Positive Turn for U.S. Tariffs! Europe Monitors Strong Euro!
What’s moving the markets today? Tech giants are intensifying the competition over skyrocketing salaries for AI specialists and experts, especially at advanced levels, and wages are rapidly increasing in an attempt to attract top talent from the largest companies.
US officials are pointing to narrower and more modest agreements to encourage countries around the world to conclude trade agreements with the US before the expiration of the suspension of comprehensive US tariffs.
The European Union indicates that it is close to focusing its efforts on high inflation and the need to address it, to focus on other shocks, monitoring the euro exchange rate, and preparing to intervene optimally to address any temporary inflation problems.
The UAE receives the first electric vertical takeoff taxi, a move that will strengthen the UAE's position and leadership in advanced air transportation.
The technology sector is witnessing fierce competition to attract the best researchers and engineers in the field of artificial intelligence, leading to record-breaking salaries for top specialists.
Tech giants like Meta and OpenAI are competing to attract top talent to gain a competitive advantage in this fast-growing technology.
OpenAI recently informed its employees that it is looking for innovative ways to reward top talent after losing some key employees to competitors. Data indicates that the company already offers salaries close to the highest levels in the market.
The latest move comes after CEO Sam Altman announced that Meta has promised $100 million in signing bonuses to Altman's top AI engineers.
According to technology recruiters and recent job mobility data, wages in the AI field are on the rise, with some senior AI engineers earning more than $10 million annually, a 50% increase from 2022.
The impact:
These figures provide insight into the extent of interest in AI specialists, particularly from large companies trying to establish themselves in this vital field. Some observers believe these wages may pose challenges for smaller companies in attracting top talent.
In a new move, and ahead of the July 9 deadline for the suspension of US tariffs, senior trade officials in the Donald Trump administration have scaled back their ambitions for comprehensive and reciprocal trade deals with foreign countries, pushing countries toward narrower and more modest agreements than Trump had hoped.
This move represents a retreat from the White House's pledge to conclude 90 trade deals during the comprehensive tariff suspension period announced by the Trump administration on April 2.
According to the Financial Times, the Trump administration will seek preliminary agreements on a small number of trade disputes before the July 9 deadline. Countries that agree to these deals will be exempt from the stricter reciprocal tariffs, maintaining 10% levy while talks continue more complex issues.
U.S. President Donald Trump had suspended his country's trade talks with Canada, prompting Canadian officials to scrap the digital services tax to revive trade negotiations with the US.
The impact:
This move is likely to contribute to a sense of relief in the markets, as it represents a significant retreat by the Trump administration on some of the strict conditions.
During the suspension period, which will end in about a week, Trump signed only a trade agreement with the United Kingdom, in addition to a temporary truce with China.
The European Union is outperforming the United States in terms of inflation, having fallen from a peak of 10% in mid-2022 to 2% currently, raising expectations that the era of high interest rates is effectively over.
European Central Bank Chief Economist Philip Lane asserts that the cycle of high interest rates has ended with inflation falling, emphasizing that the ECB must focus on the soundness of monetary policy and be prepared to ensure that any deviations we see do not become entrenched and do not alter the medium-term picture.
The ECB's key interest rates have been cut to around 2%, down from 4% last year, with one final cut of a quarter of a percentage point expected, bringing them to 1.75% by the end of this year, amid stabilizing inflation rates.
The ECB is now shifting its focus to movements in energy markets, exchange rates, and inflation expectations, with the aim of avoiding an overreaction to sudden inflationary shifts and ensuring that any deviations, if they occur, are adjusted without harming economic growth in the European bloc.
The European Central Bank is also monitoring inflation slipping below its target level of 2%, as inflation is currently running at 2%. Lower inflation and falling prices could indicate a slowdown in domestic economic activity.
The impact:
Statements from some European Central Bank officials suggest a shift in focus from addressing inflation to stimulating the European economy, with a priority given to addressing monetary conditions.
This comes amid a 14% gain in the value of the euro against the dollar since the beginning of 2025. ECB Vice President Luis de Guindos indicated that current exchange rate levels are not worrisome, but the euro's breach of the 1.20 barrier against the dollar could be a source of concern for monetary policymakers in the region.
The United Arab Emirates has received the first electric vertical takeoff and landing (eVTOL) aircraft from Joby Aviation, confirming that it has completed pilot flight tests in preparation for its launch in the region next year.
Joby CEO JoeBen Bevirt said the company’s operations in Dubai are a significant step toward integrating air taxi services into everyday life around the world, describing Dubai as a launchpad for a global revolution in mobility.
Joby's planned launch in the UAE was announced in February 2024 as part of an agreement with Dubai's Roads and Transport Authority (RTA).
The agreement included exclusive rights to provide air taxi services in Dubai for six years. As part of this promising project, Joby announced in November 2025 that it had begun construction of a single vertical takeoff and landing facility at Dubai International Airport, with three additional locations planned for Palm Jumeirah, Downtown Dubai, and Dubai Marina.
In 2024, the company also announced an air taxi agreement with three government departments in Abu Dhabi.
The California-based American company is making expansion moves in the Middle East, and its shares surged earlier this month after Saudi Arabia's Abdul Latif Jameel announced a nearly $1 billion investment in up to 300 electric helicopters.
The impact:
The UAE's receipt of this type of electric helicopter will strengthen its position as a leader in future mobility and position it at the forefront of sustainable smart cities. This achievement also opens new avenues for investment and advanced technologies, redefining urban transport with faster, cleaner, and smarter solutions.
Top headlines today