🚘 Vroomsday
🚘 Vroomsday
We've got a Toyota problem... Apple's import ban on Apple Watches, U.S. Steel gets bought out, Trump gets kicked off the 2024 ballot, and a Warner/Paramount merger.
Good morning fellow enthusiasts 👋,
Happy Friday, Merry Christmas, and welcome to another issue of Weekly Brief! Please...calm down...hold your applause.
This week, I got my hand stuck in a metaphorical cookie jar trying to find stories to write about. That’s primarily so I can write the best newsletter ever to be news-lettered in time for Christmas.
And that’s my Christmas gift; your gift to me can be inviting your friends and family to J. Nicholas as that would mean a lot.
So, without further ado, make sure to sit back, get comfy, and enjoy the sixth issue of Weekly Brief by J. Nicholas. (P.S. We are doing a giveaway. Scroll to the bottom for more).
— Jacob
IN THIS ISSUE
🤑 U.S. Steel gets bought out
🍎 Apple stops selling the Apple Watch
🇺🇸 Trump kicked off the 2024 ballot
On this day. On December 22, 1989, The Brandenburg Gate in Berlin was reopened, signifying the reunification of East and West Germany | TravelPixelz
IMPORTANT
🤑 The inflationary rollercoaster
A week after the U.S., Canada released its annual inflation rate, and it remained at 3.1% in November. Mortgage interest costs and high rent rose by 29.8% and 7.4%, respectively, and grocery prices increased by 4.7%.
The Bank of Canada also kept interest rates at 5%, with Governor Tiff Macklem saying it's too early for rate cuts. This is a very interesting thing to say considering the Federal Reserve is already looking to cut rates up to four times in early 2024. Even the Czech Republic lowered interest rates by 25 points this week, but Canada is still not budging.
🚗 We’ve got a Toyota problem
We already went over last week how Tesla recalled nearly its entire US fleet. This week, it’s Toyota’s time to shine in episode two of vroomsday (doomsday, but for car manufactures).
The Japanese car manufacturer is recalling one million vehicles, with about 10% in Canada and the rest in the U.S., due to a defect in the front passengers’ sensor that might prevent airbags from deploying.
Affected models include Avalon, Camry, Highlander, RAV4, Sienna, Corolla, ES250, and RX350 SUVs. Toyota and Lexus dealers will inspect and replace the sensors at no cost and will notify any of the affected car owners by February 2024.
🇨🇦 The true north strong and free green
Tuesday, Canada's new EV regulations, announced by Environment Minister Steven Guilbeault, gave automakers in Canada a nice credit and further pushed a green future for Canada.
The government is mandating that 20% of all car sales be zero emissions by 2026, then 60% by 2030 until 100% by 2036. Carmakers earn or lose credits based on EV sales, with a $20,000 credit for vehicles with over 80 km in electric range.
FINANCE
Image courtesy of U. S. Steel
🤑 U.S. Steel gets bought out
U.S. Steel, once the world’s biggest company and the first company to be valued at $1 billion, is selling to Japan's biggest steel company, Nippon Steel, for $14.1 billion in an all-cash deal (including debts, for $14.9 billion). The announcement led to a surge in U.S. Steel's stock by over 25%.
Nippon plans on keeping U.S. Steel's name, headquarters, and union contracts and remains optimistic about closing the deal by Q3 of 2024. The deal is subject to review by the Committee on Foreign Investment in the United States (CFIUS), which could take months.
💻 Adobe cancels $20 billion Figma merger
Adobe and Figma are saying goodbye to their dearly beloved $20 billion merger deal they planned last year due to a lack of approval from antitrust regulators in the EU and the U.K.
This comes after a joint agreement between Figma and Adobe agreeing they were ultimately screwed, since there was no clear path for necessary regulatory approvals. Adobe's shares rose 1.4% after this announcement, even though they still have to pay Figma a $1 billion termination fee.
The initial deal, announced in September 2022, was twice the private market cap of Figma, and would have snuffed competition and innovation in the digital design sector. The deal would also have made Figma's co-founders billionaires, with a 10% stake valued at just over $2 billion.
TOGETHER WITH THE PMCF
Image courtesy of The Princess Margaret Cancer Foundation
🔬 Furthering the search for a cure
Cancer is the second leading cause of death globally, and the sad reality is that it's not slowing down. Many of us barely think about it, but there is a high chance you may face cancer in your lifetime.
That’s why we’ve partnered with the Princess Margaret Cancer Foundation (PMCF) to further the search for a cure. Starting today, if you buy a book from the ‘Book of the Week’ section, 10% of all commissions earned will be donated to the PMCF.
It’s simple: buy a book, help fund cancer research. (For more information visit our donation policy).
As celebration for our partnership: The tenth person to buy this week’s ‘Book of the Week’ will receive a free gift bag (courtesy of PMCF)! Scroll to the bottom of this email, and take a peek at this week’s ‘Book of the Week’ for more.
BUSINESS
Image courtesy of IGN
🎬 Warner Bros. and Paramount want to merge
Warner Bros. Discovery CEO David Zaslav met with Paramount Global CEO Bob Bakish in NYC this week to discuss a potential merger.
The merger would create a major news and entertainment company, finally able to really rival Disney and Netflix. The merger would benefit Paramount’s debt problem and would expand its streaming services Paramount+ and Max. The new company would also be in control of both CNN and CBS news.
Warner is considering acquiring either Paramount Global or its parent company, National Amusements Inc, but executives believe the deal would face regulatory troubles. Even though talks are in the early stages, both companies are ready to negotiate.
🍎 Apple stops selling the Apple Watch
Apple found itself in a bit of a pickle with Masimo over an alleged infringement of a patent for blood oxygen tech in Apple Watches.
This intense WWE match between Apple and Masimo has been going on for over three years, with round one starting in 2020, which eventually became a mistrial. Then round two was initiated in 2021, which led to the International Trade Commission ruling in favor of Masimo.
News on Monday revealed round three, where the ruling is actually starting to affect Apple by implementing an import ban on the latest Apple Watches.
Starting December 24, 2023, the Apple Watch 9 and the Ultra 2 will not be able to be sold in the US market. This ban will cost Apple an estimated $400 million in revenue and can only be overturned by President Biden himself.
POLITICS
Image courtesy of AP Photo/Charlie Neibergall
🇺🇸 Trump kicked off the 2024 ballot
The Colorado Supreme Court kicked former President Donald Trump from running in their state's primary presidential ballot on Tuesday, invoking the 14th Amendment's insurrection clause.
This ruling marks the first-ever use of Section 3 of the 14th Amendment to remove a presidential candidate and comes from concerns about Trump's alleged role in the Jan. 6 Capitol riot.
However, the court's stay until Jan. 4 allows time for potential U.S. Supreme Court intervention before the Jan. 5 deadline for printing Colorado's primary ballots, which might lead to a showdown.
🇨🇦 Canada joins U.S.-led Red Sea mission
Canada is joining a U.S.-led mission to protect commercial ships in the Red Sea from attacks by drones and ballistic missiles coming from parts of Yemen controlled by Iranian rebels.
The seriousness of these attacks has led to shipping companies holding ships in place, which, in turn, is impacting global trade and raising the cost of shipping goods through the Red Sea.
The mission is called Operation Prosperity Guardian and involves many other allies such as Britain, Bahrain, France, Italy, Netherlands, Norway, Seychelles, and Spain. Canada's initial help will be with personnel, and mostly staff officers assisting with operational planning.
📚 Book of the Week
The Richest Man in Babylon
Book Description:
Set in ancient Babylon, this book is an inspiring collection of stories about people who have struggled with—and overcome—the same money problems most people face: feeling trapped by debt, living paycheck to paycheck, with little to no savings.
In this exclusive edition of George Clason’s classic, George gives his timeless principles for building lasting wealth, while Dave shares his proven money advice using quotes directly from The Dave Ramsey Show.
With powerful storytelling, The Richest Man in Babylon gives fresh perspective and encouragement to all who want to change their lives and win with money.
Join George and Dave as they share how to:
Get out of debt
Budget
Live on less than you make
Invest wisely
Save for the future
Enjoy your life and money
We’ve partnered with the Princess Margaret Cancer Foundation (learn more). As celebration, the tenth person to buy this book by using the link below will receive a free gift bag that includes a branded YETI mug, pen, and tote bag (~$55 value)! Conditions apply.