—— Japan Faces Record Wave of Shareholder Proposals as Activists Target Governance; WTC Developer Larry Silverstein Bets Big on Bellevue Luxury Market; Nippon Steel Closes $14.1 Billion US Steel Takeover; US Jobless Claims Edge Down, Labor Market Shows Signs of Cooling; Microsoft Plans Thousands More Layoffs to Prioritize AI Spending
1. Japan Faces Record Wave of Shareholder Proposals as Activists Target Governance
Japanese companies are facing an unprecedented surge in shareholder activism, with a record 137 proposals submitted by investors this year, according to data from Mitsubishi UFJ Trust & Banking Corp. Activists are increasingly pushing for management reforms, board restructuring, and privatization initiatives.
This year’s AGM season is particularly significant, as Japan’s stock market continues to underperform global peers. Investors are demanding concrete growth strategies instead of the usual buybacks and dividend hikes. The pressure on corporate boards is intensifying, with over 1,700 listed companies — more than 40% of all listed firms — scheduled to hold annual general meetings next week. Venues include the opulent Palace Hotel near the Imperial Palace and the Ariake Arena, a Tokyo 2020 Olympics venue.
“There’s a sense of impending crisis among management about when they might be targeted,” said Rieko Otsuka, strategist at MCP Asset Management Japan. “New activist holdings are being revealed every day, prompting companies to take governance and capital efficiency more seriously.”
In contrast, the US has seen a decline in shareholder proposal activity. A report by ISS-Corporate shows that total proposals among Russell 3000 companies dropped 14% through May 13 compared with the same period last year, driven by waning investor demand for environmental and social initiatives.

Source: Bloomberg – Activist Investors Flood Japanese Firms With Record Proposals
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2. WTC Developer Larry Silverstein Bets Big on Bellevue Luxury Market
Larry Silverstein, the New York developer famed for rebuilding the World Trade Center, is making a bold bet on the Pacific Northwest by acquiring full ownership of Avenue, a luxury residential project in Bellevue, Washington.
The development includes two condo towers where about 40% of units have already been sold — at prices that outpace nearby new buildings. Notably, a penthouse sale for $9 million set a record for the highest price per square foot ever paid for a condo in Washington state.
Silverstein Properties took over full control of the project last year, shortly after the InterContinental Hotel on the site opened. “This area is unlike anywhere else in the country,” Silverstein said, citing the presence of tech giants like Amazon, Salesforce, and Meta in downtown Bellevue, with Microsoft and T-Mobile close by.
Bellevue has thrived in recent years as Seattle’s downtown faced public safety and social challenges during the pandemic. That shift in regional momentum, coupled with the prestige of the lakefront neighborhoods where former and current Microsoft CEOs — Bill Gates, Steve Ballmer, and Satya Nadella — reside, has helped Avenue become one of the most desirable addresses in the state.

Source: Bloomberg – NYC Developer Silverstein Bets on Rising Wealth of Seattle’s Neighbor
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3. Nippon Steel Closes $14.1 Billion US Steel Takeover
Nippon Steel Corp. has officially completed its $14.1 billion acquisition of United States Steel Corp., concluding an 18-month-long deal to merge the Japanese and American steel giants, the companies announced Wednesday.
The all-cash transaction, valued at $55 per share, vaults the combined entity to the position of the world’s second-largest steel producer and significantly strengthens Nippon Steel’s position in the US market — a key move as the company looks to navigate President Donald Trump’s newly imposed 50% tariffs on imported steel.
Trading of US Steel shares was halted on the New York Stock Exchange Wednesday following confirmation that the deal had become effective.
To secure regulatory clearance, Nippon Steel reached a conditional agreement with the Trump administration last Friday, committing to invest an additional $11 billion in US Steel’s operations headquartered in Pittsburgh.
As part of the deal, the companies also signed a National Security Agreement with the US government, under which US Steel will issue a “golden share” to the government.
That share gives the US president veto power over critical decisions — including capital spending cuts, company name or headquarters changes, redomiciling abroad, offshoring jobs or production, mergers and acquisitions, or facility closures.

Source: Bloomberg – Nippon Steel Closes $14.1 Billion Acquisition of US Steel
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4. Musk’s Neuralink Shows Breakthrough
Elon Musk’s Neuralink is pushing the frontiers of vision restoration technology. According to an engineer, the company has used a brain implant called “Blindsight” to make a monkey “see” something that wasn’t physically there—marking a key step toward restoring sight for the blind.
Neuralink engineer Joseph O’Doherty said Friday at a conference that the device stimulates parts of the monkey’s brain associated with vision, causing the animal to perceive an object that doesn’t exist. In at least two-thirds of the tests, the monkey moved its eyes toward what researchers were trying to make it “see.”
These are the first public results of Neuralink’s testing of the Blindsight chip, which is designed to mimic the function of the human eye. It represents a leading-edge development in brain-machine interface (BMI) technology aimed at treating severe vision loss.
Though the results are promising, the device is not yet approved for human testing in the United States, and O’Doherty acknowledged the uncertain applicability of animal findings to humans.
Musk previously said the short-term goal is to restore vision for the blind, while the long-term vision includes enabling superhuman sight, such as infrared perception. Neuralink hopes to begin human trials of Blindsight later in 2025.

Source: Bloomberg – US Plans to Ease Capital Rule Limiting Banks’ Treasury Trades
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5. US Jobless Claims Edge Down, Labor Market Shows Signs of Cooling
Applications for US unemployment benefits edged lower last week, but remained near an eight-month high — highlighting a labor market that is slowly losing steam.
Initial jobless claims declined by 5,000 to 245,000 for the week ending June 14, aligning with the median estimate from economists surveyed by Bloomberg. Continuing claims, which reflect the number of people still receiving unemployment assistance, also dipped slightly to 1.95 million for the prior week, the Labor Department reported Wednesday.
Jobless claims data can be choppy around holiday periods and school breaks, but the broader trend over the past two months points to rising claims. This suggests a gradual cooling in the labor market, with hiring slowing and more individuals taking longer to find new employment.
Federal Reserve officials are expected to hold interest rates steady at their meeting later on Wednesday, as they assess the economic impact of President Donald Trump’s trade tariffs and other policies.
So far, the inflationary impact from elevated import duties appears limited.

Source: Bloomberg – US Jobless Claims Stabilize Near Highest Levels This Year
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6. Microsoft Plans Thousands More Layoffs to Prioritize AI Spending
Microsoft Corp. is planning another round of job cuts — this time targeting thousands of roles, particularly in sales — as the company continues to trim its workforce to focus spending on artificial intelligence.
The cuts are expected in early July, after Microsoft’s fiscal year ends, according to people familiar with the matter. While sales teams will be most affected, other parts of the company may also see reductions. The timing could still shift, the people said.
Microsoft declined to comment.
The move follows a 6,000-person layoff in May that primarily impacted product and engineering staff, leaving customer-facing roles mostly intact. In April, the company told employees that it would start outsourcing more software sales to small and mid-sized customers via third-party firms.
Executives have pledged to Wall Street that Microsoft will maintain tight cost controls as it ramps up spending on servers and AI infrastructure. The company is investing tens of billions of dollars into its data center capacity to support its growing ambitions in generative AI.
Microsoft says it routinely reviews its structure to ensure investment is aligned with long-term growth.

Source: Bloomberg – Microsoft Planning Thousands More Job Cuts Aimed at Salespeople
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7. Nvidia posts 69% revenue surge
Nvidia reported a 69% year-on-year jump in revenue to $44.1 billion for the quarter ending April 27, surpassing Wall Street’s forecast of $43.3 billion, even as it absorbs a major revenue hit from US export restrictions targeting China.
The chipmaker, central to the global AI infrastructure boom, expects revenue of about $45 billion for the current quarter, plus or minus 2%. That range puts its guidance slightly below the Bloomberg consensus estimate of $45.5 billion. Nvidia shares rose 5% in early Thursday trading.
The company is navigating the fallout from President Donald Trump’s renewed trade tensions with China, including export controls introduced in April that barred Nvidia from selling its AI chips specifically tailored for the Chinese market. Nvidia said those curbs led to a $4.5 billion charge last quarter and an additional $2.5 billion in missed sales. The company also expects to lose roughly $8 billion in Chinese revenue this quarter as a result.
CEO Jensen Huang said demand for Nvidia products remains “incredibly strong,” but he reiterated criticism of the US government’s export control measures on a call with analysts.

Source: Financial Times – Nvidia quarterly revenue surges nearly 70% despite China curbs
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