Average house prices in the UK have surpassed £300,000 for the first time, according to Halifax, the country's largest mortgage lender. Meanwhile, the jewelry retailer Pandora announced it would shift its focus to platinum from silver due to surging silver prices, and Amazon revealed plans to invest $200 billion in artificial intelligence and infrastructure, leading to a drop in its shares.
Halifax reported that the average UK property price reached £300,077 in January, a "milestone" that could be daunting for first-time buyers. However, the lender noted that wage growth has outpaced house price inflation since 2022, potentially aiding affordability. The Bank of England hinted at potential interest rate cuts this year, which could further lower mortgage rates.
In the jewelry market, Pandora, one of the world's largest retailers, stated it would reduce its use of silver to around 25% of its offerings. This decision came in response to the dramatic increase in silver prices, which have more than doubled in the past year. The company's chief executive explained that the aim was not to eliminate silver entirely but to reduce its exposure to the metal's price volatility.
In the technology sector, Amazon's announcement of its massive AI investment, dwarfing the $125 billion spent last year, caused investor concern, leading to an over 1% drop in the company's shares in after-hours trading. The company's move is part of a broader trend, with major tech players like Meta, Google, and Microsoft collectively planning to invest $650 billion in AI and related projects this year. Some experts have warned of the risk of an AI bubble.
In other news, the US government launched an initiative to establish a trade zone for critical minerals, aiming to counter China's dominance in the industry. The State Department hosted the first Critical Minerals Ministerial event, attended by representatives from the UK, European Union, Japan, India, South Korea, Australia, and the Democratic Republic of Congo. Delegates discussed access to minerals crucial for manufacturing various products, including smartphones and weapons.
Finally, the rise of AI is also impacting social media. One example of AI-generated content, an image of impoverished children, went viral on Facebook, sparking a backlash against the proliferation of AI "slop."
Discussion
AI Experts & Community
Be the first to comment