M360 Roundup - Volume 78

February's Producer Price Index (PPI) inflation was lower than expected, remaining flat for the month

• The S&P 500 is down 3.57%, the Nasdaq is down 4.03%, and the Dow Industrials is down 3.98% WTD

• The 10-Yr U.S. Treasury yield has increased +0.007% to a current yield of 4.287%, whereas the 30-Yr U.S. Treasury yield increased +0.030% to a current yield of 4.611%

• Crude oil prices increased 0.62% to a current $67.02/bbl while bitcoin increased 1.62% to a current $82,002.86/coin

• Rising debt burdens and economic uncertainty are straining U.S. consumers, with growing delinquencies—especially among higher-income earners—raising concerns about a potential spending pullback and broader recession risks [WSJ] 

• Inflation cooled to 2.8% in February, lower than expected, but concerns remain as upcoming tariffs and rising food prices could keep inflation elevated, potentially limiting the Fed’s ability to cut rates [WSJ]

• Consumer spending is declining across all income levels due to concerns about inflation, tariffs, and a potential recession, impacting both necessities and luxuries as retailers, airlines, and credit-card data show widespread signs of financial caution [WSJ]

• Mounting recession fears, trade war tensions, and cracks in the AI-driven market rally have sent U.S. stocks tumbling, with Trump’s tariffs sparking inflation concerns and global competitors ramping up economic stimulus, challenging the narrative of American exceptionalism [WSJ]

• Wall Street and business leaders misjudged Trump's second term, expecting pro-market policies, but he prioritized aggressive tariffs, disregarding stock market concerns and advisor warnings [WSJ]

M&A activity continues to remain mixed

• Industrial software firm QXO is negotiating an $11B cash buyout of Beacon Roofing Supply

• Whitecap Resources agreed to merge with Veren in $10.4B all-stock deal, including debt, creating Canada's seventh-largest oil producer

• Europe’s largest gas distributor Italgas received regulatory approval for its $5.8B acquisition of 2i Rete Gas

• Scopely, a PIF-backed video game developer, agreed to acquire Pokémon Go and all other gaming assets from peer Niantic for $3.5B

• Software firm ServiceNow agreed to acquire AI assistant maker Moveworks in a $2.85B cash-and-stock deal

• Mortgage fintech Rocket agreed to acquire real estate brokerage Redfin in a $1.75B all-stock deal

• Power management giant Eaton agreed to acquire tech manufacturing firm Fibrebond for $1.4B

• PE firm TA Associates is considering selling its majority stake in India's OmniActive Health Technologies at a potential $1B valuation

Recent developments across four key industries highlight trade tensions impacting global markets, IEA warning of weaker oil demand, and Etsy & eBay adopting AI-driven personalization

Energy & Natural Resources

• The IEA warned that trade tensions and new U.S. tariffs are weighing on oil demand, lowered its demand-growth estimates, and projected a supply surplus if OPEC+ raises output beyond April [WSJ] 

• OPEC is sticking to its optimistic oil-demand forecast as it prepares to raise output next month, despite global economic concerns and potential trade disruptions [WSJ] 

  
  

• Whitecap Resources and Veren are merging in a $10.4 billion all-share deal to create Canada's largest light oil producer, aiming to cut costs, boost cash flow, and strengthen financial flexibility amid tariff uncertainties and volatile energy markets [WSJ]

Technology, Media, & Telecommunications

• Pony AI plans to scale its robotaxi fleet to over 1,000 vehicles this year and 10,000 within three years, aiming for profitability by 2029 through automaker partnerships and cost reductions [WSJ] 

• Etsy and eBay are adopting AI-driven personalization and social media-inspired features to boost sales, enhance user engagement, and stay competitive in the evolving e-commerce landscape [WSJ] 

  
  

• Despite missing Wall Street expectations for the quarter, Oracle reported a 6.4% revenue increase driven by cloud growth, forecasted strong future sales with plans to double data center capacity, and highlighted surging AI demand while raising its dividend by 25% [WSJ] 

Healthcare & Life Sciences

• A Tennessee cancer clinic is using life-size hologram doctors to enhance telehealth for rural patients, offering a more immersive alternative to videoconferencing [WSJ] 

• Despite a deadly measles outbreak, many in rural Texas remain vaccine-resistant, citing personal choice [WSJ] 

Financial Services

• Trump announced a 50% tariff on Canadian steel and aluminum, doubling the planned 25% rate amid trade tensions, while maintaining global metal tariffs despite industry and international pushback [WSJ] 

• Cash balance plans, increasingly popular among high-earning professionals like doctors and lawyers, allow tax-deferred savings beyond 401(k) limits, though critics argue they primarily benefit the wealthy and exacerbate retirement inequality [WSJ] 

Outside of standard macroeconomic updates and M&A developments, Putin, Southwest, and March Madness have led news cycles

• Putin rejected an immediate cease-fire in Ukraine, citing Russia's battlefield gains and unresolved issues, while Trump pushed for a swift end to the war, and Zelensky accused Putin of stalling peace efforts [WSJ] 

• Southwest Airlines is ending its free checked bag policy, introducing basic economy fares, and reinstating flight credit expirations to boost revenue, marking a major shift that may drive loyal customers to competitors [WSJ] 

• Led by freshman phenom Cooper Flagg, Duke has dominated opponents with historic efficiency, emerging as the most complete and potentially greatest college basketball team of the modern era [WSJ]