International News 16 October 2025
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BlackRock Q3 2025 Profit Surges as AUM Hits Record $13.46 Trillion
Global asset management giant BlackRock Inc. reported a strong third-quarter 2025 profit increase, driven by the global market rally and resilient U.S. consumer spending that kept economic growth intact. Total assets under management (AUM) rose to a record $13.46 trillion, up sharply from $11.48 trillion a year earlier, supported by inflows into low-cost index funds amid renewed investor optimism. The rebound in equity markets, coupled with expectations of further Federal Reserve rate cuts, has also spurred strong inflows into bond-focused ETFs, helping offset weaker performance fees and higher operating costs linked to the acquisition of HPS Investment Partners. BlackRock’s net long-term inflows reached $171 billion, led by continued strength in its ETF segment, which remains the firm’s primary growth driver. Adjusted net income rose to $1.91 billion, or $11.55 per share, compared to $1.72 billion, or $11.46 per share, a year earlier. Analysts attribute the robust results to the company’s diversified business model and expanding footprint in alternative investments and fixed-income products. With the Fed’s first rate cut in September and further easing expected in 2025, analysts anticipate that BlackRock’s fixed-income ETFs and passive strategies will continue to attract substantial inflows in the coming quarters.
Gold Hits Fresh Record Above $4,100 Amid Fed Rate Cut Bets and Trade Tensions
Gold prices surged to a new all-time high above $4,100 per ounce on Tuesday (Oct 14, 2025), supported by investor flight to safety and mounting expectations that the Federal Reserve will cut interest rates later this month. Spot gold climbed 0.8% to $4,142.94 after touching an intraday record of $4,179.48, while December 2025 gold futures rose 0.7% to $4,163.40. The precious metal has now soared 57% year-to-date, propelled by geopolitical uncertainty, large-scale central bank purchases, and robust inflows into gold-backed ETFs. Analysts from Bank of America and Société Générale forecast prices could hit $5,000 per ounce in 2026, as macroeconomic instability and a prolonged U.S. government shutdown drive demand for safe-haven assets. Market strategist Peter Grant from Zaner Metals said escalating U.S.–China trade tensions, Trump’s threat of 100% tariffs, and widening “de-dollarization” trends are fueling bullish sentiment. The upcoming meeting between President Trump and Xi Jinping in South Korea is seen as a key event for market direction. With traders pricing in two 25-basis-point rate cuts—one in October and another in December—gold’s appeal continues to rise in a low-rate environment. Fed Chair Jerome Powell signaled no major change in inflation or employment data since September, reinforcing expectations of policy easing. Analysts note that while gold may face short-term consolidation, the ongoing mix of geopolitical risk, monetary stimulus, and investor fear continues to underpin its record-setting rally.
IMF Raises 2025 Global Growth Forecast but Warns of Trade War Risks
The International Monetary Fund (IMF) raised its global growth forecast for 2025 to 3.2%, up from 3.0% in July and 2.8% in April, after economic disruptions from tariffs and tighter financial conditions proved milder than expected. The IMF attributed the upgrade to stronger private-sector resilience, a weaker U.S. dollar, fiscal stimulus in Europe and China, and rising investment in artificial intelligence. However, Chief Economist Pierre-Olivier Gourinchas cautioned that growth remains below pre-pandemic trends and far from sufficient to ensure global stability. “It’s not as bad as we feared, but worse than we hoped,” he said ahead of the IMF–World Bank Annual Meetings in Washington. The outlook darkened after President Donald Trump threatened to impose tariffs of up to 100% on Chinese goods, escalating tensions that could derail the fragile recovery. The IMF warned that such measures could cut global GDP by as much as 1.2 percentage points in 2026 and 1.8 points by 2027 if combined with higher inflation and weaker demand for U.S. assets. In a downside scenario, tariffs of 30 percentage points on Chinese imports and 10 points on goods from Japan, the eurozone, and Asian emerging markets would already trim 2026 global growth by 0.3 percentage points. U.S. Treasury Secretary Scott Bessent said negotiations are ongoing to prevent escalation, but the IMF emphasized that prolonged trade tensions would deepen uncertainty, restrain investment, and threaten the recent rebound in global output.