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Markets debate the Fed’s next moves, Google’s former CEO adds to alarm on China’s use of AI, and US commercial property prices fall. — Liza Tetley

The Federal Reserve rate debate continues among market players, with Pictet Asset Management betting against the assumption that the central bank will cut interest rates this year. Andres Sanchez Balcazar, the European asset manager’s head of global bonds, believes market pricing for policy makers to reverse course and start cutting rates in September is “extreme.” Pictet, which has around $680 billion of assets, is positioning itself by shorting rates futures in a wager they will fall in the months ahead if the Fed is unable to lower borrowing costs due to sticky inflation.