🚀 AI use in government

Market Overview
Read time 1.4 minutes

Year To Date Performances:

1. OpenAI’s ChatGPT dominated early artificial intelligence adoption inside the U.S. House of Representatives, capturing roughly 88% ($100,580 across 798 transactions) of the $113,740 in identifiable vendor spending on AI tools during the year ending March 31, 2026, while Anthropic’s Claude lagged far behind at $13,160. Driven by OpenAI's early mover advantage and partnerships with nonpartisan Hill training groups, the technology has become embedded in legislative research, memo drafting, and constituent communications across at least 71 House member offices. Democratic offices outspent Republican offices on identified AI tools by more than three to one ($54,165 across 44 offices versus $15,782 across 27 offices), highlighting an interesting political dynamic as Democratic lawmakers lead direct usage while simultaneously voicing public concerns over the industry's societal risks. However, these figures understate total congressional AI adoption because they omit free accounts, enterprise-bundled software like Microsoft Copilot, and the Senate's non-itemized reporting system—all occurring while OpenAI and Anthropic rapidly ramp up federal lobbying spending to $1 million and $1.6 million per quarter, respectively, to shape upcoming regulatory frameworks.

2. The coordinated foreign exchange intervention by the U.S. and Japan provided a brief bounce for the Japanese yen, strengthening it from a nearly four-decade low above 163 down to around 157 per U.S. dollar, though financial analysts broadly agree that the currency's underlying fundamentals remain too weak for a sustained recovery. Market strategists at UBS and HSBC note that without faster Bank of Japan interest rate hikes, reduced fiscal expansion, and a shift away from negative real interest rates, the yen's strength will depend on intervention risk rather than economic fundamentals. Furthermore, reports that the Federal Reserve Bank of New York sold euros rather than U.S. dollars to fund the yen purchases sparked market debate, with analysts at Brookings suggesting the move was designed to avoid liquidating U.S. Treasuries, which could paradoxically undercut market confidence in Washington's commitment to supporting the currency. Coupled with a resilient U.S. dollar bolstered by expectations of potential Federal Reserve rate increases, experts warn that the intervention provides only temporary relief and carries the risk of triggering an unwinding of the multi-billion dollar yen carry trade.

3. Sony and Marvel’s Spider-Man: Brand New Day set a new record for the highest domestic opening weekend of all time, pulling in $360 million USD in ticket sales across the U.S. and Canada to surpass the previous record of $357 million USD set by Avengers: Endgame in 2019. Starring Tom Holland, the film generated $932 million USD globally over its debut weekend—the second-biggest worldwide opening in history behind Endgame—fueled by a $169.3 million USD Friday, $101.5 million USD Saturday, and a higher-than-expected $88.7 million USD Sunday. The record-setting performance marks the largest opening in Sony Pictures history and succeeded despite the movie lacking access to IMAX auditoriums, which were locked up by Christopher Nolan's The Odyssey, as alternative premium large formats like Dolby Cinema, ScreenX, and 4DX saw record attendance. Following its opening stretch, Spider-Man: Brand New Day is now positioned to become the fourth film of 2026 to cross the $1 billion USD threshold, joining Pixar’s Toy Story 5, Lionsgate’s Michael, and Universal and Illumination’s The Super Mario Galaxy Movie.

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