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- Tuesday's Scoop: Chill🌤️
Hey friend - stay healthy out there. There’s nasty flu going around.
Here’s what you need to know today…
Big Picture
Office buildings are emptier than ever.
New laws could change how companies work with contractors.
Everyone’s on edge waiting for regulatory approval for the Bitcoin ETF.
The Market: ⬇️ -0.2%
S&P 500: 4,756.50
1Mo: +3% | 1Yr: +21% | 5Yr: +83%
The market drifted sideways today without a major shift in the narrative. There's not a ton to get excited or worried about. Investors are waiting for the inflation report on Thursday and the start of earnings season.
Offices across America are emptier than ever. A report from Moody’s Analytics indicated that nearly a fifth of office space across US cities is open, the highest percentage on record going back over forty years. The vacancy rates reflect years of overbuilding fueled by cheap borrowing conditions meeting the pandemic-induced shift to remote work.
Gig workers may soon be considered employees, not contractors, providing them more federal protections like minimum wage, unemployment insurance, and workers’ compensation. The Biden Administration issued a new rule with stricter evaluations of contract workers versus employees that will go into effect in March. The policy aims to improve conditions for gig workers at big companies like Uber and DoorDash but may create problems for small businesses.
The crypto and mainstream finance worlds are on edge, waiting for regulators to approve a new Bitcoin ETF. Bitcoin’s price spiked this afternoon after the Securities and Exchange Commission’s X/Twitter account announced approval of all Bitcoin funds. However, it quickly dropped after the SEC said its X/Twitter account was compromised. Investors have grown optimistic about regulatory approval for a Bitcoin fund that would trade on the stock market within days. Fourteen asset managers, including Blackrock, Fidelity, VanEck, WisdomTree, and ARK Invest, have requested to launch Bitcoin-linked funds. New Bitcoin ETFs could create massive inflows from mainstream investors for the alternative asset, pushing its price higher.
How are you feeling about the economy? |
Company Scoops 🗣️🌎💰
💡How are these companies doing? Judge their decisions. Investing starts with an opinion.
 JetBlue | Subbing Out JetBlue's CEO Robin Hayes abruptly resigned due to stress and health concerns just weeks before discovering whether his massive merger with Spirit would pass regulatory hurdles. COO Joanna Geraghty will take over after 20 years at the airline. |
 Nike | End of an Era Nike ended its partnership with champion golfer Tiger Woods after 27 years and multiple contracts, paying an estimated $500M. The sports brand earned valuable visibility from Tiger, worth roughly $2-4M per tournament. |
 Amazon | Hydrogen Forklifts Amazon partnered with Plug Power to install its first hydrogen electrolyzer at a fulfillment center, which creates low-carbon energy to power up to 400 forklifts. The tech giant is one of the world's biggest renewable energy investors. |
 Rent the Runway | Cleaning Closets Rent the Runway will lay off 10% of its staff, including its Chief Operating Officer, to reduce expenses after six months of falling sales. The fashion rental company has been battling declining subscriber numbers for over a year. |
 Starbucks | Indian Expansion Starbucks plans to double its footprint in India within the next four years, finding an increasing demand for coffee within the tea-dominant culture. The coffee chain will open a new cafe every three days to reach 1,000 locations by 2028. |
(These links only work for 24 hours while the story is live.)
Inside Scoop 🤓
What is earnings season, and why do investors care so much?
Public companies are required to report on their financial health every quarter. We get a look at their sales, expenses, and profits (aka earnings). The end of the quarter, when most companies give their reports, is called earnings season, second only to wedding season in excitement. For many companies, this is the only news we get for months. It’s valuable information for investors to parse through.
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