The Latest Finance News Trends: Personal Finance Anxiety and New AI Tools

A look at the finance industry news from PR Newswire in September and October that you might have missed.

 

Finance News Trends, September-October 2024

 

By Nicolas Delgado | Published Nov. 12, 2024

 

We understand how hard might have been to keep up with the over 7,000 finance press releases sent via PR Newswire in September and October. Our team has been watching the headlines and, in this post, we will recap some interesting trends as well as the most-read finance press releases of the last two months.

Two topics stood out as news and surveys about personal finance anxiety surfaced ahead of the 2024 presidential election. There were also multiple announcements of AI utilization in the various sectors of the finance industry, further exploring the applications of this evolving technology.

Let’s dive in!

Popular Finance Releases

Here are some of the headlines that captured the most views during the months of September and October.

Finance News Trends

Here’s a look at a few of the trends we noticed among finance-related press releases in September and October, with a few examples of each.

Personal Finance Anxiety

Despite the somewhat hopeful picture painted by the national economic data in September and October, consumers still seem to be wary of the future of their personal finances. The private sector added  143,00 jobs in September and 233,000 in October and despite the shaky numbers in September, the Consumer Confidence Index bounced back in October, contradicting the predictions and expectations of various market analysts and insiders.

Nonetheless, a significant portion of everyday people seem to be affected by stress and anxiety caused by personal finance issues. A survey by PayrollOrg showed that 77% of respondents ‘would find it somewhat or very difficult to meet their financial obligations’ if their paycheck was delayed by a week. Another survey by the American Staffing Association found that personal debt is influencing up to 40% of US workers and their career decisions, with 56% of respondents saying they were likely to ‘get a side hustle soon.’

On the other hand, some institutions report a disconnect between consumer sentiment and the actual data. The share of people living paycheck to paycheck has risen since 2019, as per an analysis of customer behavior by Bank of America Institute, but the self-reported financial strain shown in these surveys may not be warranted as ‘Some who report living paycheck to paycheck may not be accounting for how much of their spending goes to nonessentials.’

We now know the winner of the 2024 presidential election. Needless to say, the consumer sentiment over personal finances should not be overlooked as it is known to have a link to voters’ intentions. Research from Empower showed that one in two Americans believe the outcome of the election will directly impact their personal finances. Inflation, savings, retirement and many other subjects were on the minds of Americans as they awaited the outcome of this election.

Here are other news related to personal finances that we observed during September and October:

The Continued Implementation of AI in Finance

On September 20, OpenAI closed a $6.5 billion venture capital raise. It was, so far, the largest VC raise in history, but it was seen by some as a soul selling event that would require the company to make governance changes that would impact the nature of the organization.

If implemented successfully, the company will no longer be guided by its nonprofit values and will shift the focus on its fiduciary duty to maximize profit for its shareholders.

This hints at a significant turn in the industry as investors are no longer captivated by the potential of AI and are starting to call for concrete results, meaning products and services that generate revenue and growth. As pointed out in the 5th annual Global Technology Report by Bain & Company, the market for AI products and services could reach up to $990 billion by 2027. Driving this growth are the three main areas identified by the report as ‘bigger models and larger data centers, enterprise and sovereign AI initiatives, and software efficiency and capabilities.’

A case study of enterprise initiatives in the finance space comes from Bank of America, which in October announced a 94% increase in Artificial Intelligence and Machine Learning (ML) patents since 2022. With nearly 1,100 patents, BoA is not only invested in AI and ML innovation but is also implementing tools that benefit its customers and employees. One such tool is Erica, an AI-driven financial assistant racking up 2.4 billion interactions and helping over 45 million customers.

It is too early to judge how the implementation of AI in the finance industry will affect the bottom line. What is certain is that more services and products are rolling out and are about to revolutionize different sectors of the finance industry. Here are some of the headlines that we observed during September and October about new AI tools being implemented in the finance industry:

Looking Ahead

In the coming months, the team will be looking at the various financial statements released in November as well as Black Friday and holiday season spending patterns. We will also keep an eye on the industry’s reaction to the 2024 presidential elections and how it impacts consumers' finances.

Stay tuned for the next trends recap!

 

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About the Author

Rocky Parker headshotNicolas Delgado is a bilingual editor at PR Newswire Canada. He has been at the company since 2022 and has worked with PR and communications specialists across the country. Outside of work, Nicolas is a music and movie lover, but you are most likely to find him beer-tasting or hiking with his partner, friends and/or family.