Good Morning and Happy Friday! Mortgage rates soared to a 21-year peak yesterday, and US housing affordability plunged to a 40-year low. But at least there’s a glimmer of hope if you live in Manhattan - the city announced they’ll let developers convert vacant Midtown South offices into 20,000 housing units.

The amount of 401(k) millionaires has grown by 25% this year. China’s Evergrande, which was the world’s most valuable real estate company just five years ago, filed for bankruptcy yesterday. And Goldman Sachs is gearing up for a regulatory hiring spree following federal probes.

Want to use Excel like a Wall Street banker aka mega-fast and without a mouse? Then RSVP for our free excel webinar on Aug 22, 8pm ET.

_{SQUEEZ OF THE DAY}

Peloton’s Pivot

If you’re going to sell a $1,500 stationary bike, you better have a game plan when sales dry up.

That’s what Peloton’s trying to figure out right now.

The company grew exponentially during the pandemic when gyms were shuttered and offices were closed. But now? The company is trying to offload its huge inventory glut and rebound from a stock slump that gutted its value by more than 90%.

The exercise equipment company’s solution? They launched a B2B service called “Peloton for Business” yesterday. And now the company is on a mission to conquer office gyms, apartment complexes, and hotels.

Peloton doesn’t just want to be known as the in-home workout company. Peloton is aiming to become a corporate perk and is targeting partnerships with small and midsize businesses.

Takeaway: Does anyone remember in 2021, when the Goldman survey showed just how rough pandemic WLB had gotten, Jefferies sent all analysts and associates a Peloton? Maybe that’s where Peloton’s leadership got their Peloton for Business idea. In any case, let’s see if this last ditch attempt will save Peloton from going to zero.

_{CAPITAL PULSE}

Markets Rundown

Stocks continued their sell-off as yields rose.

Movers & Shakers

• (+) Cisco Systems ($CSCO) +3% after strong demand and supply chain improvements.

• (–) Walmart ($WMT) -2% even after posting strong earnings.

• (–) CVS Health ($CVS) -8% after major insurers ended their relationship with the pharmacy chain.

Private Dealmaking

• Abcuro, an autoimmune disease treatment developer, raised $155 million

• BitGo, a crypto custody startup, raised $100 million

• Rondo Energy, an energy storage developer, raised $60 million

• Aether, a developer of rare metal extraction tech, raised $49 million

• Meatable, a cultivated pork product startup, raised $35 million

• Truework, an income verification platform, raised $24 million

Get access to private deal flow here.

_{EXCEL WEBINAR}

Save the Date - Excel Webinar

Want to use Excel like a Wall Street banker aka mega-fast and without a mouse? Well now is your chance with our Excel Webinar.

On August 22 at 8pm ET, we're hosting a detailed Excel session with our private equity associate Henry Copses.

Gain insights into the sophisticated techniques of Wall Street Excel and the art of spreadsheet navigation without relying on your mouse.

Rather than navigating the maze of pricey corporate training programs, this is a chance to learn from someone with firsthand experience in investment banking and private equity.

Limited spots available, secure your spot here.

_HEADLINES

Top Reads

• The pre-pandemic economy might never come back (YF)

• Wall Street is hiking forecasts for economic growth (Axios)

• This tech name’s consulting business could get a huge boost from AI (CNBC)

• Wall Street is ready to scoop up commercial real estate on the cheap (WSJ)

• Goldman Sachs CEO David Solomon is racking up bad press (Axios)

• Intel, Tower scrap $5.4B deal after failing to gain regulator approval (YF)

• Hedge funds slow value exodus as AI hype drives up growth stocks (Reuters)

• Coinbase to offer crypto futures, further leaping into Wall Street (Axios)

• Accelerating US economy sideswipes (Reuters)

• Companies put AI to work outside the cloud (WSJ)

_{BOOK OF THE DAY}

The Billionaire’s Vinegar

The New York Times bestseller, updated with a new epilogue, that tells the true story of a 1787 Château Lafite Bordeaux—supposedly owned by Thomas Jefferson—that sold for $156,000 at auction and of the eccentrics whose lives intersected with it.

Was it truly entombed in a Paris cellar for two hundred years? Or did it come from a secret Nazi bunker? Or from the moldy basement of a devilishly brilliant con artist?

As Benjamin Wallace unravels the mystery, we meet a gallery of intriguing players—from the bicycle-riding British auctioneer who speaks of wines as if they are women to the obsessive wine collector who discovered the bottle.

Suspenseful and thrillingly strange, this is the vintage tale of what could be the most elaborate con since the Hitler diaries.

“The rivetingly strange story of the world's most expensive bottle of wine, and the even stranger characters whose lives have intersected with it.”

_{ENLIGHTENMENT}

Short Squeez Picks

• Leadership is only half the equation

• Goldman Sachs exec on the number one soft skill that sets successful people apart at work

• 4 tests to decide if you should start a business

• How to be more organized using the action method

• Where I ate in NYC

_{DAILY VISUAL}

Mortgage Rates Jump Back to 2001 Levels

Average US 30-year fixed mortgage rate

_{SPONSORED BY MODE MOBILE}

The First Disruption to Smartphones in 15 Years

Flip the script: Turn your phone from a cost to an income source. Intriguing idea, isn't it? Which is why, this week, we have our eyes on the launch of Mode Mobile’s Public Equity Offering. It’s the latest in a series of impressive raises among smartphone innovators, likely spurred by Apple’s recent $3+ trillion valuation.

Mode saw 150x revenue growth from 2019 to 2022, a leap that has made them one of America’s fastest growing companies. Mode is on a mission to disrupt the entire industry with their "EarnPhone," a budget smartphone that’s helped consumers earn and save $150M+ for activities like listening to music, playing games, and ... even charging their devices?!

Early backers are getting up to 60% bonus stock, and in the first month alone, 9,900+ investors acquired shares — leaving only ~10% of the bonus allocation up for grabs.

📈 Claim Exclusive 60% Bonus: $0.08/share.

_{DAILY ACUMEN}

Wu Wei

Ah, the constant hustle – it’s exhausting, isn’t it? Dr. Junhong Cao is throwing us all a lifeline from 2,000 years in the past, in the form of "wu wei". It’s a Chinese concept that means “non-action” or “effortless action”, and it’s the total antithesis of our modern go-go-go culture. This isn't a prescription for laziness though; it's more like wise energy expenditure.

First things first, accept things as they are. Your party might not end up being Instagram-perfect and that promotion might slip through your fingers. It's not the end of the world. It’s like Dr. Cao tells herself, “I can’t control everything, but I can make the best of whatever happens.” Solid mantra, that.

Imperfection is your friend – embrace it warmly. Learning a new skill? Expect hiccups. Trying a new recipe? It might not be a Michelin star dish the first time around. As Dr. Cao says, “Why would I want to torture myself to achieve the impossible? I choose to be flexible and kind to myself.” Kindness – now there’s a radical idea.

Mindfulness is your third player in this game. It's taking the world in, without constantly judging it. It’s feeling the sun on your skin without immediately worrying about sunburn or how you look in your shorts.

Lao Tzu, ancient superstar of Chinese philosophy, nails it: “If you are depressed, you are living in the past. If you are anxious, you are living in the future. If you are at peace, you are living in the present.” So, perhaps it’s time to embrace a little wu wei, and let life flow naturally for a change.

_{MEME-A-PALOOZA}

Memes of the Day