Investors are getting anxious

Snags in debt-ceiling talks make investors nervous, Apple extends a deal with Broadcom to supply iPhone chips, and more [What makes a subscription to The Week so valuable now? Click here.]( [The Week Logo]( [Subscribe to The Week magazine]( [Subscribe to The Week magazine]( Daily business briefing 1. [Debt ceiling snags stoke investor anxiety]( House Speaker Kevin McCarthy (R) left the Capitol late Tuesday without a deal to raise the debt ceiling and avert an unprecedented default. His top negotiator suggested Republicans and Democrats were locked in a standoff. "Bottom line is that we're going to have to see some movement," the negotiator, Rep. Garret Graves (R-La.), said. The impasse, despite recent progress, made it more likely Congress would vote on any deal hours before June 1, the point at which Treasury Secretary Janet Yellen has said her department would start running short of money to pay all the country's bills. The standoff prompted investors worried about a potential default to shed their go-to safe haven, Treasury bills, and buy bonds of top-rated companies like Microsoft and Johnson & Johnson instead. [[Bloomberg]( [The Wall Street Journal]( [Share to Facebook]( [Share to Twitter]( [Send in email](mailto:?Subject=Debt+ceiling+snags+stoke+investor+anxiety&body=Read the story here: utm_campaign=business_briefing_newsletter_20230524&utm_source=business_briefing_newsletter) 2. [Apple extends Broadcom deal to supply iPhone chips]( Apple announced Tuesday that it would extend its deal to buy chips from Broadcom despite a push by the iPhone maker to make more of the components itself. Apple has replaced Intel chips with its own versions in its laptops and desktops, but has made slower progress with chips for cell phones. As part of its new multi-year, multi-billion-dollar deal, Broadcom will supply Apple with 5G radio-frequency components and wireless-connectivity components to be built at manufacturing hubs in Fort Collins, Colorado, and several other U.S. locations. "We'll continue to deepen our investments in the U.S. economy because we have an unshakable belief in America's future," Apple Chief Executive Tim Cook said. [[The Wall Street Journal]( [Share to Facebook]( [Share to Twitter]( [Send in email](mailto:?Subject=Apple+extends+Broadcom+deal+to+supply+iPhone+chips&body=Read the story here: utm_campaign=business_briefing_newsletter_20230524&utm_source=business_briefing_newsletter) Advertisement by Enbridge [Lowering emissions today for clean energy systems tomorrow. Learn how.]( [Advertisement by Enbridge]( 3. [France bans short flights on routes served by high-speed rail]( France on Tuesday finalized a law that will ban short domestic flights on routes that can be traveled in two-and-a-half hours by train under a push to fight climate change. "This is an essential step and a strong symbol in the policy of reducing greenhouse gas emissions," said Clement Beaune, France's transport minister. "As we fight relentlessly to decarbonize our lifestyles, how can we justify the use of the plane between the big cities which benefit from regular, fast, and efficient connections by train?" The ban immediately will affect only three routes connecting Paris-Orly airport with Bordeaux, Nantes, and Lyon. The European Union insisted on applying the rule only to routes with a convenient high-speed rail alternative available, with early and late departures for convenience. [[CNN]( [AFP]( [Share to Facebook]( [Share to Twitter]( [Send in email](mailto:?Subject=France+bans+short+flights+on+routes+served+by+high-speed+rail&body=Read the story here: utm_campaign=business_briefing_newsletter_20230524&utm_source=business_briefing_newsletter) 4. [Stock futures fall as debt ceiling negotiations continue]( U.S. stock futures fell early Wednesday as investors continued to monitor negotiations between Democrats and Republicans on raising the debt ceiling. Futures tied to the Dow Jones Industrial Average and the S&P 500 were down 0.4 percent at 6:30 a.m. ET. Nasdaq futures were down 0.3 percent. The three main U.S. indexes fell on Tuesday. The Dow and the S&P 500 fell 0.7 percent and 1.1 percent, respectively. The tech-heavy Nasdaq dropped 1.3 percent. On Wednesday, investors also will be paying attention to Federal Reserve minutes from the central bank's May meeting, which will be released later in the day. Corporate earnings also continue, with apparel retailer American Eagle Outfitters and semiconductor maker Nvidia reporting quarterly results after the day's trading ends. [[CNBC]( [Share to Facebook]( [Share to Twitter]( [Send in email](mailto:?Subject=Stock+futures+fall+as+debt+ceiling+negotiations+continue&body=Read the story here: utm_campaign=business_briefing_newsletter_20230524&utm_source=business_briefing_newsletter) Advertisement from Wisebread [Spend $500 And Earn $200]( [Advertisement from Wisebread]( 5. [Netflix imposes password sharing crackdown in U.S.]( Netflix announced in a blog post Tuesday that it was starting its crackdown on password sharing in the United States. "Netflix account is for use by one household," the company wrote in the post. The streaming giant said a "broad rollout" of the policy was coming this quarter after it got started in early February in several countries, including Canada, New Zealand, Portugal, and Spain, after being tested in Chile, Costa Rica, and Peru. Netflix said Tuesday that it was also extending the crackdown to the United Kingdom, France, Germany, Mexico, Brazil, and several other countries. The company says users can share their accounts with someone outside their household for $7.99 per month. [[Yahoo Finance]( [Share to Facebook]( [Share to Twitter]( [Send in email](mailto:?Subject=Netflix+imposes+password+sharing+crackdown+in+U.S.&body=Read the story here: utm_campaign=business_briefing_newsletter_20230524&utm_source=business_briefing_newsletter) [Read more business stories at theweek.com]( MOST POPULAR [Related image]( [California is diverting melting snow to avoid flooding]( Devika Rao [Related image]( [HBO's 'The Idol' is 'sexist' and The Weeknd is 'a terrible actor,' critics say]( Brendan Morrow [Related image]( [Anti-Kremlin Russians fighting for Ukraine stage 'extraordinary' attack inside Russian border region]( Peter Weber [Related image]( [Republicans' catch-22 in taking out Trump]( Rafi Schwartz [Related image]( [3 Western states agree to cut Colorado River use in breakthrough water pact]( Peter Weber [Speed reads banner] [Article image]( [Florida school restricts Amanda Gorman's Biden inauguration poem after getting 1 complaint]( May 24, 2023 [Article image]( [Trump gets March 2024 criminal trial date in New York, requests meeting with Garland in federal case]( May 24, 2023 [Article image]( [Report finds nearly 2,000 kids abused by Catholic clergy in Illinois over decades]( May 23, 2023 [Article image]( [California is diverting melting snow to avoid flooding]( May 23, 2023 [Read more of today's best articles at theweek.com]( [What makes a subscription to The Week so valuable now? 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