Market Minute: Spotify Announces Layoffs, Feds Seize Millions from FTX Founder & Egg Smuggling
Here is a rundown of Cheddar News' top market stories of the day.
SPOTIFY LAYOFFS
Spotify has announced plans to cut around 6 percent of its workforce, placing the music streaming service among other tech firms that have made layoffs in recent weeks, including Microsoft, Amazon, and Google parent company Alphabet. The number of positions potentially on the chopping block is not yet clear. Many tech firms have cut between 5 and 10 percent.
FED'S FTX SEIZURE
Disgraced crypto executive Sam Bankman-Fried's fortune is rapidly dwindling, as federal regulators seized more than $600 million of his assets this month. The forfeitures are related to the federal government's criminal case against Bankman-Fried, who faces charges of fraud and conspiracy — though he has pleaded not guilty. The most recent seizure was a whopping $95 million from an account held at Silvergate Bank.
CITADEL PROFITS
Hedge fund Citadel reported a record $16 billion in profits for clients in 2021. That is the biggest annual return for a fund manager since John Paulson made $15 billion in 2007 betting against the subprime mortgage market, and perhaps one of the biggest plays in Wall Street's history. The sky-high profits came as hedge funds overall underperformed amid 2022's bear market.
EGG SMUGGLING
Customs and Border Protection officials are reporting a surge in egg smuggling from Mexico — with U.S. egg prices up 60 percent in December from 12 months earlier. Smugglers are risking thousands of dollars in fines just to bring eggs, which cost around $3.40 for a 30-count carton in Mexico, compared to as much as $7.37 for just a dozen in America.
AI is reshaping investigations. Longeye CEO Guillaume Delepine shares how their AI workspace empowers law enforcement to uncover insights faster and smarter.
Stephen Kates, Financial Analyst at Bankrate, joins to discuss the Fed’s 25-basis-point rate cut, inflation risks, and what it all means for consumers and marke
Big tech earnings take center stage as investors digest results from Alphabet, Meta, Microsoft, Amazon, and Apple, with insights from Gil Luria of D.A. Davidson
Disney content has gone dark on YouTube TV, leaving subscribers of the Google-owned live streaming platform without access to major networks like ESPN and ABC. That’s because the companies have failed to reach a new licensing deal to keep Disney channels on YouTube TV. Depending on how long it lasts, the dispute could particularly impact coverage of U.S. college football matchups over the weekend — on top of other news and entertainment disruptions that have already arrived. In the meantime, YouTube TV subscribers who want to watch Disney channels could have little choice other than turning to the company’s own platforms, which come with their own price tags.
President Donald Trump said he has decided to lower his combined tariff rates on imports of Chinese goods to 47% after talks with Chinese leader Xi Jinping on curbing fentanyl trafficking.
Universal Music Group and AI platform Udio have settled a copyright lawsuit and will collaborate on a new music creation and streaming platform. The companies announced on Wednesday that they reached a compensatory legal settlement and new licensing agreements. These agreements aim to provide more revenue opportunities for Universal's artists and songwriters. The rise of AI song generation tools like Udio has disrupted the music streaming industry, leading to accusations from record labels. This deal marks the first since Universal and others sued Udio and Suno last year. Financial terms of the settlement weren't disclosed.
