Podcasts about Alternatives

Are topical steroids doing more harm than good? Board-certified dermatologist Dr. Ted Lain sits down with Dr. Allie Golant, Associate Professor and Vice Chair of Dermatology at Mount Sinai, to unpack the real risks of topical corticosteroids — and why steroid stewardship is becoming a bigger conversation in dermatology.In this episode, you'll learn:Why topical steroid overuse leads to skin thinning, striae, and hypopigmentation — especially in skin of color patientsThe dangers of "polypharmacy" when patients mix and match steroid potencies across body areasHow systemic steroid absorption can affect bone density, endocrine health, and even eye pressureWhy steroid stewardship matters across specialties, not just dermatologyHow non-steroidal alternatives like Zoryve (roflumilast) cream and foam are changing treatment for eczema and psoriasisPractical tips for talking to patients about safer, simplified treatment regimensThis episode is sponsored by Arcutis Biotherapeutics, makers of Zoryve.Got a question or topic idea? Email us at inquiry@scienceofskinsummit.comJoin us at the Science of Skin Summit — Austin, TX, September 2026, and our Longevity Meeting in Scottsdale, AZ, February 2027. Details at scienceofskinsummit.comIf you enjoyed this episode, please subscribe, leave a 5-star rating, and share it with a colleague — word of mouth is how this podcast grows!

The Tank Talk Podcast on Instagram: https://www.instagram.com/tank_talk_podcast?utm_source=ig_web_button_share_sheet&igsh=ZDNlZDc0MzIxNw== The Tank Talk Podcast on TikTok: https://www.tiktok.com/@tanktalkpodcast?is_from_webapp=1&sender_device=pc The Tank Talk Facebook group is a place to share your aquariums, ask questions or just hang out with cool people: https://www.facebook.com/groups/1674032529542132/ Johns website with live plants, live snails fish food, chemicals and all the equipment you need for your aquarium. Plus fun KGTropicals merch: https://keepfishkeeping.com Jasons website where you can order Primetime Aquatics merch or reserve your fish to be picked up at local swaps in the Chicago area: https://www.primetimeaquatics.com aquariumhobby #fishkeeping #fishtank #aquarium #petfish

Our Strategist Michelle Weaver talks to Michael Zezas and Jessica Alsford, Co-Directors of the Morgan Stanley Institute, about how AI, energy resilience and industrial policy are changing investment decisions.Read more insights from Morgan Stanley.----- Transcript -----Michelle Weaver: Welcome to Thoughts on the Market. I'm Michelle Weaver, Morgan Stanley's U.S. Thematic and Equity Strategist.Michael Zezas: I'm Michael Zezas, co-director of the Morgan Stanley Institute and Deputy Global Head of Morgan Stanley Research.Jessica Alsford: And I'm Jessica Alsford, Morgan Stanley's Chief Sustainability Officer, and also co-director of the Morgan Stanley Institute.Michelle Weaver: Today: how AI, energy, geopolitics, and industrial investment are competing for scarce resources – and what that competition could mean for markets.It's Friday, July 31st at 10am in New York.Jessica Alsford: And 3 pm in London.Michelle Weaver: Mike and Jess, as co-directors, you speak with people across the firm to identify the biggest questions facing companies and investors, especially the important ones that may not have clear answers yet. And to understand how those questions are shaping client conversations. Mike, what's one of the questions that you think investors are wrestling with the most right now?Michael Zezas: So, one of the biggest questions is how several major investment cycles can happen at the same time. AI, energy infrastructure, manufacturing, and defense may all be competing for the same power, the same skilled labor, equipment, and capital. So, investors need to look beyond each theme in isolation and ask where constraints could delay projects, raise costs, or redirect spending, and which companies are best positioned to manage all of that.Michelle Weaver: Since the institute began, you've examined a number of topics, including AI, energy resilience, and geopolitical fragmentation, just to name a few. Jess, which topic has been the most compelling to you?Jessica Alsford: It's difficult to pick one because, to be honest, for me, it's really the way that AI, energy resilience, and geopolitics have all really become one story. If you think about the energy transition, which has been playing out for a number of years. But now we also have the AI build-out, and that depends on reliable and affordable power. And then geopolitical shocks, which are demonstrating the need for countries to have energy security.So, if you put all of this together and you can really see that there is a huge need to scale the global energy system, but using all types of power available to us, including renewables and nuclear.Michelle Weaver: Mike, how is that intersection that Jess spoke about between AI, energy, and geopolitics altering the way that companies are thinking about investing?Michael Zezas: So, geopolitical shocks, they're more norm than exception now. The situations in Iran, Ukraine, Venezuela, they all reflect an evolving international order where the U.S. is less interested than it used to be in preserving global security and trade standards.And that's a particular problem in a world where companies and governments spent much of the last 50 years optimizing to benefit from globalization. So basically, looking for the lowest cost way to produce things, sourcing materials and labor in the most efficient way possible, presuming that the frictions in international goods and services trade would just keep getting lower.That's obviously not the case now, and whether it's a good idea or not, the trend is toward governments leaning into industrial policy to prioritize supply chain security and protect whatever it sees as their national competitive advantages. And really that's correlated with higher trade barriers. So, that means that while companies are still focused on efficiency, they have to build resilience through more regional supply chains, greater redundancy, and investment in strategically important capacity. So, the practical message from our teams is to map critical dependencies, diversify where possible, and be realistic about the extra cost of resilience rather than assuming the old globalization model will simply return.Michelle Weaver:  One of the clearest constraints on the AI build-out is energy. Our thematic research team is estimating a nearly 40-gigawatt shortfall in power needed for data centers. For context, this is multiple New Yorks worth of power. Jess, how significant of a limiting factor is power becoming?Jessica Alsford: Power is definitely becoming a strategic constraint. If you think about grid connections, these can take years to set up. And so, access to power really is going to determine where facilities are built and how quickly they're able to come online. And it looks like there won't be one universal solution.You've got natural gas, nuclear, renewables, storage, microgrids. They're all going to need to play a role. And for companies, that means that they really are going to have to be planning power alongside the site and financing. For investors, it means focusing on reliability, affordability, and permitting, not just headline demand.Michelle Weaver: So, AI, energy, and geopolitics can no longer be considered in isolation. As countries and companies rethink where they source, build, and invest, where do you see the biggest opportunities emerging?Jessica Alsford: The opportunity is likely to be broader than any single sector, to be honest. and the institute has shown that capital really needs to be flowing towards more resilient supply chains as well as new productive capacity and also the infrastructure that supports both of these. And this covers power, grids, automation, logistics, as well as data. I'd also say that location matters, too. And companies need to be able to weigh political stability as well as skilled labor, reliable energy, and policy support. And investors should be looking for markets and businesses that can turn those advantages into durable returns.Michelle Weaver: The institute has also looked at founders as a source of economic information. Jess, what can their decisions reveal before those changes appear in traditional economic data?Jessica Alsford: So, founders are often making decisions at the leading edge of growth and capital formation, and so their behavior can provide an early read on both at-risk appetite and also financing conditions. If we take the current macro environment as an example of this, the institute has shown that many founders are adapting rather than simply waiting, and this means extending fundraising timelines, spawning investor conversations, and considering private credit, structured equity or tender offers. For companies, the takeaway really is to preserve financing flexibility. And for investors, it's to watch how those choices can reshape private market liquidity.Michelle Weaver: Mike, to bring this back to where we started, if power, labor, and capital are all becoming more constrained, what should investors be watching most closely?Michael Zezas: Yeah. I'd watch whether capital spending plans are being delayed or resized or redirected in some way, and I think importantly, what the reasons would be for any of those things happening.Is there a constraint around power or labor or equipment permitting or financing? Those details help distinguish whether you'd be looking at temporary setbacks or a structural shift. So, something that would signal that we've built too much capacity in AI or manufacturing relative to demand. And that's the type of thing that would be a real headwind to the economic outlook and potentially create problems in the credit markets.But to be clear, we don't see demand flagging anytime soon. And so, for investors, it's less about whether to be bullish or bearish on the outlook for the markets and the economy, and it's more about looking for companies that are durable beneficiaries of these trends. So those are ones with secure inputs, flexible balance sheets, and realistic return thresholds.Michelle Weaver:  Absolutely. As Mike said, we don't see demand slowing, and we're seeing a lot of encouraging data points around AI adoption. One analysis we did recently shows that around 25 percent of S&P companies are now quantifying the benefits they're seeing from AI adoption. And this diffusion story is only going to continue to grow.Mike, Jess, thanks for joining me.Michael Zezas: Thanks Michelle.Jessica Alsford: It's great speaking with you both.Michelle Weaver: And to our listeners, thanks for tuning in. If this is all piquing your interest, you can find the institute's articles, roundtables, and future work on Morgan Stanley's website. And as always, if you enjoy Thoughts on the Market, please leave us a review and share the podcast with a friend or colleague.

In this episode, Kc Chohan shares his expertise in tax strategy, real estate investing, and leveraging AI for business growth. Discover actionable insights on maximizing profits, avoiding common mistakes, and future-proofing your business.   Professional Real Estate Investors - How we can help you: Investor Fuel Mastermind:  Learn more about the Investor Fuel Mastermind, including 100% deal financing, massive discounts from vendors and sponsors you're already using, our world class community of over 150 members, and SO much more here: http://www.investorfuel.com/apply   Investor Machine Marketing Partnership:  Are you looking for consistent, high quality lead generation? Investor Machine is America's #1 lead generation service professional investors. Investor Machine provides true 'white glove' support to help you build the perfect marketing plan, then we'll execute it for you…talking and working together on an ongoing basis to help you hit YOUR goals! Learn more here: http://www.investormachine.com   Coaching with Mike Hambright:  Interested in 1 on 1 coaching with Mike Hambright? Mike coaches entrepreneurs looking to level up, build coaching or service based businesses (Mike runs multiple 7 and 8 figure a year businesses), building a coaching program and more. Learn more here: https://investorfuel.com/coachingwithmike   Attend a Vacation/Mastermind Retreat with Mike Hambright: Interested in joining a "mini-mastermind" with Mike and his private clients on an upcoming "Retreat", either at locations like Cabo San Lucas, Napa, Park City ski trip, Yellowstone, or even at Mike's East Texas "Big H Ranch"? Learn more here: http://www.investorfuel.com/retreat   Property Insurance: Join the largest and most investor friendly property insurance provider in 2 minutes. Free to join, and insure all your flips and rentals within minutes! There is NO easier insurance provider on the planet (turn insurance on or off in 1 minute without talking to anyone!), and there's no 15-30% agent mark up through this platform!  Register here: https://myinvestorinsurance.com/   New Real Estate Investors - How we can work together: Investor Fuel Club (Coaching and Deal Partner Community): Looking to kickstart your real estate investing career? Join our one of a kind Coaching Community, Investor Fuel Club, where you'll get trained by some of the best real estate investors in America, and partner with them on deals! You don't need $ for deals…we'll partner with you and hold your hand along the way! Learn More here: http://www.investorfuel.com/club   —--------------------

Our Global Head of Thematic and Sustainability Research Stephen Byrd explains why the recent AI infrastructure selloff may reflect technical pressures, not weakening fundamentals.Read more insights from Morgan Stanley.----- Transcript -----Stephen Byrd: Welcome to Thoughts on the Market. I'm Stephen Byrd, Morgan Stanley's Global Head of Thematic and Sustainability Research.Today: Are investors misreading the AI infrastructure selloff?It's Thursday, July 30th, at 10am in New York.The recent selloff in AI infrastructure stocks has raised a familiar question: Is the buildout running ahead of real demand? The market is pulling back and we think that reflects profit-taking, crowded positioning, and forced selling by investors. This is not about weaker fundamentals. But the selloff has brought to light three key concerns, which we think the market is overplaying.The first concern is how much enterprises are willing to pay for AI. The median enterprise employee currently generates less than $11 a month in token spending. That's the fee paid when an AI model processes a request and generates a response.We think there is room for that to increase. From the employer's perspective the economics are compelling. Across workplace applications, the cost to execute the economic task would be $2-$5. And that could save an enterprise $55. That to us suggests companies are likely to spend more, not less, on AI over time.The second debate centers on efficient models, including competitive models developed in China.  And here, policy responses both from the U.S. and China can have an impact as well. Some investors worry that better efficiency means less computing demand. But we see the opposite risk. This is a classic example of Jevons paradox: When something becomes cheaper or more efficient to use, people use more of it. In AI, lower costs can attract more users, encourage more frequent use, and make complicated applications more economical. The scale is striking. Industry leaders estimate that compute demand could double every six months, which would amount to more than a thousand-fold increase in compute over five years. Hyperscalers could quadruple available power capacity to roughly 120 gigawatts by 2028, from about 30 gigawatts in 2025.And that leads to the third debate – whether data centers can secure enough power to keep expanding. It's a valid concern. In the U.S., facilities under construction and contracted grid capacity cover about 30 gigawatts. That's less than half the 68 gigawatts of power that data centers are likely to need from 2026 through 2028. Grid connections can take five to seven years in some regions. Skilled electricians, welders, and pipefitters are in short supply. And local opposition is increasing as communities debate electricity bills, tax incentives, and who should pay for grid upgrades.These are real obstacles, but we view them as delays rather than dead ends. Onsite generation, fuel cells, energy storage, natural gas turbines, and the conversion of existing high-power sites could close the gap, at least partially.We believe much of the recent weakness in AI infrastructure has been driven by technical factors rather than a change in the underlying fundamentals. As AI becomes more capable and cheaper to use, demand for intelligence, compute, and power is likely to keep rising. The global market is fragmented as policy decisions in the U.S. and China shape how growth unfolds. But strong economics should support continued investment.Thanks for listening. If you enjoy the show, please leave us a review wherever you listen and share Thoughts on the Market with a friend or colleague today.

In this episode of The Soaring Child Podcast, we are continuing our Summer Series by sharing another fan favorite episode. Tune in as  Dana Kay talks with Child and Family therapist, Ashley Gobeil, about screen time and its effects on children, especially those with ADHD. Ashley Gobeil has over 15 years of experience in child and adolescent mental health, and this important discussion unpacks how technology impacts emotional regulation, impulsivity, and overall well-being. Ashley provides valuable insights into the neuroscience behind screen time's effects on ADHD brains, as well as practical strategies for parents to manage it. From setting boundaries to navigating meltdowns and fostering healthier habits, this episode equips parents with actionable tools to create a balanced approach to technology in their homes. To watch this episode on YouTube, go here - https://www.youtube.com/watch?v=-qhYty22QRg&t=8s  LINKS MENTIONED IN THE SHOW Healthy Habits for Digital Kids: Managing ADHD and Screen Time – FREE PRINTABLE  – https://info.adhdthriveinstitute.com/free-guide-managing-adhd-and-screen-time  ADHD Thrive Jumpstart 4 Parenting: https://info.adhdthriveinstitute.com/parenting-landing-page  CONNECT WITH ASHLEY GOBEIL Ashley Gobeil's Website: https://ashleychildtherapies.com.au Ashley Gobeil on Instagram: https://www.instagram.com/healing_with_ashley Ashley Gobeil on Facebook: https://www.facebook.com/ashley.gobeil.50 ADHD Thrive Institute: https://adhdthriveinstitute.com/ ADHD Thrive Jumpstart 4 Parenting: https://info.adhdthriveinstitute.com/parenting-landing-page  Free ADHD Masterclass:  https://bit.ly/3QzvFHm KEY TAKEAWAYS [3:14] The Impacts of Screen Time on ADHD Symptoms [11:21] How Screen Time Affects Emotional Regulation and Dopamine Loops [11:47] Social and Cognitive Effects of Excessive Screen Time [12:04] Strategies for Managing Screen Time Effectively [16:08] Setting Boundaries Around Screen Time [20:21] Tips for Navigating Screen Time Detox and Alternatives [36:35] Practical Scripts and Tools for Parents MEMORABLE MOMENTS "Screen time can act as a temporary escape for kids, but it doesn't increase their internal regulation." "For children with ADHD, screen time often becomes a way of seeking dopamine, creating a reward loop that's hard to break." "Screen time doesn't just overstimulate—it can actually decrease a child's ability to control impulses." "Excessive screen use inhibits imagination, natural play, and the development of critical emotional processing skills." "We're not here to eliminate screens completely but to find a healthy balance that supports emotional and mental well-being." "Screen time is designed to leave children wanting more—it's a bucket with a hole that can never be filled." "Setting boundaries is hard but essential. It's okay for kids to feel big emotions when limits are set—it's part of learning." "Boredom isn't a bad thing—it's an opportunity for kids to build creativity, imagination, and self-regulation." "Start small, stay consistent, and be proactive about setting screen time rules—it will pay off in the long run." "Healthy screen habits are a team effort. Explain your decisions to your kids, and adjust based on what works for your family." DANA KAY RESOURCES

Welcome back to the Alt Goes Mainstream podcast.We sat down with Kyle Kniffen, Managing Director, Global Head of Alternatives, Third Party Wealth at Goldman Sachs. We were live from Berlin, which becomes the “capital of private capital” in June as private equity industry leaders make the annual pilgrimage to the city for one of the marquee private equity conferences, SuperReturn Berlin.With Prosek Partners and former Bloomberg TV journalist Deirdre Bolton as my producer, along with her team, we took over a Tiny Space cabin to hold big conversations with some of the industry's leading alternative asset managers.A little over two years ago, I wrote on AGM about how, at $456B in AUM in alternatives, Goldman Sachs was a “sleeping giant” in private markets. In reality, Goldman is anything but a sleeping giant in private markets, having started its private equity business in 1984 and earning the distinction of being a top-5 alternatives manager by AUM across both traditional and alternative asset managers.Today, Goldman has grown its alternatives business to over $625B in AUM.The firm has expanded its platform with the acquisition of Industry Ventures and a partnership with T. Rowe Price to deliver public and private markets solutions to the wealth channel, and, most recently, the creation of its Alternative Investment Platform to provide HNW clients with direct access to private companies.The evolution of Goldman's Alternatives business reflects a thoughtful, measured approach to understanding the needs of wealth channel investors and finding the utility and purpose of strategy, product, and product structure.That was much of the focus of the conversation Kyle and I had in Berlin. We discussed the objective and utility of private markets in a portfolio. We covered:The growth of evergreen funds.Why evergreens are the product structure of choice.Why are evergreens also appealing to institutional allocators, insurance companies, and UHNW investors?How GPs and LPs are approaching LP composition to evergreen vehicles.The next wave of product innovation.The build, buy, partner framework Why Goldman is so excited about the GeoWealth partnership and what the future of model portfolios look like.What is not known but should be known about the Goldman Alternatives franchise.BioKyle Kniffen is a managing director in the Client Solutions Group within Goldman Sachs Asset Management. He serves as global head of Alternatives for Third Party Wealth (TPW), overseeing client strategy for the firm's TPW clients globally, delivering the power of the Alternatives investing platform to a broad set of individual investors through our partnerships with financial intermediary clients and their advisors, including Private Banks, Broker-Dealers, RIAs and other distribution platforms. Kyle partners closely with leadership across our Alternatives franchise to develop products that meet our clients' evolving needs. He is also co-chair of the AWM Global Distribution Working Group.Prior to this role, Kyle was in Alternative Capital Markets (ACM), serving as head of ACM for Goldman Sachs Ayco and leading coverage for One Goldman Sachs financial sponsors globally. He joined Goldman Sachs in 2018 as a vice president in ACM and was named managing director in 2021.Prior to joining Goldman Sachs, Kyle led a variety of distribution and product management teams for Bank of America's Alternative Investment Group within their Global Wealth and Investment Management division.Kyle is a board member for the Institute of Portfolio Alternatives (IPA), and a member of The Economic Club of New York. Kyle earned a BA from Gettysburg College.Thanks, Kyle, for sharing your wisdom, expertise, and passion about private markets and serving the wealth channel.Show Notes00:00 AGM Live from SuperReturn Berlin00:22 Meet Kyle Kniffin01:10 Wealth Meets Private Markets01:37 Big Pools Little Allocation02:24 Alt Strategies Explosion03:04 Lessons from Hedge Funds03:34 Start with Client Goals03:53 Risk Liquidity Tradeoffs04:10 Portfolio Utility First04:25 Holistic Private Markets04:44 Fit and Terms Matter05:07 Setting Expectations05:32 Product Innovation Shift05:52 Evergreens and Flexibility06:10 Monthly Access and Tactics06:39 Evergreen Growth Rates06:45 Education and Dispersion07:15 Why Evergreens Exist07:41 Diversification Lower Minimums08:04 Operational Simplicity08:21 Evergreen Nuance Phase One08:47 Goldman in Third Party Wealth09:26 Institutions Buying Evergreens10:31 LP Mix and Liquidity Caps11:36 Institutionalizing Wealth Platforms13:29 Goldman Platform Advantage14:46 Feeding the Evergreen Engine15:13 GeoWealth and Model Portfolios15:45 T Rowe Price Collaboration16:12 Build vs Buy Partner Balance16:42 Industry Ventures Acquisition17:33 Goldman Alts Heritage18:35 Pioneering GP Stakes19:45 Secondaries Since 199820:12 Apex of Private Markets21:08 Will Secondaries Be Core21:48 Max Flexibility for Wealth22:42 Customization vs Scale23:16 Flagships Then Bespoke23:49 Lessons from Private Wealth25:10 Broader Menu of Privates25:34 Closing Thoughts 

How much runway does the world's energy market still have? Our Head of Commodity Research Martijn Rats joins our Global Head of Fixed Income Research Andrew Sheets to explain what's causing pressure beyond renewed tensions in the Middle East.Read more insights from Morgan Stanley.----- Transcript -----Andrew Sheets: Welcome to Thoughts on the Market. I'm Andrew Sheets, Global Head of Fixed Income Research at Morgan Stanley.Martijn Rats: And I'm Martijn Rats, Head of Commodity Research at Morgan Stanley.Andrew Sheets: Today – talking about the recent volatility and the direction ahead for oil.It's Wednesday, July 29th at 2pm in London.Martijn, it's great to talk to you again. We haven't talked for a little while on this program. But oil is once again back in the headlines and it's moving around.So maybe to just jump right into things, as you look at the lay of the land in global energy markets at the moment, what's been happening? What are you telling clients?Martijn Rats: Okay. Well, we've had a large amount of volatility, over the last couple of weeks. If you roll the clock back, sort of, to the beginning of June. In the beginning of June, it started to become clear that already some more oil was leaking out of the Strait of Hormuz than perhaps, many of us anticipated at the time.But that data has been confirmed since then. And then, of course, in the middle of June, we got the memorandum of understanding. And after that, roughly 100-150 million barrels a day or so that was behind the Strait of Hormuz got cleared. And that…Andrew Sheets: These were tankers that were stuck there during the conflict, all came out.Martijn Rats: Absolutely. Laden tankers that were there; had just basically turned into floating storage for a good couple of months. They all cleared out, and that actually created a bit of a glut, in the sense that all of a sudden, the refiners of this world had a lot of crude to absorb. And we saw many indications of physical looseness in the market, physical differentials, calendar spreads.All sorts of indicators pointed that physically there was a lot of oil, temporarily to be absorbed. And the spot price of Brent fell to $70. And that looked to be the new direction of travel. In principle, the world is not short of oil if you take the geopolitics out of it.So, for a while it, it looked bearish. But then a new set of disruptions came, and the military conflict restarted, and we've had 13 days of overnight bombing. And with that also the flow through the Strait of Hormuz diminished again. And we are back in the last, sort of, week, 10 days to very, very low levels. The same levels we had in March.The flow through the strait is not exactly zero. But it's sort of 2-3 million barrels a day, sort of, down 80 percent to 90 percent of what it was before the conflict. And with that, prices have rallied. But on top of that, last week it looked like the military activity could really scale up. And for a couple of days, the markets priced that in.But then we have other choke points to take into account now. Not only Hormuz, but the Bab el-Mandeb, the CPC terminal, the issues in global refining. Altogether, it's been a tremendously volatile period. So, we're on the whole leaning towards the constructive side because there are so many disruptions in the system. But it's a very hard one to call at the moment.Andrew Sheets: So Martijn, let's talk about those other disruptions besides just the Strait of Hormuz. Because yeah, it's not just the Strait of Hormuz anymore. We have issues in the Red Sea. You have ongoing issues with Russian energy infrastructure that's being attacked by Ukraine. Just what are these other factors that are out there? And how much do they matter relative to, you know, how many ships are passing through the Strait of Hormuz?Martijn Rats: Yeah. They matter a lot, and you can see that expressed in the price of refined product more than the price of crude. If you look at the main global benchmark for the price of diesel, which is arguably the ICE gas-oil contract, which are diesel barges delivered in Rotterdam or in the wider ARA area, it's trading at about $1,200 a ton, which is sort of $150-$160 per barrel.That's where you see the tightness. And so out of the total end user price, the refiners are capturing more at the moment than the crude suppliers. But what end users pay is not $85 per barrel for Brent crude oil, it's $1,200 a ton for diesel. And that is a very high price. Now, that is a result effectively of four major issues that the oil market has to deal with.One of them is Hormuz, as just discussed. But then we come to these other three. And these other three are the Bab el-Mandeb, which is the strait on the other side of the Arabian Peninsula that provides entry and exit to the Red Sea. That strait has gained in importance because Saudi Arabia has been redirecting about 4 million barrels a day of crude oil supply that was previously exported via Hormuz. Now through the East-West Pipeline to a terminal near a city called Yanbu, from where it is loaded and mostly sails down south through the Bab el-Mandab to refineries in Asia.The Bab el-Mandab is a strait that is effectively controlled by the Houthis, which is an Iran-aligned group that controls much of Yemen. And already in [20]24, earlier in [20]25, they've been very effective, controlling tanker traffic through that strait. And in the last sort of week or so, they have said that they will no longer allow Saudi tankers to sail out. And also, that group has executed drone attacks on Saudi oil infrastructure near the Jazan refinery, near the Yanbu terminal, and overnight also the Abqaiq facility, which is a large oil processing plant.So, this whole Red Sea situation puts at risk something like an incremental 3.5 million barrels a day of crude.Then we've had to deal with issues at the CPC terminal, which is again, also a very large oil export terminal. About 1.5-2 million barrels a day of crude is exported from CPC, which is a terminal near the Russian city of Novorossiysk.Ukraine has been executing drone attacks on tankers that have been trying to load from the CPC terminal. Much of last week, the CPC terminal was out. Over the last 24 hours, a few tankers have loaded again, but it's very unreliable. It's on again, off again. It's a very disrupted flow. In and of itself, a single terminal loading 1.5-2 million barrels a day is very, very large. So, we care.And then the third issue that the oil market has been dealing with, and this also comes back to this issue about these refined product prices, is very severe tightness in the global refining system. That is an issue of some refineries can't export because they're behind the Strait of Hormuz again.So, you can say, "Well, isn't that; that's sort of the same problem?" But nevertheless, it expresses it somewhere else. It's partly a problem of, sort of, the Chinese refinery system running very low. But it's recently mostly been driven by Ukrainian drone attacks on Russian refineries. And by now, something like 60 percent of the Russian refining system is out.And with that, exports of refined products have declined very significantly. There's a gasoline export ban. There's a diesel export ban from Russia. Russia used to be a very large diesel exporter. That is now down to practically zero. And with that, refined product markets have rallied severely on top of the price of crude.Andrew Sheets: And I think that's interesting [be]cause when we think about the economic impact of oil, while, you know, the price of oil per barrel is often the most kind of visible marker that we have – it's often the refined product that we actually use. You know, a truck is running on diesel. It's not running on crude oil.And, you know, that cost of diesel, of jet fuel, of gasoline, you know, that is the thing that can often really affect business margins. And the ability to operate and move product around. So, I mean, just give a sense like how much have those diesel prices gone up? And how much further could they rise if you're operating, you know, a trucking company in Europe?Martijn Rats: Yeah. Look, when supply is inherently scarce, we often ask the question – what is the demand destruction price, right? If you can't supply the stuff quick enough, the physical oil market, be it crude or refined product, must balance.There are a finite number of molecules in the system, and we can store them for a bit. We can take them out of storage. But when you take storage into account, molecules can't disappear out of nowhere. And they can't create it out of nowhere either. So, the system must balance. And if you can't supply it quick enough, the only way to balance sometimes is through demand destruction.And then we ask the question, what is the price that effectively causes that to happen? And if you look historically, that is often expressed in crude, something like $140-$150 a barrel. We've seen that before. But those were occasions where refining was not an issue. And then crude needs to do the heavy lifting to drive prices higher.What we're having at the moment is that refined products need to do it. And so, from experience earlier in the year, back in 2022, some other occasions, the price that destroys diesel demand is probably in the order of $1,400 a ton. In the diesel market, we use tons rather than barrels for historical reasons. Just to make it easy.But it's about $1,400 a ton, which is about sort of, you know, like $180-$190 per barrel. That really stops diesel demand in its track. At the moment, we're $1,230-$1,240, that sort of level. And so, we are getting close. There is probably a little bit more to go, like another 5 percent, 10 percent, that sort of thing, before you really hit some exceptionally high levels.But the diesel price, I would argue, is doing exactly that. It's searching for this demand destruction price. It's just if you then take that sort of $160 diesel that we have at the moment, how much do the refiners get versus how much do the crude producers get?At the moment, the refiners are getting $65- $70 out of that, leaving comparatively little for the crude supplier. But the refined product price is the channel by which the economy is impacted and ultimately also by which demand is eroded.Andrew Sheets: When we're talking about demand destruction, we're talking about at what price does a trucking company not operate, does not drive as much, you know, does not, you know... We're talking about less activity. And inherently that is, I think a risk to growth. But especially risk to growth in Europe where the starting point for growth is already pretty weak.Martijn Rats: Yes. So, we are watching as much, how the Ukrainian drone attacks on Russian refiners are playing out as we are watching, sort of, the Strait of Hormuz.Andrew Sheets: Martijn, the last thing I wanted to talk to you about is, you know, we've been talking about the Iran conflict since late February. And, you know, we're sitting here in late July. And it's clear that, you know, there was a small normalization in flows as you talked about. But we're back to a place where those flows are nowhere near normal.And I think the question on everybody's mind is how much longer can this go on before there's a much larger shock to energy prices?Now, again, you've mentioned we're already seeing some of that shock to diesel, but, you know, a much bigger disruption. What's your current thinking on how much runway the energy system still has?Martijn Rats: Yeah. It's an excellent question, and it's turned out to be fiendishly hard to answer. My gut feel based on how the data is behaving, based on what we know from history: If this lasts another, sort of, month or two, three, then it's hard to argue that by then the buffers in the system will not have been completely exhausted.The reason why I think oil analysts have lost a degree of confidence in forecasting this accurately is that there's a lot of unexplained oil that does require some explanation. If you look at the cumulative amount of supply loss from the Middle East since the start of this conflict, easily over 1.5 billion barrels. 1.5 billion barrels in 150 days is an enormous amount.And yet, the inventory draws that we can find in observable data, they are at best a third of that, maybe 0.5 billion barrels. And so, there's another billion barrels where you say, "Yeah, we had that last year, but we don't have this this year.”How did we solve that billion-barrel problem? And you can say, "Well, we were a bit oversupplied going into it," and a few other things. But you, sort of, have to conclude, and I think this is also, you know, talking to clients and investors, other market participants. I think this is sort of collectively we're discovering this is that this system of, like, unobservable inventories has to be way bigger.That is either inventories like in the supply chain, inventories at customers end, or in countries where we generally just have very little data anyway, like in China. And so, the system has been behaving as if already in [20]24 and [20]25 actually, we were putting a lot of oil into these, in storages that are hard to observe – because in that period we had the opposite problem.We were forecasting large inventory builds, and we couldn't find them all. And now we're forecasting large draws, and we haven't been able to find them all. And so, the system has been behaving as this; the unobservable part of the inventories are way larger.And… But at some point, they also run out. But because they're hard to observe, we don't know when. And I would guess if we're getting towards the end of the summer by August-September, and we're still in this situation? Yeah, then we're going into the winter. Like, you know, German households objectively have little storage of heating oil.Andrew Sheets: Mm-hmm.Martijn Rats: And they need to be rebuilt. And there are a few examples where we do know what customers are doing with their inventories, and they point to a picture where, yeah, by the end of the summer, like, we're running on fumes. And so, look, this – we've been able to patch this up. But it can't go on forever.Andrew Sheets: Well, Martijn, always a pleasure to, to catch up with you and talk energy markets.Martijn Rats: Nice to talk to you.Andrew Sheets: And thank you for listening. If you enjoy Thoughts on the Market, please take a moment to rate and review us.And please share with a friend or colleague today.

391: Stop wearing sunscreen and listen to this before you get botox, because today we are talking about natural alternatives to botox, natural sunscreen protection that is actually stemmed from what you eat not what you put on your skin, and we are busting myths about "clean" skincare and makeup and revealing what truly goes on behind the scenes in the skincare and makeup industry! Emilie Toups from Toups & Co. is back for a second time as we dive into the controversial topics of coconut oil and how it can actually dry out your skin, and why not all beef tallow is created equal and why it may not be working for you if you've tried it. Plus, Emilie shares how to properly clean your makeup brushes and what the missing link behind those nasty breakouts could be!  Topics Discussed: → Natural botox alternatives → Nature's retinol  → Sunscreen from the inside out  → Foods to eat for anti-aging → Misconceptions around beef tallow on your face → Why not all beef tallow is created equal → Why coconut oil is NOT good for your skin! → Ways to detect greenwashing skincare & makeup → Why natural makeup brushes are not actually natural → How to and how often to clean your makeup brushes → Natural deodorant  As always, if you have any questions for the show please email us at digestthispod@gmail.com. And if you like this show, please share it, rate it, review it and subscribe to it on your favorite podcast app.  Timestamps:  → 00:00:00 - Introduction  → 00:01:50 – Skincare myths & rapid-fire questions → 00:02:40 – Emilie Toups' health journey → 00:08:08 – Beef tallow vs. coconut oil → 00:12:55 – Choosing quality beef tallow → 00:17:40 – Healing skin naturally → 00:20:00 – Natural Botox alternatives → 00:26:55 – Best foods for healthy skin → 00:28:00 – Sun exposure & skin health → 00:29:15 – Mineral vs. chemical sunscreen → 00:35:20 – Greenwashing & toxic ingredients → 00:42:00 – Hidden fragrances in skincare → 00:44:45 – Non-toxic makeup → 00:48:10 – Face masks & exfoliation → 00:51:45 – Cleaning makeup brushes → 00:55:30 – Natural deodorant & clean living → 00:57:10 – Where to find Toups & Co. Check Out Emilie Toups: → Website → Instagram Check Out Bethany: → Bethany's Instagram: @lilsipper → YouTube → Bethany's Website → Discounts & My Favorite Products → My Digestive Support Protein Powder → Gut Reset Book  → Get my Newsletters (Friday Finds) Learn more about your ad choices. Visit megaphone.fm/adchoices

Luke is here with all the latest Liverpool news. According to reports, the Reds are looking at potential Bradley Barcola alternatives incase they cannot get a deal done for the PSG winger, with the two clubs far apart on the France international's valuation. Hosted on Acast. See acast.com/privacy for more information.

John Maytham speaks to Hellen Kahaso Dena, Pan-African Plastic Project Lead at Greenpeace Africa, who is calling for South Africa to move beyond levies and introduce a total legislative ban on single-use plastic carrier bags. She argues that responsibility should shift from consumers to producers and retailers, while investment in refill and reuse systems offers a more sustainable long-term solution. Presenter John Maytham is an actor and author-turned-talk radio veteran and seasoned journalist. His show serves a round-up of local and international news coupled with the latest in business, sport, traffic and weather. The host’s eclectic interests mean the program often surprises the audience with intriguing book reviews and inspiring interviews profiling artists. A daily highlight is Rapid Fire, just after 5:30pm. CapeTalk fans call in, to stump the presenter with their general knowledge questions. Another firm favourite is the humorous Thursday crossing with award-winning journalist Rebecca Davis, called “Plan B”. Thank you for listening to a podcast from Afternoon Drive with John Maytham Listen live on Primedia+ weekdays from 15:00 and 18:00 (SA Time) to Afternoon Drive with John Maytham broadcast on CapeTalk https://buff.ly/NnFM3Nk For more from the show go to https://buff.ly/BSFy4Cn or find all the catch-up podcasts here https://buff.ly/n8nWt4x Subscribe to the CapeTalk Daily and Weekly Newsletters https://buff.ly/sbvVZD5 Follow us on social media: CapeTalk on Facebook: https://www.facebook.com/CapeTalk CapeTalk on TikTok: https://www.tiktok.com/@capetalk CapeTalk on Instagram: https://www.instagram.com/ CapeTalk on X: https://x.com/CapeTalk CapeTalk on YouTube: https://www.youtube.com/@CapeTalk567 See omnystudio.com/listener for privacy information.

Our Global Head of Macro Strategy Matthew Hornbach and Chief U.S. Economist Michael Gapen unpack what is likely to influence this week's interest rate decision by the Fed.Read more insights from Morgan Stanley.----- Transcript -----Matthew Hornbach: Welcome to Thoughts on the Market. I'm Matthew Hornbach, Global Head of Macro Strategy. Michael Gapen: And I'm Michael Gapen, Morgan Stanley's Chief U.S. Economist. Matthew Hornbach: Today, will the Fed hold or hike? It's the question in the market right now. It's Tuesday, July 28th at 9:30am in New York. Will the Fed display patience, or has it run out of patience? That's the question hanging over the July FOMC meeting currently underway. We believe the former. We expect the Fed to keep the target range for the federal funds rate unchanged at 3.5 to 3.75 percent. The statement will probably also remain unchanged, reiterating the ample reserve policy, economic activity expanding at a solid pace despite elevated uncertainty. So, Mike, what's your assessment of the situation beyond that? Michael Gapen: Our assessment of the July FOMC meeting is actually the case for hikes is not as persuasive now as it was in June. And I think when we say that and when we come to the decision the Fed will stay on hold this week, we're basing it mainly on the data that has come in since the June FOMC meeting. And two important pieces on that front are employment growth moderated. So, in the June meeting, the three-month average payroll gain was running at about 188,000 per month. And I think it gave the sense that the labor market was really accelerating and there was downside risk to the unemployment rate. The subsequent employment data changed that view. Now it looks like there is much less of an acceleration in hiring and momentum has slowed. So, the labor market doesn't look quite as robust. Second, there was a lot of information, we think, a lot of signal about disinflation. So yes, recent volatility in the Middle East did push oil prices temporarily higher. We'll see where that goes. But underneath the hood, there was significant softness in goods inflation and services inflation, particularly related to housing. So, we do think that there was a lot of evidence that disinflation is here. So, with those two things in mind, we think there's less of a case to hike in July than there was in June. So, we think the right thing... Or what we think the Fed will do is to skip July, try and buy a little more time, get a little more information. If disinflation is indeed here, the Fed stays on hold. If not, and inflation stays firm, well, they can move to rate hikes later this year. But we think the case to hike in July is less compelling than it was in June. Matthew Hornbach: Well, they certainly will get a lot more information between the July meeting and the September meeting. If memory serves, at least two more rounds of all of the major economic data points… Michael Gapen: That's right. Matthew Hornbach: Payroll, CPI, and so on. Michael Gapen: That's right. The gap between the July FOMC meeting and the September FOMC meeting is the longest on the Fed's calendar. Of course, in part, that makes room for Jackson Hole in August, which if the Fed were moving to a tightening cycle, could be a venue to lay out the case for that. But you're right, they will see multiple employment and inflation reports before they meet again in September. Matthew Hornbach: If they really wanted to get ahead of that data and move at this meeting, what is the case for hiking rates in July? How would you think about that perspective? Michael Gapen: I think you could make a couple of cases to hike now. One is recent volatility and conflict in the Middle East has pushed oil prices higher. Maybe it convinces you – you're in a prolonged oil risk premium scenario, and inflation will not dissipate. Second, I think you could argue, well, it's a balance of risks argument. And we think risks have just shifted in the direction of inflation, where last year they were in the direction of a weaker labor market. We eased last year. Let's just reverse those risk management rate cuts this year. So, it's not about inflation in hand, it's about your view of risks around inflation. Another, I think, and to me, this is the most important one, is maybe Warsh wants a regime change in the reaction function. In other words, he emphasizes price stability and achieving the 2 percent target. Well, at some point, words are words and actions are actions. And maybe what he desires is a more hawkish reaction function and kind of a higher interest rate all else equal to guide inflation down to 2 percent more quickly. So, I think, Matt, if we're wrong this week, I think the main reason we're wrong is I'm thinking under an older reaction function, and Warsh is bringing a new one. And right now, we don't exactly know what his reaction function is. And he could reveal it this week as being in a direction where he really wants to concentrate on the inflation side of the mandate to the exclusion of nearly everything else. Matthew Hornbach: Well, I don't think that's lost on markets at all. And in fact, I think that the rise in yields we've seen in the bond market concentrated in the real yield component of the 10-year Treasury bond tells you a lot about how investors are thinking the Fed will react to higher energy prices. As energy prices have gone up, so have bond yields. The relationship between those two asset prices are very strong. And usually what that suggests is if the real yield is going up more than the break-even inflation rate is going up as energy prices rise, it's telling you that investors think the Fed will not look through the rise in energy prices. If you have the opposite happen, where your break-even inflation rate is going higher, more so than the real interest rate is going higher, that would suggest investors think the Fed will look through the energy price increase. That just hasn't been the case, and so I think investors are very much attuned to what they think is the right reaction function for the Fed. But I guess we'll see. Only time will tell. And I think in order to help us tell what the right reaction function is – we'll need some communication from the Fed. And maybe that's where I want to go next with you – is on communication. It does seem like there have been fewer FOMC participants speaking to the public since Chairman Warsh began his tenure as chairman. Is that your impression? How do you think about communication? And since we are in the midst of this FOMC meeting, the press conference… What do you think about press conferences going forward? Michael Gapen: I do think you're right. I haven't counted up the literal official FOMC communications. I do think there have likely been fewer speeches and/or interviews given recently. And whether or not that's a function of Kevin Warsh as the chairman or it's summer and things move a little slower, I don't know. I will say, though, that when participants have spoken, I think we're getting the same, say, normal communication that they brought in the past. So far, I don't read participants as unwilling to provide their view about the outlook for the economy and for monetary policy. On the press conference, boy, would that be a change. I've been of the view that you probably will not get what I'll call a major change to the SEPs or the press conferences in terms of their frequency until the task force on communications has run its course, where I think the deadline is ultimately later this year. So, I don't think the schedule of press conferences will change until 2027, if it changes at all. But if we don't have them… The way that I would look at that, Matt, is to say, if the Fed's speaking less, there will be a vacuum out there to some degree. So, if the Fed's giving its view on the outlook and monetary policy less frequently, something else will fill that narrative, whether it's markets or the private sector or whatever it is. Vacuums are going to get filled. The Fed's speaking less, somebody else will speak more. Maybe that drives volatility more. I guess it would depend on the situation, but I think pulling press conferences would be a major surprise. I don't think it's in market expectations, and my belief is it would probably lead to some increase in volatility over time.How would you read it? Matthew Hornbach: Absolutely. I think the void has already begun to be filled by investors and how they think about the Fed's reaction function, rightly or wrongly. Which is why I think we've seen real yields move in a very positively correlated way with energy prices. Investors are intuiting a certain reaction function to higher energy prices. Whether or not that is the correct view, only time will tell. If we do have a press conference at this upcoming meeting, which looks very likely, investors are going to pay attention to every nuance and every shift in the chairman's tone. How he chooses to address certain questions versus others—or whether he chooses to address them at all—will be important for market participants and how they invest in the bond and currency markets. With that, Mike, thanks again for taking the time to talk. I look forward to catching up with you again in late August around the Jackson Hole symposium. Michael Gapen: Great speaking with you, Matt. Thanks for having me on. Matthew Hornbach: And thanks for listening. If you enjoy Thoughts on the Market, please leave us a review wherever you listen. And share the podcast with a friend or colleague today.

Claims Vinicius Junior Set to STAY at Real Madrid, Arsenal Concerns & Alternatives ft Elliot from Arsenal VisionFresh reports claim Vinícius Júnior is set to stay at Real Madrid, but what does that mean for Arsenal's transfer plans? Tom Canton is joined by Elliot from Arsenal Vision to discuss the latest claims, the concerns surrounding the Gunners' pursuit, and the alternative options available this summer.In this special episode, Tom and Elliot analyse the credibility of the latest reports from Spain, whether Arsenal ever had a realistic chance of signing Vinícius Júnior, and who Andrea Berta and Mikel Arteta could turn to if the Brazilian remains at the Bernabéu.With the transfer window entering a crucial phase, the pair also debate the profiles Arsenal should prioritise and whether another marquee attacking signing is still achievable.

Most landlords aren't wealthy real estate tycoons. In fact, 42% own just one rental unit—and only 35% say they're consistently profitable. So why are so many landlords reconsidering rental properties? In this episode, we break down:

Auckland Transport and Fulton Hogan will soon be trialling a tree-based roading product that promises to make roads more resilient. The material has been developed by Futurity. Its CEO Jacob Kohn spoke to Ingrid Hipkiss.

In this episode of Critical Thinking, Teena Jilka is joined by David Scopelliti and Karl Heckenberg, President and Managing Partner at Constellation Wealth Capital, to explore how wealth managers are evolving their alternatives playbooks in response to macro shifts, changing client expectations, and the continued retailization of private markets. The conversation looks at how some firms are adapting their offerings, where scaling pressures are emerging, and what the growth of private markets could mean for the future of wealth management. Capital at Risk. This content was recorded in July 2026. The views expressed are those of the speaker(s). They are current as of the date of recording and subject to change without notice. Podcast guests may be from firms that Marsh Investments evaluates or rates. Podcast guests may have commercial relationships with Marsh Investments. Notwithstanding any separate relationship between Marsh Investments and a guest, no guest receives direct or indirect compensation for their participation in the podcast. For Marsh Investments's conflict of interest disclosures, see Conflicts of Interest. None of the material presented in this podcast is intended as a recommendation or endorsement of any particular investment manager or investment. This is provided for informational and educational purposes only. This does not constitute a recommendation or an offer to purchase or sell any securities. This does not contain investment, financial, legal, tax or any other advice and should not be relied upon for this purpose. The discussion is not tailored to your particular personal and/or financial position. No investment decision should be made based on this information. Certain information may constitute forward-looking statements though there is no guarantee that these results will be achieved. Past performance of any asset class or security is not a reliable indicator of future results. Diversification does not guarantee a profit or protect against a loss. There are substantial risks associated with investments classified as alternative investments. Investors considering alternatives should have the ability, investing sophistication and experience to bear the risks associated with such investments.  Marsh Investments makes no representations or warranties as to the accuracy or completeness of statements or information contained herein and takes no responsibility or liability (including for indirect, consequential, or incidental damages) for any error, omission or inaccuracy. This material should not be copied, distributed, published or reproduced in whole or in part without written permission. A transcript may be provided for your convenience. Marsh Investments is not responsible for any errors in the transcript. © 2026 Marsh.  All rights reserved. Important noticesPodcast guests may be from firms that Mercer Investments evaluates or rates. In addition, podcast guests may have commercial relationships with Mercer Investments. Notwithstanding any separate relationship between Mercer Investments and a guest, no guest receives direct or indirect compensation for their participation in the podcast. None of the material presented in this podcast is intended as a recommendation or endorsement of any particular investment manager or investment.

Our CIO and Chief U.S. Equity Strategist Mike Wilson explains why he thinks the bull market has entered a new phase, with more focus on quality.Read more insights from Morgan Stanley.----- Transcript -----Mike Wilson: Welcome to Thoughts on the Market. I'm Mike Wilson, Morgan Stanley's CIO and Chief U.S. Equity Strategist. Today on the podcast I'll be discussing the transition from early- to mid-cycle and what that means for your portfolio.It's Monday, July 27th at 11:30 am in New York. So, let's get after it.Our broadening call for the market has been about moving beyond the narrow leadership of the mega-cap winners and into more economically sensitive areas. That made sense in the context of our rolling recovery thesis, a period when revenue growth returns to lean cost structures, and operating leverage emerges across many sectors of the economy.But now, I think that early-cycle phase of the rolling recovery is ending, and the market is starting to rotate toward quality. That's not bearish, but it is different and can affect portfolios at the stock level. As the cycle matures, investors stop rewarding low quality beta and start focusing more on free cash flow, balance sheet strength, margins, and earnings stability. The market is not abandoning the recovery. It is becoming more selective about the best way to own it. This setup reminds me of early-to-mid 2021. After the initial post-COVID rebound, leadership shifted away from lower-quality and more speculative areas and toward higher-quality companies. The S&P 500 kept rising, but the leadership changed. I think we're seeing something similar today. The S&P itself is already a quality-heavy benchmark, with high-quality cohorts representing roughly 42 percent of the index versus about 28 percent for low quality. That should help keep the index resilient, even as the market continues to digest this transition. Could we still see near-term volatility? Absolutely. If the war escalates further or the Fed surprises us with a rate hike this week, the market can continue to correct. I continue to think 7000 on the S&P 500 is important support if investors remain uneasy about the Fed transition or the geopolitical backdrop. However, the bigger message is that leadership is changing, not that the bull market is ending.One of the most important drivers of this shift is AI adoption. Earlier in the cycle, margin expansion was about classic operating leverage: sales recovering faster than costs. From here, margin expansion will depend more on companies using AI effectively, running leaner, and turning productivity into revenue growth as well. This is why quality matters. Companies with strong pricing power, strong balance sheets, or the ability to translate AI adoption into real growth are likely to be rewarded disproportionately.Companies where AI is material to the investment thesis and pricing power is neutral to strong are seeing forward net margin expectations improve nearly 400 basis points above the median stock. Our transcript work also shows that roughly 25 percent of S&P 500 companies cited measurable benefits from AI adoption in the second quarter, up from 14 percent a year ago. That's operating leverage with a new engine. This also feeds into the AI leadership rotation. I still think semis are likely to underperform hyperscalers from here, even if both can be under pressure during the next leg of consolidation. Semis are a classic early-cycle group, and they've already seen a peak rate of change in earnings revisions. The hyperscalers, by contrast, have high quality core businesses, exposure to the agentic application layer, and an underappreciated ability to take costs out through AI-driven efficiencies. In terms of the overall S&P 500, the two variables I'm watching most closely are interest rates and oil. The bond market is pricing a meaningful probability of a Fed hike, but my base case remains that the Fed stays on hold. A hike would be a hawkish surprise and a risky maneuver, but I think even that would delay rather than derail a positive finish to 2026 with earnings growth remaining strong. Oil is the other wildcard. A sustained rise in oil is not priced into equities, and just another reason to move one's portfolio up the quality ladder.Bottom line, the broadening is not over, but it is changing shape and leadership. We're moving from early-cycle beta toward mid-cycle quality as the market seeks not only growth, but companies that can convert that growth into durable free cash flow and margin expansion. The recent elevation of quality factors has been evolving for the past month and now it's time to fully embrace it. Thanks for tuning in; I hope you found it informative and useful. Let us know what you think by leaving us a review. And if you find Thoughts on the Market worthwhile, tell a friend or colleague to try it out!

Is your dog's harness helping them move naturally—or restricting their movement without you even realising? After spending the day meeting hundreds of dogs at the Wyre Waggle dog event, I noticed one thing that almost every owner had in common: their dog's harness. In this episode of Golden Tails and Trails, I explain: Why harness design matters for your dog's comfort and long-term health The difference between Y-shaped harnesses and front-clip no-pull harnesses Whether no-pull harnesses are the best solution for dogs that pull Why shoulder freedom is so important for natural movement How to tell if your dog's harness fits correctly Why I recommend Non-stop Dogwear harnesses for walking, hiking and Canicross Whether you're looking for the best dog harness, advice on dog harness fitting, or you're simply wondering if your current harness is right for your dog, this episode will help you make an informed choice.

Looking at clues from the past, our Global Head of Fixed Income Research Andrew Sheets examines how the recurring themes – from deregulation to volatility – are shaping markets and why every cycle still takes its own path.Read more insights from Morgan Stanley.----- Transcript -----Andrew Sheets: Welcome to Thoughts on the Market. I'm Andrew Sheets, Global Head of Fixed Income Research at Morgan Stanley. Today, what can Odysseus teach us about investing? It's Friday, July 24th at 2pm in London.Like many of you, this week I saw The Odyssey. The enduring appeal of this story more than 2,700 years after it was composed is a reminder that some themes are universal. Pride, resourcefulness, determination, self-control, or the lack thereof, mattered to both an ancient Greek dinner party and resonate with anybody investing today.But drawing lessons from the past is also tricky. We do not have that much financial history, and markets contain too many variables for the same combination to align twice. Some judgment, art, and dare we say storytelling is always involved in deciding which historical periods best describe the present. Those disclaimers aside, we've argued in our year ahead outlook that 1997 to 1998 and 2005 to 2006 are some of the most useful templates for the current backdrop.That remains our view. They suggest a cycle that has further to run, equities outperforming credit, and a preference to own volatility. Both of these periods were defined by a sharp rise in corporate activity. That is certainly what we're seeing today.We forecast U.S. capital expenditure to rise 23 percent in 2026, and 26 percent in 2027. AI is the biggest driver of this spending but build-outs in energy infrastructure are also playing a role. And increased corporate CapEx is certainly a global story, especially in Asia.Then there's M&A, which also rose significantly in these two past historical periods. As recently as early 2024, global M&A volumes were unusually depressed, some of the lowest levels in over 30 years, adjusted for economic size. But that's no longer the case. And more recently, M&A is currently running up 64 percent relative to a year ago.Important current macroeconomic data also looks somewhat similar to these past two periods. The current levels of U.S. core PCE inflation, the unemployment rate, and the 10-year yield are pretty close to the averages seen in 1997, 1998, 2005, and 2006.And the U.S. 2s10s yield curve, well, it broadly flattened then, and it has broadly been flattening today. A third similarity, maybe less obvious but no less important, is deregulation. Both 1997 and 1998 and 2005 to 2006 saw significant financial deregulation. And we're seeing that again now. From the Basel Endgame to NAIC risk weights to Solvency II changes to savings reforms in Europe, Korea, and elsewhere, the current trend appears to be on a firmly deregulatory path.Even more simply, 1997 and 1998 and 2005 to 2006 provide interesting narrative bookends to two ways that I often hear the current environment being described. The late '90s? Well, that was defined by rising excitement around a transformational new technology – then the internet – and the prospect of a more productive future. Sound familiar? And the mid-2000s? Well, that was defined by a very unequal economy and rising consumer stress – but growth that was still supported by a seemingly inexhaustible investment demand from a rising market force. Then that force was emerging markets. Today, it's AI. Again, somewhat familiar. If these periods serve as a guide, the cycle probably has further to run, and corporate aggression should favor equities over credit.But if we learn anything from the trials of Odysseus, the journey can throw up plenty of surprises along the way. Thank you, as always, for your time. If you find Thoughts on the Market useful, let us know by leaving a review wherever you listen. And also tell a friend or colleague about us today.

Do you continue to enjoy shopping even though you've reached a place in your life where you need almost nothing? The dopamine rush from acquiring something new can keep us hooked on the hunt even as we labor to manage the stuff we already own. In episode #311 of The Clutter Fairy Weekly, Gayle Goddard, professional organizer and owner of The Clutter Fairy in Houston, Texas, explores why many of us struggle to break the retail-therapy habit and suggests alternative outlets to scratch the shopping itch.Show notes: https://cfhou.com/tcfw311Mentioned in this episode: The Diderot EffectThe Clutter Fairy Weekly is a live webcast and podcast designed to help you clear your clutter and make space in your home and your life for more of what you love. We meet Tuesdays at noon (U.S. Central Time) to answer your decluttering questions and to share organizing tools and techniques, success stories and “ah-hah!” moments, seasonal suggestions, and timeless tips.To participate live in our weekly webcast, join our Meetup group, follow us on Facebook, or subscribe to our mailing list. You can also watch the videos of our webcast on YouTube.Support the show

John Scardina has worked in multiple fields, including as a teacher, and as a psychologist, but his passion for decades has been around AVP - the Alternatives to Violence Project, Men's work, and the work of the Friends Peace Teams., where John is co-clerk of Peacebuilding en las Americas.

Despite growing political resistance, investment in data centers isn't slowing. Ariana Salvatore explains why supply constraints may actually accelerate AI capital spending.Read more insights from Morgan Stanley.----- Transcript -----Ariana Salvatore: Welcome to Thoughts on the Market. I'm Ariana Salvatore, Head of Public Policy Research at Morgan Stanley. Today, I'll be talking about why we still expect robust AI capital spending in spite of some rising political pushback. It's Thursday, July 23rd at 10am in New York. It should be no surprise to our listeners that data center pushback, a topic that we've been following for some time, has been growing louder. But in 2026, it's accelerated meaningfully. Data we track suggests that an estimated $156 billion of projects were canceled or delayed in 2025. This year alone, in just the first quarter, we've seen almost that same exact number. The opposition is coming from several directions.Communities are raising concerns about rising electricity bills, environmental pressures related to water use, and the local quality of life effects of large-scale construction. But it's also coming from lawmakers across the aisle. State legislatures with both Democratic and Republican lawmakers have been advancing this type of policy.At the same time, we're forecasting a little less than a trillion dollars of AI CapEx this year alone, and we think it's an increasingly important component of the macroeconomic growth outlook.So how do we square that circle? First, and most importantly, we think this is primarily a supply-side risk rather than a demand-side one. We don't expect the backlash to materially reduce projections for compute demand. Instead, it could widen the gap between that demand and the industry's ability to bring new capacity online through things like permitting delays, grid interconnection constraints, and local opposition.Despite that more difficult political and infrastructure environment, our internet team, led by Brian Nowak, remain constructive on AI capital spending. Our broader thematic estimate for total AI CapEX, including the neo cloud providers, stands at approximately $870 billion in 2026, and we actually see risks skewed even higher from here.So why is spending still increasing as the environment for building data centers becomes more challenging? There are a few reasons.First, the AI ecosystem remains compute constrained. The urgency to invest has not diminished. In fact, growing social opposition and political uncertainty ahead of the 2028 presidential election may actually be encouraging hyperscalers to begin projects earlier, which our credit strategists outline as a potential scenario here. A pull forward of demand before the political and execution risk grows even louder.Second, the timelines associated with data center construction have become longer. From groundbreaking to operational launch, projects can now take as long as three years or even more. That gives companies a strong incentive to begin developing future capacity well in advance, even if the political pushback is strong.And third, the underlying demand signal is not slowing. Global weekly token usage, which our analysts view as an important proxy for compute demand, has increased since early January. It's rising and continues to do so throughout the course of this year. So, in short, the pushback is real, but it appears to be reshaping the build-out rather than stopping it. That's why our base case is for a conditional build-out. We think projects are likely to face greater scrutiny, we think projects are likely to face greater scrutiny, longer delays, and more requirements related to environmental impact and community benefits.But ultimately, we still think they cross the finish line. That could mean higher costs, it could mean longer development timelines, and greater geographic dispersion of projects away from the largest existing data center markets. It could also accelerate the shift toward on-site and behind-the-meter power generation. Fuel cells, turbines, and energy storage are becoming increasingly important as operators look for ways to reduce their reliance on these lengthy grid interconnection processes, and that can benefit companies that are able to bring those solutions to the forefront. Meanwhile, our U.S. equity strategy team maintains a relative preference for hyperscalers over semiconductors over the next several months. As you heard our CIO and Chief Equity Strategist Mike Wilson explain yesterday, that's because the team sees the hyperscalers as early in discounting the market's renewed focus on CapEx discipline. Putting it all together, we see the growing pushback against data centers as representing a genuine risk to the pace, cost, and geography of the AI infrastructure build-out. But again, this isn't just a demand story, it's a supply story. And somewhat paradoxically, the scarcity and the uncertainty created by these constraints could actually end up pulling capital spend forward rather than reducing it.Thanks for listening. If you enjoy the show, please leave us a review wherever you listen and share thoughts on the market with a friend or colleague today.

Cow, almond, oat, soy, coconut…even ordering a coffee can leave you spinning with choices. Is one type of milk really better than the other? How do you know which one is right for your health and lifestyle? On this episode, Chuck Gaidica is joined by Registered Dietitian Shanthi Appelö to explain milk alternatives and whether they are healthier than cow's milk. And what should we really be drinking?In this episode of A Healthier Michigan Podcast, we explore:Is cow milk bad for us?Are milk alternatives “healthy?”What are the nutrition facts on these alternatives?How can we read labels to make the healthiest choices?

Our CIO and Chief U.S. Equity Strategist Mike Wilson explains why market leadership is rotating beyond semiconductors and where investors may find opportunities despite near-term volatility.Read more insights from Morgan Stanley.----- Transcript ----- Welcome to Thoughts on the Market. I'm Mike Wilson, Morgan Stanley's CIO and Chief U.S. Equity Strategist. Today on the podcast, I will explain why the recent volatility in markets makes sense. It's Wednesday, July 22nd at 2 p.m. in New York. So, let's get after it. The broadening trade is back and it's gaining steam. We established this thesis last week. Importantly, there's a key reason this broadening trade is likely to continue. One of the more crowded areas of the market—semiconductors—has lost its momentum. As I've also noted before, this is not a call that the AI cycle is over. However, stocks do trade on the rate of change in growth, and expectations often reach a place where they can no longer surprise on the upside. Earnings revisions tend to get too stretched, and capital starts looking for the next place where fundamentals are improving but positioning is still light. This is no different than what happened to other leadership groups earlier this year in areas like precious metals and energy stocks. Remember, I first made the call for market broadening in our November outlook. My view is that the economy had moved into a new expansion after the rolling recession ended in April 2025. Markets were starting to catch on before the Iran conflict interrupted that trend. Investors piled back into the AI trade—especially semis—as oil prices jumped and Fed expectations shifted more hawkish. Back in June, I noted that those earnings revisions were likely nearing their peak. Hyperscale stocks starting to lag was the first indication. Since semis ultimately depend on hyperscaler spending, that divergence usually doesn't last. It doesn't mean the buildout is ending. However, the spenders may be moving from blind enthusiasm to a more disciplined phase as a means of addressing the market's concerns about falling cash flows. We've seen this pattern before. Since ChatGPT launched, this ebbing and flowing between the hyperscaler and semiconductor stocks has happened three times. This is the fourth such adjustment, during which the hyperscaler stocks are likely to outperform the semis. Since a few weeks back, hyperscalers have outperformed semiconductors by almost 30 percent. Another consequence is that the major averages may trade lower in the near term. When a crowded, large-cap leadership group is unwinding, the index can look choppy even as the market underneath is improving. That's the key distinction. The index may struggle, but the broadening can still work. Over the next month, don't be surprised if the S&P 500 trades as low as 7000 before it makes a move to 8000 by year-end. Use this weakness to add to equity positions. I continue to like Consumer Discretionary Goods, Transports, and Biotech. Discretionary Goods remains one of the cleaner expressions of the broadening thesis. Wallet share is shifting from services back toward goods, goods pricing is improving, and earnings revisions are strengthening. Transports continue to show improving revisions as volumes stabilize and pricing gets better. Biotech is one of the more attractive lower-rate beneficiaries, especially if policy expectations are too hawkish, as I think they are. On that last point, the Fed backdrop matters. The June FOMC meeting told us forward guidance is going to be limited, and the inflation path is going to drive policy. The softer-than-expected inflation data last week should allow the Fed to stay on hold rather than hiking. It may take the bond market a few more data points to fully re-price this view. Bottom line, the broadening is in gear, but it may not feel comfortable because it's happening while the crowded momentum trade unwinds, a process that is likely unfinished. That's usually how rotations in market leadership work. Like spring, it's often: in like a lion and out like a lamb. Thanks for tuning in. I hope you found it informative and useful. Let us know what you think by leaving us a review. And if you find Thoughts on the Market worthwhile, tell a friend or colleague to try it out!

Running your dev process off your main machine doesn't have to mean the cloud. Scott and Wes break down how to host projects on a box you can reach from any device, close your laptop mid-build, and keep long-running processes alive. They cover Scott's stack (Mosh, Caddy, Tailscale, Zed, and terminal AI agents like Claude Code), the annoyances of mobile TUIs, and whether it beats staying local. Show Notes 00:00 Intro 00:36 Welcome to Syntax! 01:56 Benefits of Remote Development 07:50 Process for Remote Development 09:34 Tech Stack for Remote Development Mosh instead of SSH Caddy for domains and routing Tailscale for local network Zed editor Herdr for terminal sessions Opencode or ClaudeCode for AI via the term Termius for iOS AI 15:09 Tools and Alternatives for Remote Development 21:16 Exploring Workspaces and Terminal Management 30:31 Mobile Terminal Applications and Their Features 32:30 Navigating the Terminal Landscape: Tools and Alter 35:22 Headless Browsers and Authentication Challenges 38:35 Work Trees and Their Use Cases 44:21 Cloud Hosting and Local Development Solutions 45:28 Sick Picks & Shameless Plugs. Sick Picks Scott: Elgato Stream Deck Pedal Wes: Packing Cubes Hit us up on Socials! Syntax: X Instagram Tiktok LinkedIn Threads Wes: X Instagram Tiktok LinkedIn Threads Scott: X Instagram Tiktok LinkedIn Threads Randy: X Instagram YouTube Threads

In this episode of The Uncut with Shannon and Lynds they are recovering from a whirlwind weekend of Bloomfest, workshops, and meeting so many incredible members of the Dirt on Flowers community. They share the highs (and a few headaches) of hosting events, answer your flower farming questions, and introduce a new segment featuring the best—and most unnecessary—things they find online.Be in the know for DirtCon 2027If you want to dive in deeper with us each month, join our membership group - The Dirt on Flowers Insiders! So if you love the podcast and want to dig deeper with us, head over to www.thedirtonflowers.com/membership to join now.Did you love today's episode?Take a screenshot and share it in your IG stories. Don't forget to tag @dirtonflowers!Leave us a rating and review on Apple Podcasts!Head to www.thedirtonflowers.com to sign up for our newsletter and become a Dirt on Flowers insider!Want to learn more about your hosts? Follow us on Instagram!Lyndsay @wildroot_flowercoShannon @bloomhillfarm

When most people think of negotiation, they picture big, high-stakes moments: haggling over the price of a house, negotiating a starting salary, or hammering out the terms of a business deal. But negotiation is also something we do every day. It's working out who's taking on which chores with your spouse, convincing a coworker to help on a project, or even deciding where to go for dinner with friends. The better you understand negotiation — which is really about influencing other people's decisions — the better you'll be at navigating conflicts and opportunities both big and small.My guest has spent decades studying the art and science of wielding that influence. John Richardson teaches negotiation at MIT's Sloan School of Management and is the co-author of Never Settle. Today on the show, John shares what he learned from negotiation legends like Roger Fisher, co-author of Getting to Yes, and FBI hostage negotiator Chris Voss. He unpacks the skills of master negotiators, including how to build reciprocity, uncover what people actually want, and keep your emotions from hijacking your judgment. We also get into the part of negotiation that makes people the most uncomfortable: the back-and-forth over hard numbers like price and salary and how to handle those conversations with greater confidence and better results.Resources Related to the PodcastAoM Podcast #234: Haggling and Deal Making Advice From a FBI Hostage Negotiator (With Chris Voss)AoM Podcast #559: How to Handle Difficult Conversations (With Sheila Heen)Influence: The Essential Guide to the Psychology of Influence and Persuasion in Everyday Life by Robert B. CialdiniAoM Article: How Labeling Your Emotions Can Help You Take ControlGetting to Yes: Negotiating Agreement Without Giving In by Roger FisherStart with NO…The Negotiating Tools that the Pros Don't Want You to Know by Jim CampConnect With John RichardsonNever Settle websiteJohn's faculty page0:00 Everyday Negotiation & Meet John Richardson2:18 John's Path Into Negotiation9:50 Why People Fear Negotiation12:34 Roger Fisher's Philosophy (Getting to Yes)17:46 Chris Voss & Hostage Negotiation Tactics22:54 Give Them a Sandwich (Reciprocity)30:06 Using Someone's Name33:59 Managing Your Emotions39:00 Figuring Out What Everyone Wants46:29 Distributive Negotiation & Anchoring54:52 Alternatives, Saying No & ClosingSee Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info.

Stay informed on current events, visit www.NaturalNews.com  - Trump Administration's Potential Ban on China-Based AI Models (0:11) - Anthropic's Use of Pirated Books and Fair Use Ruling (1:09) - Authors' Reactions and Settlement Details (4:38) - Fair Use and Transformative Use in AI Models (9:35) - Challenges and Opportunities in AI Model Development (20:27) - Impact of AI Model Bans on U.S. Corporations (31:46) - Resistance to AI Model Bans and Legal Challenges (34:37) - Global Competition and AI Model Development (37:33) - Potential Solutions and Alternatives to AI Model Bans (41:27) - Final Thoughts and Call to Action (41:48) - Implications of the Genius Act and Tether (59:17) - Triffin's Dilemma and Manufacturing Reshoring (1:22:42) - Impact of AI on the Financial Industry (1:25:32) - Silver Market Dynamics (1:30:11) - Breaking News: AI Cooperation Agreement (1:41:11) - Silver's Industrial Demand and Military Applications (1:46:08) - After-Party Discussion: Financial Strategies and Decentralization (1:57:17) Watch more independent videos at http://www.brighteon.com/channel/hrreport  ▶️ Support our mission by shopping at the Health Ranger Store - https://www.healthrangerstore.com ▶️ Check out exclusive deals and special offers at https://rangerdeals.com ▶️ Sign up for our newsletter to stay informed: https://www.naturalnews.com/Readerregistration.html Watch more exclusive videos here:

AI investment is reshaping the global outlook. In part one of this economic roundtable, our panel explores where the momentum is strongest — and where investment still needs to catch up.Read more insights from Morgan Stanley.----- Transcript -----Seth Carpenter: Welcome to Thoughts on the Market. I'm Seth Carpenter, Morgan Stanley's Global Chief Economist and Head of Macro Research. Michael Gapen: And I'm Michael Gapen, Chief U.S. Economist. Chetan Ahya: And I'm Chetan Ahya, Chief Asia Economist. Jens Eisenschmidt: And I'm Jens Eisenschmidt, Chief Europe Economist. Seth Carpenter: And today is going to be our third quarter economic roundtable taking a wide-angle view on the global economy and all the key forces shaping our outlook and the economy. Seth Carpenter: It's Monday, July 20th at 10am in New York Jens Eisenschmidt: And 4pm in Frankfurt. Chetan Ahya: And 10pm in Hong Kong. Seth Carpenter: Since our last roundtable in April, the global economy has continued to face all sorts of shocks, a mix of resilience and friction. Inflation pressures have not disappeared. Energy and geopolitical risks have come up, they've receded, they've come back, they've receded all over the place But there is one underlying source of momentum that we have to talk about. And that is the AI-driven CapEx cycle. Michael, let me turn to you because the U.S. is a real focal point of all of this. Tell me a little bit about where Morgan Stanley Research is thinking about hyperscaler CapEx. How big it is? And then for you, when you think about the U.S. economy, just how big of a driver is it for what we're looking for in the U.S.? Michael Gapen: Yeah, we continue to revise higher our estimates for hyperscaler and AI-related CapEx in the U.S. economy. We were thinking a little over a trillion for 2027. Now we're more like 1.2 - 1.3 trillion, maybe as high as 1.4 trillion in 2028. So, the level of hyperscaler spending continues to keep rising. The growth rate and its effect on the economy is likely to slow. But as you noted, it's still a major driver of momentum in the U.S. You would look at that headline number and think, "Wow, that's, you know, 3.5 percent or so of GDP. Must be a massive source of momentum for GDP growth." But roughly about 60 percent of that hyperscaler CapEx spending goes to items like computers and peripherals, equipment spending categories that have a very, very high import content. We still get a significant number that AI CapEx is probably contributing around 40 basis points to growth this year. Be a similar-sized amount perhaps next year.So, for an economy that's growing somewhere a little bit above 2 percent right now, maybe closer to 2.5 percent next year, that's a non-trivial amount. We just have to remember it's fueling growth around the world, just not here in the U.S. Seth Carpenter: Yeah, that's a really great point because I have seen some estimates where people say, "Well, if it wasn't for AI CapEx, the U.S. economy wouldn't have grown at all." And that's clearly wrong, as you point out. But U.S. imports are necessarily exports from somewhere else. And, Chetan, if I can pull you into the story then, U.S. firms are buying a lot of AI-related equipment from Asia. What does that mean in your part of the world? And in particular, I'm thinking about Korea, Taiwan, and maybe some other economies in Asia. What's the critical story there? Chetan Ahya: So, for Asia, this has definitely been a big boon. If you look at Asia's exports, they have been booming, and particularly for the ones which are exporting semiconductors to the U.S. They are seeing semiconductor exports growing by 90 percent. And when we go back in time and compare Asia's semiconductor exports, it's very tightly linked to the U.S. IT CapEx. And it's not surprising when Mike Gapen mentions about the imports going up. It's on the other side, helping Asia's exports quite meaningfully. So, so far, we've seen this benefiting Korea, number one, Taiwan, and also Japan. All these three are big beneficiaries of U.S. AI CapEx. And of course, also not just U.S., but the other countries which are doing any little amount of CapEx on AI front, that's also helping these three economies in the region. Seth Carpenter: You've been doing a lot of work, Chetan, recently about how much the story can actually broaden out, that the AI CapEx cycle has really contributed to Asian growth, but it doesn't tell the whole story that there's a broader industrial cycle. Can you give us a little bit of a flavor of that story? Chetan Ahya: That's right, Seth. So, we are actually highlighting that there is a CapEx and industrial super cycle that is underway in Asia, and there are four components to this story. AI and semiconductors CapEx, which we just briefly discussed. Number two is energy. Number three is defense. And number four is industrial supply chain onshoring related CapEx. I know that everybody still thinks that AI is the most important part of this story, but when I give you the numbers and the breakup of that... So, for Asia, AI and semiconductor companies CapEx is about $380 billion in 2026, but energy CapEx is going to be $900 billion. So, this is a far broader story than just AI for Asia. Seth Carpenter: Mike, let me come back to you and to the U.S. then. So, isn't the growth story also broader than that as well domestically? So, what's going on in terms of consumer spending in the U.S., and is there a broader CapEx story in the U.S. as well? Michael Gapen: I would say, is it broader than that? I think maybe you could argue also it's narrower than that. Here's what I mean by that. As I noted AI CapEx contributing about 40 basis points to growth, it's certainly underpinning equity valuations in the U.S. and underpinning strong wealth creation. So about [$]180 trillion in household net worth in the U.S. About [$]55 trillion of that has been created in just the last five years alone, underpinned in part by AI-related spending and optimism about future profitability. That's really supported spending by upper income households. So, I think it's both investment-led and consumer-led, but they're inextricably linked. So, the positive for the U.S. is that it's providing a lot of resilience. The negative component of that is it feels like momentum in the U.S. is narrowly driven. Jens Eisenschmidt: Let me maybe jump in here from Europe to provide some perspective from the other side. So, I think it's a fair summary to say that AI investment is not yet, or maybe will never get there, dominating the business cycle. What we do have instead is an unusually consumption-driven expansion. That has to do not so much with an extraordinary strength of consumption, but more of an absence of other factors. Now, prospectively looking forward, we think the fiscal expansion might help lifting us a little bit. And then it is really the debate how much AI investment can arrive in Europe. For now, I would say it's probably a factor of 20 that separates European investment plans from the plans we know that exist for the U.S. Seth Carpenter: Let me stick with you then in Europe because you brought up fiscal as one of the factors going on here and where it's going… You and your team recently wrote a blue paper talking about what the outlook is for fiscal policy in Europe, and in particular, we had this era of cheap debt. Interest rates in Europe were low, at times negative. It was super easy to borrow. Not as much happened then. There's been a shift towards more fiscal expansion at the same time that interest rates have gone up, causing the cost of debt to go up. Feels like there's a lot of push and pull going on. Can you unpack for us a little bit what was in that paper you wrote, what's going on with fiscal policy in Europe, especially in Germany? And what it might mean over time for Euro-area countries? Jens Eisenschmidt: Yeah, so I think fiscal policy in Europe really is looking at a regime shift. So, there is this very famous, probably in the U.S. even more so than here, notion that the Europeans have built a very comfortable welfare state. And that's true if you just look at the accounting from a GDP perspective. It's close to 50 percent that, you know, budgets are actually extended on welfare spending. And now you have three structural headwinds for any type of fiscal spend. So, one is aging related costs, you mentioned it already. Defense spending has to increase significantly, and the interest rate costs will also rise significantly. All of that means there will be very hard choices to be made. The one thing that actually could help here is growth. Growth is the one thing that's, for now at least, missing, at least in comparison to the U.S. It's probably half what we expect, what the U.S. colleagues think is in stake for the U.S., and a quarter or even less than that of what is there in Asia. So, growth is really the key, the solution, the answer to everything in Europe. More growth than just 1 percent, which is potential, would help solving that fiscal challenge. For now, it looks really, really like an uphill battle. Returning to Germany, it's the one country that has a very good fiscal starting position. They are pushing a lot but they're to some extent pushing a string. So, even with the German huge fiscal package, given that private sector investments so far are absent, doesn't get us a ton of growth. Seth Carpenter: Chetan, maybe I'll come back to you before we close part one of this roundtable. The AI CapEx cycle started with AI, broadened out further. How long do you expect this cycle to last? How durable can it be? And how might it compare to previous CapEx cycles? Chetan Ahya: Yeah, Seth. So, we think this will be a multi-year CapEx cycle. And when we are thinking about the duration of the cycle, there are two things that I would keep in mind. Number one is that most of the drivers that we just discussed – the CapEx on AI, energy, defense, and industrial supply chain onshoring related investments – these are all structural drivers. So, we think these are going to continue for some more time. At this point of time, we have the visibility for this cycle to be lasting for three-four more years. And then the second point of framework that I would keep in mind is that the corporate balance sheets are in a pretty good shape. So, when you are thinking about the leverage in the private sector, you can look at both households and the corporate sector balance sheet. But since the cycle is CapEx driven, we are looking at the corporate balance sheets, and they are in a pretty good shape. Across the region, corporate debt to GDP is below where it was in 2019. Seth Carpenter: Mike, let me, let me wrap up quickly with you. We talked about AI, AI CapEx. For now, that's a very strong demand story. When are we going to see a supply side of things coming from AI? Are you already seeing a big contribution to GDP and growth from productivity coming from AI? Michael Gapen: We are, but not outside of the high-tech sectors, and we're seeing limited, what I'll call labor market restructuring of tasks and occupations beyond high AI-exposed occupations. So right now, everything is still very isolated I think maybe as we get into 2029 and beyond, so as Chetan says, we probably have a three to four-year super cycle here around a build-out phase. Then we might see some of that broader-based diffusion to other non-tech sectors in the economy. Seth Carpenter: All right, Jens, for you, let's wrap up here. So, what is the state of play for the build-out in the CapEx cycle for AI in Europe? Jens Eisenschmidt: Yeah, it's very early stages. As I said before, we really; we connected to all the industry experts or analysts covering the sector and the total plans are a factor of 20 below what we see in the U.S. by just the seven hyperscalers. So, I would say very fragmented, very small, in general. Not only AI. I think the one thing I would be looking at for any type of sign of revival, sign of growth is investment. The second would be investment. And you can guess what the third would be… Investments in the core countries. That's really what we need to see, and we haven't seen much in Germany or France on this front. Seth Carpenter:That's a great place for us to stop today. We talked about the real side of the economy, AI, CapEx, trade. Tomorrow we're going to come back, and we'll talk about how that growth outlook affects inflation. And once you start talking about growth and inflation, you got to talk about policy, and that's where we'll be tomorrow. Mike, Jens, and Chetan, thank you for joining today. And for the listeners, thank you for listening. Be sure to tune in tomorrow for Part 2 of our conversation. And I have to say, if you enjoy this show, please leave us a review wherever you listen, and share Thoughts on the Market with a friend or a colleague today.

In the second part of our economic roundtable, Michael Gapen, Jens Eisenschmidt and Chetan Ahya join Seth Carpenter to discuss how central banks are balancing sticky inflation, resilient growth and regional policy trade-offs.Read more insights from Morgan Stanley.----- Transcript -----Seth Carpenter: Welcome to Thoughts on the Market. I'm Seth Carpenter, Morgan Stanley's Global Chief Economist and Head of Macro Research. And once again today, I am joined by Morgan Stanley's chief regional economists: Michael Gapen, the Chief U.S. Economist, Jens Eisenschmidt, our Chief Europe Economist, and on the other side of the world, Chetna Ahya, our Chief Asia Economist. Yesterday, we talked about what's supporting growth around the world, especially AI spending in the U.S. and some government spending in Europe, and Asia's role in making all of this happen. Today, we're going to try to dig deeper and go into policy. It's Tuesday, July 21st at 10 am in New York Jens Eisenschmidt: And 4pm in Frankfurt. Chetan Ahya: And 10pm in Hong Kong. Seth Carpenter: Since the last time we did this in mid-April, I will say the debate around central banks has probably become more complicated. Global growth has held up, probably better than many people expected. And inflation, which picked up a lot, started to recede. But it has not gone away. And some of the forces helping to shape the economy, the AI spending, government spending, that possible upswing in manufacturing, that could keep demand strong, and it might keep pushing inflation higher. So, the question today is, if growth remains resilient, how much room really do central banks have to navigate? Mike, let me start with you because your call for the Fed here in the U.S. is out of consensus, or at least at odds with where the market is pricing things. We talked about the demand going from AI. You pointed out that imports are actually limiting how much domestic demand there is. So, what is the underlying story for inflation in the U.S.? And what does it mean for the Fed? Michael Gapen: So, our view is that inflation will come down in the U.S. So, we think disinflation will be driven by some payback in energy prices. Some payback from tariffs, which have pushed up goods prices over the last year. And some further diminishment in housing-related inflation, namely shelter. So, we think on a broad-based perspective, inflation has already peaked and will start moving lower. And we think we've seen evidence of this in recent inflation prints. A risk to that, though, is from the demand side of the economy and AI-related inflation in two parts. One, higher software prices, chipflation. So, the pass-through of some of the AI pricing components. Fortunately, here, they're about less than 1 percent of the consumer basket. So, we don't think that there's a great risk, a strong risk, a high risk of AI-related inflation in the consumer bundle. I think the real risk is that maybe we underestimate broad-based demand, animal spirits. And so, you might just see a broad-based increase in inflation from stronger demand. That'll be a little bit harder to see in real times. But our expectation is that inflation moves lower to about 3 percent, by the end of this year and closer to 2.5 percent next year. Seth Carpenter: All right. Thanks, Mike. And in fact, the most recent inflation report that we just got confirms your perspective that inflation should be coming down. And so, I guess the question then remains: What would it take for the Fed to hike this year if inflation has come down like we've seen? Michael Gapen: Well, I think that the answer there is that inflation wouldn't come down in line with our expectations. So, if the view is that energy prices, tariffs, and shelter inflation should provide plenty of offset and bring inflation down, I think the answer is you don't get payback. Explicitly, core goods prices stay elevated. Maybe we get ongoing disruptions in the Middle East that push energy prices higher and create second-round effects. So, I think inflation just lingering at elevated levels could mean the Fed gets brought in to raise rates in September or later this year. We think if they're patient enough, they'll see enough disinflation to keep them on the sidelines. But the risk is disinflation forecast is too optimistic, inflation stays firm, the Fed needs to raise rates. Seth Carpenter: All right, Jens, what about for you and the ECB? They've already raised interest rates once this year. I think you've got a forecast for them raising interest rates again in September. What could make you wrong about that forecast? What's going to make you convinced that you're right about that forecast? And is there a similar tension that the ECB is wrestling with that Mike talked about for the Fed? Jens Eisenschmidt: Yeah. I mean, starting with the last part of your question, I think no doubt, very similar tension. Just that, of course, it's less obvious. It's essentially a nuanced European version instead of the loud American version that we always stereotypically think the world looks like. So, essentially, we have here clearly not an AI boom. That, I mean, there's no question. And we have discussed that yesterday. Still, there is certainly the notion that the world demand is not really weak, and some of this will also arrive in Europe. And so, you have that tension between maybe there's more resilience than we had thought, and so inflation will not come down through to slack as much. And so, we might actually add something here in terms of monetary restrictiveness. Now, the other thing that is often forgotten, even though it's blatantly obvious, the starting point is just different. The ECB is running neutral monetary policy by all accounts. I mean, you could say 2 percent is neutral, and now they are 2.25. But, you know, there are ranges of uncertainty around any estimate. And the latest that they published runs – goes from 1.75 to 2;2.5. So basically, even if they were to increase rates to 2.5 in September, you could go with the microphone around the governing council, and you would probably find a lot of people saying, "Well, this is still a neutral policy." That's probably not the case for the U.S. So, I guess this matters here for that debate too. Seth Carpenter: All right. Yesterday we talked about lots of different things, but for Europe, we brought up fiscal policy. How do you think about fiscal policy and how it affects monetary policy? And so, I'm thinking about two channels. One, how much does the ECB care that if they keep pushing up interest rates, they're going to increase the debt service burden for countries that are already facing high debt costs? And second, is fiscal policy going to be the extra impetus for inflation that forces even more rate hikes from the ECB? Jens Eisenschmidt: I guess it depends on who you ask. Certainly, more concerned members in the governing council that would point to exactly that fiscal stimulus as a reason why interest rates have to be increased further from here. The other answer I would give is – probably for now at least, the view on fiscal policy is really model-based. You look at what type of increase in interest rate gets you essentially more fiscal restraint because there's an increase in interest rate bill and so less spending somewhere else. And that gets you basically less stimulus or less growth, I mean, very roughly speaking. I don't think it's a major concern for now. We haven't reached yet interest rates where this would start to play a role. I guess, again, Europe being fragmented as it is, with all the political risk that's around the corner. Think about the elections in France and Italy and Spain next year. That will very likely find itself expressed in spreads. And so, the higher the interest rates are, the larger the spreads could become. Seth Carpenter: So, for each of you, there's clearly a role for inflation. One of the risks we'll talk about maybe is inflation expectations and how maybe there's a big shift in what's going on with inflation. But Chetan, that brings me to you and Asia, because one economy where there unquestionably has been a fundamental shift in inflation and inflation expectation over the past several years is Japan. The Bank of Japan is on this normalization path where they're raising interest rates. Interest rates had been negative and then zero, and now they're gradually raising things up. Inflation has come back to Japan. Markets are looking at what the Bank of Japan is likely to do. Can you tell us a little bit about what our view is for the Bank of Japan this year and next? And what might make them hike interest rates faster than we think? And is there any risk that in fact they hike interest rates slower than we think? Chetan Ahya: Yeah, Seth. So, we are expecting BoJ to hike twice from here. The first rate hike is coming up in December of this year, and then another one coming up in June of next year. And then we think that, you know, the underlying inflation trend in Japan is not really that strong. So, while market pricing is for about three more rate hikes instead of two that we are building in our base case. And some of the macro investors are even talking about four more rate hikes. We think the underlying inflation trend warrants a caution and BoJ to go slowly than what the market is pricing in and what the macro investors are saying in. And the key part of our framework on thinking about Japan's inflation is that bulk of the explanation to inflation rise in Japan lies in currency moves. And secondarily, you can look at also the other drivers are more from supply side, which is higher energy prices or food prices. Whereas it's not driven so much by demand. To elaborate further on why it is not driven by demand, when you look at Japan's consumption trend, and if you index it to hundred at pre-COVID levels in September [20]19 then it's currently about 101; i.e., that it's just about 1 percent up over the last seven years. So that's a very tepid trend of consumption demand. And therefore, we don't think that BoJ needs to rush into hike in a more aggressive pace going forward. Seth Carpenter: So, there is this fundamental shift, but boy, it's not on a tear, and so the BoJ can take its time. You know, Chetan, it's hard to wrap up a conversation about the global economy without talking about China. I get the sense that there's not a lot going on with monetary policy, but we did just see a soft Q2 GDP print. So, against that backdrop, what should we be expecting in terms of policy? Is there any monetary policy coming? Or is there going to be some fiscal expansion? Or is China just sort of stuck in this lower gear? Chetan Ahya: Yeah, Seth. So, we were also surprised by the soft GDP print. But when you look into the data, actually, it was interestingly doing well on exports. And I mentioned earlier about how the global CapEx trend is helping Asia. It's definitely helping China too. But at the same time, China's domestic demand turned out to be quite weak. And particularly in the areas where we think that the policy response can be providing some help, i.e., infrastructure spend, was also very weak. And therefore, we are expecting that in the back half of the year, you will see the government taking up some fiscal expansion. Not new stimulus announcement, but whatever they had budgeted. They have enough room within that to utilize that budget and actually increase that fiscal spending towards infrastructure. We have about 2 trillion RMB worth of funds available for the government to go ahead and spend in the second half. And then lift that growth trend, which has dipped to 4.3 percent in second quarter to back to 4.6 percent in the back half of the year. Seth Carpenter: You know what? Maybe that's a great place for us to leave it. We've gone around the world again today, but this time focusing much more on policy. In the U.S., the Fed is facing this interesting situation. We think inflation is coming down. The last CPI print went in our favor. And so as a result, our forecast is that the Fed doesn't change policy at all this year. But it's going to come down to the data, and in particular, whether or not Mike and his team are right in terms of where inflation is going. In Europe, the ECB has already raised interest rates once this year. Jens and team are looking for another interest rate hike. The ECB really does seem more sensitive to inflation coming from the energy shock, but there are lots of other crosscurrents that they're paying attention to as well. And then the other major developed market central bank, the Bank of Japan, is on this normalization path. They are in the process of raising interest rates, but Chetan pointed out to us that the growth rate is such that they don't have to be in any sort of hurry, and they can take their time. So, with that, Mike, Jens, Chetan, thank you so much for helping us connect all of these dots. And to the listeners, thank you for listening. If you enjoy the show, please leave us a review wherever you listen. And share Thoughts on the Market with a friend or a colleague today.

Which Spurs sale hurt you the most? The Originals go on record — Berbatov, Waddle, Bale, Modric, Kane, Hoddle, Robbie Keane — every panellist names one they never got over. And it's the block that closes the episode on the warmest note. Before that: a considered tribute to Kevin Keegan, the first proper preview of De Zerbi's Spurs against MK Dons, and the Tynan Thompson departure that reopens the "no pathway for youth" debate. Chris Wood's Semenyo callback from the members' group lands mid-argument. The middle stretch is the substance: the Cristian Romero decision (DJ makes the "hit the reset button" case; Si argues sell-at-peak; Stu names the reputation problem in the Premier League); a panel love-in on Djed Spence that goes places most Spurs pods don't; and the two panel-on-record moments — trophy or top four (Sean Hurl's dilemma) plus a points prediction each. Warm, considered, nuanced. The Originals. #KeepItLilyWhite #OhSo33 Learn more about your ad choices. Visit podcastchoices.com/adchoices

Orit Halpern on Knowledge, Data and Democracy Shownotes Orit Halpern Prof. Dr. Orit Halpern at TU Dresden: https://tu-dresden.de/gsw/slk/germanistik/digitalcultures/die-professur/inhaber-in Orit Halpern's website: https://orithalpern.net/ Halpern, O. (2015). Beautiful data: A history of vision and reason since 1945. Duke University Press. https://www.dukeupress.edu/beautiful-data Halpern, O., & Mitchell, R. (2023). The smartness mandate. MIT Press. https://mitpress.mit.edu/9780262544511/the-smartness-mandate/  Hayek, F. A. (2013). The use of knowledge in society. In Modern understandings of liberty and property (pp. 27-38). Routledge. https://home.uchicago.edu/~vlima/courses/econ200/spring01/hayek.pdf  Bush, V. (1945). As we may think. The atlantic monthly, 176(1), 101-108. https://www.ias.ac.in/article/fulltext/reso/005/11/0094-0103  on CERN: https://home.cern/about/who-we-are/ on the Event Horizon Telescope: https://eventhorizontelescope.org/ on the IPCC: https://www.ipcc.ch/ on critiques of the Enlightenment: https://polsci.institute/modern-political-philosophy/critiques-enlightenment-modernity/ Horkheimer, M., Adorno, T. W., & Noeri, G. (2002). Dialectic of enlightenment. Stanford University Press. https://www.sup.org/books/theory-and-philosophy/dialectic-enlightenment  on Keynesianism: https://de.wikipedia.org/wiki/Keynesianismus on MAGA: https://de.wikipedia.org/wiki/Make_America_Great_Again  on the Frankfurt School: https://www.britannica.com/topic/Frankfurt-School on high modernism: https://en.wikipedia.org/wiki/High_modernism on totalitarianism according to Hannah Arendt: https://en.wikipedia.org/wiki/The_Origins_of_Totalitarianism Friedrich Hayek: https://de.wikipedia.org/wiki/Friedrich_August_von_Hayek  on strict constitutionalism/constructionism: https://en.wikipedia.org/wiki/Strict_constructionism on the Electoral College: https://www.archives.gov/electoral-college/about on Stafford Beer: https://en.wikipedia.org/wiki/Stafford_Beer https://www.kybernetik.ch/en/fs_beer.html  on post-sovereign planning: Mohammed, S. Z. (2025). Post-sovereign planning? Nature, culture and care in the new socialist calculation debate. In Creative Construction (pp. 265-278). Bristol University Press. https://bristoluniversitypressdigital.com/edcollchap/book/9781529235142/ch014.xml Latour, B. (2012). We have never been modern. Harvard university press. https://www.hup.harvard.edu/books/9780674948396  on the cultural revolution: https://en.wikipedia.org/wiki/Cultural_Revolution on the Belt and Road initiative: https://en.wikipedia.org/wiki/Belt_and_Road_Initiative on Mao Zedong: https://de.wikipedia.org/wiki/Mao_Zedong on Planetary Experiments: https://orithalpern.net/planetaryexperiments Halpern, O. (2019). The Planetary Test. Zeitschrift für Medien and Kulturforschung, Vol 10. https://static1.squarespace.com/static/5e2c7ee53de3f756cfd6cbbc/t/65a808813c02ca697d90089a/1705511045522/planetarytestarticleZMK.pdf Halpern, O. (2020). Planetary intelligence. In The cultural life of machine learning: An incursion into critical AI studies (pp. 227-256). Cham: Springer International Publishing. https://link.springer.com/chapter/10.1007/978-3-030-56286-1_8 on Large Language Models (LLMs): https://de.wikipedia.org/wiki/Large_Language_Model  on Victor Papanek: https://de.wikipedia.org/wiki/Victor_Papanek Groos, J., & Sorg, C. (Eds.). (2025). Creative construction: Democratic planning in the 21st century and beyond. Bristol University Press. https://bristoluniversitypress.co.uk/creative-construction  on Terraforming: https://de.wikipedia.org/wiki/Terraforming on Geoengineering: https://de.wikipedia.org/wiki/Geoengineering on NVIDIA Earth 2: https://www.nvidia.com/en-us/high-performance-com on Destination Earth: https://www.esa.int/Applications/Observing_the_Earth/Destination_Earth on Piketty's inequality equation r > g: https://equitablegrowth.org/pareto-distribution-r-g/ Piketty, T. (2014). Capital in the twenty-first century. Harvard University Press. https://www.hup.harvard.edu/books/9780674430006  the mentioned quote on the ‘weak cyborg dream' in Orit Halpern (2019, p. 22):  https://publish.fid-media.de/server/api/core/bitstreams/73aba255-56d2-4595-83b5-bfdad3740ffb/content Against Catastrophes: https://againstcatastrophe.net/ Orit Halpern on resilience: Halpern, O. (2025). The geo-politics of resilience: On the historical convergence between ecology, artificial intelligence, and corporate strategy. new media & society, 27(8), 4581-4605. https://journals.sagepub.com/doi/full/10.1177/14614448251336420  on Ground Truth: https://de.wikipedia.org/wiki/Ground_Truth  on benchmark data: https://brilliantfuture.se/en/glossaries/benchmark-data Related Episodes of Future Histories S03E34 | Cecilia Rikap on Intellectual Monopoly Capitalism and Corporate Power in the Age of AI https://www.futurehistories.today/episoden-blog/s03/e34-cecilia-rikap-on-intellectual-monopoly-capitalism-and-corporate-power-in-the-age-of-ai/ S02E44 | Evgeny Morozov on Discovery Beyond Competition https://www.futurehistories.today/episoden-blog/s02/e44-evgeny-morozov-on-discovery-beyond-competition/ S02E43 | Samia Mohammed zur Zukunft jenseits des Marktes https://www.futurehistories.today/episoden-blog/s02/e43-samia-mohammed-zur-zukunft-jenseits-des-marktes/ — Future Histories Contact & Support If you like Future Histories, please consider supporting us on Patreon: https://www.patreon.com/join/FutureHistories Contact: office@futurehistories.today  Instagram: https://www.instagram.com/futurehpodcast/ Mastodon: https://mstdn.social/@FutureHistories English webpage: https://futurehistories-international.com Episode Keywords #OritHalpern #JanGroos, #Interview, #TUDresden, #FutureHistoriesInternational, #FutureHistories, #Knowledge, #Data, #Democracy, #Technology, #Society, #ArtificialIntelligence, #AI, #Data, #Capitalism, #Neoliberalism, #PlanetaryExperiments, #PostSovereignPlanning, #DemocraticPlanning, #Alternatives

Our analysts Andrew Sheets and Mark Schmidt unpack why U.S. healthcare feels so expensive and the potential impacts of rising hospital costs.Read more insights from Morgan Stanley.----- Transcript -----Andrew Sheets: Welcome to Thoughts on the Market. I'm Andrew Sheets, Global Head of Fixed Income Research at Morgan Stanley. Mark Schmidt: And I'm Mark Schmidt, Head of Municipal Strategy at Morgan Stanley. Andrew Sheets: And today on the program, a discussion into one of the biggest mysteries in one of the biggest sectors of the economy. We're talking about healthcare costs. It's Friday, July 17th at 2pm in London. Mark Schmidt: At 9am in New York. Andrew Sheets: So, we're talking today about healthcare, which represents roughly a fifth of the U.S. economy, the bulk of job creation over the last several years, and in my view, honestly, one of the biggest inflation paradoxes that we see in the market. On the one hand, the high cost of healthcare is taken as a given, and it's something that many Americans still struggle with financially. But if you look at the official inflation data in the U.S., healthcare costs have been lower than normal, and that's been true now for a number of years. So, what's going on? How do we tie this together? And Mark, you just wrote a report that tries to do exactly that. So, what did you hope to accomplish with this report? Mark Schmidt: You're absolutely right. It's hard to underline enough just how large healthcare is to the U.S. economy overall. Americans spend nearly $6 trillion on healthcare. That's more than the GDP of the entire country of Germany. And if we think about prices, Americans pay more. A knee replacement, for example, costs $25,000 in the United States. That same procedure costs just $6,000 in France. Common heart treatments that would cost $3,000 in Germany or $10,000 in Australia cost $34,000 in the U.S. It also matters for everyone's local community. Healthcare jobs have been growing twice as fast as the rate of job growth in the economy overall. And those are good jobs. They pay above average wages. For many Americans these days, the most secure path to the middle class is a career in healthcare. Now, this may seem a little bit arcane, but it probably hits close to your portfolio as well. Earlier in the year, when we took a look at how equity separately managed accounts invest, they typically have a core overweight to healthcare. And even though American prices may seem like an American issue, many of the largest and most profitable healthcare companies in the world are actually headquartered in Europe. So, whether you're sitting in New York or sitting in London, the price of American healthcare probably matters to you. But as you noted, Andrew, it does feel like a paradox because although Americans cite healthcare costs as one of their top concerns, and although healthcare spending is growing at 6 percent a year or more, the official inflation data says that healthcare prices are in check. And at one point earlier in the year, healthcare inflation, according to official data, even dipped below 3 percent. It just didn't make a lot of sense, and that's why we got together with our colleagues across equities, fixed income research, public policy, and economics to dig into what was actually going on. Andrew Sheets: So, Mark, let's dig right into that. I mean, it seems like a perfect encapsulation of the so-called Main Street versus Wall Street perception of the economy. So, what's going on? How does one kind of square those two numbers? Mark Schmidt: The easiest way to understand it is that you can't walk through a grocery store and figure out the price of a knee replacement. And that's true both for you and me. It's also true for the government. They have to survey hospitals and health insurance companies. The trouble is that the prices that health insurance companies pay hospitals, well, those are trade secrets. So, at any given point in time, even for the best government economists, it's not entirely clear what the price trends are. And that's why when you look at the official data, healthcare inflation typically has relatively lumpy jumps in the series. You could see several months of 0.1 or 0.2 percent official growth in healthcare inflation. Or as earlier this week, you could see certain categories jump to 0.4 or even 0.8. Andrew Sheets: Another element, Mark, that you talked about in the report is that people are also consuming more healthcare. So, talk a little bit about that. How that factors into this dynamic, and again, is that just going to be the new normal as the population ages and we tend to spend more on healthcare as we get older? Mark Schmidt: That's right. The good news is that we're living longer lives. The bad news is that means that we have more chronic healthcare conditions to deal with. The good news is that more procedures can be done in outpatient settings, and those, generally speaking, are cheaper. The bad news is that inpatient care, inpatient prices go up as the complexity of procedures that actually happen in a hospital setting increase significantly. When you balance it all out, it's a situation where, thankfully, the United States and most Americans have the means and the wealth to pay more for healthcare. The flip side of that is that they are paying more for healthcare, and that's why we think that the recent softness in healthcare inflation is actually too good to be true. Andrew Sheets: Something that jumped out at me from this report, Mark, was just how important hospitals are in this equation. And the experience of the patient and the experience of the hospital can be different economically. And that difference can also matter for how this shows up in official inflation and government statistics.So, you know, it would be helpful maybe just to walk the listener through. If I go into the hospital and I need knee surgery. You know, how does that look like from my perspective in terms of paying for it, assuming I have health insurance through my employer? How could that look like to the hospital? And how could that look like coming out the other end into the official government statistics? Mark Schmidt: Well, of course, Andrew, the first thing that you do when you break your leg is you call six hospitals and shop around for the cheapest price, right? Andrew Sheets: [Laughs] Of course. Mark Schmidt: So that's actually the problem because when you get care, you're not in a place to ask about the price. And frankly, even if you asked your doctor or nurse what the price is, they probably wouldn't know. Not only is it not their job to know the price, but all of those negotiations happen after the fact – with the prices that the insurance companies negotiate with the hospitals. After COVID, hospitals had a lot more costs to spread out among the people who were coming in the door, and so they raised prices across the board, not just for procedures that were related to respiratory illness. Naturally, insurance companies noticed that, and they started to push back. So long after you get a cast for your broken leg – and by the way, I wish you a speedy recovery – insurance companies end up going back and forth negotiating with your doctors for exactly how much they should pay you. And although these prices were loosely set well before you walked in the door, the exact way it gets billed and coded? Well, let's just say there's a lot of back and forth. For a well-run hospital, the cost of talking to and ultimately getting reimbursement from your insurance company, that alone could be 2 to 4 percent of revenue. And in especially complex cases, that whole negotiation can eat up 5 to 7 percent of the total bill. You're also right to flag that hospitals really are still the central point of the U.S. healthcare system. Americans spend $2 trillion in a hospital setting. And hospitals overwhelmingly coordinate care for both primary, specialty, and pharmacy services. Andrew Sheets: Mark, another issue I wanted to ask you about was the Affordable Care Act, Medicare, Medicaid, and how those programs fit into the story? Mark Schmidt: The One Big Beautiful Bill Act included a variety of measures to slow the overall growth rate of healthcare. Now, for all the reasons we just discussed, that's probably warranted. The Affordable Care Act is another wrinkle. Enhanced subsidies, which were already set to expire – did in fact expire at the end of last year. And as a result, more Americans are now uninsured. It remains to be seen how that impacts overall costs. In the United States, when you have a health emergency, a hospital is legally obligated to treat you because of a 1990s law called EMTALA. Even if you can't pay, the system eventually does. Historically, uncompensated care costs have been passed on to individuals and companies with insurance. For now, however, it remains to be seen whether these changes in law and in the overall number of people with insurance will cause healthcare prices to rise or fall. Andrew Sheets: And Mark, just for the broad-based implications of this, right? It's fair to say that in any health insurance system, there are some people who consume a lot more healthcare. They're unhealthy or they're unlucky. And there are some who consume a lot less. And, you know, this is something where that overall coverage question matters. Because if you have things that reduce the number of otherwise healthy people who are in those healthcare pools, it can raise the cost for everybody else. Those people who were in some ways subsidizing the higher consumers of healthcare are no longer there. Is that a fair way to frame it, do you think? And are there potential changes given some of these legislative actions that could lead to changes of what the pool looks like – and what overall costs could look like? Mark Schmidt: That's a great point. And healthcare is probably the only part of our economy where you would say, "Thank goodness I did not get my money's worth." As we think about it… Andrew Sheets: [Laughs] Very true. Very true. Mark Schmidt: As we think about it, most young and healthy people are going to be paying more for their health insurance than they receive in healthcare. Again, that's a good thing. Because American healthcare prices are so much higher than anywhere else in the world, paying in more than you get back? Well, that hits the wallet harder in America than it does in other countries. And that's why for many people – choice – choosing how much health insurance to have and how much to pay for it, really is central to keeping the American economy dynamic. The flip side, however, is that as Americans get older, more people have Medicare. Now, Medicare is pretty good if you have it. But the catch is that Medicare prices, according to most independent estimates, do not fully reimburse for the cost of care. So, as more seniors take up more beds in a hospital, that means that commercial prices, the prices for people who have private insurance through their employer, are likely to rise even faster. Andrew Sheets: So, Mark, I think a good place to close it out and kind of bring this all together is a really important conclusion of this report – is that hospitals have been absorbing a number of these rising costs of healthcare through lower margins for the hospital. And that has resulted in lower ultimate inflation because the inflation is measured out the other side, out ultimately what the hospital earns. And if you could just maybe talk a little bit more about that. To what extent have those margins been compressed? And what that might mean for things going forward? Mark Schmidt: That's right. We dug into the finances for hundreds of not-for-profit hospitals in the United States. They are facing higher costs and shrinking margins. Historically, hospitals have partially passed on expense increases of this magnitude. Now, in their conversations with insurance companies, the biggest benchmark setting of prices happens once every two to three years. So, we're not going to see hospital prices show up in the inflation data overnight. But when we look at hospitals across the country, their budget information and their guidance is consistent with firming prices. Andrew Sheets: Great. Thank you so much, Mark. I've really enjoyed the conversation. Mark Schmidt: Thanks for having me, Andrew. Andrew Sheets: And thank you for listening. If you enjoy Thoughts on the Market, please share it with a friend or colleague today. And rate and review us on wherever you listen. It helps more people find the show.

Credit markets are stepping in to fund the surging demand for AI. Our experts Lindsay Tyler and Anish Shah explore the opportunities and risks behind this record financing wave.Read more insights from Morgan Stanley.----- Transcript -----Lindsay Tyler: Welcome to Thoughts on the Market. I'm Lindsay Tyler, TMT Credit Research Analyst at Morgan Stanley. Anish Shah: And I'm Anish Shah, Global Head of Debt Capital Markets at Morgan Stanley. Lindsay Tyler: Today, how issuers and investors are approaching the rapidly evolving world of AI financing. It's Thursday, July 16th at 10am in New York. As AI demand accelerates, credit markets are being asked to finance infrastructure on a scale that used to be associated with utilities, telecom, or energy. That raises a central question for issuers and investors: How much debt can the AI ecosystem absorb? And at what price? Anish, can you walk our listeners through the key products in your purview? Anish Shah: Certainly, in my nearly twenty years at Morgan Stanley, this is probably the most incredible time period I've ever seen in the credit markets. I've had the privilege of working across a number of different roles in capital markets and lending. And a couple of years ago, we integrated the debt underwriting business across both investment-grade and leverage finance franchises in recognition of how interconnected the whole credit ecosystem has become. In addition to our core activities helping clients raise capital for their strategic priorities, two of the big focus areas that we've had have been finding ways to harness the power of the private credit universe and also delivering best-in-class capabilities in funding this incredible growth in AI spend. Lindsay Tyler: AI financing has certainly been a theme we've also been focused on in research. Our equity research colleagues project that a handful of key players could add more than 30 gigawatts of capacity over a two-year timeframe, driving around [$]2 trillion of aggregate cash CapEx in that period. And to put that into context, a single gigawatt of data center capacity can require roughly $12 billion for the shell, and then often more than double that for chips and racks. So, from your vantage point, what inning are we in? And what gives you confidence that credit markets can continue funding this opportunity at scale? Anish Shah: I mean, Lindsay, the numbers certainly are staggering, as you note. And if you just observe the CapEx estimates for the hyperscalers and broadly for AI infrastructure, we're certainly in the early innings. Lindsay Tyler: Mm-hmm. Anish Shah: The largest tech companies have historically, as you know, raised very little debt. In fact, many of these companies have not even needed a credit facility. As CapEx projections were materially increased in the second half of last year, we saw the beginning of scaled capital raises. Hyperscaler issuance has quickly gone from less than one percent of the investment-grade market to more than 10 percent of the market. You know, as I look ahead, based on what we're seeing on the ground, we think that AI-related funding, whether it's for data center development or financing compute capacity, could top 15 percent of the total issuance across all credit products. This has been an unprecedented test for the capital markets, both in terms of the depth of capacity and the breadth of product. The teams have been on the forefront of deep investor dialogue and product innovation. This spans corporate investment grade, first of their kind financings in high-yield and leveraged loan markets, and new takes on asset-backed financing. And each of these areas has seen material issuance both in public and private markets. Lindsay Tyler: Great backdrop. Let's dig first into investment-grade corporate debt, an area you know well from your time previously leading the investment-grade team. Can you help frame the scale and the significance of this financing bucket and how AI-related debt is scaling within it? Anish Shah: Well, you know, as you know, the investment-grade bond market, specifically in dollars, is the deepest, most liquid pool of capital in the world. Volumes have grown materially over the last few years and are likely to eclipse $2 trillion in issuance this year. Hyperscalers are among the very best credits in the world, and they have the ability to come in and out of markets with relatively quick twitch, little to no pre-marketing, and in fairly large size. You know, $20 billion-plus deals used to be rare in the investment-grade market, now happen multiple times a quarter. This is why we've seen the predominance of AI-driven capital raising take place in the investment-grade market. For the most part, investors have digested that supply very well. While we've seen some modest widening credit spreads for hyperscalers and some of the other tech issuers, I'd say it's de minimis relative to their expected ROI. Lindsay, I've talked a lot about supply dynamics and issuance. What other factors are you and investors considering when assessing fair value for investment-grade rated technology bonds? Lindsay Tyler: Sure. It's prudent to really weigh a mix of technicals, fundamentals, and relative value. You know, as you discussed on the technical side, and related to my discussions with debt and equity investors, I've been focused on scale of buildouts, market capacity, digestibility across currencies, positioning along the curve, implications of equity issuance, and whether AI financing could crowd out other areas of TMT credit. But moving more to the fundamental side of things, you mentioned ROI, and for the players that are scaling compute capacity, there are a handful of key monetization and return questions that keep coming up. How quickly can these companies bring new capacity online? Once it's live, how does it translate into durable revenue and cash flow? Is that capacity supporting internal products, proprietary models, broader cloud offerings, or compute leased to third parties? And then how fungible is the capacity across those use cases if demand or returns shift? Further on the fundamental side, we've done some differentiated work around growing long-term commitments. We've seen that high-quality hyperscalers and a few of the semis companies are anchoring the AI ecosystem through leases, guarantees, other obligations. These commitments really extend beyond vanilla bond issuance. So, I encourage investors to look beyond the funded debt and really understand the accounting and the ratings implications here of some of those commitments. And this ties nicely into the next topic that I wanted to raise, which is project finance debt. I've noticed that, you know, a lot of the commitments that we're seeing from IG players support another layer of financing. Lease commitments can underpin project finance debt, an area of sizable issuance and innovation. The public high-yield market has emerged as a new funding source in this way for data center construction, with more than 30 billion priced across 15 deals, since fall 2025. Can you walk us through, Anish, the innovation behind these structures, and how are these high yield deals different than other ways to, kind of, raise project finance debt? Anish Shah: Yeah, it's incredibly interesting. I mean, the bulk of the issuance, as I noted has come in the investment grade market, but I would say the bulk of the innovation has come in the sub-investment grade market. You know, historically, for very capital-intensive sectors like energy and power or real estate, the project loan market was the most efficient source of initial funding. The developer would tap banks to underwrite a highly structured construction loan. Once the project is up and running, you could then refinance that loan with the predictable cash flows into a more institutional financing, like the investment grade bond market or the term loan B or securitization markets.That product may still be very viable in many sectors, but we felt early on that bank-provided construction loans would not meet the capacity needs of the AI investment cycle. The market really needed an institutional credit product that bypassed the need for construction loans. The key innovation came in the form of first-of-its-kind high-yield bonds that funded the development of a new data center complex. Given the relatively short construction period and the "offtake" supported by some of the highest quality credits in the world, we felt like this financing structure would be incredibly well-received in the high-yield market. The win here is that the developer accesses fixed rate long-term capital and maintains flexibility to call the bonds and refinance at a lower cost. Judging by how these financings have gone, there's a strong level of investor enthusiasm. I think that they've only scratched the surface, and I would expect that we see much more of this. And potentially even expand it to other products in the leverage finance markets given the tremendous level of investor demand. Lindsay Tyler: Yeah. It's certainly been exciting to follow many of those deals. Beyond the public space, we're also seeing a wave of innovation in private credit and asset-backed finance. Anish, how do companies decide whether capital is best raised in the public or the private markets? Anish Shah: Well, I'm glad you raised the whole avenue of private markets because it may be the most significant change in the credit markets over the last few years, broadening the scope of private credit from directly lending into leverage buyouts to now financing large investment-grade projects. There are great examples in the world of GPU and TPU financing, where we structure loans secured by the asset and the cash flows, or in data center development.Lindsay, from your perspective, what are investors focused on when these private structures intersect with public credits? Lindsay Tyler: Sure. Many of these asset-backed private financings have prompted investors to look more closely at any of the public companies involved, whether as issuers, tenants, customers, or support providers. This ties back to the point I raised earlier. Where does the risk reside, and who ultimately is on the hook? These financings have also sparked broader discussions around circularity, vendor financing, and technology obsolescence risk, even when amortizing structures are in place. I do think those are fair concerns to weigh, and they really speak to how quickly the AI financing trend is evolving and how much credit work there is to do. So, Anish, with that balance in mind, relatively strong demand, rapid innovation, but also some real credit questions, let's end with a quick lightning round. Anish Shah: Lindsay, let's do it. Lindsay Tyler: First, what is the biggest risk that could test investor appetite for AI-related debt? Anish Shah: I would say investors are acutely focused on construction delays. Don't underestimate the level of diligence being done by the breadth of capacity you're seeing in the markets. Investors are doing their homework, and we're spending a lot of time trying to mitigate any of their concerns with structural protections. Lindsay Tyler: Got it. Second, beyond data center shells and chips, what is the next potential AI financing opportunity? Anish Shah: It most certainly is energy and power. We're going to see a ton of capital being raised in utilities. It's going to be a little different than what the hyperscalers are doing, just given the nature of their balance sheets. You're going to see more junior capital. We've seen a wave of junior subordinated debt issuance out of the utilities. We're also seeing a lot of activity from our project finance and tax equity team, just given all things energy infrastructure. Lindsay Tyler: Great. And third, if we're sitting here a year from now, what do you think could be the biggest AI financing story we're talking about? Anish Shah: Well, we certainly underestimated the level of financing activity that we saw in the past year. I think when we look back a year from now, we will probably see that the AI labs were much more ready to finance on their own on a standalone basis. That's going to alleviate some of the pressures in the market, but I think it's going to create a whole new set of considerations and structural innovation. Lindsay Tyler: Well, it's certainly been remarkable to watch this financing theme take shape in real time, and the next chapter sounds like it could be even more interesting to follow. Anish, thanks for joining us and sharing your insights. Anish Shah: Great to join, Lindsay. Thanks. Lindsay Tyler: And thank you for listening. If you enjoy Thoughts on the Market, please leave us a review wherever you listen and share the podcast with a friend or colleague today.*****Anish Shah is a member of Morgan Stanley's Global Capital Markets Division and is not a member of Morgan Stanley's Research Department. Unless otherwise indicated, his views are his own and may differ from the views of the Morgan Stanley Research Department and from the views of others within Morgan Stanley.

Porsche Trims the Lineup, and We Called It Porsche is streamlining, and the rumor mill says the Taycan, Cayenne Coupe, and possibly the 718 Boxster and Cayman are all on the chopping block, with the 911 lineup likely losing some variants too. Nobody is going to shed a tear over the Taycan, and the Cayenne Coupe will get a few mourners at best, but losing the 718s would sting for a lot of enthusiasts. The funniest part is that we have been saying Porsche needed to do exactly this for a while now, both recently and way back, so either they are finally listening or somebody at Weissach has really good podcast recommendations. Goodwood Is Coming to America Goodwood Festival of Speed just wrapped and it remains the single best car event either of us has ever been to, hands down. The big news out of this year's event is that Goodwood is officially bringing the festival to the US, though details on location and format are still under wraps. Given how protective Goodwood is of its brand and how much work they have put into building that reputation, there is no chance they phone in the US version. Our money is on a West Coast location, and the hill climb has to be part of it, because without that centerpiece it just is not Goodwood anymore. What Else Gets You Close to a 911? With 911 pricing where it is now, we went down the rabbit hole of what else out there gets you in the neighborhood without the Porsche premium. Nothing replicates the rear-engine layout or that specific balance, but a few cars get close in spirit. The S2000 AP1 is a blast, 2,800 pounds, high-revving, gutless on torque but rewarding on balance with true 50/50 weight distribution, though clean examples are climbing in price fast. The GT350 is the consolation prize with more muscle, 526 horsepower at 8,250 rpm out of that flat-plane V8, but it is a heavier car at 3,750 pounds with a 54/46 split, so stick to the later models since the early ones had documented engine issues. Then there is the F87 M2, 3,450 pounds, 365 horsepower with real tuning headroom since it is turbocharged, 51.9/48.1 balance, sitting in that 35-50k range. And we had to talk about the clown shoe, the BMW M Coupe, which barely counts as a real production run but has earned full cult status anyway. Grab a drink, settle in, and we will see you next time. Full event calendar is always up at pcartalk.com, and if you want more, find us at Patreon.com/pcartalk and @pcartalk. Kimchi Crew: Steve, Leslie, Chris, Ken, Aaron, Matthew, Sean, and Nik.

All Yeptide Resources DianeKazer.com/YEPTIDES Join Our Elite VIP Tribe DianeKazer.com/VIP Apply to Become a 1-on-1 Patient DianeKazer.com/PATIENT TheWarriorCleanse.com We're comparing GLP-1s, Retatrutide, SLU-PP and the new oral GLP and revealing the root causes and lab markers that should be addressed before taking ANY of these. Most people are asking the wrong question. They're asking... "Which one helps me lose the most weight?" The better question is: "Why is my metabolism broken in the first place?" Because if you don't innerstand why you're gaining weight, exhausted, inflamed, insulin resistant, or unable to build muscle... you'll keep chasing the newest shiny object. 2026 has completely changed the metabolic medicine conversation. We're no longer talking about just appetite suppression. We're talking about restoring metabolism. And two names continue to dominate that conversation:

Many investors, particularly those new to the asset class, equate private credit with direct lending. However, private credit encompasses a much broader space than just direct lending. This year, amid concerns over software exposure and rising credit stress in direct lending, we have seen increased interest in other strategies. In particular, distressed and special situations credit strategies, a large and established segment of the market, are gaining popularity. On today's episode, Aaron Mulvihill is joined by Brad Demong, Co-Chief Investment Officer of the Global Special Situations Group at J.P. Morgan Asset Management. They discuss why interest in distressed and special situations credit strategies has grown, how the private credit market has repriced following dislocations earlier this year and how the current private equity landscape is creating opportunities for distressed and special situations investors.  Resources: For more resources on Alternatives, visit our Guide to Alternatives and Principles of Alternatives Investing Listen to the audio version of the Alternative Realities podcast: Apple Podcasts | Spotify

AI has become a strategic policy priority as governments race to secure their technological future. Our Head of U.S. Public Policy Research Ariana Salvatore explores what's driving the shift and the implications for markets.Read more insights from Morgan Stanley.----- Transcript -----Welcome to Thoughts on the Market. I'm Ariana Salvatore, Head of U.S. Public Policy Research at Morgan Stanley.Today: Why sovereign AI is becoming a policy priority around the world.It's Wednesday, July 15th, at 10am in New York.The AI controls debate used to be focused on chips. Cutting edge semiconductors are essential to train large AI models, after all. But over the past year, the debate has moved well beyond that narrow focus. The policy conversation has broadened beyond things like which advanced semis can be sold to China.The bigger question now is who controls the full AI stack — chips, cloud infrastructure, frontier models, data centers, cybersecurity standards, and the energy systems that support all of it.That's what we mean when we talk about sovereign AI. At the simplest level, it's a country's ability to develop and deploy artificial intelligence using its own infrastructure, data, workforce, and technology ecosystem. But sovereign AI is also about reducing strategic dependence on foreign platforms and foreign-controlled supply chains.That echoes a trend toward multipolarity that we've been writing about since back in 2018. Countries around the world are prioritizing national security over economic efficiencies. We see that theme applying to AI as well.So, what does this all mean for markets?First, sovereign AI turns AI infrastructure into a matter of national industrial policy. Data centers, power availability, and grid reliability are just a few examples of components that are becoming strategic assets. That means governments are likely to play a larger role in deciding several aspects of the AI buildout. Where it's built? Who finances it? And which countries get access to the most advanced parts of the stack?Second, sovereign AI reinforces the shift toward derisking and a more fragmented international order. The U.S. is trying to promote the export of an American AI technology stack to allies and partners. At the same time, it's preserving national security guardrails around the most sensitive capabilities. Meanwhile, we see China trying to indigenize as much of the technology as possible, from chips to cloud to model deployment. Other countries are navigating between the two.Third, and importantly, sovereign AI is also an energy story. Who gets to build and benefit from AI increasingly depends on access to low-cost, reliable power. That makes energy availability a competitive advantage — and it also makes energy affordability a political constraint.That dovetails with one of our thematic predictions heading into this year: the politics of energy. We see rising power costs as a more visible political issue. That's led to backlash against data center development. There's more local opposition to new projects, and greater pressure on policymakers and utilities to make sure that existing ratepayers are not subsidizing AI-driven grid investment.We think that could push AI infrastructure in a few directions. One is toward a conditional build-out. Here, offsets like large-load tariffs and other cost-allocation mechanisms are designed to protect households and small businesses.Another direction is policy support for the lowest-cost sources of energy, even where that might create tension with emissions objectives. And the third direction is more off-grid or behind-the-meter power solutions. That would include things like fuel cells, storage, and other time to power strategies — so data center developers can secure electricity without intensifying local affordability concerns.The pursuit of sovereign AI comes with many questions around inflationary impacts: compute & power are both constrained, regulation remains uncertain, and there could be more limitations on things like tech transfers if the government sees a national security edge. So, to the extent that countries want to reduce their dependencies, it may cost more to get there. There are, however, companies that can benefit in this environment.But there's also a policy risk. We are left with a more reactive policy environment. Selective access in some areas, tighter controls in others, and ongoing uncertainty around how Washington will treat advanced chips, cloud infrastructure, and frontier model deployment. Now that uncertainty matters because it affects corporate planning, cross-border investment, and the shape of global AI alliances.So what does this all mean for investors?More and more, governments view AI capability as a source of economic power and geopolitical leverage. That means the AI race is moving from a question of who builds the best model to who controls the infrastructure, standards, supply chains, and energy systems that allow those models to scale.In our view, that means sovereign AI is one of the most important themes to watch in the next phase of the AI buildout.And we'll be coming back to this topic soon. In the coming weeks, Stephen Byrd and I will talk about sovereign AI in more depth, particularly around what it means for power demand, data center investment, energy affordability, and the broader infrastructure required to support the next stage of AI adoption.Thanks for listening. If you enjoy the show, please leave us a review wherever you listen and share Thoughts on the Market with a friend or colleague today.

Our CIO and Chief U.S. Equity Strategist Mike Wilson discusses where investors may find opportunity beyond the AI sector and risks that could slow market gains.Read more insights from Morgan Stanley.----- Transcript -----Welcome to Thoughts on the Market. I'm Mike Wilson, Morgan Stanley's CIO and Chief U.S. Equity Strategist. Today on the podcast I'll be discussing our broadening thesis and the near-term risks to monitor. It's Tuesday, July 14th at 11:30 am in New York. So, let's get after it. The broadening trade is now playing out. It's showing up in stock prices, relative performance and earnings revisions. It's also making investors question the sustainability of the most crowded areas of the market, and consider other near-term risks. I first made the broadening call late last year based on my view that the economy had entered a new expansion after completing the rolling recession in April of 2025. In a new expansion, earnings growth tends to be much better than expected because revenue growth returns to companies that have already become more cost efficient. That's classic operating leverage. The market began to anticipate that dynamic late last year, but then the Iran conflict interrupted the move. Oil surged, rate-cut expectations disappeared, and investors crowded back into the most obvious AI capex beneficiaries led by semiconductors and memory, in particular. Since mid May, that interruption has faded with oil prices falling sharply and the broadening trade has begun to work again. Importantly, the market is not abandoning AI. It is simply rotating within AI and beyond AI. And that distinction matters. Semiconductors have had a historic run, supported by earnings revisions. But even great stories get exhausted in the short term. When earnings revisions breadth is pressing against historical highs and the trade becomes one of the most crowded areas of the market, the bar for upside gets very high. At that point, the issue is not whether the story is good. The issue is whether the rate of change can keep improving. That is a very different question. The underperformance of the hyperscalers was probably the first warning sign. Semis depend on hyperscaler capex. So when the spenders start lagging the beneficiaries, that divergence usually resolves one way or another. And now we're starting to see it. Meta's decision to sell excess capacity to outside customers may not mean the AI capex cycle is over. But it does tell you the market is beginning to ask harder questions about the path and pace of that spending. Credit spreads and stock prices of these hyperscalers provide the feedback loop to managements that maybe they should curtail the pace of spend. We've had multiple corrections inside this AI cycle already. This looks like another one – not the end of the cycle, but a reset. That reset is what gives the rest of the market room to work. Our preferred ways to express the broadening remain Consumer Discretionary Goods, Transports, and Biotech. These are not the areas investors have been excited about. In fact, positioning and sentiment remain subdued. But that's exactly why I like them. The risks to the story in the short term are two-fold. First, uncertainty about the full re-opening of the strait remains high, with pivots on both sides. This is keeping oil prices volatile in the short term even if the primary trend remains lower. Second, interest rate volatility is picking up again with the entire curve shifting higher in both nominal and real terms. If this doesn't stabilize, it will have a negative impact on stocks both at the index level and even for stocks that should benefit from our broadening call. With the inflation data coming in today softer than expected, this should reduce some of the recent upward pressure on rates. However, the new Fed Chair and board remain resolute to make sure inflation doesn't rear its head again. In the end, dealing with this risk up front is a good thing in my view even if it means uncertainty for markets. Bottom line, equity markets have been consolidating and correcting for the past several months. This is the result of the peak rate of change in earnings revisions and a reaction function shift at the Fed to focus more on the inflation mandate than growth. With the recent rollover in semiconductors, heavy supply of equity and credit issuance, and a transition of leadership at the Fed, expect more volatility and corrective activity in stocks before the next leg of the bull market resumes. Don't chase momentum. Instead, add to risk on down days to areas that will benefit from a broadening in the economy and earnings growth. Thanks for tuning in; I hope you found it informative and useful. Let us know what you think by leaving us a review. And if you find Thoughts on the Market worthwhile, tell a friend or colleague to try it out!

The stock market is at record highs but does that mean it's time to rebalance? In this episode of Invest Like A Billionaire, Ellis Hammond sits down with Bob Fraser to discuss why today's market may be strengthening the case for private alternatives, where he's personally investing today, and how billionaire investors think about portfolio construction.They cover portfolio diversification, private credit, multifamily real estate, liquidity, taxes, cash flow, and the biggest mistakes investors make when moving beyond stocks.Have more questions, or want more resources like a tax calculator? Go to ⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠https://investlikeabillionaire.org/⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠  to learn more about our community. Check out Ben & Bob's company and invest along at ⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠https://aspenfunds.us/

Cheaper obesity medicines could unlock broader demand, while supply-chain bottlenecks and premium-drug innovation may also shape how the market evolves. Our analysts Terence Flynn and Thibault Boutherin break down the investor implications.Read more insights from Morgan Stanley.----- Transcript -----Terence Flynn: Welcome to Thoughts on the Market. I'm Terence Flynn, Morgan Stanley's U.S. Pharma and Biotech Analyst. Thibault Boutherin: And I'm Thibault Boutherin, Morgan Stanley's Europe Pharmaceuticals Analyst. Terence Flynn: Today, how cheaper GLP-1 obesity medicines could reshape access, pricing, and supply chains; and what the first generic markets may signal for Europe and the U.S. It's Monday, July 13th at 10am in New York. Thibault Boutherin: And it's 3 pm in London. Terence Flynn: Around one billion people live with obesity worldwide, including over a 100 million in the U.S. Right now, the introduction of the first lower cost generics of semaglutide, a GLP-1 medicine, in some international markets, could have consequences on affordability and demand. Thibault, what are the first countries seeing the introduction of sema generics? What are the current dynamics, and why should global investors pay attention? Thibault Boutherin: Sure. So, so far generics are being introduced this year in three countries: in India, Canada and Brazil. And if we look at India, this is the first market where the generics are being introduced. The patent for semaglutide expired in March 2026, and 13 companies have launched 26 generics across different formulations: autoinjectors, vials, and pills, which price is lower than the branded drug. And because the India market was quite under-penetrated for GLP-1, we are seeing affordability driving volume expansion. In Canada, two generics have been launched so far. Four other generics are waiting for approval, and more are being filed. And finally, in Brazil, one generic was approved last month, and we are expecting these generics to be launched in Brazil in July. And 17 other generics are in different stage of regulatory review in Brazil, and we would expect more to enter the market by the end of this year. And the reason why we focus on these markets is because we believe they could provide a blueprint for what could happen later in the U.S. and in Europe; in particular for Canada, which shares some characteristics with Europe and the U.S. And the patent for semaglutide will expire in Europe in 2031 and in the U.S. from 2032. Terence Flynn: Great. Maybe on the India front, I know that's at the leading edge. What happened with patient demand when price came down? Thibault Boutherin: Sure. So, what we saw in India is a surge in volume when generics were launched, and the volume in April 2026 were already six times higher than the volume in February. And that expansion has been driven mostly by these generics launch, which captured 80 percent of semaglutide volume in April. And our India team expect that the GLP-1 market in India will actually expand in value from $125 million in [20]25 to more than $1 billion by 2030, despite lower prices as we see better, you know, greater volume and greater adoption of GLP-1s in India. Terence Flynn: The other thing, you know, you and I have discussed is the supply chain, and one of the questions is the ability of some of the generic manufacturers to scale semaglutide. So, maybe talk to us about the current capabilities. And could we see bottlenecks in the supply chain formation here? Thibault Boutherin: Yeah, sure. So, there are three key elements to watch on the supply chain. The first is the active pharmaceutical ingredient or API, and that's the semaglutide molecule itself. The second element is the device and the device components, and the third element is the fill and finish, which is basically putting all of these things together. On the API side, so semaglutide molecule, we believe there will be no bottleneck in supplying for generics as we see a handful of large Chinese companies, out of China, building multi-ton capacity for semaglutide. So, we believe there will be no shortage of API to supply the generic supply chain for injectables. On the device, these are the same device companies that are supplying the branded version of semaglutide, and other GLP-1s for the device that are also supplying the generic makers. And we are seeing meaningful investments being made, so we don't believe there will be a bottleneck here. Where we could see a bottleneck emerging is on the fill and finish side. Fill and finish requires highly controlled clean room space to minimize contamination. It requires regulatory approval, and it takes up to three years to build fill and finish capacity. And so, that's where if there is not more investment being made over the next few years, there could potentially [be] a bottleneck emerging for the generic companies. Terence, while semaglutide generics will definitely represent a challenge for the existing branded version of this GLP-1, there are some insights in these emerging dynamics that suggest that tirzepatide, the other GLP-1, could be less at risk. Can you touch a bit on some of these dynamics? Terence Flynn: Absolutely. So, just to remind listeners that semaglutide targets a pathway called GLP-1. Tirzepatide actually targets two pathways. The first is GLP-1, and the second is GIP. And there are some data comparing these molecules, both in Type 2 diabetes and obesity. And tirzepatide gives not only better efficacy but also improved tolerability. And so, what you're seeing in some of the ex-U.S. markets is segmentation, where there are some consumers that are willing to pay a premium price for tirzepatide. Our team in Brazil has done a lot of work on this front looking at this dynamic and, you know, we expect that to play out in many geographies. So, despite the entry of lower-cost generic versions, we think you will still see segmentation of the market between differentiated brand and the lower-cost generics. And that as a result, you will continue to see branded growth.In the U.S. right now, market share is about 60 percent in favor of tirzepatide. And so again, you're seeing a differentiation between these two molecules. Thibault Boutherin: And beyond the introduction of generics GLP-1s, there are other dynamics in the industry that are driving this market. And the introduction of oral drugs this year has been a big topic. Terence, what are your views on the role that orals could play on the market? Terence Flynn: Yes, as a lot of people are probably aware, the many of the existing GLP-1 medicines are injectable. And so those are delivered once a week with a needle. But there are now additional oral options of these GLP-1 medicines. They started off first for Type 2 diabetes, but they have now broadened into obesity as well, following some recent FDA approvals. And what we're seeing is that the introduction in the U.S. so far is expanding the market. So, the majority of people that are taking the oral versions of these medicines are new users to GLP-1s. So again, you're getting market expansion. When you think about the orals as well, one of the other questions is capacity. I know, Thibault, you were talking about the supply chain. There are similar questions for these oral medicines because not all of the oral medicines are the same. Some are easier to manufacture than others, and as a result, that's another variable to consider. So, some of these are what's called peptide-based orals, and some of these are non-peptide-based orals. And the non-peptide-based orals are much easier to scale, for a larger global market. And so that's definitely another variable that we're monitoring and that I think investors need to consider. Thibault Boutherin: And beyond the pill versions of these GLP-1s, we are seeing more innovation in the drug pipeline of the industry, which could be a key driver of differentiation against the competition from the generics. So, what are we seeing emerging today from diabetes and obesity pipelines, which could be exciting for the future of the category? Terence Flynn: So, as we see time and time again in pharmaceutical markets, the key players continue to innovate to try to improve profiles of the existing medications. So, there are, you know, kind of two areas. One would be efficacy; another would be safety tolerability. And so, there are a number of players that are working first to develop longer acting medication. So, as I mentioned, the existing injectable drugs are dosed once weekly. But there are a number of companies that are working to develop potentially monthly or less frequent injections. So, that's one area that we're monitoring closely. And then the second, and again, this plays into what I discussed on tirzepatide, is additional pathways that are involved here in diabetes and obesity, and a number of players are working to target additional pathways beyond GLP-1 and GIP. And so, some of the leading pathways that are being studied are something called amylin and glucagon, and there are a number of medications that are in the late-stage pipeline that are coming along, which have some pretty interesting data. And so that's another area that we're watching. And again, the goal there would be to either improve efficacy and/or improve tolerability versus the existing medications. Thibault Boutherin: Great. And maybe we can also take this opportunity to talk about some of the short-term drivers in the market that are not facing generic today, like the U.S. So, what could be, you know, the key drivers for growth of GLP-1s and the overall obesity and diabetes category over the next five years? Terence Flynn: Yeah, obviously the key one is seeing additional uptake of these medicines. I think right now we estimate, again, obesity in particular, there's about low double-digit percent uptake. And so obviously seeing increasing uptake of these medicines. The orals, as I mentioned, are already driving market expansion. And then the third is access. So obviously in any market, that's very important. In the U.S., I think about 50 percent of employers cover these medications right now. We expect that to increase in the years ahead as the data continues to build. But then this year starting very shortly, the patients in the Medicare program in the U.S., so those people over the age of 65, will be able to access these medicines for $50 per month. And so, we think that is another driver of growth – is this will broaden access to about an additional 18 million people, starting this summer. So, the next phase of the diabesity market comes down to execution, lower cost and scaled supply in the mass market, and innovation and differentiation to compete in the premium segment. Thibault, thanks so much for taking the time to talk. Thibault Boutherin: Great speaking with you, Terence. Terence Flynn: And thanks for listening. If you enjoy Thoughts on the Market, please leave us a review wherever you listen and share the podcast with a friend or colleague today.

Joining us today is Lyden Smithers — President and Co-Founder of Titan Network, one of the most exclusive communities for high-level Amazon sellers in the world.Lyden isn't just teaching e-commerce  he's actively building and scaling brands, sourcing at a high level from China, and helping sellers bridge the gap from 7 to 8 figures and beyond.Lyden leads the China Magic trip and is one of the best.Highlight Bullets> Here's a glimpse of what you would learn…. Importance of building strong relationships with suppliers, especially manufacturers in China.Strategies for negotiating favorable payment terms to improve cash flow and scale e-commerce businesses.Cultural aspects of negotiation in China, including the significance of face-to-face interactions.Techniques for presenting oneself as a trustworthy partner to suppliers.Handling common objections from suppliers regarding payment terms and cash flow limitations.The role of order volume and growth potential in negotiating better terms.Preparing effective presentations for suppliers, focusing on trust and mutual benefits.Managing challenges such as tariffs, raw material price increases, and currency fluctuations in supplier negotiations.The significance of granular supply chain management and cost optimization.Key takeaways for sellers on the importance of supplier relationships and negotiation strategies.In this episode of the Ecomm Breakthrough podcast, host Josh Hadley sits down with Lyden Smithers, president and co-founder of Titan Network, to discuss how Amazon sellers can scale from seven to eight figures by mastering supplier relationships. Lyden shares strategies for negotiating favorable payment terms with Chinese manufacturers, emphasizing the cultural importance of face-to-face meetings and the concept of guanxi. He explains how leveraging order volume growth creates win-win partnerships, how to handle common supplier objections, and how granular supply chain management drives profitability, even amid tariffs and rising costs.Here are the 3 action items that Josh identified from this episode:Shift Your Mindset:Treat your supplier as your most important business partner. Invest in the relationship for long-term mutual gain.Negotiate Payment Terms First:Use your growth potential as leverage. Better terms unlock cash flow and growth; price reductions are easier to secure afterward.Show Up in Person:Face-to-face meetings build trust and open doors that emails and messages can't. Attend trade shows, visit factories, and invest in guanxi.Timestamps:00:00:00 Negotiation Culture in ChinaLyden discusses negotiation as a cultural norm in China and encourages not being afraid to ask for better terms.00:00:25 Podcast Introduction & Guest BackgroundHost introduces the podcast, Lyden Smithers, and the focus on supplier relationships and payment terms.00:02:33 Unlocking Growth Through Payment TermsLyden shares his journey negotiating payment terms, emphasizing cash flow's role in scaling e-commerce brands.00:03:47 Cash Flow Constraints & Supplier RelationshipsDiscussion on how cash flow limits growth and the importance of leveraging supplier partnerships for better terms.00:05:08 How to Approach Payment Term NegotiationsLyden explains the importance of positioning negotiations as win-win and painting a long-term partnership vision.00:06:03 Building Trust and Presenting ValueAdvice on showcasing growth, expertise, and reliability to suppliers to secure better terms.00:06:48 Partnerships vs. TransactionsLyden illustrates the difference between transactional relationships and true partnerships with suppliers.00:08:08 Negotiating with New ManufacturersGuidance on starting negotiations with new suppliers and the importance of face-to-face interactions.00:08:36 Face-to-Face Negotiation & GuangxiExplains the concept of Guangxi (relationship) and how in-person meetings unlock better terms.00:10:01 Alternatives to In-Person NegotiationDiscusses insurance and financing options for payment terms, but stresses the value of direct negotiation.00:12:07 Preparing for Supplier MeetingsTips on creating effective presentations and understanding your cash flow before negotiating.00:13:01 Structuring Your Pitch to SuppliersHow to present growth, market access, and order forecasts to make your offer compelling.00:15:06 Handling Modest Growth ScenariosStrategies for negotiating when you can't promise large order increases, including leveraging competition.00:17:05 Leverage and Good Cop/Bad Cop TacticsUsing competitor quotes and internal “bad cop” strategies to strengthen your negotiation position.00:19:11 Common Supplier ObjectionsHow to handle supplier pushback, especially regarding their own cash flow limitations.00:20:39 Navigating Tariffs and Market UncertaintyImpact of tariffs and market changes on supplier willingness to offer terms, and the importance of ongoing relationships.00:22:16 Switching Suppliers for Better TermsHow to use established business volume as leverage when seeking new suppliers at trade fairs.00:24:06 Realistic Payment Terms to NegotiateTypical payment terms to aim for (e.g., 10% deposit, 90% at 90–120 days), and negotiation tactics.00:26:42 Advanced Payment Term StrategiesCreative solutions like suppliers borrowing to fund orders, and adjusting deposits versus days for compromise.00:29:00 Overcoming Language BarriersBest practices for communicating with suppliers, including using translators and clear, simple presentations.00:30:46 Managing Price Increases & Cost OptimizationApproaches to handling price hikes, currency fluctuations, and optimizing unit economics.00:33:44 Granular Supply Chain OptimizationDetailed strategies for reducing costs across packaging, shipping, and storage to maximize profitability.00:36:16 Negotiation Sequence: Terms Before PriceAdvice to always negotiate payment terms before discussing price reductions for maximum leverage.00:37:02 Immersing in Manufacturing & Continuous ImprovementEncouragement to understand the manufacturing process deeply and always ask “why” to uncover savings.00:38:07 Actionable Takeaways RecapHost summarizes three key actions: prioritize supplier relationships, negotiate terms before price, and show up in person.00:41:00 Book, AI Tool, and Influencer RecommendationsLyden shares his favorite book (Traction), AI tool (Alibaba's Accio), and e-commerce influencer (Kevin King).00:44:03 Contact Information & ClosingLyden provides ways to connect, and the episode concludes with closing remarks.Resources mentioned in this episode:Josh Hadley on LinkedIneComm Breakthrough ConsultingeComm Breakthrough PodcastEmail Josh Hadley: Josh@eCommBreakthrough.comTools and Websites  "

Preview for Later Today: Peter Huessy examines nuclear deterrence through the lens of the Cuban Missile Crisis and modern challenges. He highlights the necessity of providing adversaries alternatives to Armageddon and the critical role of US nuclear umbrellas.

The USMCA review is underway, with implications beyond tariffs. Our Head of U.S. Public Policy Research Ariana Salvatore breaks down the key issues shaping the road ahead.Read more insights from Morgan Stanley.----- Transcript -----Ariana Salvatore: Welcome to Thoughts on the Market. I'm Ariana Salvatore, Head of U.S. Public Policy at Morgan Stanley Research.Today, I'll be talking about the USMCA review – what happened on July 1st, what it means for North American trade, and how investors should be thinking about the road ahead. It's Friday, July 10th at 10am in New York. Last week, the six-year review deadline for the USMCA came and went. And as we'd anticipated, the U.S. declined to extend the agreement for another sixteen-year term. U.S. Trade Representative Greer stated that the U.S. did not agree to renew the USMCA in its current form, pointing to shortcomings and trade deficits with both Canada and Mexico, much of which echoed his testimony in front of Congress in December of last year. So, what happens next? This decision triggers an annual review process that could continue until the agreement's scheduled expiration in 2036. So, that means effectively the new deadline for negotiations is now July of 2027. And if we get to that point and see a similar outcome, this procedure repeats until the deal is terminated in 2036. Now, importantly, the agreement itself remains fully in force during this period. The current tariff regime, rules of origin, investment protections, and dispute settlement mechanisms are all unaffected for now. That's actually in line with the expectation that we laid out earlier this year. In short, we anticipated an outcome in which negotiations stall and the deal moves to annual reviews. We thought that was becoming more likely than an ambitious expansion of the agreement in its current form. That being said, there are some important implications of this outcome. First, we think North American trade is being reshaped by a transition from a rules-based framework – where tariff schedules and preferential access anchored trade decisions – toward a more discretionary, sector-specific approach tied to industrial policy objectives. That, of course, increases uncertainty around exemptions, sector treatment, and consequently investment decisions for corporates. Second, we think two bilateral deals may not be off the table. While it's still our base case that the trilateral framework remains intact, reporting seems to suggest that negotiations are progressing much more substantively with Mexico than with Canada. A third round of U.S.-Mexico negotiations is scheduled for the week of July 20th, while substantive text-based negotiations between Canada and the U.S. have not yet begun. That asymmetry could mean that bilateral issues between the U.S. and Mexico are resolved more easily, while outstanding frictions like Canada's dairy market quota system could prove to be an overhang in those bilateral talks. Third, the structural divergence between Mexico and Canada is accelerating, which is something my colleagues have highlighted in their recent work. If we think about Canada's manufacturing export base – autos, metals, machinery, energy, and transportation equipment – that actually overlaps with the areas that the U.S. government is increasingly defining as strategic. And therefore, necessitating more government involvement through, in things like Section 232 tariffs. Canada accounts for only a negligible share of U.S. imports across computers, semiconductors, communications equipment, and advanced electronics. Those are actually the sectors where Mexico has become deeply integrated, particularly through assembly and re-export activity linked to AI servers, electronics, and industrial hardware. Mexico now supplies roughly 35 percent of U.S. IT hardware imports and nearly 50 percent of U.S. server imports. And the North in particular has emerged as a vital interconnection hub between Latin America and the U.S. That's been driven by nearshoring trends, AI adoption, and multi-cloud strategies, as my colleagues Nik Lippmann and Fernando Sedano highlight. That means the scope and the objectives of the bilateral talks between the U.S. and Mexico and the U.S. and Canada may diverge even more from here. So where does that leave us? The USMCA is still intact, but the annual review process means North American trade policy is now a recurring negotiation, not yet a settled framework. And that will likely remain the case if policymakers agree next July to punt the issue yet another year. The primary risk, in our view, stems less from the possibility of a full USMCA collapse and more from the prolonged uncertainty around implementation details, sector-specific trade measures, and Section 232 tariffs. Thanks for listening. If you enjoy the show, please leave us a review wherever you listen and share Thoughts on the Market with a friend or colleague today.

Robert Feldman and Michael Gapen discuss how AI could reshape growth, labor markets and productivity in the U.S. and Japan.Read more insights from Morgan Stanley.----- Transcript -----Robert Feldman: Welcome to Thoughts on the Market. I'm Robert Feldman, Senior Advisor at Morgan Stanley MUFG Securities in Tokyo. Michael Gapen: And I'm Michael Gapen, Morgan Stanley's Chief U.S. Economist. Robert Feldman: Today, we'll discuss why the U.S. and Japanese economies may react differently to the AI productivity test. It's Thursday, July 9th at 8 pm in Tokyo. Michael Gapen: And 9 am in New York. Robert Feldman: AI is the biggest theme around the world right now, but AI will play out differently in different economies. Take the cases of the U.S. and Japan. In the U.S., it's already a catalyst in investment, imports, productivity, and the labor market outlook. But here in Japan, it's seen as a savior for an economy with an intense labor shortage, low unemployment, and very little room to raise labor force participation. Mike, in the U.S., AI's contribution to real GDP growth will rise from about 0.05 percentage points in 2024 to an estimated 0.43 percentage points in 2027. What does that mean for markets? Michael Gapen: Well, Robby, I think it, it means a number of things, but, you know, I'm an economist, so the answer is always, "It depends." I think the real crux of the issue over time in the U.S., and therefore what it means for financial markets, is ultimately whether AI is labor replacing – and pushes the unemployment rate higher. Or it acts like a more traditional general-purpose technology that's labor augmenting. So, if, that's the case, meaning it looks similar to the internet and digital era, then it would mean faster output growth, stronger productivity growth, but still an economy that's running at or near full employment. That would be very beneficial in our estimation for risk assets, equity markets, credit markets, and it would probably mean that we stay in an interest rate environment that's certainly higher than it was during the post GFC period. But if – AI is a very different technology than we've seen in the past, and it displaces labor, and we get increases in the unemployment rate as AI diffuses through the economy. Then it could be very different for markets. Maybe returns to capital and equity markets are supported, but that might be more narrowly for technology stocks and not broader, say, consumer discretionary stocks. So, the answer, of course, is it depends. We don't know. And I think, ultimately, we come down on the side of thinking that AI will not create dystopian outcomes in the labor markets, that employment will hold up. So, we have a fairly constructive view, perhaps an optimistic view. And we think, ultimately it'll benefit markets greatly, similar to what we saw from the mid-90s to the early 2000's. Robert Feldman: Well, in your model, you have a particular variable that captures the speed of diffusion. But your baseline has AI spreading twice as fast as the internet did. But without that rise of employment. Is that really manageable? And if it's not, what economic indicators would warn us, if we're crossing into the danger zone? Michael Gapen: This is really the tricky part as, as you know. We have a new technology. We have to model how it diffuses through the economy. And I would say I think there's an argument here that penetration rates and usage rates are very different than what economists think about diffusion, which is how the production process is reshaped because of this new technology. And so most economists look at the internet and digital era and think it took 20-25 years to fully diffuse. Mass penetration in maybe 10 years, but full diffusion in more like 20-25 years. And so, each innovation cycle tends to happen more rapidly. So, I do think AI will spread more rapidly. And even by saying it spreads twice as fast as the internet did still means that it'll take roughly a decade, maybe 10-12 years for this to fully diffuse. So, our argument here would be that that is enough time for a flexible economy and a flexible labor market, like we have in the U.S., to rebalance labor. But if we're wrong, then Robby, what I think you will see is that as AI rolls through, it diffuses faster. And what we would see then is increases in rates of job separation and layoffs that would overwhelm the labor market's ability to reallocate workers. So, I think we would see two things – or three things: scale layoffs, a rise in the unemployment rate, and probably a significant amount of underemployment. Those who get rebalanced may be rebalanced into work that's not, say, consistent with the skill of that worker. So, I think we would see a very disrupted labor market in the process. But if it takes a decade, maybe 10-12 years, we think ultimately the U.S. economy is flexible enough to rebalance labor without large scale layoffs. Robert Feldman: Now, people are afraid of a lot of things, but one other thing is that AI might create new kinds of jobs, new kinds of tasks, have different impacts on people's wealth, and different responses from policymakers as well. How do these knock-on effects change the AI labor story? Michael Gapen: Yeah. That's right. I think you make a very good point there that I think it's easy to fall into what an economist would call a partial equilibrium trap. So, for example, we look at occupations exposed to AI task replacement, and we say, "Wow, if all these tasks are replaced, we might lose 10 million workers or 20 million workers." But that's too simplistic, in our view. Because as you note, AI may destroy some tasks or replace some tasks, but it's also going to create new ones. So, it may eliminate some types of occupations but create others. And in addition, if people are, say, laid off because of AI, you get a loss in labor market income for the economy. But AI will likely create returns to capital, say, stronger equity performance, and that's an indirect wealth effect. So, our model kind of, looks at, say, three wedges or three horse races in the economy then. It's about the speed of diffusion of AI against the ability of the labor market to rebalance. It's task destruction or task replacement versus new task creation. And then third, it's we might have weakness in labor market income in the short run, but there are indirect wealth effects. So, thinking about it this way in a richer general equilibrium context, these feedback effects matter a lot. So, the combination of if the labor market's disrupted, we get easing in monetary policy, maybe a fiscal response. There are new tasks, new jobs that are created for workers to rebalance to over time. And overall demand in the economy gets held up because wealth effects can offset some lost income. All of that is extremely important in our view that ultimately the U.S. economy can rebalance and handle the AI diffusion in a manageable way. We could be wrong, of course, but our main point here is you have to think about this in a richer context. You can't just simply, say, stack up workers and occupations and say, "Oh, we're going to lose a lot of employment." That's not the way innovation waves have worked in the past. We don't think they're going to work that way in the future. Robert Feldman: Mm-hmm. That's fascinating because the situation in the United States is so different from that in Japan, largely because of the demographic situation. Here in Japan, the key element is how much AI can ease the labor shortage. In fact, in some labor-intensive jobs now, we're seeing 6 percent wage increases, and that's great. As long as productivity rises fast enough that price hikes aren't necessary. Michael Gapen: So Robby, in your scenarios for Japan, the same 10 percent productivity gain can lead to very different outcomes. Deflation and weaker employment in one case. More inflation, higher wages, and more employment in another. What do you think drives the difference? Robert Feldman: Mm-hmm. Well, the crucial element really is the flexibility of goods and labor markets. With high flexibility, you get higher GDP, higher employment, and moderate inflation. With low flexibility, you may get a bit higher GDP, but employment plunges, and there's deflation of both prices and wages – more in wages. Now, in Japan, over the last two decades, we've seen monopoly power in key markets go down. For example, agriculture and energy. Labor markets are more flexible too, but lifetime employment system still applies to about two-thirds of the economy. And that deters people from trying to find better jobs and even from acquiring the skills needed for a new job. Michael Gapen: What conditions are needed for AI to be additive to Japan's economy? Robert Feldman: We need more reskilling. Japan is lucky because people are healthy, and they want to work into their 70s and beyond. But acquiring the skills to remain productive is a challenge, even though Japan's workforce is well-educated and still has a strong work ethic. So, to sum up, in the U.S., the race is between diffusion and absorption. But in Japan it's between labor scarcity and productivity. Is that fair? Michael Gapen: It is fair, and we come down on the side of optimism. We think diffusion will happen fast, but it'll happen at a pace that the U.S. economy can handle. So, we come down having a positive view overall. We do not lean in the direction of dystopian labor market outcomes. Robert Feldman: Mm-hmm. I agree with that as well for Japan. So, Mike, thanks for taking the time to talk. Michael Gapen: Great speaking with you, Robby-san. Robert Feldman: And thanks for listening, everyone. If you enjoy Thoughts on the Market, please leave us a review wherever you listen and share the podcast with a friend or colleague today.

I said in episode 604 that if you wanted my other 6 suggestions, I would do a follow up show! You told me this is what you wanted, so this time I give you six MORE wine regions that make very expensive wines and then provide ideas of less expensive bottles that you could sub in when you don't want to splurge. From Châteauneuf to Brunello I give you some ideas that hopefully you hadn't considered!  The wines I find alternatives for (you'll have to listen to hear the wines I recommend as "dupes"): Châteauneuf-du-Pape Grosses Gewachs Riesling (I tell you what it is

Our Global Head of Fixed Income Research Andrew Sheets outlines what could potentially go wrong and disrupt markets' optimism this summer.Read more insights from Morgan Stanley.----- Transcript -----Welcome to Thoughts on the Market. I'm Andrew Sheets, Global Head of Fixed Income Research at Morgan Stanley. Today, discussing three things that could disrupt a quiet summer. It's Wednesday, July 8th at noon in New York. As markets turn the page toward the second half of the year, there are lots of reasons for optimism. Global growth remains solid. Earnings growth is strong, and broadening across more companies. Capital markets remain open and deal activity is robust. We continue to think that the best analogy for current conditions is something like 1997 through 1998 or 2005 through 2006 – periods where corporate aggression was increasing, and had further to go, leading to equities outperforming credit. Even more immediately, July also happens to be one of the best months of the year for markets. And while one should never base their entire investment strategy on how far the earth has travelled around the sun, this month has been the best month for the U.S. High Yield returns, by far, over the last 15 years. The last time the S&P 500 fell in the month of July was 2014. So given all that, what could go wrong? Well, here are three things that are on our mind. First, a key part of our most optimistic view is that U.S. inflation will be lower than the Federal Reserve expects in the second half of this year, leading them to leave interest rates unchanged, rather than raise rates as the market expects. The risk is that this assumption is just wrong, perhaps soon. There is certainly an argument that, if the Fed is worried about inflation, it shouldn't wait to act, and the market is currently placing roughly 1-in-3 chance that the Fed hikes rates on July 29th. If that happens – and again, our base case is it does not – it could drive volatility. Second is earnings season, which kicks off next week. While the general trend of earnings is important, the bigger focus is likely to be on the results of large U.S. tech companies, and in particular, how much they plan to spend building out AI infrastructure. Over the last several quarters, almost like clockwork, these spending estimates have been revised higher and higher. And that has helped boost confidence in AI – as the spending is a sign that the technology holds promise – as well as boosting the broader earnings outlook; since all of this spending is becoming other company's revenue. Our base-case remains that this AI spending cycle has further to run, with capex from the major U.S. hyperscalers rising from over $800bn of spending this year to roughly $1.2 trillion of spending next year. But the risk would be that second quarter earnings now show more hesitation to spend, maybe because the share prices of some of these big spenders have been recent underperformers. And given how much the current growth and earnings story is linked to AI, and how popular AI exposure is with investors, that would create a risk. Finally, there's Iran. Our base case assumes a gradual renormalization of flows through the Strait of Hormuz, and we forecast Brent oil at about $75/bbl in 12 months time, which is pretty similar to current levels. But as of this recording there were reports of renewed hostilities, and the ceasefire may be fragile. The U.S. has already drawn down its Strategic Petroleum Reserve to its lowest-ever levels, potentially reducing some ability to absorb shocks if the conflict re-escalates. Historically, July tends to be strong, and markets have a number of helpful tailwinds at their back. But an unexpected rate hike, an unexpected reduction in Hyperscaler Capex, and a resumption of the Iran conflict are three factors that are not in our base-case – and could disrupt that. Thank you, as always, for your time. If you find Thoughts on the Market useful, let us know by leaving a review wherever you listen. Also tell a friend or colleague about us today.

385: If you suffer with back pain, spinal pain, headaches, or even digestive issues, this episode unpacks what may be the cause and CURE for your pain. I sit down with Dr. Amir Vokshoor who is a spinal surgeon who takes a Holistic Approach to Spinal Care. He performs disc replacements for his patients BUT always tries to make surgery his last resort when it comes to fixing spinal, neck, and back pain. We discuss the connection between digestive issues and the spine, headaches and the immune response due to cervical issues, if your pain is caused by trauma and how past trauma is deeply connected to the spine, and so much more. Dr. Vokshoor also shares supplements that can help as well as the best way you should sleep if you have back pain. And I also share some personal experiences and my take on healing but I also have to say I learned something new today and that's what I love about hosting this podcast is that I get to sit down with experts and continue learning new things about the body and get to share them with you!   Topics Discussed: → Spinal disc replacement surgery → Who can benefit → Alternatives for spine surgery → Best way to sleep for your back → Why the mind plays a bigger role than we realize → What to expect after surgery → The connection with past trauma and pain → The vagus nerve → Supplements to support As always, if you have any questions for the show please email us at digestthispod@gmail.com. And if you like this show, please share it, rate it, review it and subscribe to it on your favorite podcast app.  Sponsored By:  → Kasandrinos | Go to https://www.kasandrinos.com/digest and use code DIGEST for 25% off → Manukora | Head to ⁠https://manukora.com/DIGEST⁠ to save up to 31% plus $25 worth of free gifts with the Starter Kit, which comes with an MGO 850+ Manuka Honey jar, 5 honey travel sticks, a wooden spoon, and a guidebook! Timestamps:  → 00:00:00 - Introduction → 00:03:40 - Meet Dr. Amir Vokshoor → 00:06:15 - The connection between your spine & gut health → 00:08:40 - When abdominal pain starts in the spine → 00:13:30 - Trauma, chronic pain & the nervous system → 00:17:56 - The vagus nerve & neuromodulation → 00:22:00 - When your neck is causing your headaches → 00:23:44 - A holistic approach to treating spine pain → 00:26:38 - Artificial disc replacement vs. spinal fusion → 00:31:34 - Who is a good candidate for disc replacement? → 00:37:50 - Why mindset impacts healing & recovery → 00:40:45 - The Brain Spa & preparing for surgery → 00:47:42 - Chiropractic care & integrative medicine → 00:52:44 - The best sleeping position for spinal health → 00:53:40 - Can your spine affect your immune system? → 00:58:22 - Exercise mistakes that can lead to injury → 00:59:56 - Where to find Dr. Amir Vokshoor  Further Listening: → Why Exercising Causes Gut Issues + How the Elemental Diet Can Help IBS | Dahlia Marin Check Out Dr. Amir Vokshoore: → https://drvokshoor.com/  → https://nsg-la.com/amir-vokshoor-md-spine-brain-surgeon/  → Instagram → Supplement line → Brain Spa Check Out Bethany: → Bethany's Instagram: @lilsipper → YouTube → Bethany's Website → Discounts & My Favorite Products → My Digestive Support Protein Powder → Gut Reset Book  → Get my Newsletters (Friday Finds) Learn more about your ad choices. Visit megaphone.fm/adchoices

The invisible threat moms can't wash off

The biggest AI stocks have had a remarkable run – but questions still remain. Our Head of Americas Specialty Sales, Thomas Wigg, speaks with Global Head of Thematic and Sustainability Research Stephen Byrd and Global Head of Public Policy Research Ariana Salvatore about the competition and durability of the investment cycle.Read more insights from Morgan Stanley.----- Transcript ----- Thomas Wigg: Welcome to Thoughts on the Market. I'm Tom Wigg, Morgan Stanley's Head of Americas Specialty Sales. Stephen Byrd: I'm Stephen Byrd, Morgan Stanley's Global Head of Thematic and Sustainability Research. Ariana Salvatore: And I'm Ariana Salvatore, Morgan Stanley's Head of Public Policy Research. Thomas Wigg: Today, the rally in AI CapEx beneficiaries has taken a breather in recent weeks on concerns of competition from open-source models, backlash to token-maxxing, and growing political opposition to data center builds. It's Tuesday, July 7th at 10am in New York. Let's start with you, Stephen. There's a lot of discussion recently around a backlash at token-maxxing. Essentially, enterprises trying to curtail their high spending on AI tokens from the frontier labs, and, in many cases, shifting to cheaper open-source China models. Can you first offer some perspective here on the value of tokens for enterprises? I know you have a popular token factory model that walks through the economics of agents. Stephen Byrd: Yeah, Tom, we do have this model that really walks through token economics, both from the adopter side as well as the hyperscaler side. So, let's do the adopter side. So, there's a study out that shows a whole range of enterprise use cases of AI, and the average single use case that they identify would save a company about $55 or provide that much benefit. And while we don't know exactly how many tokens it will require, we can make some educated guesses as to a typical token usage to achieve that $55 outcome. And we know that a typical American model, though this varies a lot, you can think of as the cost per million tokens being in the range of $5 per million. Some will be lower, some will be higher. So, for a few dollars of token cost, an enterprise can generate benefit of $55. So that doesn't make me overly concerned about token spend and concerns about token-maxxing. I know we're going to get into that, but the foundation here is really good in the sense that enterprise use cases are very much in the money. Thomas Wigg: How do you think market share ultimately shakes out on tokens? Do the cheaper models overtake the frontier AI labs? Do tokens bifurcate based on the complexity of workloads? How do you think this plays out? Stephen Byrd: What we continue to see is this relentless pace of innovation and cost reduction. So, the frontier keeps going out – meaning model capabilities continue to increase, and, with that, we see enterprise adoption growing quite a bit. Long way to say there is a role for both the frontier as well as these open-source models, and we'll continue to see both flourish. What I see is a lot of tokens will be spent on open-source models. A lot of the value will be in the higher end models because that's where enterprises are going to go. Let me give you an example. I was speaking with one of our programmers about a recent project, and he used a very high-end coding tool, an American coding tool. And for him, that incremental cost of the tokens was very much worth it. And here's a very practical example as to why it makes sense for many enterprises to use the higher end models. If a coding tool gets one of the thousands of lines of code wrong, the cost to remediate is very, very high. In other words, that incremental cost – in this example I'm thinking of, it's a few dollars incremental cost – is so worth it because if the quality is not there, the cost to any enterprise to go back and remediate is so high. And that's true in a lot of enterprise use cases, but not in every use case. And what we are seeing is these open-source models that are cheaper will be very good for a variety of more mundane use cases that are still very valuable. That said, what we've seen in data from places like OpenRouter is dollar-weighted, meaning valued by enterprise spend, the vast majority is still the proprietary models. But even within proprietary models, we could have more expensive and less expensive models. You do not need to go to the frontier. Where I come out on all this is that I'm very confident that the demand for compute is going to exceed the supply. What is difficult to exactly know is who are the winners, what is the exact mix. But the fundamentals of the demand for compute look extremely strong. Thomas Wigg: So, I think you just gave me the answer, but I do want to bring this all back to AI CapEx. Now, last year, when the market sold off on Deep Seek concerns, the concept of Jevons paradox ultimately prevailed, where the cheaper pricing led to even greater demand and CapEx went higher.Do you think the same plays out here? Stephen Byrd: It does look that way very much. And the Jevons paradox dynamic is what we still see today in the sense that as the models get better, what we can do with the models increase, the cost of tokens will keep dropping, the cost of compute will keep dropping.But let's talk about what might derail that, just to make sure we're thinking about all the risks. If somehow commoditized models could perform at the same level as proprietary models in all situations, then I would feel differently. But I don't see that. What I see is that these newer models really do have capabilities that are fairly breathtaking and that are worth that extra money. But if somehow, we hit a wall where these models aren't getting better and therefore the sort of the open models are going to catch up, then I'd feel differently about that. This is where Ariana will, will come in in terms of policy and, you know, this comes up a lot when we think about U.S. versus China. How do we think about, you know, access to different models? How do we think about the cost of different models? What about the risk of appropriation of capabilities by the Chinese firms, for example? That comes up a lot in policy circles. But the base case that I have is this just looks more like Jevons paradox, and there's going to be continued innovation, continued reduction in the cost of producing these services from these models. That looks like more of the same. Thomas Wigg: Let's shift to Ariana to talk about the political angle here. The cover of Barron's over the weekend was a guy wearing a no data centers T-shirt. And this does seem to be one of the few bipartisan issues of agreement heading into the midterms.The stat that the article gave was that 75 data center projects worth $130 billion were blocked or delayed in 1Q26, which is equal to the total number for 2025. This is according to Data Center Watch. Now, most of this is in blue states like New York, Michigan, Illinois, Minnesota considering a statewide moratorium, but you're also seeing Pennsylvania, Arizona, Ohio, parts of Texas restricting tax incentives here. So as this gets louder into the midterms, how do you think this plays out? Ariana Salvatore: So, this is definitely one of the big wedge issues, not just for the midterm elections, but for 2028. And to your point, it's expanding into something that's got bipartisan momentum behind it. Our view is that as long as the Trump administration is in power, something like a federal ban is unlikely to come to fruition. That's because we think the administration is still broadly supportive of the AI data center build-out. And I think even if you were to see a Democrat in office further down the road, that position is the same. And the reason is, it's just too difficult to imagine the U.S. giving up that strategic imperative relative to China. So, while it is true that voters are against AI, while it is true that you are seeing these sorts of local efforts pick up steam, it's also the case that China is accelerating its own AI build-out – not just domestically, but around the rest of the world too. It's also the case that they are kind of tweaking some export restrictions on inputs for some of these data centers, and those geopolitical realities, I think, are hard to ignore. So, at the end of the day, there is a broader strategic imperative here that both Democrats and Republicans kind of recognize and get behind. Now, what does that mean in the near term for the build-out? I think it's not that you're going to see a real pushback or moratorium so much as a conditional build-out.That means you're going to see data centers have to incorporate things like grid modernization in their contracts, agree to longer term investments, for example. Do something that benefits the communities or give it back in some way. And I think that's kind of the policy trajectory in addition to the administration continuing to lean on tech companies to basically, you know, square the circle here and find some way to make this more affordable for, you know, local constituents. Thomas Wigg: Stephen, let me get your take on this too, because I know you live in the D.C. area, and you have a lot of political conversations like you referenced earlier. How do you think this plays out? Is it a red state versus blue state dynamic? And if what Ariana says comes to fruition, where it's a conditional build-out in terms of either giving back to the community or ensuring certain prices or certain technologies behind the meter, in front of the meter, does that have implications for certain areas of the market? Stephen Byrd: Yeah. First, I think Ariana's points were all spot on. I just want to, kind of, build on that and, and dive into it a little more detail. A few things. The politics are, from my perspective, not being the expert that Ariana is, I find them a little strange – in the sense that at the federal level, we have one dynamic, and at the state and local level, we have a bit of a different dynamic. And what I mean by that is, at the federal level, I think it's becoming increasingly clear just how geopolitically important AI supremacy is. As these models get more capable, I think it's pretty clear that the Trump administration really sees just how potent these tools are from a geopolitical point of view. So that points in the direction of wanting to support AI and wanting to ensure that the United States has a leading and dominant position in terms of AI capabilities. Pause there, and then go to your point about, sort of, the local and state level. Building on what Ariana said, what I see are basically two approaches to data center development. In states where the utility is vertically integrated, meaning they control everything, like Louisiana, I do see a path where – in those kinds of states where the politics are a bit more favorable – you could develop a data center connected to the grid, where the data center developer is paying full freight and then some. Meaning that they are providing back to the community, they're providing sort of net benefits, and there should be plenty of capital to make that work and really support all constituents. That can work – in a state where the politics work – because utilities are really weather vanes from a political point of view. So, if their state supports data center development, they will more likely support a data center development. The other approach, though, in many states, whether it's deregulated or it's in a state where the politics are a little less favorable. Which, to your point on the cover of Barron's, it's a lot of states, what I'm increasingly seeing is that the developers are going to go off grid. And they just don't want to show any impact to the community that could be considered negative. So, no use of water, no use of power, and hopefully have a, you know, low or zero emissions profile to show no impact at all. Even then, you want to give back to the community. But the view there is, look, we want to sidestep all of these concerns that we might be causing impacts to the grid by just not being connected. So, I think we're going to see a whole lot of off-grid data center projects. That's mostly natural gas turbines and fuel cells, that general approach. Energy storage will be required in a big way. That's not easy to do. So, in the context of delays there, the Bitcoin players who do have grid access today are clearly seeing a lot of demand for their products. So, I would say politics is now a huge issue that's showing up. The other thing I'd flag is often local communities and states are rejecting projects and using permit requests as a way to do that. So, for example, if your data center needs an air permit because your turbines are going to emit some kind of an, you know, sulfur dioxide, et cetera, into the air, you can run into trouble there. If your data center requires water and you need a water permit, you can run into trouble. So, that's causing these developers to try to find approaches that really minimize or eliminate the need for those kinds of permits. Thomas Wigg: Stephen and Ariana, thank you for taking the time. And to our audience, thank you for listening. If you enjoy Thoughts on the Market, please leave us a review wherever you listen to the show and share the podcast with a friend or colleague today.*****Tom Wigg is a member of Morgan Stanley's Institutional Equity Division and is not a member of Morgan Stanley's Research Department. Unless otherwise indicated, his views are his own and may differ from the views of the Morgan Stanley Research Department and from the views of others within Morgan Stanley.