeting with Putin and described it as a ‘feel-out meeting,’ saying within ‘the first two minutes [he’ll] know exactly whether or not a deal can be made.’

‘I’m going in to speak to Vladimir Putin, and I’m going to be telling him, you got to end this war, you got to end it,’ Trump said, reiterating his belief that if he had won the 2020 election, Putin wouldn’t have invaded Ukraine, saying ‘he wasn’t going to mess with me.’

‘I go into that thing fully loaded right up there, and we’re going to see what happens,’ he continued. ‘It could be a good meeting, and we’ll go a step further. We’ll get it done. 

‘I’d like to see a ceasefire very, very quickly, very quick,’ he continued. ‘And, we’re going to be dealing with the European leaders and, we’re going to be dealing with President Zelensky and hopefully we’re going to have a great success.’

This post appeared first on FOX NEWS