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Gen Z’s text bubbles are not green... October 12, 2023 [View Online]( | [Sign Up]( | [Shop]( [Morning Brew]( PRESENTED BY [LiquidPiston]( Good morning to everyone who reads this newsletter to stay updated on current events and to everyone else who thought, “Sure, why the heck not?” after logging in to your email to check if your Amazon package shipped. We love you both equally. —Neal Freyman, Cassandra Cassidy, Matty Merritt, Molly Liebergall, Abby Rubenstein MARKETS Nasdaq 13,659.68 +0.71% S&P 4,376.95 +0.43% Dow 33,804.87 +0.19% 10-Year 4.564% -10.0 bps Bitcoin $26,727.03 -2.49% DaVita $75.89 -16.86% *Stock data as of market close, cryptocurrency data as of 3:00am ET. [Here's what these numbers mean.]( - Markets: Stocks notched their fourth [winning day]( in a row yesterday as investors digested the news that the Fed was split about future rate hikes at its last meeting while waiting for this morning’s report on how much consumer prices rose last month. Ozempic continues eating into investors’ appetites for other industries. Its maker, Novo Nordisk, rose on the news that the diabetes drug may help treat kidney failure, but dialysis providers DaVita and Fresenius Medical Care plunged.  INTERNATIONAL [Israel forms unity government, Gaza crisis worsens]( [Palestinians walk amid the rubble of destroyed and damaged building in the heavily bombarded city center of Khan Yunis in the southern Gaza Strip following overnight Israeli shelling]( The aftermath of Israeli shelling in Khan Yunis in the southern Gaza Strip. Said Khatib/AFP via Getty Images Here are the latest updates from the Israel–Hamas war: Israel formed an emergency government. Stressing unity during a national emergency, Israeli Prime Minister Benjamin Netanyahu worked with the opposition party to create an emergency government and a “[war management cabinet]( that will last until its war against Hamas is over—and only consider legislation related to the conflict. The establishment of the unity government suggests that Netanyahu’s judicial overhaul, which has deeply divided Israeli society, will be paused for now. Gaza’s humanitarian situation sharply worsened. With Israel battering the Gaza Strip with airstrikes and forming a “[complete siege]( around the territory, the already impoverished enclave is heading toward a [humanitarian crisis](. More than 260,000 Gazan residents have fled their homes to shelter in hotels or UN schools. Water and other critical supplies are running short after Israel’s military cut off access, and Gaza’s only power plant ran out of fuel. The US talked with Israel and Egypt about allowing civilians to leave Gaza and lifesaving aid to enter, but Egypt reportedly [rejected]( a deal that would establish safe corridors into its country. Hostage worries span the globe. “There is no recent precedent for the scale of the hostage situation in the Gaza Strip,” the NYT said about Hamas’s [abduction]( of 150 people back to Gaza. One relative of a hostage told The Guardian it’s “like a [nightmare]( and families all over the world are awaiting news of loved ones. Fourteen Thai citizens were kidnapped by Hamas militants—[30,000 Thai people]( account for the majority of Israel’s agricultural workers. Harvard letter sparks backlash. Hedge fund CEO Bill Ackman asked for the names of the Harvard students who signed off on a letter exclusively blaming Israel for the violence so that he doesn’t “inadvertently hire them.” The [letter]( which was criticized by prominent alums such as Harvard’s former President Larry Summers, was signed by 34 student groups, at least five of which have since withdrawn their endorsements, according to the Harvard Crimson. Summers said Ackman is “getting a bit carried away” with his call for a blacklist, and [lists]( have been posted online containing the personal information of individuals associated with clubs that signed the letter. The EU gave Zuck a warning. The European Union told Meta it had [24 hours]( to tackle misinformation around the war on its social media platforms since allowing content associated with the terrorist group Hamas to circulate violates its content moderation law. The EU issued a similar warning to Elon Musk’s X the previous day.—NF   WORLD [Tour de headlines](#) [Steve Scalise, GOP nominee for House speaker]Win McNamee/Getty Images Steve Scalise is the GOP pick for House speaker. The House’s current No. 2 Republican beat out Judiciary Committee Chair Jim Jordan in a 113-to-99 vote behind closed doors to become their [party’s nominee]( to replace ousted Speaker of the House Kevin McCarthy. But it’s not entirely clear how the rep from Louisiana will get from there to the 217 votes he’ll need to secure the position, as some Republicans still support Jordan (Democrats are expected to nominate and vote for their leader, Hakeem Jeffries). Until there’s a new speaker, Congress can’t move forward with its business, like providing aid for Israel. 🩴 Birkenstock IPOs with a flop. The shoe your mom liked before it was cool just tripped and fell in its public trading debut. Birkenstock (BIRK) opened yesterday at $41/share—down from the $46/share price it set for the IPO—and dropped by another 12.6% by the time the market closed. It was the [worst opening]( for a $1+ billion listing in more than two years, according to Bloomberg. The lower-than-expected (Birken)stock price puts the German sandal company’s market value at about $7.6 billion, which is still bigger than Crocs. An ancient asteroid has ingredients for life. NASA scientists revealed yesterday that they’ve found a “treasure chest” of carbon, water, and other materials in a sample of a 4.5 billion-year-old asteroid, suggesting that space rocks may have delivered the seeds of life to Earth. Seven years after scientists sent a spacecraft to gather material from the ancient Bennu asteroid, the [sample]( finally returned home last month. The mission team hopes that studying the soil and rocks from Bennu will get us closer to answering life’s big question: Why are we here? PRESENTED BY LIQUIDPISTON [What’s swifter than a superstar tight end?]( [LiquidPiston]( With more horsepower than a Bronco and the investment sparkle of a music icon? [The answer: LiquidPiston’s]( 10x more powerful, 30% more fuel-efficient engine that’s attracted over 17k investors. And like all things that move swiftly, their investment opportunity won’t last forever—[you have until Oct. 24 to join the team as a shareholder](. These final 2 weeks are like the “2-minute drill” of crowdfund investing, and the clock is running. The company is profitable after growing their revenue 377% since 2021. They have $65m in government contracts and will soon expand to commercial markets. The engine is hydrogen-capable, making it a potential clean energy staple. [Invest in LiquidPiston by Oct. 24 (so you don’t have to write a pop song with regrets about it later)](. ENERGY [Exxon to acquire Pioneer in a bet on US oil]( [Oil rig with the Exxon Mobil logo]( Francis Scialabba Those protesters are gonna need a lot more [tomato soup](. Exxon Mobil, one of the world’s largest oil companies, announced yesterday that [it will acquire Pioneer Natural Resources]( a Texas-based shale company, for roughly $60 billion in an all-stock deal set to close in 2024. It’s a vote of confidence in US oil (and against US climate policy). Exxon evidently isn’t too concerned about the White House’s push to reduce emissions and invest in climate-friendly energy or the International Energy Agency’s prediction of a decline in demand for fossil fuels by 2030. In addition to more than doubling Exxon’s daily output of oil and gas, the deal will: - Give Exxon one of the world’s largest inventories of untapped oil, totaling nearly 1.5 million acres in the Permian Basin, North America’s biggest source of crude. - Boost US energy security, according to Exxon. JPMorgan Chase predicts 45% of Exxon’s oil will come from the US. Zoom out: After struggling during the pandemic, Exxon is now ready to spend the beaucoup cash it made when [oil prices skyrocketed]( following Russia’s invasion of Ukraine. The merger will be the largest oil and gas deal since Exxon acquired Mobil in 1999—and could spur further consolidation in the industry.—CC   TOGETHER WITH KIMPTON HOTELS & RESTAURANTS [Kimpton Hotels & Restaurants]( Deals for date night(s). Planning a getaway before winter arrives? How about bottomless brunch in Miami Beach? Or sunset spritzes in Fort Lauderdale? Choose your fave couples experience with Kimpton Hotels & Restaurants’ [last-minute deals]( make it a long weekend to remember. Hurry, these rates are [only good for the next 7 days](. TECH [All the young kids love Apple]( [Apple logo with Cupid’s arrow through it with a “Z” at the end of it.]( Francis Scialabba Gen Zers aren’t interested in phones that fold—they just don’t want to get clowned on in the group chat. Investment bank Piper Sandler surveyed 9,193 teens and found that [87%]( of them had iPhones in their pockets. And 88% of teens said their next phone would be an iPhone, cementing the tech giant’s dominance. Apple also crushed other tech categories in [the survey]( - It was the top watch brand for teens from wealthier households (with an average yearly income of $109,670), climbing past classic names like Casio and Rolex. - Looking beyond hardware, Apple Pay was the favored payment app of the survey, with 42% of teens using it within the last month compared to just 27% using Cash App. But if the Apple ecosystem is an overflowing garden of adored products, there’s a corner in the back where Apple Music’s dried-up vines never seem to get enough water. Instead, Spotify is the most popular music streamer: 70% of the survey’s respondents used the platform in the last six months. What else do the kids like? Chick-fil-A is their favorite restaurant, and Nike is their top footwear and clothing brand. Over half of the respondents said Amazon was their favorite e-commerce site.—MM   GRAB BAG [Key performance indicators](#) [Brock Purdy of the San Francisco 49ers]Ezra Shaw/Getty Images Stat: The San Francisco 49ers unknowingly struck gold when they tapped Brock Purdy, the dead-last 2022 NFL draft pick who’s now carrying the team. Since Purdy took over as starting quarterback, the 49ers have been undefeated in regular-season games. And though the 23-year-old leads the league in passer rating and is [up for MVP]( he’s the lowest-paid starting QB in the NFL with a $930,000 average annual salary that can’t be renegotiated until after next season. For context, Cincinnati Bengals QB Joe Burrow (the highest-paid in the league) makes $55 million per year. Quote: “When I started working at Alameda I don’t think I would have believed if you told me I would be sending false balance sheets to our lenders or taking customer money, but over time it was something I felt more comfortable with.” In her second day [testifying]( against her ex-boss and ex-boyfriend, Sam Bankman-Fried, in his criminal fraud trial, Caroline Ellison, former CEO of FTX’s sister fund Alameda Research, said that SBF’s utilitarian philosophy helped her get more comfortable with lying—including preparing seven different versions of Alameda’s balance sheet for investors. She also revealed she created a document called “things Sam is freaking out about” that included trying to raise cash from the crown prince of Saudi Arabia, getting regulators to crack down on rival exchange Binance, and bad PR. Read: The crimes behind the seafood you eat. ([The New Yorker]( NEWS [What else is brewing](#) - [The UAW]( unexpectedly added nearly 9,000 workers at Ford’s largest truck plant to its strike in a major escalation against Detroit’s Big Three. - [Microsoft]( owes $29 billion in back taxes, according to the IRS. - [Disney]( has raised prices at its theme parks, including for parking and annual passes. The hike comes after Disney said it plans to invest $60 billion in the parks over the next decade. - [ACT scores]( for 2023 grads were the lowest since 1991. It was the sixth year in a row that scores on the test declined. - [Salman Rushdie]( has written a memoir about the knife attack at a literary event last year that left him blind in one eye. The book will be published on April 16. RECS [To do list Thursday] Watch: Why your favorite childhood drink is suddenly [full of booze](. Keep clean: The CEO of Levi’s gives a [definitive answer]( on how often to wash your jeans. Learn: The science behind why your toilet paper has a [new look](. Follow: This [niche manifestations]( account shows there’s inspiration out there for everyone. Hits the spot: MysteryVibe’s [Crescendo 2]( vibrator bends to your needs and is clinically proven to improve arousal, alleviate dryness—and win awards. [Enjoy 30% off]( *A message from our sponsor. GAMES [The puzzle section](#) Brew Mini: “Eek!” is the name of this puzzle. You know you want to see what that’s all about. [Play the Mini here](. Three Headlines and a Lie Three of these headlines are real, and one is faker than the smiles on anyone in a commercial eating a Yoplait. Can you spot the odd one out? - Filmmakers expecting ‘to find a pile of rocks’ in Lake Huron [discover]( ship that vanished with its entire crew in 1895 - Dozens of cows [invade]( quiet Wisconsin neighborhood - Frequency of split ends may be [linked]( to mosquito bites - Bay Area restaurants [institute]( penalty for brunch vomiters FROM THE CREW [Learn how to perform under pressure]( [David Ortiz]( Maddie Meyer/Getty Images Is the pressure of work and a calendar full of deadlines starting to get to you? Our newest course, Performance Under Pressure, premiers on October 16. Gain tools, tips, and insights from NBA Wellness & Development Director Alex Auerbach and walk away with the skills to turn stress into your superpower. [Enroll now](. SHARE THE BREW [Share Morning Brew]( with your friends, acquire free Brew swag, and then acquire more friends as a result of your fresh Brew swag. We’re saying we’ll give you free stuff and more friends if you share a link. One link. Your referral count: 0 [Click to Share]( Or copy & paste your referral link to others: [morningbrew.com/daily/r/?kid=a905682a]( ANSWER We made up the one about split ends. Word of the day Today’s Word of the Day is: utilitarian, meaning “of or relating to the doctrine that the useful is the good and that the rightness of conduct should be determined by the usefulness of its consequences.” Thanks to Jessica from Rhode Island for the practical suggestion. Submit another [Word of the Day here](. ✢ A Note From LiquidPiston This is a paid advertisement for LiquidPiston’s Regulation A+ Offering. Please read the offering circular at [invest.liquidpiston.com](. Written by [Neal Freyman]( [Cassandra Cassidy]( [Matty Merritt]( [Abigail Rubenstein]( and [Molly Liebergall]( Was this email forwarded to you? Sign up [here](. 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