Good Morning! Stocks have been on a blistering rally lately, and it’s leaving short-sellers reeling from a $120 billion loss. Tesla is having an AWS moment and urging its competitors to adopt its technology - Rivian is the latest to sign a deal providing access to Tesla’s superchargers.

And speaking of cars, auto loans are now worth more than the value of the cars themselves thanks to high-interest rates. The loan-to-value ratio just hit 125, and any value greater than 100 signals negative equity.

And in an odd move, Apple wants to trademark actual apples! Yes, you read that right. Apple is currently in a legal trademark battle in Europe, all because of a photo featuring the iconic Granny Smith apples.

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Fed vs. Tech Stocks

We all know tech stocks are on a tear to kick off the first half of 2023. Take the AI mania or even $META soaring over 125% YTD just because Zuck’s cutting profits.

But investors find themselves at a crossroads. Is this rally a precursor to an eventual crash akin to the dot-com era, or is it the inception of a resilient and lasting upswing?

The bulls argue that companies investing in artificial intelligence, such as software developers and chip makers, hold the potential to spearhead a technological revolution that will reshape society in the years to come.

But the bears aren’t buying it. Past boom-and-bust cycles have taught them the arduous task of identifying the few companies that can truly dominate an industry in the long term, which isn't as easy as it may appear. And some of the bears aren’t quite buying these tech stocks growing into frothy valuations.

Takeaway: But don’t forget where the Fed comes into play here. With the Nasdaq rallying (~over 30%) YTD, investors are essentially telling JPow and Co. that they’re not buying them raising rates even more. If the Fed raises rates higher than expected, it could put the brakes on the current rally.

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Markets Rundown

Stocks closed lower ahead of Jerome Powell’s testimony.

Movers & Shakers

• Avis ($AVIS) +10% after an upgrade by Morgan Stanley.

• Rivian ($RIVN) +6% after the company signed off on the Tesla supercharger deal.

• Nike ($NIKE) -4% after UBS projects guidance to fall short of expectations.

Private Dealmaking

• Eli Lilly bought Dice Therapeutics for $2.4 billion

• Blackstone Infrastructure Partners bought a 19.9% stake in NIPSCO, an Indian electricity and gas distributor, for $2.15 billion 

• KoBold Metals, an EV battery mineral exploration company, raised $195 million

• Tomorrow.io, a weather satellite company, raised $87 million 

• ElevenLabs, a voice generation platform, raised $19 million

• Soundtrack Your Brand, a commercial music streaming startup, raised $15 million 

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_HEADLINES

Top Reads

• How much money you need to be financially comfortable in 13 major US cities (CNBC)

• Four different ways of understanding AI and its risks (Vox)

• UBS faces big penalty over Credit Suisse’s Archegos failings (Reuters)

• Amazon HQ2 isn’t matching the original hype (CNBC)

• Rich Americans are fooling themselves about their retirement readiness (YF)

• RTO is entering the desperation phase (NYT)

• How WFH worsened the housing shortage (Axios)

• Alibaba announces Eddie Wu to succeed Daniel Zhang as CEO (CNBC)

• The hottest new perk in tech is freedom (Vox)

• Inside China’s underground market for high-end Nvidia AI chips (Reuters)

_{BOOK OF THE DAY}

Outlive

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For all its successes, mainstream medicine has failed to make much progress against the diseases of aging that kill most people: heart disease, cancer, Alzheimer’s disease, and type 2 diabetes.

Too often, it intervenes with treatments too late to help, prolonging lifespan at the expense of health span, or quality of life. Dr. Attia believes we must replace this outdated framework with a personalized, proactive strategy for longevity, one where we take action now, rather than waiting.

This is not “biohacking,” it’s science: a well-founded strategic and tactical approach to extending lifespan while also improving our physical, cognitive, and emotional health.

Dr. Attia’s aim is less to tell you what to do and more to help you learn how to think about long-term health, in order to create the best plan for you as an individual.

“A groundbreaking manifesto on living better and longer that challenges the conventional medical thinking on aging.”

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Short Squeez Picks

• The latest on the missing Titanic tourist submarine

• Life doesn’t need a narrative arc

• Are you a late bloomer, or right on time?

• 7 online side-hustles worth your time

• The power of taking microactions

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US New Home Construction

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Best Work-Life Balance in the World

According to the Forbes Advisor 2023 ranking, which compares data from 128 cities to determine the Work-Life Balance Score, it is revealed that Europe dominates the top cities for work-life balance.

Out of the top 25 cities, 20 are located in Europe. Copenhagen, Denmark, takes the lead with a work-life balance score of 70.5/100, attributed to factors such as a high standard of living, low unemployment rate, generous parental leave, and a focus on sustainability.

Other European cities like Helsinki, Stockholm, and Oslo also rank high due to their emphasis on healthy lifestyles, generous vacation and parental leave policies, and a significant proportion of remote jobs.

Oceania also boasts cities with good work-life balance scores, with Auckland, New Zealand, ranking 5th on the list. Workers in Auckland have an average work week of 26.3 hours and a year's worth of parental leave. Brisbane, Melbourne, and Sydney in Australia also feature on the list, with average work weeks ranging from 32.4 to 38 hours.

The only Asian city to make it to the top 25 is the UAE's capital city. Despite high property prices and relatively fewer vacation days, the city stands out for its safety, sunny weather, and high quality of life.

Overall, these cities prioritize employee well-being through various means, such as generous leave policies, remote work options, and a focus on mental health support, leading to a better work-life balance for their residents.

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MEMES OF THE DAY