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âSay it with me... Stocks only go up. Only losers take profits.â â Dave Portnoy
Good Morning! Fed Chair Powell said one way or another, the Fed will line up supply and demand in the economy. A double edged sword - nice to see the Fed is serious about inflation, unnerving to think about what aggressive actions they may take. BuzzFeed's got a sword of their own, being used to cut employees in their news division to increase profitability. Pilots may also be removed... from their own planes... The market for self flying aircraft could grow 25% a year between now and 2040, and in the next 10-20 years, we could see autonomous aircraft everywhere.
Obviously y'all know how smart tech is getting. Just look at TikTok. The algorithm for TikTok's FYP feeds you exactly what you want to see, probably without you realizing it. Amy Poehler said her FYP knows she's having a bad day before she does. Celebrities are also talking about esports. FaZe Clan has added Snoop Dogg, Stephanie McMahon (exec at WWE), Ross Levinsohn (CEO of Sports Illustrated), and Zach Katz (founder/CEO of Carte Blance) to its board.
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I'm sure you've seen the news about Warren Buffett's latest acquisition. (If not, make sure you subscribe because we mentioned it yesterday.) Turns out, the takeover wasn't the only news The Oracle of Omaha was sharing. He also wanted everyone to know how much he hates bankers.
The odd price of $848.02 per share that Alleghany stockholders will get from Berkshire Hathaway is apparently a lowkey jab at Goldman Sachs. Buffett offered up $850 a share, saying he didn't want to pay for any banking fees. Those fees would have to come out of proceeds for Alleghany's shareholders. Subtract out roughly $27 million for GS, and you arrive at the takeover price above.
This hip hop-esque feud has been going on for years with Buffett dropping "diss tracks" (annual letters) calling bankers "money-shufflers" that "clamor to be fed." Oh it's like that Warren? That hurts. That letter came out in 2015, but the beef goes deeper. In 1996, when he was a director of Gillette, he tried getting fees slashed in the company's acquisition of Duracell. The attempt was unsuccessful, but clearly he came back with a vengeance.
Buffett did have a soft spot for one "money-shuffler" in the past. Byron Trott, former Goldman banker, helped Berkshire buy McLane, a food distribution company, from Walmart. In 2004, Buffett said, "He understands Berkshire far better than any investment banker with whom we have talked and -- it hurts me to say this-- earns his fee."
Short Squeez Takeaway: Chins up soldiers! First of all, Buffett used to be an investor in Goldman, so he clearly understands the value that y'all provide. Second, Warren Buffett is an exceptionally smart financial mind. One of a kind, with the emphasis on "one." Most other participants in banking transactions don't have the knowledge or expertise that y'all do, so they'll continue to need the valuable services that you provide.
All markets were up and bank stocks led the way thanks to higher Treasury yields. Crypto got a bump with improved sentiment, as investors shift back into riskier assets.
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Why do people dodge responsibility when things fall apart? Why the parade of public figures unable to own up when they screw up? Why the endless marital quarrels over who is right? Why can we see hypocrisy in others but not in ourselves? Are we all liars? Or do we really believe the stories we tell?
Backed by years of research and delivered in lively, energetic prose, Mistakes Were Made (But Not by Me) offers a fascinating explanation of self-deceptionâhow it works, the harm it can cause, and how we can overcome it.
âHistory is written by the victors, but it's victims who write the memoirs.â
Monthly percentage change for average cost of gas, rent, and hourly earnings
Source: Axios
"Do you remember all the elements you didnât used to notice?
It might be the way you see typography now, or the tuning of an orchestra. Or the alignment in the mouldings of a house youâre inspecting or the way an engine sounds⊠(or whether you put a âuâ in moulding)
Expertise is about learning new ways to notice.
Often, once we learn to see, we assume weâve always known. And that allows us to believe that the things we canât see, weâll never be able to see.
But it doesnât work that way unless we get complacent.
Thereâs always something just below the surface, the elements that most people simply donât notice. But we can if we choose."
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