Read Sunday ☕️

Last Week’s Headlines

Economy & World News

• Fed Cuts Rates Again but Signals Slower Easing Ahead
  The Federal Reserve approved its third interest rate cut of the year in a 9–3 vote, while signaling fewer reductions ahead. The Fed’s dot plot points to just one cut in 2026 and another in 2027, reflecting internal disagreement over inflation risks. The central bank also announced it will resume buying Treasury securities, starting with $40 billion in T-bills.

• Trump Expected to Reclassify Marijuana; Cannabis Stocks Surge
  President Trump is expected to sign an executive order reclassifying marijuana as early as Monday, according to sources. Cannabis stocks rallied sharply on the news, with investors betting on looser regulations, expanded banking access, and broader institutional participation in the sector.

• Democrats Win Miami Mayor’s Race in Major Political Shift
  Eileen Higgins won Miami’s mayoral runoff, becoming the city’s first Democratic mayor in nearly 30 years. She defeated Republican Emilio Gonzalez by more than 18 points, signaling a notable political realignment in a historically Republican-leaning city. The result is being viewed as a broader warning sign for Republicans heading into the 2026 midterms.

• U.S. Seizes Venezuelan Oil Tanker, Escalating Tensions
  U.S. forces intercepted and seized a sanctioned oil tanker off the coast of Venezuela, sharply escalating tensions between the two countries. Venezuela labeled the action an “act of piracy,” while analysts warn the move could further disrupt Venezuelan crude exports as shipping partners grow more cautious.

• China Weighs Up to $70B in Chip Industry Subsidies
  China is considering a sweeping incentive package of up to $70 billion to support its domestic semiconductor industry. The plan aims to reduce reliance on foreign chipmakers and strengthen national champions like Huawei and Cambricon, underscoring the intensifying tech and industrial rivalry with the U.S.

• FDA Expands Investigation Into Potential Covid Vaccine-Related Deaths
  The FDA is conducting a broader investigation into deaths potentially linked to Covid vaccines across multiple age groups. While extensive studies continue to support vaccine safety, renewed scrutiny from U.S. health leadership has raised regulatory uncertainty for vaccine manufacturers, even as Covid shots remain a multibillion-dollar revenue stream

• China’s Exports to the U.S. Fall Nearly 30% Despite Trade Truce
  China’s exports to the U.S. dropped 28.6% in November, extending double-digit declines even as a tariff truce remains in place. While overall outbound shipments rose modestly year over year, U.S.-bound trade continues to weaken, highlighting structural decoupling between the two economies. Notably, China sharply increased rare-earth exports, signaling a strategic push in critical minerals.

• China–Japan Military Tensions Reach Decade High
  Military tensions between China and Japan have escalated to their highest level in over ten years, with Japan accelerating its largest military buildup in decades. The country is deploying missile systems, radar installations, and F-35 fighter jets across its southern islands near Taiwan, underscoring growing regional security risks in the Asia-Pacific.

Public Markets

•  Disney Invests $1B in OpenAI, Licenses Characters for AI Video
  Disney announced a $1 billion investment in OpenAI alongside a three-year licensing deal allowing AI-generated short-form videos using Disney, Marvel, Star Wars, and Pixar characters. The partnership will use OpenAI’s Sora platform, with select content expected to stream on Disney+ starting in 2026.

• Meta Shifts AI Strategy Toward Paid, Closed Models
  Mark Zuckerberg is taking a more hands-on role at Meta as the company pivots toward monetizable AI products. A new AI model, codenamed Avocado, is expected to launch next year as a closed system after Meta’s open-source Llama 4 failed to meet expectations.

• Lilly’s Experimental Obesity Drug Shows Breakthrough Results
  Eli Lilly’s next-generation obesity drug helped patients lose more than 23% of their body weight in a late-stage study, outperforming current market leaders. Participants also reported a significant reduction in knee pain, reinforcing the drug’s potential to reshape the weight-loss and metabolic treatment landscape.

• Rivian Bets on In-House AI Chip and Lidar
  Rivian unveiled its own AI chip and lidar system aimed at replacing Nvidia technology in future vehicles. While shares fell initially, the move reflects Rivian’s long-term strategy to build higher-margin autonomous software and reduce dependency on third-party suppliers.

• Buffett Reshuffles Berkshire Leadership Ahead of Exit
  Berkshire Hathaway announced several leadership changes ahead of Warren Buffett’s planned year-end transition. Notably, Geico CEO and investment manager Todd Combs will depart to lead a new security and resiliency initiative at JPMorgan Chase, signaling continued talent migration toward defense, infrastructure, and national security-linked investments.

• Nvidia Approved to Sell H200 AI Chips to China—With a Price
  The Trump administration approved Nvidia’s request to sell its advanced H200 AI chips to China in exchange for a 25% surcharge. The move could allow Nvidia to recapture billions in lost revenue while reopening limited access for U.S. chipmakers to Chinese customers. The decision has drawn criticism from Democratic lawmakers citing national security concerns.

Real Estate & Private Equity

• Oracle Delays OpenAI Data Centers Amid Labor, Materials Shortages
  Oracle has pushed back completion timelines for several data centers being built for OpenAI, delaying some projects from 2027 to 2028 due to labor and material constraints. While Oracle says it remains confident in meeting contractual obligations, the delays highlight growing bottlenecks in AI infrastructure development as demand for large-scale compute accelerates.

• Paramount Launches $77.9B Hostile Bid for Warner Bros. Discovery
  Paramount made a $77.9 billion hostile takeover bid for Warner Bros. Discovery, days after striking a separate deal with Netflix. The move signals accelerating consolidation across media and streaming as companies seek scale, content leverage, and negotiating power in a crowded entertainment landscape.

M&A, IPO’s, Bankruptcies

• SpaceX Sets $800B Valuation, Confirms 2026 IPO Plans
  SpaceX is moving ahead with an insider share sale valuing the company at roughly $800 billion, reinforcing expectations for a blockbuster IPO in 2026. The company is preparing to raise public capital to fund projects including Starship and lunar infrastructure, with an eventual IPO valuation target near $1.5 trillion—potentially the largest listing in history.

• Intel Nears $1.6B Deal for AI Chip Startup SambaNova
  Intel is in advanced talks to acquire AI chipmaker SambaNova Systems for about $1.6 billion, including debt. The deal would significantly bolster Intel’s AI hardware and software capabilities, marking a sharp valuation reset from SambaNova’s $5 billion peak in 2021.

• IBM to Buy Confluent in $9.3B AI Software Bet
  IBM agreed to acquire data-streaming company Confluent for approximately $9.3 billion, marking one of its largest acquisitions in years. The deal deepens IBM’s AI and real-time data capabilities, supporting enterprise demand for AI-driven analytics. The transaction is expected to close in mid-2026.

• NextEra Energy Acquires Symmetry to Expand Natural Gas Footprint
  NextEra Energy’s infrastructure arm agreed to acquire Symmetry Energy Solutions to expand its U.S. natural gas capabilities. The deal, expected to close in early 2026, reflects surging energy demand driven by AI data centers and electrification trends. The acquisition strengthens NextEra’s ability to manage gas logistics alongside its renewable portfolio.