Anna's Daybreak News

_{Just facts, you think for yourself}

Tuesday, 5:13 AM

June 3, 2025

Good morning news friend! Discover what’s unfolding now—and how it’s shaping what comes next. 📰🌟

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China’s Manufacturing Tumbles

China's manufacturing sector faced its steepest decline since September 2022, with the Caixin PMI dropping to 48.3 in May from 50.4 in April, signaling contraction.

This downturn is driven by heightened tariffs affecting smaller exporters and a drop in new export orders to the lowest since July 2023. Employment in manufacturing shrank for the second consecutive month, with increasing inventories due to declining sales and shipment delays.

While the official PMI showed a slight improvement at 49.5, economic uncertainties remain. Manufacturing output fell for the first time in 19 months, alongside disappointing retail sales growth of 5.1% and a 10.3% drop in property investment.

Sources: Bloomberg, CNBC, Straitstimes, WallStreetJournal.

Iran Militias Exploit Visa’s Networks

Iraq's cross-border transactions through Visa and Mastercard skyrocketed from $50 million to $1.5 billion in 2023, driven by Iran-backed militias exploitation of payment networks.

This shift followed the U.S. Treasury closing a fraud loophole, prompting militias to adopt card schemes. Monthly transactions ranged from $400 million to $1.1 billion while Visa and Mastercard delayed action.

The Central Bank of Iraq capped transactions at $300 million. These activities reportedly netted $450 million for militias and $120 million for the card networks.

The U.S. Treasury sought to block over 200,000 militia-related cards, yet fraudulent card usage persists amidst ongoing financial scrutiny.

Sources: WallStreetJournal, Jpost, Moneycontrol, Allsides.

Airlines Rally Against Credit Card Fee Legislation

Major U.S. airlines oppose legislation aimed at reducing credit card transaction fees set by Visa and Mastercard, claiming it threatens their rewards programs, crucial for consumer loyalty.

Sponsored by Senators Dick Durbin and Roger Marshall, the proposal could save $15 billion annually for consumers and merchants, while businesses currently pay over $100 billion in swipe fees.

Airlines like American, United, and Southwest assert that reduced fees could harm their billion-dollar revenue-generating rewards programs, currently held by 31 million Americans.

In 2023, loyalty programs for Delta, United, and American were valued over $20 billion each, essential for revenue during the pandemic.

Sources: Reuters, Marketscreener, Investing.

U.S. Construction Spending Declines

U.S. construction spending fell to an annual rate of $2,152.4 billion in April 2025, down 0.4% from March. This marks the second consecutive monthly decline, with private construction spending also decreasing by 0.7% to $1,638.9 billion.

Residential construction dropped 0.9% to $892.8 billion, while nonresidential fell 0.5% to $746.0 billion. Public construction saw a slight increase of 0.4% to $513.5 billion. Year-over-year, total spending is down 0.5% compared to April 2024.

However, total spending in the first four months of 2025 rose 1.4% to $660.2 billion compared to the same period last year.

Sources: Census, Tradingview, Mdm, Rttnews.

Contraceptives and Increased Stroke Risk

Recent studies indicate a concerning link between hormonal contraceptives and increased stroke risk in women. Combined oral contraceptives triple the likelihood of cryptogenic strokes, impacting women aged 18 to 49.

Research involving over 608 patients from 13 countries shows combined contraceptives raise stroke risk threefold compared to non-users.

A study of over two million Danish women found the vaginal ring increases stroke risk by 2.4 times and heart attack risk by 3.8 times, while the patch raises stroke risk by nearly 3.5 times.

Progestin-only contraceptives do not elevate these risks.

Sources: Sciencealert, Theconversation, Health, Onlymyhealth.

Rethinking Sugar

Recent research indicates that sugar from sugary drinks significantly increases the risk of type 2 diabetes (T2D), while sugars from solid foods may be less harmful or protective.

Each 12-ounce serving of sugar-sweetened beverages raises T2D risk by 25%, and each additional 8-ounce serving of fruit juice increases risk by 5%. The metabolic effects show that liquid sugars overwhelm the liver, leading to higher liver fat and insulin resistance.

In contrast, solid sugars in nutrient-dense foods provide fiber and slow absorption. The study calls for stricter guidelines on liquid sugars and emphasizes the importance of differentiating sugar sources in dietary recommendations.

Sources: SciTechDaily, Byu, Thebrighterside.

“True worldly wisdom lies in strategic silence, making them watch and wonder—only fools and the fragile expose their entire hand.”

Did you know we also write in-depth deep dives? They are long, packed with insights, and have received rave reviews. If you’re up for a detailed, action-packed read, check them out:

• Private Equity, Unpacking the Engine Room of Modern Capitalism

• Ethanol: Hype, Hope or the future of Fuel?

• AI Chip Cold War

Baked with love,

Anna Eisenberg ❤️