The United States announced wider restrictions on advanced semiconductor exports to China, targeting AI accelerators and manufacturing equipment. Officials said the move is designed to slow military and high-performance computing applications.

Analysts said the policy could add fresh strain to global supply chains while accelerating Chinese investment in domestic chip alternatives.

The Federal Reserve indicated that it expects to hold rates steady near term while it waits for clearer inflation progress. Officials pointed to stable employment but uneven consumer demand as reasons to remain cautious.

Investors interpreted the message as a slower path to easing than previously expected, leaving Treasury yields slightly firmer by the end of the session.

European lawmakers moved forward with a new package of AI rules focused on transparency, risk tiers, and documentation requirements for high-impact systems. Supporters said the framework is intended to create enforceable guardrails before adoption accelerates further.

Industry groups argued that compliance costs could be significant, particularly for smaller firms that must document training data and safety processes.

The United Nations warned that food insecurity is worsening across East Africa because drought, conflict, and economic pressure are compounding existing shortages. Aid agencies said millions face higher risk of severe hunger if funding does not increase.

Officials appealed for additional humanitarian support, warning that prolonged instability could trigger further displacement across the region.