Should You Trust ChatGPT With Your Money?

SPEAKER_1 (0:00)

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Luke Vargas (0:09)

US airlines deliver a warning to Washington that already high airfares will surge if the war in Iran doesn't end soon.

Plus, a new rush into AI stocks pushes markets in the US and Asia to fresh records. And we'll look at what happens when Chachie PT manages your stock portfolio.

Gunjan Banerji (0:26)

Two financial advisors I spoke with said, this does get a passing grade. You know, this isn't exactly what I would say to investors, but this is not a bad starting framework in terms of a broad portfolio of diversified index funds.

Luke Vargas (0:39)

It's Thursday, May 7th. I'm Luke Vargas for The Wall Street Journal. And here is the AM Edition of What's News. The top headlines and business stories moving your world today.

We are exclusively reporting that a spike in fuel prices is sparking concern among President Trump's advisers. More than eight in ten Americans say that struggles at the gas pump are putting strain on their finances, according to a new poll by NPR, PBS, and Marist, with 63 percent of Americans putting a great deal or a good amount of blame on Trump for the increase in gas prices. Well, the surge in fuel costs is hurting air travel too, with former New Hampshire Governor Chris Sununu, who leads the industry group Airlines for America, among those whose warned Trump officials about rising air fares. Here he was on Fox Business' Varney & Co. yesterday.

Chris Sununu (1:31)

Jet fuel has more than doubled in price, right? And it stayed up there. Now, the airlines themselves are eating most of that cost. They will lose 10 to 12 billion dollars this year because they're eating most of it.

Luke Vargas (1:41)

US domestic ticket prices surged 20 percent in March, and we understand that Sununu has argued that the war must come to a close soon, or things will get worse.

Chris Sununu (1:49)

Now, again, if we can get the straight open, it's all about the straight of our moves. If that opens up, you'll see that tick down. But it is a supply chain issue on the fuel side, so it will take a little while. They go up fast, they go down slow.

Luke Vargas (2:01)

So what's the jet fuel price outlook? I asked Journal Energy Markets reporter Rebecca Fung.

Rebecca Fung (2:06)

So the first thing to know about refined fuel is that the supply chain is really long. The crude oil sometimes comes from the Middle East Gulf, and the crude oil needs to travel to Asia, which will take a few weeks, to be refined there. Then the refined fuel, whether it's jet fuel, or gasoline, or diesel, will come back to Europe and other global markets. So in short, even if the strait is to completely open tomorrow, the whole process to get the refined fuel back will take a few weeks.

Luke Vargas (2:34)

A Treasury Department spokesman pointed to recent comments from Secretary Scott Besant that the US economy remains strong despite price increases. A judge has unsealed a purported suicide note from late sex offender Jeffrey Epstein. The handwritten note claims that investigators found nothing and stated, It is a treat to be able to choose one's time to say goodbye. The release of the note comes the same day as Commerce Secretary Howard Ludnick told a congressional panel that he had no relationship with Epstein and that a one-hour visit to Epstein's island in 2012 was a surprise during a family vacation. While Ludnick has said that he cut ties with Epstein years earlier, unsealed Justice Department files showed continued correspondence. Testimony from billionaires Leon Black and Bill Gates is scheduled for next month.

And we are exclusively reporting that Washington and Beijing are weighing formal talks to manage a potential AI arms race, focusing on risks like autonomous military systems and unpredictable models. Treasury Secretary Scott Bessent is leading the US side while the administration waits for China to name a counterpart. Ultimately, President Trump and Xi Jinping will decide if those discussions become part of the agenda for their summit next week.

In Markets News, Warner Brothers Discovery has posted a heavy first-quarter loss due to a $2.8 billion termination fee. It's the charge owed to Netflix after its bid to take over Warner was usurped by Paramount Skydance. Warner expects the Paramount acquisition to close by the end of the third quarter, pending regulatory approval.

Long-time British semiconductor designer Arm Holdings is doubling its demand forecast for a new line of computer chips just months after it jumped into the AI chip game. Arm now expects $2 billion worth of chip sales through early 2028 The company said it currently lacks supply to meet that demand, but CEO Renee Haas described that as a good problem to have.