Read Sunday ☕️

Last Week’s Headlines

Economy & World News

• Thailand & Cambodia Reach Ceasefire
  Leaders from both nations agreed to an unconditional truce—their first in over a decade, after a diplomatic push from the U.S. and regional leaders.

• EU Bets Big on AI Factories
  The European Union plans to build multi-billion-euro gigafactories to boost its AI computing capacity by 15%, aiming to reduce reliance on U.S. and Chinese technology leadership.

• Judge Denies Fed Transparency Lawsuit
  A U.S. court rejected a bid from Trump ally James Fishback to force the Fed to open interest rate meetings to the public, citing the Fed’s exemption from the Sunshine Act.

• Private Hiring Rebounds
  ADP reported U.S. private sector payrolls jumped by 104,000 in July, beating expectations and reversing a decline in June. Wage growth remained stable at 4.4% YoY.

• Eurozone Avoids Recession
  The eurozone economy eked out 0.1% growth in Q2, slightly above expectations. However, Germany contracted by 0.1%, reflecting underlying weakness.

• China Ties Legacy to $167B Dam
  Xi Jinping launched one of China’s largest infrastructure projects in Tibet—a $167B hydropower dam—to fuel stimulus and secure strategic energy dominance.

• Japan Issues Tsunami Warning
  After an 8.7-magnitude earthquake struck off the Russian coast, Japan issued tsunami alerts for Tokyo Bay, Hawaii, and parts of Alaska.

• Cat Bonds Surge Amid Climate Risks
  Catastrophe bond issuance is booming as insurers seek capital to buffer against more frequent and severe natural disasters driven by climate change.

• US Credit Card Delinquencies Hit 13-Year High
  Missed payments rose to 3.5% in Q2 — the highest since 2012 — as consumer debt levels climb and household savings shrink post-pandemic.

• TikTok May Sell Stake to U.S. Investors
  Facing a looming ban, ByteDance is reportedly considering a U.S.-based consortium to acquire TikTok’s U.S. operations, preserving business continuity.

Public Markets

•  Markets Hold Record Highs
  The S&P 500 topped 6,400 briefly as trade optimism surged. The dollar posted its strongest move since May, buoyed by progress on a Trump-EU tariff deal.

• Novo Nordisk Shares Crash 20%
  The pharma giant slashed guidance and announced a new CEO, triggering a 20% drop in its shares as Wegovy and Ozempic demand cooled in the U.S.

• Spotify Tanks 11%
  Spotify reported weak revenue and ad-supported sales, swinging to a loss and triggering its worst day in two years.

• Starbucks Sales Disappoint
  New CEO Laxman Narasimhan’s turnaround plan is off to a slow start as Q3 sales and profits missed expectations, with U.S. traffic down and global comps falling 2%.

• HSBC Misses, Announces Buyback
  Europe’s largest bank missed Q2 profit estimates but announced a $3B share buyback to offset investor disappointment. Costs rose 10% YoY.

• Meta Q2 Earnings Beat, But Weak Guidance
  Despite strong revenue and profits, Meta's forward guidance disappointed due to continued Reels monetization lag and rising AI infrastructure costs.

• Apple Misses on iPhone Sales
  Q3 iPhone revenue declined 2%, but services revenue hit a record $23B. Stock slipped slightly as investors weigh Apple’s pivot toward wearables and AI.

• Amazon Surges on Cloud Rebound
  AWS returned to double-digit growth, pushing Amazon shares up 8%. Retail margins improved as same-day delivery expanded across U.S. metros.

• JPMorgan May Take Over Apple Card
  JPMorgan Chase is reportedly in advanced talks to acquire Apple’s credit card business, as Goldman Sachs prepares to exit the program.

• Samsung Lands Tesla AI Chip Deal
  Samsung will produce Tesla’s next-gen AI6 semiconductors in Texas under a $16.5B deal running through 2033. Elon Musk called the deal “just the bare minimum.”

• Google’s AI Push Lifts Q2 Results
  Alphabet topped Q2 expectations thanks to strength in Google Cloud and AI enterprise adoption. YouTube ad revenue rebounded sharply, up 17% YoY.

• Uber Reports First Full-Year Profit
  Uber posted its first annual net profit since going public, driven by cost-cutting, increased ride demand, and continued growth in Uber Eats.

• Boeing CFO Resigns Amid Ongoing Crisis
  Amid continued safety and production scrutiny, Boeing’s CFO Brian West stepped down, marking the third C-suite exit in six months.

Real Estate & Private Equity

•  MTA Eyes 10% Fare Hike
  Connecticut’s proposed Metro-North fare increase—split between Sept. 2025 and July 2026—aims to offset budget strains on New York’s transit system.

• BlackRock Launches $4B AI Infrastructure Fund
  The asset manager announced a new fund to back data center development in North America and Europe, eyeing the AI compute boom.

• WeWork Wound Down for Good
  Following failed restructuring efforts, WeWork has begun liquidating its assets after defaulting on multiple leases and failing to secure new capital.

M&A, IPO’s, Bankruptcies

• $85B Rail Merger Reshapes U.S. Logistics
  Union Pacific and Norfolk Southern are merging to form the first coast-to-coast rail operator. Regulatory approval is pending.

• McGraw Hill Raises $415M in IPO
  Backed by Platinum Equity, the educational publisher debuted on the NYSE, raising over $400M in its U.S. listing.

• Baker Hughes Makes $13.6B LNG Bet
  The energy services firm is acquiring Chart Industries to expand into LNG and capitalize on growing AI-powered data center demand.

• Palo Alto Eyes $20B CyberArk Deal
  Palo Alto Networks is close to acquiring Israeli cybersecurity firm CyberArk in a $20B deal, signaling continued consolidation in enterprise security.

• Bumble Explores Sale
  The dating app is reportedly exploring strategic alternatives amid weak user growth and pressure from Match Group’s AI-powered offerings.

• Pfizer Spins Off Consumer Health Arm
  Pfizer plans to list its consumer health business as a standalone company, targeting a $12B valuation. The move mirrors similar steps by J&J and GSK.