Good Afternoon. Another day, another record for the markets. The S&P 500 keeps climbing like it's training for its next 14er, while Ray Dalio is sounding the fiscal alarm. Whether you're bullish, bearish, or just brunching, we’ve got you covered.

—Rosie, Wyatt, Evan & Conor

🔥 What’s Hot: 🔥

🥶 What’s Not: 🥶

1. FCC approves Paramount-Skydance merger

The News: The FCC has approved Skydance Media’s $8 billion takeover of Paramount Global, clearing the last major obstacle for a deal that will reshape the media and entertainment industry. The approval comes after Skydance agreed to end all diversity, equity, and inclusion (DEI) programs at Paramount, install a CBS News ombudsman, and make other political concessions demanded by the Trump administration. David Ellison will take the reins as CEO, overseeing a new media giant that includes CBS, Paramount Pictures, Paramount+, MTV, Nickelodeon, and more. The deal also marks the end of the Redstone family’s control of Paramount after nearly 40 years.

Why It Matters: This merger is a Hollywood power shift uniting top studios, networks, and streaming platforms under a single roof. But it’s also a major flashpoint in the battle over media bias and political influence: Skydance’s DEI rollback and CBS oversight mark an unprecedented level of government involvement in media content. The result? A new era for both entertainment and newsroom independence with the political spotlight brighter than ever.
Source: cbsnews.com

2. Ray Sounds the Alarm

The News: Legendary investor Ray Dalio is sounding the alarm on America’s fiscal future, warning that surging federal deficits and a $36 trillion national debt have the U.S. headed for an “economic heart attack” within the next three years if lawmakers don’t take action. Dalio argues that unless the deficit is cut to 3% of GDP soon, rising debt and interest costs could squeeze out spending and destabilize the economy. He points to the 1990s as proof that bipartisan solutions are possible, but doubts politicians will act in time.

Why It Matters: Dalio’s warning comes as new tax and spending legislation is projected to add $3.4 trillion more to the debt over the next decade. With deficits running above 6% of GDP and nearly a third of U.S. debt coming up for refinancing, rising interest costs could crowd out funding for critical programs and trigger economic and market turmoil if investors lose confidence. You ever try to cut your spending in half? It ain’t easy to do.
Source: foxbusiness.com

3. Goldman Clients Start Shorting Speculative Tech

The News: Goldman Sachs clients are increasingly shorting unprofitable and speculative tech stocks, signaling a sharp shift in sentiment after months of meme stock mania and explosive rallies in risky names. Following a 70% surge in Goldman’s basket of unprofitable tech stocks since April, clients are now more comfortable betting against these high-flying but profitless companies, according to the bank’s trading desk.

Why It Matters: It was the best of times, it was the worst of times, there’s always a tale of two cities isn’t there? With Goldman's Speculative Trading Indicator at its highest since 2021 (outside of pandemic and dot-com bubble peaks), professional investors are signaling growing skepticism that the rally in speculative stocks can last. Institutions are urging clients to hedge against a possible pullback as retail-driven trading froth intensifies, warning that boom-and-bust cycles like this can leave investors exposed if sentiment quickly reverses.
Source: bloomberg.com

4. Google's AI Overviews now serve 2 billion monthly users

The News: Google announced its AI Overviews now serve 2 billion monthly users—up from 1.5 billion just two months ago as the company doubles down on generative AI in search and across its platforms. CEO Sundar Pichai highlighted rapid adoption: Google’s Gemini AI assistant now boasts 450 million monthly active users, and daily requests to Google’s AI tools have jumped more than 50% since Q1. The new Web Guide feature, still in experimental rollout, uses Gemini to reorganize search results into thematic categories, offering a more interactive way to explore complex queries.

Why It Matters: Google’s pivot to AI-driven search is fueling usage and engagement, but also reshaping how people find information leaving traditional websites with sharply reduced traffic as more answers stay on Google. The company is pouring $85 billion into AI infrastructure this year to keep pace with demand. For publishers and the broader web, the shift toward AI summaries and grouped results means the battle for visibility and referral traffic is getting much tougher.
Source: blog.google.com

5. Walmart unveils four AI 'super agents' to battle Amazon

The News: Walmart has launched four advanced AI “super agents” aimed at transforming shopping and streamlining operations for both customers and employees. These agentic tools—Sparky (for shoppers), Associate (for staff), Marty (for suppliers), and Developer (for tech teams)—are designed to automate tasks ranging from restocking your pantry to managing supplier relationships. The push comes as Walmart looks to double down on e-commerce, aiming for digital sales to hit 50% of revenue within five years.

Why It Matters: This is Walmart’s boldest AI move yet and a direct answer to Amazon’s dominance. By rolling out agents that can operate independently across the entire retail chain, Walmart is betting big on tech to win market share and boost efficiency. For consumers, expect more personalized service and seamless shopping; for employees, a shift in daily work as automation takes on routine tasks. With $648 billion in sales last year, even small digital wins could have huge ripple effects for Walmart and its investors.
Source: supermarketnews.com

1. LVMH profit tumbles 22% as luxury giant faces tariff fears

The News: LVMH saw its net profit tumble 22% to €5.7 billion in the first half of 2025, as the luxury giant battles a drop in global demand and looming US tariff threats. Sales in its core Fashion & Leather Goods division (Louis Vuitton, Dior) slid 9%, a steeper fall than expected, dragging total group revenue down 4% to €39.8 billion. While Europe and the US held up, LVMH faced slumping demand in Japan and continued weakness in China, two critical markets for luxury brands.

Why It Matters: LVMH’s results underscore a rough patch for luxury and could be a warning for the broader high-end market. With US tariff threats hanging over European brands and consumer demand cooling in China and Japan, even the world’s largest luxury group isn’t immune. Investors and rivals alike are watching closely to see if the sector’s slowdown is temporary, or the start of a longer trend.
Source: morningstar.com

2. Meta to ban all political ads in EU starting October 2025

The News: Meta Platforms will ban all political, electoral, and social issue ads across its platforms in the European Union starting October 2025. The move comes as the EU’s new Transparency and Targeting of Political Advertising (TTPA) regulation takes effect, requiring strict disclosure, data consent, and targeting rules that Meta says are too complex and uncertain to implement. The ban covers paid ads, not organic content from users or candidates.

Why It Matters: Meta’s decision, mirrored by Google’s earlier exit, means European political parties, campaigns, and grassroots groups will lose a critical digital advertising tool just months before key elections. The new rules aim to protect democracy and privacy, but could also limit how smaller voices reach voters online, shifting the balance of digital campaigning and forcing parties to find new ways to connect with the public.
Source: axios.com

3. Volkswagen Cuts Guidance as Tariffs Hit Earnings

The News: Volkswagen slashed its profit and sales forecasts for 2025 after President Trump’s tariffs cost the German automaker €1.3 billion ($1.5 billion) in just six months, sending second-quarter profits tumbling 29%. The company now expects an operating return on sales of just 4–5% (down from 5.5–6.5%) and flat sales growth for the year, as tariff costs, restructuring charges, and sluggish North American sales weigh heavily. Volkswagen joins other European automakers in limbo as the EU negotiates with the U.S. over a possible reduction of auto tariffs.

Why It Matters: This is a warning shot for the entire global auto industry. Tariffs are draining profits, forcing cost cuts, and deepening uncertainty just as automakers face slowing EV demand, tougher regulations, and fierce competition in China. Until a new U.S.-EU trade deal is reached, expect more pain, and more profit warnings, to ripple through the sector.
Source: morningstar.com

Q: Why couldn’t the bicycle stand up by itself?

A: It was two-tired.

✅ Breath Reset: Try “box breathing” inhale for 4, hold for 4, exhale for 4, hold for 4. Do 4 cycles for instant calm.
✅ Move: Do 5 quick body squats. Then do 10 more.
✅ Rabbit Hole: Go on a quirky digital adventure with The Useless Web each click sends you to a random weird/fun website:

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“Early engagement with key stakeholders helped prevent misunderstandings later in the project.”