Good Morning! Palantir joined the $200 billion club after its stock ripped 24% yesterday on blockbuster earnings. Meanwhile, Google missed expectations and fell 7% after hours.

Musk’s DOGE team’s access to Treasury records is stirring controversy. Waffle House is feeling the squeeze from "egglation." Citi is sticking to hybrid work, making it one of the few banks to do so. And Super Bowl ticket prices are plummeting just days before the big game.

Plus: when to hold winning investments and when to sell, and 7 ways to overcome awkwardness in conversations.

Upgrade your portfolio with private credit—start investing with Percent today.

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a16z Adds 'Hands-On' Diligence

In a move that's turning heads across Silicon Valley and beyond, venture capital powerhouse Andreessen Horowitz (a16z) has appointed Daniel Penny, a Marine Corps veteran recently acquitted in a high-profile legal case, as a partner within its American Dynamism team.

Penny's appointment comes on the heels of his December 9, 2024, acquittal on charges of criminally negligent homicide related to the May 2023 subway incident involving Jordan Neely. The case ignited nationwide debates over public safety and individual intervention.

David Ulevitch, General Partner at a16z, lauded Penny's actions during the incident, stating, "I believe, as I know many of you do, that Daniel acted with courage in a tough situation." He emphasized the firm's holistic evaluation approach, noting, "It has always been our policy to evaluate the entire person and not judge them for the worst moment in their entire life." 

In his new role, Penny will operate out of Manhattan, focusing on investments in government and defense technologies. His responsibilities include strengthening a16z's relationships with the Department of Defense and public safety sectors.

The American Dynamism practice at a16z is dedicated to supporting companies that advance national interests across sectors like aerospace, defense, public safety, and manufacturing.

The hiring has garnered attention from political figures, with Vice President JD Vance expressing his approval by posting "Incredible news" on X.

Takeaway: Andreessen Horowitz’s latest hire proves they’re not just investing in startups, they’re investing in people who can handle high-pressure situations, whether it’s a boardroom deal or a packed subway car. If resilience is the name of the game, Penny’s already had a trial by fire (and jury).

_{PRESENTED BY PERCENT}

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_HEADLINES

Top Reads

• Palantir becomes a $200B company after strong earnings (CNBC)

• Alphabet shares drop as much as 9% on revenue miss (CNBC)

• Job openings hit lowest level since September (YF)

• Trump says US ‘will take over’ Gaza (CNN)

• Musk team's access to Treasury records raises a row (Axios)

• AI firm Anthropic bans AI in job applications (Gizmodo) 

• Citi sticks to hybrid working schedule (YF)

• Chipotle downplays Trump tariffs, says only half avocados from Mexico (CNBC)

• Apollo builds $5 billion multi-strategy fund (YF)

• Why some conservatives oppose a sovereign wealth fund (Axios)

• Apollo raises record from private wealth as credit lures clients (BB)

• How Trump's tariffs closed the loophole used by Chinese retailers (Fox)

• Super Bowl tickets are plummeting (CNN)

• Match Group’s fate hinges on Tinder (WSJ)

• Why Bank of America CEO is not concerned about a recession (YF)

_{CAPITAL PULSE}

Markets Rundown

Markets Rebound as Tariff Uncertainty Eases, Economic Data Supports Growth

U.S. equity markets closed higher on Tuesday, rebounding from Monday’s tariff-driven volatility.

President Trump announced a one-month delay on 25% tariffs for Canada and Mexico, while a 10% tariff on Chinese imports took effect overnight, prompting China to retaliate with tariffs on U.S. exports, set to begin on February 10.

Despite trade uncertainties, technology and energy stocks led market gains, while defensive sectors underperformed.

Bond yields declined, with the 10-year Treasury yield at 4.5%, following weaker-than-expected JOLTS job openings data, which fell to 7.6 million in December.

Economic data remained supportive, as the ISM Manufacturing PMI rose to 50.9, marking the first expansion in over two years, with new orders hitting their highest level since May 2022.

While trade tensions persist, a resilient labor market and improving manufacturing activity provide a strong foundation for continued economic growth.

Movers & Shakers

• (+) Palantir ($PLTR) +24% after the software company reported strong earnings and outlook.

• (+) Spotify ($SPOT) +13% after the streamer reported earnings; its first year of profitability.

• (–) PayPal ($PYPL) -13% because of a growth slowdown in card processing.

Private Dealmaking

• StackAdapt, a programmatic ad platform, raised $235 million

• Solaris, a neobanking startup, raised $145 million

• Hidden Level, a drone defense startup, raised $65 million

• Echo Neurotechnologies, a brain implant startup, raised $50 million

• Decipher, a digital pathology startup, raised $34 million

• Archive, an online resale platform, raised $30 million

For more PE, VC & M&A deals, subscribe to our Buysiders newsletter.

_{BOOK OF THE DAY}

Power Metal

An Australian millionaire’s plan to mine the ocean floor. Nigerian garbage pickers risking their lives to salvage e-waste. A Bill Gates-backed entrepreneur harnessing AI to find metals in the Arctic.

These people and millions more are part of the intensifying competition to find and extract the minerals essential for two crucial technologies: the internet and renewable energy.

In Power Metal, Vince Beiser explores the Achilles’ heel of “green power” and digital technology – that manufacturing computers, cell phones, electric cars, and other technologies demand skyrocketing amounts of lithium, copper, cobalt, and other materials.

Around the world, businesses and governments are scrambling for new places and new ways to get those metals, at enormous cost to people and the planet.

Beiser crisscrossed the world to talk to the people involved and report on the damage this race is inflicting, the ways it could get worse, and how we can minimize the damage. Power Metal is a compelling glimpse into this disturbing yet potentially promising new world.

“The powerful ways the metals we need to fuel technology and energy are spawning environmental havoc, political upheaval, and rising violence — and how we can do better.”

_{DAILY VISUAL}

Spotify's Epic Turnaround

_{PRESENTED BY HIIVE}

Liquid Stock Lifts Career Satisfaction

For years, private companies have locked employees into “golden handcuffs,” preventing them from accessing the value of their equity before an exit event. But that’s changing.

According to Hiive’s recent survey of tech workers on Blind, employees at companies offering regular or periodic liquidity rated their employers higher across every metric—career satisfaction, retention, and overall engagement.

By contrast, workers without access to liquidity are far more likely to search for new opportunities.

The solution? Measured, ongoing liquidity programs that unlock equity value, improve retention, and increase the perceived value of compensation.

Read more in the report: Why Liquidity Matters: Motivating Tech Talent in a Constrained Economic Environment.

_{DAILY ACUMEN}

Snowball Effect

Have you ever wondered why some people seem to accumulate wealth effortlessly? The answer lies in the snowball effect, a concept popularized by Charlie Munger, vice chairman of Berkshire Hathaway.

According to Munger, getting your hands on the first $100,000 is crucial, as it creates a momentum that can propel you toward financial freedom.

As Munger so bluntly put it, "Find a way to get your hands on $100,000. The first $100,000 is a b*tch, but you gotta do it. I don't care what you have to do. If it means walking everywhere and not eating anything that wasn't purchased with a coupon, find a way to get your hands on $100,000."

The snowball effect works by leveraging compound interest to grow your investments exponentially. As your wealth grows, so does the rate at which it generates more wealth. This means that the sooner you reach $100,000, the faster you'll reach the next milestone.

So, how can you harness the power of the snowball effect? Start by prioritizing saving and investing, and explore alternative paths to wealth creation. With discipline, patience, and the right strategy, you can unlock the snowball effect and achieve financial freedom.

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Short Squeez Picks

• When to hold winning investments and when to sell

• 3 texts people with incredible social skills send

• A retirement expert details the highest single correlation to success

• Why makers and managers view meetings different

• 7 ways to stop feeling awkward in conversations

• Pair your morning coffee with The Donut

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Memes of the Day