Fed's hike draws mixed views on inflation timeline
The Fed raised rates by 25 bps to 3.75-4.0%, a unanimous vote under Warsh. Analysts split on inflation's duration, with UBS seeing gold pressure near-term butā¦
Bessent is open to AI-risk talks with China in New York but ruled out slowing US development. Both governments rejected calls for an AI slowdown.
Scott Bessent, the Treasury secretary, said Washington would bring up shared threats at economic meetings in New York this weekend and has left the door open to talks with China on artificial intelligence risks.
There is a condition, though. The US is not going to curb its own AI work and still regards the field as a contest it expects to come out on top of.
Axios reported that Bessent and United States Trade Representative Jamieson Greer are set to hold talks lasting several hours with Chinese Vice Premier He Lifeng.
AI, trade and rare earths are on the agenda. The sessions take place eight days before President Donald Trump is scheduled to receive Xi Jinping in Washington on September 24.
āThe United States remains the leader in AI, and we are open to discussions on avoiding shared risks and avoiding bifurcation of our two systems. We expect our discussions to cover both open and closed weight models,ā Bessent said, according to the Axios report.
Bifurcation is the term for the US and China splitting into separate AI ecosystems that are no longer interoperable. An open-weight model is one whose underlying parameters are made public, letting anyone download and reuse it.
On September 12, Anthropic CEO Dario Amodei posted an essay pressing competitors to ease off on gains in capability. Two days later, Trump dismissed the idea of an AI slowdown as a hoax.
āIām telling you itās all a hoax.ā
On September 14, Trump phoned Jensen Huang live on stage, brushing aside the AI safety debate and staying focused on data centers and expansion. Even with the presidentās backing, Nvidia and chip stocks slid.
The Chinese foreign ministry described the push for a slowdown as āfear-mongering.ā It added that all sides ought to encourage AI progress that is open and inclusive.
BeInCrypto drew attention to the divide on September 13, with Xi advocating a global governance system built on consensus while Washington pressed for speed. A move in Congress to halt frontier AI work has gone nowhere.
According to Axios, any significant safety agreement is still hard to reach, and Bessentās presence points to engagement, not a deal. Neither side has committed to restraining its own AI work. The real measure comes on September 24.
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