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Accenture has reported a second straight drop in quarterly new bookings, citing a wariness among corporations to hire consultants. Consulting and IT firms are under pressure as U.S. tariffs and accompanying economic uncertainty force companies to rethink their spending plans. Books fell 6% to $19.7bn in the third quarter, missing the Visible Alpha estimate of $21.54bn. Additionally, said chief financial officer Angie Park, slower government spending will have an impact of 2% on its fiscal fourth-quarter and annual revenue, after recording an "immaterial" hit in the last quarter. Revenues for the third quarter ended May 31st came in at $17.7bn, beating analysts' average estimate of $17.30bn, according to data compiled by LSEG. Net income totalled approximately $2.2bn, or $3.49 per share, up from $1.93bn in the prior-year period. Separately, the New York company said it planned to bring its strategy, consulting, song, technology and operations services into a single unit called reinvention services. Accenture said it will continue to manage its business through three geographic markets – the Americas, EMEA and Asia-Pacific and go to market by industry. John Walsh, Accenture’s current global chief operating officer, will become chief executive of the Americas.

 

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Wall Street Journal

News Corp has extended chief executive Robert Thomson's contract through to June 2030. He was appointed as CEO of News Corp, which owns the Wall Street Journal and book publisher HarperCollins, in 2013, and his contract was extended in 2023 until 2027. "Robert has been instrumental in News Corp’s growth and transformation, and his vision and leadership are extremely important as the company continues to navigate this era of rapid change," Chair Lachlan Murdoch said in a statement.

 

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Optical networking firm Ciena has named Marc Graff as its new chief financial officer. Most recently CFO for semiconductor group Altera, he will be paid a $1.9m bonus on joining the firm, along with a one-time replacement equity grant with a target delivered value of $10.4m. One quarter of the grant will vest a year following his becoming CFO, while the remainder will vest over a three-year period, the company said.

 

CFO Dive

Tax legislation recently unveiled by Senate Republicans only costs $441bn when tallied using a novel accounting method requested by the GOP. The Joint Committee on Taxation (JCT) said over the weekend that Senate Republicans were able to slash the costs of sweeping tax legislation set to be included in the bill by using a “current policy baseline,” a never-before-used technique that wipes out the cost of extending existing tax cuts that are set to expire at year’s end. The contrast with the traditional method of fiscal scoring, accounting for tax policy as currently enacted into law, is profound: similar tax legislation that passed the House in May was estimated by JCT to cost $3.8tn under the old method. Republicans have argued that extending current tax law shouldn’t be counted as adding to the deficit because the GOP is merely preventing huge tax increases on individuals and businesses around the country.

 

Politico

The Conference Board reported on Friday that its Leading Economic Index for the U.S. inched down 0.1% in May to 99, after declining by a revised 1.4% in April. In the six-month period ended May 2025, the LEI has retreated 2.7%, compared with the 1.4% contraction over the previous six months. The coincident index rose 0.1% , while the lagging economic index was up 0.4%. "The recovery of stock prices after the April drop was the main positive contributor to the Index," said Justyna Zabinska-La Monica, senior manager, Business Cycle Indicators, at The Conference Board. "However, consumers' pessimism, persistently weak new orders in manufacturing, a second consecutive month of rising initial claims for unemployment insurance, and a decline in housing permits weighed on the Index, leading to May's overall decline."

 

MSN	PR Newswire

The Philly Fed's Manufacturing Business Outlook Survey's general activity index, based on the responses of around 250 manufacturers in the Third Federal Reserve District, is unchanged this month from May at -4, the third consecutive negative reading. Although 25% of surveyed firms reported increased activity—up from 19% in May—the percentage citing declines also rose to 28%. The new orders index dipped 5 points to 2.3, signaling only marginal demand. Shipments turned positive, climbing to 8.3 from -13.0, though still below pre-recession norms. The employment index dropped to -9.8, the lowest since May 2020. Just 10.5% of firms added workers, while twice as many cut staff. The future general activity index dropped 29 points to 18.3, while future new orders and shipments fell sharply.

 

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FX Empire

Kroger saw its shares rise more than 9% on Friday, after it lifted its full-year sales outlook and said it will invest in lowering prices to attract value-seeking consumers. The retailer has slashed prices on more than 2,000 products so far this year and will offer more promotions and coupons, executives said. It has also been trying to expand its cheaper private-label brand portfolio. The first quarter ended May 24th saw its sales hit $45.12bn, and its net income total $866m, or $1.49 per share adjusted. Analysts surveyed by LSEG expected sales of $45.19bn and per-share earnings of $1.46. Comparable sales rose 3.2%. On an earnings call with analysts on Friday, interim chief executive Ron Sargent said the company intends to close 60 stores over the next 18 months, with the proceeds to be reinvested "back into the customer experience." The Cincinnati-based grocer also said it now expects like-for-like sales, excluding fuel, to increase by 2.25%-3.25%, higher than its previous expectations for an increase of between 2%-3%.

 

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Earlier this month, President Donald Trump ordered a pause on immigration raids, providing temporary relief to farmers, cattle ranchers, and hospitality managers. Rebecca Shi, chief executive of the American Business Immigration Coalition, observed at the time: “There was finally a sense of calm.” However, this relief was short-lived after Assistant Secretary of the Department of Homeland Security, Tricia McLaughlin, subsequently said: “There will be no safe spaces for industries who harbor violent criminals or purposely try to undermine (immigration enforcement) efforts. Worksite enforcement remains a cornerstone of our efforts to safeguard public safety, national security and economic stability.'' Such uncertainty surrounding immigration policies has left many businesses anxious, with reports of workers avoiding jobs due to fears of raids by U.S. Immigration and Customs Enforcement. Patrick Murphy, chief investment officer at Coastal Construction, expressed his concern over the unpredictability of immigration enforcement, saying: “That uncertainty makes it really hard to operate a forward-looking business.”

 

US News and World Report

Bank of New York Mellon approached Northern Trust last week to express interest in merging with its smaller rival, according to the Wall Street Journal, in what would be a major deal for the financial-services industry. Northern Trust is thought to have no interest in pursuing a deal with BNY; BNY is considering its next steps, which might include returning to Northern Trust with a formal bid. A deal would marry two of the world’s largest asset-servicing businesses and create an investment-management powerhouse that oversees more than $3tn. 

 

Wall Street Journal

The Financial Stability Board wants regulators to tackle “vulnerabilities” in the $12tn commercial property market stemming from high levels of debt, liquidity mismatches and a lack of data on banks’ exposure.

 

Financial Times

Victoria's Secret paid $760,000 for the relocation expenses of chief executive Hillary Super, including real estate agent fees, temporary housing, and personal security. However, investors, including Australian billionaire Brett Blundy, are reportedly not impressed with the company's management and board-level decisions. Shareholders claim Ms. Super lacks focus and experience and lacks trust in her staff. Bloomberg notes that Victoria's Secret, once the leader in the bra business, has struggled to appeal to shifting consumer tastes, a competitive retail landscape, tariff rules, and a recent security incident. Shares of the lingerie company have fallen by over half since L Brands spun off Victoria's Secret in 2021.

 

Bloomberg

On June 12th the Supreme Court ruled that the Tax Court lost jurisdiction over a due process hearing when there was no ongoing levy. The case involved taxpayer Jennifer Zuch, who had filed multiple tax returns showing overpayments. The IRS applied these overpayments to her outstanding tax liability, which eventually reached zero. The Supreme Court's 8-1 decision, with Justice Neil Gorsuch dissenting, established a precedent that limits the taxpayer's choice of forum for tax disputes. Anshuman Vaidya from Hinshaw & Culbertson noted: "A taxpayer ordinarily gets to choose whether to go to the U.S. Tax Court . . . However, if the IRS drops its levy, the Tax Court no longer has jurisdiction." The ruling raises concerns about taxpayer rights, as highlighted by Beth Milito of the National Federation of Independent Business, who said: "This decision will allow continued abuse of administrative authority."

 

Accounting Today

In California, a new bill, the “No Robo Bosses Act” (Senate Bill 7), aims to regulate the use of artificial intelligence in hiring and employee management. Introduced by state Sen. Jerry McNerney, the bill seeks to ensure human oversight in automated decision-making processes. “When it comes to people's lives and their careers, you don't want these automated decision-making systems to operate without any oversight,” McNerney said. If passed, it would prevent employers from relying primarily on AI for promotions, discipline, or terminations. The bill has faced opposition from the California Chamber of Commerce, which argues that its requirements are impractical. The legislation is part of a broader discussion on the need for accountability in AI technologies, especially as they become more prevalent in the workplace.

 

The Columbian

Lawmakers in the European Parliament and Council have reached an agreement on modifications to the carbon border adjustment mechanism (CBAM), which will exempt 90% of importers, mainly smaller businesses, from the carbon tax on imported goods. Antonio Decaro, Parliament's rapporteur, said: “We have answered calls from companies to simplify and streamline the process.” Despite these exemptions, 99% of emissions from key carbon-intensive industries, such as iron and steel, will still be covered by CBAM. The changes are part of the European Commission's Omnibus I package, aimed at reducing regulatory burdens on companies, particularly small and medium-sized enterprises (SMEs). The new threshold allows imports up to 50 tonnes per year to avoid CBAM rules, further supporting SMEs. Adam Szłapka, Minister for the European Union of Poland, emphasized that this agreement is a step towards reducing administrative burdens and enhancing EU competitiveness.

 

ESG Today

The United States is home to the most millionaires of any country, with a tally of 23.8m in 2024, according to UBS' annual global wealth report. Last year, it minted 379,000 new dollar millionaires, more than 1,000 a day. The country accounted for almost 40% of global millionaires last year, followed by Asia-Pacific at 36%, and Europe, the Middle East and Africa at 25%. Globally, a total of 680,000 people became new millionaires in 2024, a 1.2% uptick compared to the year prior. UBS estimates some 60m individuals hold $226.47tn combined, nearly half of the world’s global wealth. Within that group are 2,860 billionaires who represent $15.7tn in assets, while at the very top, 15 centibillionaires, less than 1% of the group, boast a combined net worth of $2.4tn.

 

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