🎲 Hasbro's losing at Monopoly

Hasbro’s bleak outlook scared investors | Nestlé posted some second-rate results | [Finimize]( Hi {NAME}, here's what you need to know for February 17th in 3:08 minutes. 🗞 They say that no news is good news – but when it comes to investing, you always want to know the 411. So join Adrian Alberts for [The Relationship Between News And The Markets]( on Tuesday, and find out how headlines can help – and hinder – your portfolio. [Get your free ticket]( Today's big stories - Toymaking giant Hasbro gave a disappointing profit forecast for the year, and investors went searching for a new playmate - Stocks could be learning to take rate hikes in their stride – [Read Now]( - Food and drink titan Nestlé posted paltry results that satisfied nobody’s appetite Not Child’s Play [Not Child’s Play] What’s Going On Here? Toymaker Hasbro [gave]( a disappointing outlook on Thursday, and investors decided the firm’s a problem child. What Does This Mean? Hasbro’s preliminary results update last month showed that demand for its toys dropped off a cliff last quarter – so the firm decided to run a tighter ship and lay off 15% of its workforce. But if anyone was actually reassured by that move, this week’s outlook set them straight: the owner of My Little Pony and Monopoly released an annual forecast that was way below analysts’ expectations. And it’s not hard to see why: after all, retailers will probably continue to play it safe with orders after overstocking last year. And lately Hasbro's lost some important licenses – like the Disney Princess range poached by rival Mattel – which could dent profit big-time. Obviously that wasn’t the bedtime story investors wanted, and they sent Hasbro's shares tumbling. Why Should I Care? Zooming in: Life in plastic. Kids are really annoying when they cry, which means that demand for toys typically withstands the most Herculean economic hardships. But not this earnings season. Mattel gave a weak outlook of its own earlier this month, and now it’s ransacking its iconic back catalog to try and woo consumers with old favorites. The firm announced earlier this week that Barney – the famous TV dinosaur – will be back on the airwaves and store shelves before long. And that's not to mention this year's hotly anticipated Barbie movie. The bigger picture: Workers beware. Another day, another layoff announcement – and Hasbro's bout of job-slashing shows that's not just confined to tech. In fact, S&P 500 companies' profits [fell]( for the first time since 2020 this earnings season, a sign there could be more cuts to come. That's the way the wind seems to be blowing anyway: a recent business survey showed that more respondents expect payrolls to fall than rise over the coming months – the first time that's been the case for two years. You might also like: [Beware: this is the start of the S&P 500’s witching hour.]( Copy to share story: [( 🙋 [Ask a question](mailto:questions@finimize.com?body=Ask us a question: Where are you writing from? Let us know and we'll mention it when we reply.&noapp=true&subject=Not Child’s Play&utm_campaign=daily-global-17-02-2023&utm_source=email) Analyst Take Interest Rates Could Push Even Higher, But Stocks May Weather It Just Fine [Interest Rates Could Push Even Higher, But Stocks May Weather It Just Fine]( [Photo of Reda Farran] Reda Farran, Analyst January’s blockbuster US jobs report strengthened the argument for [more interest rate hikes](, with some Federal Reserve officials warning that rates will have to climb even higher than predicted. And traders have started [placing big bets]( on rates going to 6% by September – more than a full percentage point higher than today’s levels. But despite all that, [US stocks]( have stayed virtually flat. So that’s today’s Insight: [why the next hikes probably won’t shove stocks around quite like the first ones did.]( [Read or listen to the Insight here]( Artificial intelligence (AI) could change the way we live, think, and invest That’s an awe-inspiring prospect – but with so many applications, deciding how and where to invest in the tech’s future is a daunting task. So let us do the drudge work for you: our analysts have checked out different ways to buy into the theme, and investigated AI-powered tools that could revolutionize your investing toolkit. - As soon as ChatGPT burst onto the scene, our analysts explained [why the game-changing chatbot deserves investors’ attention](. - Then Microsoft invested in ChatGPT’s owner OpenAI, making Big Tech an even more obvious way to play the trend. But according to our analysts, [chipmaker Nvidia could be a much savvier way in](. - And in a full-circle moment, it turns out that [ChatGPT itself can help you pick out stocks – yup, including AI ones](. - To top it all off, our analysts uncovered another AI-powered platform – brimming with analytical tools that were once reserved for high-rolling hedge funds – that could [completely transform the way you invest](.  So there you have it: your jargon-free tour of AI opportunities. [Start Your AI Journey]( Wake Up And Smell The Coffee [Wake Up And Smell The Coffee] What’s Going On Here? Nestlé [reported]( results on Thursday, showing that trouble’s been brewing for the firm. What Does This Mean? Nestlé tried to shore up profit with its boldest price hikes in years last quarter – but with cost-conscious buyers ditching name-brand products for cheaper alternatives, that didn’t have its Nescafé coffee and Maggi noodles selling like hotcakes. In fact, the world’s biggest food group saw the volume of goods it sold drop for the second-straight quarter. And looking at the whole year, things weren’t much better either: the volume of goods sold grew just 0.1% while organic sales grew 8.3% – meaning it was the firm’s 8.2% price hikes that did most of the money-making legwork. But even those higher prices weren’t enough to offset Nestlé’s increased ingredient and shipping costs, which cut profit margins to their skinniest levels in four years and left annual profit well below expectations. Why Should I Care? Zooming in: Slipping staples. Nestlé isn't the only consumer staples giant experiencing the crunch of lower sales volumes – PepsiCo, Unilever, and more are all in the same boat. But Nestlé's especially sour second half of 2022, with its first drop in volumes since 1999, drives home that even the strength of trusty old consumer staples is being pushed to the limit right now. If that trend continues, companies that raise prices even higher – as Nestlé plans to – might just push shoppers away and really torpedo their sales volumes. The bigger picture: Waitrose Wait-lowered. Nestlé’s results serve as a troubling reminder that price hikes aren't going to disappear just because the West seems to have passed peak inflation. But there was one ray of hope this week: British supermarket chain Waitrose [announced]( that it’s slashing the price of its own-brand products by a record amount, in a brazen attempt to fend off discount rivals like Aldi and Lidl. You might also like: [The market’s dangerous optimism about inflation.]( Copy to share story: [( 🙋 [Ask a question](mailto:questions@finimize.com?body=Ask us a question: Where are you writing from? Let us know and we'll mention it when we reply.&noapp=true&subject=Wake Up And Smell The Coffee&utm_campaign=daily-global-17-02-2023&utm_source=email) 💬 Quote of the day “I like to play chess with old men in the park. But it’s so hard to find 32 of them.” – Emo Philips (an American actor and comedian) [Tweet this]( Flex Box Our community wants to know your name Building a good brand is hard work. So if you’re proud of the work you do, you best make sure everyone knows about it. You could start by [introducing yourself to our one-million-strong community](: they’re a global bunch of switched-on, savvy retail investors who want to take their investing skills up a notch. And if your tips, tools, or platform – plus whatever else you have up your sleeve – could help them do that, then this might be just the right spot for you to [show off what you have to offer](. Make sure everyone knows your name: [introduce yourself to over one million retail investors](. [Get In Touch]( 🌍 Finimize Live 🥳 Coming Up In The Next Week… All events in UK time. 🏠[How To Start Investing In UK Real Estate](: 6pm, February 20th 🗞 [The Relationship Between News And The Markets](: 5pm, February 21st ✍️ [What Are Investment DAOs And How Do They Work?](: 6pm, February 22nd 👀 And After That… 💸 [How To Pick Winning Exchange Traded Funds](: 5pm, March 7th 🌥 [Do Recessions Have A Silver Lining?](: 5pm, March 8th 🌎 [Three Ways Long-Term Investors Can Act On Climate Change](: 12pm, March 21st 🚀 [What Will Be The Next Big Thing In Artificial Intelligence?](: 1pm, March 22nd 🎯 On Our Radar - Rabbi ChatGPT. This holy man got the AI chatbot to [write his sermon](. - Real-life Squid Game. This ultra-tough [reality TV competition]( is like nothing you’ve watched before. - Twenty-first-century skill set. Talking to AI effectively could become [the most important tool]( in your professional arsenal. - A mountain of money. Here’s a breakdown of what [skiing really costs](. - Watch out, EV owners. TikTok’s showing people how to [hotwire your cars](. ❤️ Share with a friend Your Referrals: 0 Thanks for reading {NAME}. If you liked today's brief, we'd love for you to share it with a friend. Share your unique link: [ You stay classy, {NAME} 😉 We’d love to hear your thoughts. [Give feedback]( Want to advertise with us too? [Get in touch]( Image Credits: Image credits: midjourney AI, Hasbro | PhotoshopSupply Preferences: [Update your email]( or [change preferences]( [View in browser]( [Unsubscribe]( from all Finimize Emails 😴 Crafted by Finimize Ltd. | 280 Bishopsgate, London, EC2M 4AG All content provided by Finimize Ltd. is for informational and educational purposes only and is not meant to represent trade or investment recommendations. You signed up to this mailing list at finimize.com or through one of our partners. © Finimize 2021 [View Online](