AP Business SummaryBrief at 9:36 a.m. EST

Inflation ran hotter than expected last month, underscoring affordability challenges WASHINGTON (AP) — U.S. inflation was higher than expected last month in a sign that the rising prices that powered sweeping Democratic victories in last week’s midterm elections will continue to pose challenges for the White House and Federal Reserve. The data shows that inflation remains noticeably above the Federal Reserve’s target of 2%, and Americans’ struggles with high prices were evident as they ousted Republican majorities from the House and Senate last week. Nvidia and Jensen Huang face shareholder lawsuit alleging investors were misled about spy affair A shareholder has sued Nvidia and CEO Jensen Huang, accusing them of deceiving investors about Huang's affair with a purported Chinese spy. The lawsuit, filed Monday, claims the affair threatens national security. President Donald Trump said the FBI is investigating the matter, which Huang has admitted to and apologized for. Concerns have arisen that Beijing may be using the affair to access Nvidia microchips, crucial for AI development but restricted from export to China. The complaint, filed in California, alleges Nvidia misled investors about the affair's impact. Nvidia did not immediately comment. Shares fell 4.3% on Monday. What we know — and what we don't — as Nvidia investigates an alleged spy plot involving its CEO Stunning allegations of a spy plot have prompted Nvidia to investigate whether its founder and CEO, Jensen Huang, was the target of a “foreign intelligence effort.” Huang admitted to having an extramarital affair, and acknowledged that news reports surrounding the relationship and potential national security concerns led Nvidia’s board to investigate. He did not name the person he had been intimate with, but The New York Times identified her as business executive and Chinese citizen Alice Huang — who, the outlet said, U.S. intelligence determined was gathering information for Beijing. China’s Foreign Ministry dismissed the spying allegations. Many questions remain unanswered, but the scandal is already bringing turmoil. Internal probe into CEO Jensen Huang and 'foreign intelligence' weighs on high-flying Nvidia shares Shares of Nvidia are down 4.3%  after the computer chip maker, central to the artificial intelligence race, opened an investigation into reports that CEO Jensen Huang was the “target of a foreign intelligence effort.” Nvidia’s announcement of the investigation Sunday followed Huang’s acknowledgment that he had been intimate with a business executive who, according to The New York Times, U.S. intelligence determined was gathering information for China. China’s Foreign Ministry dismissed the spying allegations, calling them a smear campaign against Beijing. Press Forward completes nearly $600M in journalism investments about 2 years early Press Forward has completed investing nearly $600 million to strengthen local news outlets, two years ahead of schedule. Executive Director Dale Anglin says the work is far from complete, as the industry undergoes significant transformation. According to Northwestern University, news deserts have grown by 12% this year. Press Forward has 144 funders and 50 local chapters, which have raised and invested another $87 million to bolster journalism. Press Forward Chicago has seen promise in pooled funds to support specific initiatives. Knight Foundation CEO Maribel Perez Wadsworth emphasizes that local funding is essential for sustainable growth. Nonprofit local news isn't free! It takes reporters, editors, and resources to do this work right. Your donation keeps that work alive. MAKE YOUR DONATION TODAY Anthropic seeks valuation of about $1.3 trillion when it becomes a publicly traded company Artificial intelligence giant Anthropic is looking for an approximately $1.3 trillion valuation in its initial public offering. The company behind the Claude chatbot said in a regulatory filing on Tuesday that it will sell 825 million shares priced between $70 and $78 a share. That would give Anthropic the ability to raise more than $61 billion, if the IPO is priced at the midpoint. The San Francisco company is anticipated to make its Wall Street debut this month. Exclusive: AP granted rare access to European Union naval patrol fighting piracy in the Gulf of Aden AT SEA IN THE GULF OF ADEN (AP) — Piracy is rising in the Gulf of Aden and threatening vital shipping lanes. Spanish special forces are conducting exercises to combat this threat. The European Union's Operation Atalanta leads maritime security efforts in the region. Vice Adm. Ignacio Villanueva says instability in nearby areas like Yemen and Iran fuels piracy. The Bab el-Mandeb Strait is crucial for global trade with 12% of the world's trade passing through. There have been 79 pirate attacks since November 2023. Pirates exploit regional turmoil and capture vessels and demand ransoms. Shipping companies are increasing security and rerouting vessels to avoid capture. US stocks fall after worse-than-expected report on inflation NEW YORK (AP) — The U.S. stock market is under presssure after a report showed inflation was worse than expected last month. The S&P 500 fell 0.7% and gave back some of its big rally from the day before. The Dow Jones Industrial Average lost 172 points, and the Nasdaq composite fell 1%. Pressure from rising yields in the bond market undercut stocks following the discouraging inflation report. People had to pay prices for groceries and other costs of living that were higher last month than forecast. That could push the Federal Reserve to hike its main interest rate at its next meeting in December and beyond. How to strike the right balance between stocks, bonds, and cash With yields higher but inflation still simmering, we answer five key questions about how to allocate to the major asset classes. Japanese investor SoftBank Group sinks into losses as company's AI hopes falter TOKYO (AP) — SoftBank Group has sunk into losses for the latest quarter as worries about investments in artificial intelligence hurt the Japanese technology company's bottom line. Tokyo-based SoftBank Group on Tuesday reported a $7 billion loss for the three months through September. That is a reversal from the $16 billion profit in the same period a year earlier. Quarterly sales rose 16% to $14 billion from $12 billion. Analysts say the financial results for a company like SoftBank Group are difficult to predict. It invests in a variety of companies including OpenAI and Arm Holdings, whose fortunes tend to be volatile. Donate now to support local nonprofit news in Lancaster County Newsletter Success! An email has been sent to with a link to confirm list signup. Error! There was an error processing your request. Business Our weekly business newsletter highlighting the l atest local and national business news headlines. Please enter a valid email address. Sign up By opting into newsletters you are agreeing to our privacy policy . What to Read Next