Good Afternoon. Markets caught a break as inflation cooled, AI stocks remembered how to rally, and Trump Media decided social media wasn’t ambitious enough, so it went nuclear fusion shopping. Meanwhile, the Oscars packed their bags for YouTube. Let’s get into it.

—Rosie, Wyatt, Evan & Conor

🔥 What’s Hot: 🔥

🥶 What’s Not: 🥶

1. Stocks Rise as Inflation Cools

The News: U.S. stocks jumped Thursday after a softer-than-expected inflation report eased rate fears and revived risk appetite. The Nasdaq surged more than 1.5%, while the S&P 500 rose nearly 1% and the Dow gained about 0.2%, snapping a four-day losing streak. November CPI showed inflation slowed to 2.7% year-over-year, below forecasts, with core inflation easing to 2.6%, its lowest level since early 2021. Treasury yields dipped modestly, and AI-linked stocks rallied after Micron posted record revenue and operating income, sending its shares up more than 10%.

Why It Matters: This was the market exhaling. Cooling inflation, especially on the core measure, gives the Fed breathing room and reassures investors that rate cuts are still on the table in 2026, even if timing remains fuzzy. The strong reaction in AI stocks underscores how sensitive the market remains to growth narratives tied to data centers, chips, and compute demand. While economists warned the CPI data is imperfect due to gaps from the government shutdown, the direction was good enough for markets that were badly looking for an excuse to rally.

What to Watch: Watch whether yields keep drifting lower or snap back once investors sober up about the data gaps. Also watch follow-through in AI stocks after Micron’s rally: if the sector can’t hold gains on good news, sentiment may still be fragile. For now, inflation behaved, stocks smiled, and everyone pretended the shutdown never happened.
Source: wsj.com

2. Trump Media Bets on Nuclear Fusion in $6B AI-Power Play

The News: Trump Media & Technology Group agreed to merge with Alphabet-backed fusion startup TAE Technologies in an all-stock deal valued at roughly $6 billion, aiming to build nuclear fusion plants to power AI data centers. Trump Media will also contribute $200 million in cash at closing, expected mid-2026, with ownership split roughly 50–50. Shares of Trump Media jumped more than 40% on the news, despite being down about 60% this year. The combined company says it plans to start building a 50-megawatt fusion plant next year, targeting first power by 2031.

Why It Matters: This is one of the strangest and boldest AI-adjacent deals yet. Data centers are straining power grids, and energy scarcity is quickly becoming AI’s biggest bottleneck. Fusion promises clean, near-limitless energy, but it has also promised that “commercial power is coming soon” for decades. For Trump Media, the deal offers a dramatic pivot away from social media economics toward a moonshot infrastructure play tied to AI, national security, and energy independence. For investors, it blends massive upside potential with enormous technical and execution risk and underscores how far companies are willing to go to secure future power supply in the AI arms race.

What to Watch: Watch for regulatory approvals, site selection, and whether real construction begins in 2026 as promised, fusion timelines have a habit of slipping. Also watch Washington: Trump has declared an energy emergency and wants faster data-center buildouts, which could help or hinder this effort. Until electrons are actually flowing, this remains a very expensive science experiment… just one now trading on the Nasdaq.
Source: wsj.com

3. Tariffs Were Supposed to Break Inflation.

The News: After months of dire warnings, President Trump’s 2025 tariffs have yet to trigger an inflation crisis. U.S. inflation peaked around 3% this fall and came in at 2.7% for November, well below the surge many consumers feared when tariffs ramped up in the spring. Federal Reserve Chair Jerome Powell said this month that tariff-related inflation should peak in early 2026 and add only “a couple tenths” to prices, if that. In short: tariffs raised costs, but not nearly enough to set off the inflation alarm.

Why It Matters: This is a quiet but important reset. Back in May, consumers expected prices to jump more than 6% and businesses braced for a painful pass-through. Instead, research suggests tariffs have added about 0.7 percentage points to inflation so far, roughly a $1,100 hit per household in 2025, expecting to rise to about $1,400 next year. Exporters cut prices, retailers absorbed costs to protect demand, supply chains shifted, and tariff carve-outs multiplied. The result: tariffs acted more like a slow tax than an inflation bomb. That matters for markets, the Fed, and voters, because a 3% inflation world is uncomfortable but manageable and very different from the 5–10% crisis scenario once feared.

What to Watch: Watch early-2026 inflation data to see if Powell’s “barely registers” call holds up, and listen closely to companies during earnings for signs they’re finally passing costs through. If firms blink and raise prices all at once, this story could change. For now, tariff inflation looks less like a wave and more like a ripple hitting different consumer segments in different ways.
Source: usatoday.com

4. The Oscars Ditch ABC for YouTube, Ending a 50-Year TV Era

The News: The Academy of Motion Picture Arts and Sciences announced it will move the Oscars exclusively to YouTube starting in 2029, ending ABC’s nearly five-decade run as the show’s broadcast home. Under a multi-year deal running through 2033, YouTube will stream the ceremony globally for free to its 2+ billion users, with added red-carpet, backstage, and Governors Ball coverage. ABC will keep the Oscars through 2028, including the 100th ceremony, after which the handoff becomes official.

Why It Matters: Remember in a recent edition when we said the largest cable provider will soon be Youtube? This is a clear signal that Hollywood’s most prestigious night is chasing reach, not tradition. Oscar viewership has collapsed from 44 million in 2014 to just 18.1 million in 2025, and the Academy wanted more than the roughly $100–$120 million a year ABC paid. YouTube reportedly topped that, potentially north of $150 million annually, while offering global scale, younger audiences, and built-in distribution. For Disney, parent company of ABC, it’s another reminder that even legacy, must-carry TV events are no longer immune to the streaming gravity well.

What to Watch: Watch how advertisers react to a free, global YouTube Oscars and whether engagement beats traditional TV ratings. Also watch if other “untouchable” live events start rethinking their network loyalties. The Oscars may still hand out gold statues, but starting in 2029, they’ll be chasing views, likes, and watch time like everyone else.
Source: hollywoodreporter.com

5. Amazon Finally Puts Alexa+ on the Web and It’s Catching Up Fast

The News: Amazon has launched a web version of its AI-powered Alexa+ at Alexa.com, giving early-access users a ChatGPT-style interface for chatting, uploading files, managing lists, controlling smart home devices, and copying generated text. The portal mirrors familiar AI layouts with suggested prompts, chat history, and document analysis, letting users move seamlessly between the web and Echo devices. Alexa+ remains free during early access, with plans to bundle it free for Prime members and charge non-Prime users $19.99 a month later.

Why It Matters: This is Amazon closing a glaring gap. Until now, Alexa+ lived mostly on speakers, limiting its usefulness compared to rivals like ChatGPT and Gemini. A web interface turns Alexa+ into a real productivity tool, documents, planning, writing, and cross-device continuity, rather than just a voice assistant. Strategically, it also raises the stakes for Prime: AI is becoming a core subscription perk, not a novelty add-on. While Alexa+ still lacks advanced features like custom bots or rich workspaces, Amazon is signaling it wants Alexa in the same daily workflow conversation as the leading AI platforms.

What to Watch: Watch how fast Amazon layers in more tools and whether users actually adopt Alexa+ beyond novelty chats. Also watch pricing: $19.99 a month is premium territory if features lag competitors. And keep an eye on how Amazon weaves this data into their ecommerce and advertising stacks to pay for all the new compute.
Source: pcworld.com

1. European Stocks Hit Record as U.S. Inflation Cooled

The News: European equities pushed to a fresh record Thursday after softer U.S. inflation data lifted global risk appetite. The Stoxx Europe 600 rose 0.9% to 585.29, breaking its previous closing high and snapping a two-day slide, while the Bank of England cut rates 25 bps to 3.75% in a narrow 5–4 vote. The catalyst came from the U.S., where headline inflation cooled to 2.7% year-over-year in November, below forecasts, while core inflation eased to 2.6%. Month-over-month data was unavailable due to gaps from the government shutdown, but markets focused on the direction of travel.

Why It Matters: Cooling U.S. inflation plus predictable central banks is the combo markets crave. Softer price pressures support equity valuations, especially in rate-sensitive sectors like banks, which explains Thursday’s leadership. At the same time, Europe is showing resilience even as growth remains uneven, a reassuring signal for global investors scanning for stability outside the U.S.

What to Watch: Watch upcoming U.S. inflation data once full monthly reporting resumes, confirmation matters. In Europe, keep an eye on bank stocks if rate expectations shift, and on the UK economy as cuts pile up but growth refuses to show. Markets are optimistic; the data still has to earn it.
Source: ts2.tech

2. BYD Quietly Becomes the World’s EV Production King

The News: China’s BYD announced it has built its 15 millionth new energy vehicle, a milestone that puts it well ahead of global rivals in cumulative electrified vehicle production. The figure includes both battery-electric and plug-in hybrid vehicles and comes just months after BYD crossed 13 million units, underscoring how quickly output is accelerating. By comparison, Tesla has produced about 8.1 million battery-electric vehicles in total, while Volkswagen’s cumulative EV production sits below 3 million.

Why It Matters: This is scale, not hype. BYD’s dominance reflects China’s EV-first industrial strategy and BYD’s decision to abandon pure gas-powered cars entirely back in 2022. High-volume, affordable models like the Dolphin and Seagull, alongside mainstream SUVs, have allowed BYD to flood both domestic and export markets. While Tesla still leads on brand and margins, BYD now sets the pace on manufacturing muscle—an advantage that matters as EV competition shifts from innovation to cost, supply chains, and global reach.

What to Watch: Watch how BYD’s expansion plays out overseas, especially in Europe and emerging markets where price sensitivity favors its lineup. Also watch trade policy: tariffs and local-content rules may be the biggest obstacles left. For now, BYD has done what few expected, it’s made electric vehicles boringly, relentlessly mass-produced.
Source: carnewschina.com

3. Lagarde: Rates on Hold, AI on the Rise, Certainty Still Missing

The News: The European Central Bank kept interest rates unchanged at its final meeting of the year, with President Christine Lagarde stressing that policy is “in a good place” but not on a preset path. Growth forecasts were nudged higher, with the ECB now expecting the euro area to expand 1.4% in 2025, while inflation is seen averaging 2.1% next year before dipping below target in 2026. Lagarde repeatedly emphasized a meeting-by-meeting approach, citing ongoing uncertainty around wages, services inflation, and global trade.

Why It Matters: The standout message wasn’t about rates, it was about structure. Lagarde framed AI as a meaningful driver of investment across Europe, from big corporates to small firms, with money flowing into data centers, networks, software, and other intangible assets rather than old-school machinery. That matters because it could reshape productivity and growth without immediately changing inflation dynamics, complicating the ECB’s job. For now, persistent services inflation and wage pressures argue against quick rate cuts, even as AI investment adds a rare bright spot to Europe’s growth outlook.

What to Watch: Watch wage data and services inflation closely, they’re now the ECB’s pressure points. Also watch whether AI-driven investment actually shows up in productivity numbers, not just capex headlines. Until then, Lagarde’s message is clear: no promises, no timelines, and no autopilot, just vibes, data, and a lot of optionality.
Source: euronews.com

Q: What do you call a boomerang that doesn’t come back?

A: A stick.

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A laboratory technique used to determine the concentration of a solution by gradually adding a reagent of known concentration until a reaction is complete.

“The student performed a titration to find the exact concentration of hydrochloric acid in the sample.”

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