Sharp Dilemma for Sunak Created by UK Net Migration Record

The U.K. has seen a record level of immigration, with net migration reaching 606,000 in 2022. This has created a dilemma for Prime Minister Rishi Sunak, who is under pressure to reduce the number of arrivals while also trying to revive the sluggish economy. The figures were swelled by the influx of people from Ukraine and Hong Kong, suggesting that a significant portion of the uplift is temporary. The government has responded by introducing measures to prevent thousands of international students from bringing family members with them into the country. The public is less concerned about legal migration since the Brexit vote, but the government is focusing on tackling illegal immigration and stopping the flow of asylum seekers crossing the English Channel. The new figures show the challenge facing the government in balancing the need to reduce immigration with the need to revive the economy.

Understanding Russia’s Seizure of Bakhmut in Ukraine

Russia has declared victory in its devastating, nearly yearlong assault on Bakhmut, and its Wagner mercenaries have begun to withdraw. Ukraine, whose forces have made small gains on the outskirts, has signaled that it is now focused on making it difficult for Moscow to hold onto the city.

The 16-square-mile city, which was home to some 70,000 people before Russia’s invasion of Ukraine in February 2022, is in the eastern industrial region known as the Donbas. Months of artillery bombardment — followed by grinding street battles — reduced Bakhmut’s leafy streets and apartment buildings to an urban wasteland. All but a few thousand residents have fled.

Moscow has long viewed Bakhmut as a necessary prize in the campaign to seize the entire region known as the Donbas. But the city itself is not particularly valuable in military terms, according to U.S. officials. They believe that Moscow’s unrelenting commitment to wresting it from Ukraine was an indication of the Kremlin’s desperation for a battlefield victory after months of losses and retreats along the northeastern and southern fronts.

Ukraine had used national guard and border guard troops to defend the city’s perimeter, then relied on more experienced combat soldiers in recent months as its hold on the city weakened. Soldiers fought in close-range combat from abandoned buildings, basements and trenches, with thousands of others stationed in surrounding fields and villages.

Losses on both sides have been staggering, especially given the minimal amount of territory that changed hands, although there is no reliable estimate of the toll. President Biden said over the weekend that around 100,000 Russian soldiers had been killed or wounded in the battle for the city. Ukraine has also suffered substantial losses.

Analysts say that Russia has lost so much in its attempts to secure Bakhmut that it seems unlikely Moscow’s troops will be able to marshal new resources to mount successful battles on the same scale elsewhere in the region. Ukraine’s defense of Bakhmut may have degraded Russia’s ability to immediately seize more territory, and the Ukrainian military may be looking to exploit any weaknesses that emerge as Russia rotates its troops.

CIBC Reports Lower Q2 Earnings Due to Loan Loss Provisions

CIBC reported a decline in second-quarter profit on Thursday, as the Canadian lender set aside higher provisions to prepare for soured loans due to a challenging economy. Net income, excluding one-off items, came in at C$1.63 billion, or C$1.70 a share, for the three months ended April 30, compared with C$1.65 billion, or $1.77 a share, a year earlier.

CIBC set aside C$438 million ($328 million) for bad loan provisions in the second quarter, up C$135 million from a year ago. This follows the results of peers Bank of Montreal and Bank of Nova Scotia on Wednesday that missed expectations, weighed down by higher provisions, slower top-line growth and higher expenses.

The bank is taking proactive steps to ensure it is prepared for the economic challenges ahead. CIBC is focused on providing customers with the support they need, while also managing its risk profile and protecting its balance sheet.

ATS Corporation Prices US IPO of 6 Million Shares at $41 per Share

ATS Corporation (ATS) has announced the pricing of its initial public offering (IPO) of 6 million common shares in the United States and Canada. The underwriters have agreed to purchase the shares at a price of US$41 per share, for aggregate gross proceeds to the Company of US$246 million. The Common Shares are expected to begin trading on the New York Stock Exchange under the symbol “ATS” on May 25, 2023.

The offering is being conducted through a syndicate of underwriters led by Goldman Sachs & Co. LLC and J.P. Morgan Securities LLC, as joint active bookrunners. The Company has granted the underwriters an over-allotment option, exercisable for a period of 30 days from the date of the underwriting agreement for the offering, to purchase up to an additional 900,000 Common Shares.

ATS expects that the net proceeds of the offering will be used for strategic opportunities, including acquisitions, as well as working capital requirements and general corporate purposes. The Company may execute on strategic opportunities, including disciplined acquisitions, if and when such opportunities arise, that drive the creation of long-term sustainable shareholder value.

Prospective investors should read the base shelf prospectus and the applicable prospectus supplement as well as the registration statement before making an investment decision. No securities regulatory authority has either approved or disapproved the contents of this press release.

Inflection Point Acquisition Corp. II Raises $220 Million in Oversized Initial Public Offering at $10 per Unit

Inflection Point Acquisition Corp. II (IPXXU) has announced the pricing of its upsized initial public offering of 22,000,000 units at a price of $10.00 per unit. The units will be listed on The Nasdaq Global Market and trade under the ticker symbol “IPXXU” beginning May 25, 2023. Each unit consists of one Class A ordinary share and one-half of one redeemable warrant. The offering is expected to close on May 30, 2023, subject to customary closing conditions.

The Company is led by Executive Chairman and Chief Executive Officer Michael Blitzer, Chief Financial Officer Peter Ondishin and Directors Nicholas Shekerdemian, Elliot Richmond, Paula Sutter, Erica Dorfman, and Samuel Sayegh. It intends to pursue a business combination with a North American or European business in disruptive growth sectors.

Cantor Fitzgerald & Co. is serving as the representative of the underwriters for the offering. The Company has granted the underwriters a 45-day option to purchase up to an additional 3,300,000 units to cover over-allotments, if any. A registration statement relating to the securities was declared effective by the Securities and Exchange Commission (“SEC”) on May 24, 2023.

This offering is being made only by means of a prospectus. When available, copies of the prospectus may be obtained from Cantor Fitzgerald & Co.

Nvidia on Track to Reach Trillion-Dollar Valuation Following Positive Forecast

Nvidia Corp is leading the charge in the AI revolution, with its stock soaring 25% after a stellar forecast. The chip designer’s shares extended their rally this year, hitting an all-time high in premarket trading and swelling its market valuation by about $189 billion to $945 billion. Analysts rushed to raise their price targets on Nvidia stock, with 21 lifting their view on the idea that all roads in AI lead to the company.

CEO Jensen Huang said a $1 trillion worth of current equipment in data centers would have to be replaced with AI chips, as generative AI is applied into every product and service. The results bode well for Big Tech companies, which have shifted focus to AI in hopes the technology would help attract demand at a time their profit engines of digital advertising and cloud computing are under pressure from a weak economy. Nvidia is leading the way in the AI revolution, and its success is a sign of what is to come.

Russia Upgrading Soviet Bombs for Use Against Ukraine

Russia and Ukraine have been locked in a bitter conflict since 2014, and the situation has only intensified in recent weeks. As Kyiv gears up for a counteroffensive, the Russians are increasing their use of Soviet-era bombs, some of which have been modified to become glide bombs. These bombs are almost impossible to shoot down, and have caused devastating destruction in Ukrainian villages. Ukrainian officials are using the threat of these bombs to help press their case for F-16s, which allies are expected to provide. The only way to stop the bombs, they say, is to attack the planes that launch them. The Russians have boasted about the prowess of their glide bombs, and the Ukrainians have struggled with their own glide bombs, which the Russians have managed to jam. As the war continues to evolve, the Ukrainians are hoping that F-16s will give them the edge they need to protect their people.

Geena Davis’ Fight Against Gender Inequality in the Film Industry

Geena Davis is an Academy Award-winning actor and activist who has been working for two decades to promote gender equality in media. Through her Geena Davis Institute on Gender in Media, she has used data and research to highlight the disparities in popular entertainment and to encourage filmmakers to make changes. Her work has been instrumental in bringing attention to the issue of gender bias in Hollywood and has helped to create a more inclusive and equitable industry.

Airports With the Most Cancellations and Delays

As summer travel season approaches, travelers should be aware of the potential for delays and cancellations. Last summer, airports in the U.S. and around the world experienced high levels of delays and cancellations, with Newark Liberty International Airport, La Guardia Airport and Kennedy Airport in New York, Reagan National in Washington, and Toronto Pearson standing out from the pack. To increase the chance of pain-free travel, travelers should avoid the airports with the highest levels of delays and cancellations, fly nonstop when possible, and avoid peak times. Additionally, travelers should stay apprised of any potential weather-related complications, such as smoke from wildfires or hurricane season. With a bit of planning and preparation, travelers can make the most of their summer trips.

NetEase Earnings Fall Short of Expectations, Revenue Surpasses Forecasts

NetEase (NASDAQ: NTES) reported first quarter earnings of ¥2.32, missing analyst estimates of ¥8.68 by ¥6.36. Revenue for the quarter came in at ¥25B, topping the consensus estimate of ¥24.97B. The stock price closed at ¥83.49, up 6.17% in the last 3 months and down -17.74% in the last 12 months.

NetEase’s Financial Health score is “great performance” according to InvestingPro. The company saw 1 positive EPS revisions and 2 negative EPS revisions in the last 90 days.

Investors can stay up-to-date on all of the upcoming earnings reports by visiting Investing.com’s earnings calendar. They can also check out NetEase’s recent earnings performance and financials here.