Axios

Nvidia unveiled Cosmos 3, an open AI world model designed to help robots, autonomous vehicles and other physical systems better understand and predict real-world environments.

Why it matters: Nvidia is continuing its move beyond chips into AI models and software, positioning itself to become a foundational platform for physical AI development.

The latest U.S. push for a ceasefire in Lebanon has fizzled just as Israel is expanding its ground invasion and seeking a U.S. green light to conduct massive strikes on Hezbollah targets in Beirut, sources tell Axios.

Why it matters: The U.S. has urged Israel against striking Beirut for several weeks as part of a broader de-escalation push, but a U.S. official hinted that position could soften. "The U.S. does not expect Israel to absorb ongoing attacks on its civilians by a terrorist organization," the official told Axios.

In his first public remarks since the conclusion of his time as Federal Reserve chair, Jerome Powell has issued a blunt warning that the central bank is undergoing a "stress test" and its credibility is on the line.

The big picture: While Powell's remarks Sunday evening, in accepting the John F. Kennedy "Profile in Courage" award, do not mention the Trump administration's attempts to undermine Fed independence specifically, the meaning of his words is plain.

• Those include a criminal investigation of the Fed's over-budget building renovation and the attempted firing of governor Lisa Cook.
• Powell framed attempts to weaken the Fed's independence from politics as endangering an institution that is crucial in sustaining American greatness.