☕️ Gimme Shelton

Snap breathes in, breathes out July 22, 2020 [View Online]( | [Sign Up]( [Daily Brew]( TOGETHER WITH [Policygenius]( Good morning. The chili is already in the slow cooker ahead of Monday’s antitrust hearing featuring the CEOs of the biggest tech names in the land: Amazon, Facebook, Apple, and Google. We want you to be prepared for the business event of the season, so each day we’ll be publishing “explainers” explaining why these companies were summoned to the principal’s office in the first place. We’re kicking the series off with the kahuna among kahunas: Amazon. You can catch the piece after the news. MARKETS NASDAQ 10,680.36 - 0.81% S&P 3,257.31 + 0.17% DJIA 26,840.68 + 0.60% GOLD 1,841.90 + 1.35% 10-YR 0.606% - 0.90 bps OIL 41.76 + 2.33% *As of market close - Energy: Oil prices hit a [four-month high](, pulling energy stocks up with them. Higher energy prices indicate investors think demand for fuel is on the comeback trail. - COVID-19 update: At the White House, President Trump said the pandemic will "get worse before it gets better" and [encouraged]( Americans to wear masks. FED [Banking Committee Says Gimme Shelton]( [Judy Shelton ] Tom Williams/CQ-Roll Call, Inc via Getty Images Yesterday, the Senate Banking Committee [approved]( President Trump nominee Judy Shelton to the Federal Reserve’s Board of Governors. - Shelton got the greenlight by the skin of her teeth—i.e. a party-line 13–12 vote. All 12 of the committee’s Democrats signed a letter to committee chairman Sen. Mike Crapo requesting another hearing. - Three of the committee’s Republicans had previously expressed doubts about Shelton. FYI: The Board of Governors is a seven-member body that oversees the Federal Reserve system, including emergency lending activities and orchestrating monetary policy. Christopher Waller also got the nod to the board, but he’s much less controversial than Shelton. We’ll explain. Shelton has held some...unorthodox positions For a while, she advocated for a return to the gold standard, though more recently she’s backed off that highly unconventional idea. Her views on the Fed’s independence are now causing more sleep loss for legal and economic experts. - The White House and the Fed are traditionally held as far apart as the parking lot and the concert venue. The distance is meant to enable the Fed to make decisions based on long-term economic trends, not short-term political interests. - But Shelton has questioned that separation. And she was an informal adviser to President Trump’s 2016 campaign, leading some experts [to worry]( she’d serve his goals. Trump also has been aggressively pressuring current Fed Chair Jerome Powell, which adds to their nightmares of a politicized Fed. Shelton may rise even higher than the Board. Some think that, if he’s reelected, Trump will nominate Shelton for Powell’s spot. Zoom out: The Fed and the central bankers who comprise it are [more crucial than ever]( as lawmakers and economists search for a way out of the current economic crisis. Looking ahead...Shelton and Waller’s next (and final) stop on the nomination circuit is the full Senate, where President Trump’s Republican Party has a majority. �  �  �  mailto:?subject=Check%20out%20this%20story%20from%20Morning%20Brew!&body=Senate%20Banking%20Committee%20Approves%20Controversial%20Trump%20Nomination%20to%20Fed%20Board:%200A%0AWant%20more%20great%20content%3F%20Subscribe%20to%20Daily%20Brew%E2%80%94Delivering%20the%20latest%20business%20news%20from%20Wall%20St.%20to%20Silicon%20Valley,%20daily.%20 SOCIAL MEDIA [Snap Breathes In, and Out]( [Snap ghost] Francis Scialabba Snap kicked off Q2 earnings for social media companies yesterday, and like receiving a Snapchat from your college ex, it was a mixed bag of emotions.  Revenue increased 17% annually to $454 million, [beating]( estimates but giving away slowing growth. Snap said advertisers have upped spending in recent weeks, particularly in gaming and e-commerce. Daily active users were also up 17% to 238 million, right in line with expectations. The company can at least high-five itself for creating a habit: It said the average user opened Snapchat 30x a day in Q2. Speaking of, please close Snapchat and continue reading this email. The fun stuff Last month, Snap [announced]( the “Minis” developer platform, which allows third parties to run applications in Snap’s app. On Monday, the first Mini with meditation app Headspace [launched]( with six guided meditation exercises. Three others drop this week, including study aid Flashcards, clairvoyance game Prediction Master, and Let’s Do It, which helps your friends make decisions. Zoom out: Against the backdrop of a Facebook boycott and last week’s Twitter hack, Snap’s holding steady. Its stock is up almost 200% since March and nearing 2017 highs. �  �  �  mailto:?subject=Check%20out%20this%20story%20from%20Morning%20Brew!&body=Snap%20Beats%20on%20Revenue,%20Meets%20User%20Growth%20Expectations:%200A%0AWant%20more%20great%20content%3F%20Subscribe%20to%20Daily%20Brew%E2%80%94Delivering%20the%20latest%20business%20news%20from%20Wall%20St.%20to%20Silicon%20Valley,%20daily.%20 INTERNATIONAL [TFW You Have to Save the Continent Over Brunch]( [EU leaders at brunch] FRANCOIS WALSCHAERTS/POOL/AFP via Getty Images Swap the mimosas for straight OJ, and you just might have a productive morning. On Monday, EU leaders reached an agreement on a momentous $857 billion [coronavirus recovery package](. EU members will sell bonds to raise the funds, which includes ~$450 billion in grants for countries hardest hit by COVID-19. They’ll remember this summit for years But not because of the chess, wine, movies, and hallway naps. It took four days of tense, draining negotiations for German Chancellor Angela Merkel and French President Emmanuel Macron to get “the frugals”—the Netherlands, Denmark, Sweden, Finland, and Austria—on board. - The wealthy northern European countries were reluctant to send money to their southern neighbors and wanted strict spending oversight and labor market and pension reforms. - Italy’s prime minister accused the holdups of “blackmailing” Europe and risking the bloc’s future. Talks almost disintegrated as sleep-deprived leaders entered day 3. On day 4, aides “combed Brussels for extra underwear and fresh face masks,” Bloomberg [reports](. But in a testament to the power of the German-French alliance (and a midnight bowl of cherries), a consensus was hammered out on Monday. �  �  �  mailto:?subject=Check%20out%20this%20story%20from%20Morning%20Brew!&body=EU%20Leaders%20Agree%20to%20Coronavirus%20Recovery%20Package:%200A%0AWant%20more%20great%20content%3F%20Subscribe%20to%20Daily%20Brew%E2%80%94Delivering%20the%20latest%20business%20news%20from%20Wall%20St.%20to%20Silicon%20Valley,%20daily.%20 SPONSORED BY POLICYGENIUS [So Busy Livin' Life You Forgot to Buy Life Insurance?](#) In recent months, we’ve discovered there’s a lot of things we can live without—pants, gym memberships, being three baskets of wings deep at a bar...did we mention pants? However, [life insurance]( is not one of those things we are willing to go without. Which is why we trust the insurance wizards at [Policygenius]( to compare quotes from the top life insurance companies. With Policygenius, you aren’t just saving a lot of legwork, you’re saving some serious moolah. They can save you $1,500 or more a year on your life insurance policy. And [once you apply](, their team will even handle the paperwork and red tape—for free. So while you relax and try to remember what it feels like to wear jeans, Policygenius will find the life insurance policy that best fits your life. [Start comparing quotes today](. SPORTS [New Soccer Team or Met Gala?]( [Welcoming Angel City ] NWSL Yesterday, the National Women’s Soccer League (NWSL) announced a [new team]( will come to Los Angeles in 2022. The name? Angel City...for now. The backstory: A high-powered group of investors and celebs have been pushing for a Los Angeles women’s soccer team [for several years](. And if you want to start something in LA, you do it through hard work and name dropping. - Oscar winner Natalie Portman and Upfront Ventures partner Kara Nortman started the group with entertainment biz veteran Julie Uhrman, who serves as its president. Tennis superstar Serena Williams, actors such as Uzo Aduba and Eva Longoria, and former USWNT legends such as Mia Hamm and Julie Foudy are also involved. - Williams’s husband, Reddit cofounder Alexis Ohanian, led the investment into Angel City. Bottom line: With this kind of star power, the now-11 team NWSL is [ready for the spotlight](.  + The team doesn't have a permanent name, probably because Brew readers haven’t offered suggestions yet. The Los Angeles Açaí Bowls? The Los Angeles Aggressive Drivers? Think about it and get back to us. �  �  �  mailto:?subject=Check%20out%20this%20story%20from%20Morning%20Brew!&body=Women%E2%80%99s%20Soccer%20Team%20To%20Come%20to%20Los%20Angeles%20in%202022:%200A%0AWant%20more%20great%20content%3F%20Subscribe%20to%20Daily%20Brew%E2%80%94Delivering%20the%20latest%20business%20news%20from%20Wall%20St.%20to%20Silicon%20Valley,%20daily.%20 ANTITRUST [One Click to Testify](#) [Spotlight on Amazon] Francis Scialabba This week, the Brew is previewing next Monday's antitrust hearing by profiling each Big Tech company. Company name: Amazon Volunteered as tribute: CEO Jeff Bezos The charges: Amazon is being investigated for allegedly using the data it’s collected on third-party sellers to help it make competing products. It may also be questioned about Amazon Web Services, the immensely profitable cloud unit it uses to subsidize its e-commerce operations. The rebuttal: Bezos will likely point to a few key stats, including that third-party sellers now outsell Amazon products on Amazon’s own platform, as evidence of Amazon's fair and equitable treatment of those third-party sellers. It gets even juicier. [Read all about Bezos in the hot seat](. WHAT ELSE IS BREWING - [Tapestry’s]( CEO Jide Zeitlin is stepping down less than a year into the job. The WSJ reports Zeitlin’s personal behavior was being investigated by the board. - [United Airlines]( lost $1.6 billion in Q2. - [Coca-Cola]( reported a 28% decline in sales last quarter but thinks the worst is over. - [Robinhood]( is putting its UK expansion plans on hold. - [The New York tristate area]( increased the list of states on its self-quarantine list to 31. SPONSORED BY CARIUMA [Cariuma]( Bam. Boo’s. Back. Alright. CARIUMA’s IBI sneakers are [back in stock, baby](. Made from bamboo, sugarcane, and cork, these carbon neutral, vegan foot puppies help you stay comfortable—and Planet Earth stay cool. On top of that, CARIUMA plants two trees for every pair purchased. [Take 15% before they’re out of stock again](. BREW'S BETS Throwback: Pepsi’s 2009 logo redesign came from a wild pitch that analyzed the new symbol's potential magnetic and gravitational pull, among other qualities. Here’s the [original PDF]( and a [TikTok overview](. Throw even further back: According to this [1913 Webster’s Dictionary](, “humor” is a noun that means “to be moist” and “dilly” is “a kind of stagecoach”—not a Bud Light slogan . Smart money: What are investors doing with their money during the pandemic? Investopedia surveyed over 1,000 readers to find out. See which stocks millennials are putting their money behind and which sectors most readers think will lead the recovery [right here](. SCORCHING CANINE TRIVIA Happy National Hot Dog Day. Here’s a trivia question about hot dogs: There is only one MLB stadium in which sausages typically outsell hot dogs. What’s the city? SHARE THE BREW When you [share the Brew]( with your network, you earn free swag like our classic Morning Brew t-shirt. Whether you’re rocking it as a weekday undershirt, a weekend statement piece, or you’re just looking to cause a stir at Aunt Margaret’s black tie wedding, our comfy tees will get the job done. [Click here to get free swag.]( Hit the button below to learn more and access your rewards hub. [Click to Share]( Or copy & paste your referral link to others: [morningbrew.com/daily/r/?kid=4904f90a]( SCORCHING CANINE TRIVIA ANSWER Where else could it be? The Milwaukee Brewers’ Miller Park.             Written by [Alex Hickey](, [Eliza Carter](, and [Toby Howell]( Was this email forwarded to you? Sign up [here](. 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