🍋 Healthcare's Hip Hop

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Good Morning! Bud Light was dethroned as America’s best-selling beer last month by Modelo. Tesla finally snapped its record 13-day winning streak, adding $240 billion in value during the rally.

But Elon Musk might need to set his sights towards SpaceX, with scientists announcing yesterday that a moon of Saturn has all the ingredients needed to sustain life. The Fed left rates unchanged yesterday but said more hikes are coming. And investors are all-in on Japan again, with the country’s stock market up 30% YTD.

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1. Story of the Day: Healthcare's Hip Hop

Health insurer UnitedHealth made a surprising announcement about the state of healthcare yesterday. It appears that seniors, who had previously delayed non-urgent surgeries during the COVID-19 pandemic, are now flocking to hospitals and finally going under the knife.

This sudden demand for elective surgeries, such as hip and knee replacements, is causing healthcare insurance costs to soar. UnitedHealth’s stock dropped over 6% on the news yesterday, and other insurers like Humana slid 13%.

But there are still winners in the market. Stocks of medical device owes and hospital operators have actually risen, as the influx of surgeries promises more revenue for them.

During the height of the pandemic, the risks associated with non-urgent procedures outweighed the potential benefits for many Americans. Factors such as hospital staffing shortages and the absence of a vaccine made it a gamble that seniors were not willing to take. But with Covid-19 now perceived as less of a threat, patients are addressing their postponed medical needs.

Takeaway: There are still some ripple effects of the pandemic, and the market is still adjusting accordingly. With hospitals experiencing a boom in surgeries, health insurers are grappling with the financial implications, but medical device stocks stand to gain. A reminder that in the post-pandemic world, one person's replacement knee is another person's stock market knee-slapper.

2. Markets Rundown

Stocks closed slightly higher after the Fed’s meeting.

Movers & Shakers

• (+) Toyota ($TM) +5% after the company announced its new EV lineup.

• (–) UnitedHealth ($UNH) -6% because higher healthcare costs are impacting the bottom line.

• (–) Logitech ($LOGI) -11% after the company’s CEO will step down.

Private Dealmaking

• Madhive, an ad tech firm, raised $300 million from Goldman Sachs

• Mistral AI, a generative AI startup, raised $113 million

• Primer Technologies, a machine learning startup, raised $69 million

• Granica, an AI efficiency platform, raised $45 million

• Stiveworks, a developer of machine learning tools, raised $33 million 

• Fernride, a developer of autonomous electric trucks, raised $31 million

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3. Top Reads

• Where to invest in a slowing economy (YF)

• Stock market to Fed - you haven’t done enough (WSJ)

• Private equity risks gorging its secret sauce (Reuters)

• EV stocks join AI names in leading the stock market rally (YF)

• The taxi prince is taking on Uber - and winning (WSJ)

• A subsection of tech is set to be worth $1 trillion, but taboos are holding it back (CNBC)

• Ken Griffin ramps up credit trades anticipating a U.S. recession (BB)

• U.S. investment banks give up on China IPOs (WSJ)

• Gen-Z’s drinking habits are killing concerts (YF)

• UBS weighs moving some bankers to Credit Suisse’s NYC tower (BB)

• How professional services firms dodged disruption (Sloan)

4. Book of the Day: The Myth of Capitalism

The Myth of Capitalism tells the story of how America has gone from an open, competitive marketplace to an economy where a few very powerful companies dominate key industries that affect our daily lives.

Digital monopolies like Google, Facebook and Amazon act as gatekeepers to the digital world. Amazon is capturing almost all online shopping dollars.

We have the illusion of choice, but for most critical decisions, we have only one or two companies, when it comes to high-speed Internet, health insurance, medical care, mortgage title insurance, social networks, Internet searches, or even consumer goods like toothpaste.

Every day, the average American transfers a little of their pay check to monopolists and oligopolists. The solution is vigorous anti-trust enforcement to return America to a period where competition created higher economic growth, more jobs, higher wages and a level playing field for all.

The Myth of Capitalism is the story of industrial concentration, but it matters to everyone, because the stakes could not be higher.

It tackles the big questions of: why is the US becoming a more unequal society, why is economic growth anemic despite trillions of dollars of federal debt and money printing, why the number of start-ups has declined, and why are workers losing out.

“Without competition, everyone suffers.”

5. Short Squeez Picks

• Daloopa is giving Short Squeez readers access to ten financial models (any public company) if you sign up for a free account on their website

• Warren Buffet’s three favorite habits

• How to stand out and win the job interview

• The best diners in NYC

• People get 2 things wrong about being rich

• Bosses are fed up with remote work for 4 main reasons

6. Daily Visual: IEA Forecasts Slowing Oil Demand

Projected year-over-year global oil demand growth; Millions of barrels per day; Annually

_{Source: Axios}

7. Daily Acumen

Reflect on the wisdom of the statement, "If I knew I was going to live this long, I'd have taken better care of myself."

Consider the importance of prioritizing your health and well-being in the present moment, knowing that your choices today shape your future.

Daily Practice:

Nourish your body: Make mindful choices with nutritious foods, emphasizing a balanced diet.

Engage in regular exercise: Incorporate physical activity you enjoy into your routine.

Prioritize restful sleep: Establish a consistent sleep schedule and bedtime routine.

Manage stress: Cultivate healthy coping mechanisms like meditation or hobbies.

Foster positive relationships: Surround yourself with supportive individuals.

Seek preventive healthcare: Schedule regular check-ups and screenings.

Practice self-care: Make time for activities that nourish your well-being.

Express gratitude: Appreciate your health and the opportunity for positive change.

Remember, by prioritizing your health and well-being today, you are investing in a better future for yourself.

8. Memes of the Day

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