Japan Raises Interest Rates to Highest Level In 17 Years

 

In a significant policy shift, the Bank of Japan (BOJ) has raised its short-term policy interest rate to 0.5%, marking the highest level since the 2008 financial crisis. This decision underscores the central bank's confidence that rising wages will help maintain inflation around its 2% target.

Background and Decision Details

The BOJ's policy board voted 8-1 in favor of increasing the short-term policy rate from 0.25% to 0.5%. This move comes after a prolonged period of deflation and economic stagnation in Japan, during which the central bank maintained ultra-low interest rates to stimulate growth. The last rate hike occurred in July 2024, making this the first increase in approximately six months.

Trump’s Colombia Face-Off: A Warning to Leaders Everywhere

Donald Trump’s influence on global politics has always been polarizing, and his most recent clash with Colombia is no exception. This confrontation highlights not only the pitfalls of transactional diplomacy but also serves as a cautionary tale for leaders navigating the increasingly interconnected global stage.

The crux of the dispute centers on Trump’s public criticism of Colombia’s handling of narcotics production. During his presidency, Trump openly threatened to decertify Colombia as a cooperative partner in the fight against drug trafficking, a move that would have jeopardized critical trade agreements and international aid. For Colombia, one of the United States' staunchest allies in Latin America, this was not just a policy dispute but an affront to its sovereignty.

What is Trump’s New $500bn AI Project?

On January 21, 2025, President Donald Trump announced a monumental private-sector initiative named Stargate, aiming to invest up to $500 billion in artificial intelligence (AI) infrastructure across the United States. This ambitious project is collaboration between OpenAI, Oracle, and SoftBank, marking a significant stride in the nation's commitment to advancing AI capabilities.

Project Overview

Stargate is poised to be the largest AI infrastructure endeavor in history, with an initial investment of $100 billion and plans to scale up to $500 billion over the next four years. The initiative focuses on constructing state-of-the-art data centers nationwide, which are essential for supporting advanced AI research and applications. These data centers will not only bolster technological advancements but are also projected to create over 100,000 jobs, significantly impacting the U.S. economy.

The High Energy Physics Killing Cancer

Cancer has long been one of humanity's most formidable challenges, but recent advances in high-energy physics are proving to be game-changers in the fight against this disease. By leveraging the principles and technologies developed for particle physics, researchers are revolutionizing cancer diagnosis and treatment, offering hope to millions worldwide.

High-energy physics, the branch of science concerned with studying the fundamental particles and forces of the universe, may seem far removed from medicine. However, the tools and techniques developed for exploring the subatomic realm are now being applied to combat cancer. This interdisciplinary collaboration has given rise to breakthroughs such as particle therapy, advanced imaging systems, and AI-powered diagnostics.

Key Takeaways as Trump Sworn In As 47th US President

On January 20, 2025, Donald Trump was inaugurated as the 47th President of the United States, marking his return to the White House after a four-year hiatus. The ceremony, held indoors at the U.S. Capitol due to inclement weather, set the stage for a series of significant policy announcements and executive actions that signal a transformative shift in the nation's direction.

Inaugural Address Highlights

In his inaugural speech, President Trump declared the onset of a "golden age" for America, emphasizing a vision of national rejuvenation and strength. He criticized previous administrations for what he termed as mismanagement and decline, vowing to reverse these trends. Central to his address was the promise to restore American prosperity, enhance security, and reassert the nation's global standing.

Spain Plans 100% Tax for Homes Bought By Non-EU Residents

Spain is confronting a significant housing crisis, characterized by soaring property prices and a shortage of affordable homes. In response, Prime Minister Pedro Sánchez has introduced a series of measures aimed at improving housing accessibility for residents. Among these proposals is a plan to impose a tax of up to 100% on property purchases made by non-resident, non-EU citizens.

Details of the Proposed Tax

The proposed tax targets non-EU citizens who do not reside in Spain, requiring them to pay a tax equivalent to the full value of the property they intend to purchase. This measure is designed to deter speculative investments that contribute to escalating property prices, thereby prioritizing housing availability for residents. In 2023, non-EU residents purchased approximately 27,000 properties in Spain, often for investment rather than personal use.

Tiktok Says Report of Possible Sale to Musk 'Pure Fiction'

 

TikTok has dismissed reports suggesting that Chinese officials are considering selling its U.S. operations to Elon Musk as "pure fiction." This response follows a Bloomberg News article claiming that Beijing might contemplate such a sale if TikTok cannot avert an impending U.S. ban.

The U.S. Supreme Court is currently deliberating on a law that mandates TikTok, owned by China's ByteDance, to either divest its U.S. operations by January 19, 2025, or face a nationwide ban. The law stems from national security concerns, with U.S. lawmakers alleging that TikTok could be exploited by the Chinese government for espionage or political manipulation—claims that TikTok has consistently denied.