WELCOME TO OUR

WEEKLY NEWSLETTER

we're so glad you're here!

What you’ll read?

• CFPB Limits Overdraft Fees to Save Consumers $5 Billion Annually.

• Health-Care Stocks Drop Amid Bipartisan Push to Regulate PBMs.

• Today in AI & Tech

• Rams Edge 49ers in Defensive Battle, Tighten NFC West Race.

  and more…

BUSINESS

Costco Reports Strong Quarterly Results with Rising Sales and Membership.

Costco surpassed Wall Street’s expectations for earnings and revenue, driven by a 13% rise in e-commerce and increased sales in categories like jewelry, luggage, and furniture. Membership revenue grew 8% year over year, with renewal rates at 90.4%. Despite inflation easing, customers remained selective but spent more on quality and value, as seen in the robust sales of fresh produce and meats. The company also saw record-breaking sales in its bakery division and strong performance in private-label products like Kirkland Signature. Shares have surged nearly 50% this year, outperforming the S&P 500.

Flushing Financial Plans $70M Capital Raise Amid Real Estate Challenges.

Flushing Financial aims to raise $70 million by selling low-yielding bonds and loans backed by commercial real estate, likely incurring losses and requiring a stock sale at $15-$15.50 per share. The bank, impacted by higher interest rates, faces pressure to bolster capital, following trends in the community banking sector. Flushing’s shares are up 5% this year, lagging the KBW Regional Banking Index's 18% gain.

CFPB Limits Overdraft Fees to Save Consumers $5 Billion Annually.

The CFPB finalized a rule capping overdraft fees at $5 or requiring banks to disclose interest rates, aiming to reduce Americans' costs by $5 billion yearly. While banks have already cut back on such fees, the rule, effective October 2025, faces opposition from banking groups citing reduced access to liquidity. Legal challenges against the regulation have already begun, reflecting industry pushback against Biden-era policies on financial practices.

Health-Care Stocks Drop Amid Bipartisan Push to Regulate PBMs.

Shares of UnitedHealth, Cigna, and CVS fell over 5% after bipartisan legislation proposed breaking up pharmacy benefit managers (PBMs) due to alleged profit-driven drug cost inflation. The bill mandates divestiture of pharmacy businesses within three years, citing conflicts of interest. The FTC has been investigating PBMs since 2022, intensifying scrutiny of their role in the U.S. drug supply chain.

TECH

Today in AI & Tech

Google's Quantum Chip "Willow" Marks Milestone in Computing.

Google has unveiled its quantum chip, "Willow," which can solve problems in five minutes that would take traditional supercomputers 10 septillion years. While Willow represents a breakthrough, experts caution that practical, large-scale quantum computers are still years away. The chip showcases significant progress in error correction, a major challenge in quantum computing, and holds promise for future applications in fields like drug development and nuclear fusion. However, experts urge caution in overstating its current capabilities.

New AI-driven Email Security Startups Challenge Industry Giants.

Email security is evolving as AI-driven startups like Sublime Security, Abnormal Security, and Material Security gain momentum. These companies offer next-gen solutions that outperform traditional providers like Proofpoint and Mimecast, leveraging AI to detect and prevent increasingly sophisticated attacks. Despite their smaller scale, these startups are challenging incumbents by providing better protection against threats missed by larger firms.

OpenAI's ChatGPT and Sora Services Resume After Brief Outage.

OpenAI's ChatGPT, Sora video generator, and developer tools resumed functioning after a brief four-hour outage. With 300 million weekly active users and new integrations in Apple’s latest software updates, OpenAI continues its rapid growth. Despite the downtime, the company remains valued at $157 billion following major investments from Microsoft and Nvidia.

Other

Potential U.S. Aid Cut to Ukraine Sparks Concerns Over European Support.

Following Donald Trump’s election and Republican control of Congress, the U.S. might reduce Ukraine aid, raising concerns about the ongoing conflict. While Europe, Ukraine's largest donor, could fill the gap using tools like frozen Russian assets, analysts warn that delays in aid could critically harm Ukraine’s defense. A lack of sufficient support might risk Ukraine’s collapse by 2026.

FBI and DHS: Mysterious New Jersey Drone Sightings Pose No Threat.

The FBI and DHS reported no evidence linking recent drone sightings in New Jersey to national security threats or foreign actors. Most sightings were found to involve manned aircraft operating lawfully, with no drones confirmed in restricted airspace. Investigations continue into reports of larger drones near sensitive locations.

Meta Donates $1M to Trump’s Inaugural Fund, Marking a Shift.

Meta Platforms has contributed $1 million to President-elect Donald Trump’s inaugural fund, a move that diverges from CEO Mark Zuckerberg’s previous neutrality. Though Zuckerberg refrained from endorsing Trump or Biden, he has recently sought to appeal to conservative users. Relations between Trump and Meta remain strained, following accusations of content suppression and Trump’s suspension after the Capitol riots.

Rams Edge 49ers in Defensive Battle, Tighten NFC West Race.

The Los Angeles Rams defeated the San Francisco 49ers 12-6, sweeping the season series and securing a three-game winning streak. Now at 8-6, the Rams trail the division-leading Seahawks (8-5) by just half a game, while the 49ers (6-8) fell to last place in the NFC West, jeopardizing their playoff chances.

DOJ Charges North Koreans in $88M IT Job Scam Targeting U.S. Firms.

The DOJ indicted 14 North Koreans for using false identities to secure IT jobs at U.S. companies, violating sanctions and generating $88M between 2017 and 2023. The conspirators, linked to North Korean front companies in China and Russia, face charges including wire fraud and identity theft, with potential prison terms of up to 27 years. They allegedly funneled earnings to North Korea while stealing sensitive data and extorting employers. The State Department is offering a $5M reward for information on the case..

It's a Wrap!

Thank you for joining us in this journey through the latest updates and insights. Your engagement and support mean the world to us. We hope you found this newsletter both informative and inspiring. Stay tuned for more exciting news and stories in our next edition.

P.S. Don't forget to share this newsletter to your friends & colleagues for real-time updates and exclusive content. We love hearing from you, so feel free to reach out with your thoughts and feedback!

Warm regards,
Sarah