â¦and a New Balance of power in domestic manufacturing [Disclosures]( Tim Cook introâing Appleâs streamer three years ago this week [Noah Berger/AFP via Getty Images] Yesterdayâs Market Moves Dow Jones
34,956 (+0.27%) S&P 500
4,576 (+0.71%) Nasdaq
14,354 (+1.31%) Bitcoin
$47,572 (+1.47%) Dow Jones
34,956 (+0.27%) S&P 500
4,576 (+0.71%)
Nasdaq
14,354 (+1.31%) Bitcoin
$47,572 (+1.47%) Hey Snackers, The only rock that shines brighter than Dwayne Johnson: the world's largest white diamond (dubbed: The Rock) could [fetch]( a whopping $30M at auction. Stocks barely budged to kick off the week, but oil dipped after new Covid [lockdowns]( in China threatened energy demand (closed bridges = less driving). [Tesla]( was one of the dayâs biggest movers, with shares jumping 8% on word that it wants to do a [stock split](. Gold Apple beats Netflix as the first streamer to nab Best Picture â as its curated content strategy starts to pay off ICYMI... Sunday's Oscars ceremony has been garnering more attention for a [shocking]( moment than for actual awards, but there were a few big milestones â including one for streaming: [Apple]( became the first streamer to win the Best Picture award with its indie family drama, âCODA.â [Netflixâs]( âPower of the Dogâ was favored to win with [12]( noms, but scored only for Best Director (#woof). Award-winning > bingeworthy⦠When Apple TV+ launched in 2019, Netflix already had 160M+ subscribers and hit series like âStranger Things'' and âThe Crown.â To stand out, Apple kept its content library small, focusing on premium shows and movies with A-list actors (like: "The Morning Show" with Jen Aniston). That prestige-forward strategy is racking up awards: before âCODA,â âTed Lassoâ gave Apple bragging rights as the first streamer to [win]( Best Comedy at the Emmys. - Deep pockets: With its billions in hardware profits, Apple splurged $25M on distribution rights for âCODA,â when the flick cost just $10M to produce.
- Lock box: Apple hasnât yet broken out its number of streaming subscribers, but estimates put subs around 40M â a fraction of Netflix and Disney+. THE TAKEAWAY Appleâs playing the long game⦠and despite its late start, itâs beginning to score. While the Flix has spent a decade churning out everything from reality shows to action movies, Appleâs taken a more curated approach so that its content feels as high-quality as its hardware. With Appleâs strategy paying off in golden statues, the halo effect could lure big talent (and eyeballs) that help grow its âservicesâ biz, which now [accounts]( for more than a tenth of revenue. Kicks New Balance doubles down on âMade in Americaâ â and itâs not just a marketing play American dads are cheering⦠New Balance is [proud]( to be the sneaker brand âworn by supermodels in London and dads in Ohio.â Now those cushy kicks are coming closer to home. Last week, Wall Street icon Larry Fink [said]( that the war in Ukraine could cause US companies to âdeglobalizeâ and shift production stateside. Right on cue: yesterday New Balance [opened]( a new factory in its home state of Massachusetts. - New jobs in New England: New Balance is aiming to have 200 workers at the space by yearâs end to help produce an extra 750K pairs of sneakers/year.
- Old jobs in New England: NB already had four factories in the Northeast, and it has long advertised its line of âNew Balance Madeâ sneakers that are at least 70% US-manufactured. In total, it will now employ about 1K workers in the US. âMade in Americaâ was a marketing classic⦠When US manufacturing powerhouses like [GE]( [moved]( production offshore in the â70s to lower costs, businesses learned that consumers cared more about low prices than USA labels. Thatâs why [Nike]( makes most of its shoes in Vietnam, where workers [earn]( 13X less than in the US. - But the overseas calculus has been shifting as shortages plague supply chains and foreign shipping costs eat into profit.
- NB boosted production at US factories during the pandemic to reduce overseas reliance, and its sales actually grew faster than Nikeâs last year (as supply issues hurt Nikeâs inventory). THE TAKEAWAY Thereâs a New Balance of power in global manufacturing⦠And companies may âonshoreâ production for the same reason they offshored it: to cut costs. It used to be cheaper for US companies to manufacture products in China and ship them home, but that process got pricier recently as Chinese wages rose and trade disagreements multiplied. Now that shipping costs have soared â first from Covid, then from war â the most cost-effective choice may be manufacturing in the US. What else we're Snackin' - [Sick]( Russian oligarch Roman Abramovich and Ukrainian peace negotiators reportedly suffered symptoms of poisoning after a meeting in Kyiv this month. WSJ sources said Russia was trying to sabotage the talks.
- [Lock]( Chinaâs locking down the financial capital of Shanghai, its largest city, to test all 26M residents in two stages. Itâs Chinaâs most intense Covid closure since the Wuhan lockdown of 2020.
- [Pose]( President Bidenâs 2023 budget proposal features a wealth tax on Americans making over $100M, plus corporate tax hikes and buyback restrictions. Congress must OK the plan, which isnât a sure bet.
- [Bitgas]( Americaâs #1 oil and gas producer, [Exxon]( is said to be piloting a [bitcoin]( initiative in North Dakota. As part of a broader plan to slash emissions, Exxon is using excess gas to power crypto mining.
- [Gasp]( Oscar ratings surged 56% from last yearâs record low, drawing 15M+ viewers. But that still made Sundayâs ceremony the second-lowest-rated Oscars ever. Less than a decade ago the show was bringing in 40M viewers. ðª Thanks for Snacking with us! Want to share the Snacks? Invite your friends to sign up [here](. The Snacks Daily Podcast In 2018, shared e-scooters from startups like Bird covered US city streets like messy marinara on your favorite white tee. Now, not so much. [Tune in]( to hear how high gas prices are fueling a scooter revival. Snack Fact Of the Day [A record 38% of US adults now have a bachelorâs degree or higher]( Tuesday - Earnings expected from Lululemon, McCormick, Chewy, and Micron Technology Authors of this Snacks own: bitcoin and shares of Apple, Exxon, Disney, Netflix, Tesla, and Ford ID: 2100042 Robinhood Snacks newsletters and podcasts reflect the opinions of only the authors who are associated persons of Robinhood Financial LLC (Member [SIPC]( and do not reflect the views of Robinhood Markets, Inc. or any of its subsidiaries or affiliates. They are for informational purposes only, and are not a recommendation of an investment strategy or to buy or sell any security, digital asset (cryptocurrency, etc) in any account. They are also not research reports and are not intended to serve as the basis for any investment decision. Any third-party information provided therein does not reflect the views of Robinhood Markets, Inc., Robinhood Financial LLC, or any of their subsidiaries or affiliates. All investments involve risk including the loss of principal and past performance does not guarantee future results. [Robinhood Terms and Conditions]( ⢠[Disclosure Library]( ⢠[Our Editorial Principles]( ⢠[Contact Us]( ⢠[FAQ](
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