šŸ’° 5 Fact Friday: AI Saves Google, Sweeney Saves AEO

This week, AI disrupted antitrust law, Sydney Sweeney moved markets, and Trump’s tariffs hit a $210B legal wall. It’s a wild one—let’s dive in.

In partnership with

Good morning, Maniacs!

September has historically been the market’s worst month, but you wouldn’t know it from this week. The S&P 500 just notched a fresh all-time high, shaking off the seasonal slump — at least for now.

That strength follows the best summer in 40 years. But with today’s jobs report on deck, the mood could shift fast.

If hiring cools as expected, Wall Street may treat it as one more green light for rate cuts. But if hiring heats up, good news might suddenly look like bad news.

Meanwhile, Google avoided a historic breakup, Klarna and Gemini are kicking off the year’s biggest IPO week, and Sydney Sweeney sold so many jeans she sparked a 38 percent retail rally.

Let’s dive in! šŸ‘‡

OUR PARTNER: PACASO

The Key to a $1.3 Trillion Opportunity

A new real estate trend called co-ownership is revolutionizing a $1.3T market. Leading it? Pacaso. Created by the founder behind a $120M prior exit, they already have $110M+ in gross profits to date. They even reserved the Nasdaq ticker PCSO. And you can invest until September 18.

Paid advertisement for Pacaso’s Regulation A offering. Read the offering circular at invest.pacaso.com. Reserving a ticker symbol is not a guarantee that the company will go public. Listing on the NASDAQ is subject to approvals.

STOCKS
2. Court Lets Google Keep Chrome šŸ›ļø

Google just dodged a major breakup — and it has AI to thank.

A federal judge ruled that Google can keep its Chrome browser, despite accusations of monopolistic behavior. The Justice Department had floated extreme remedies, including a forced Chrome sell-off and a ban on Google’s $20 billion-a-year search deal with Apple.

Then came a surprise twist: Perplexity offered $34.5 billion to buy Chrome, in hopes of forcing the breakup. It didn’t work.

In his 226-page opinion, Judge Amit Mehta pointed to the rise of generative AI tools like ChatGPT and Perplexity as a major reason for restraint. While the court found that Google did engage in anticompetitive conduct, Mehta noted that the search landscape is shifting fast.

"The emergence of GenAI changed the course of this case," Mehta wrote.

"These new realities give the court hope that Google will not simply outbid competitors for distribution if superior products emerge."

He added that this shift weighed in favor of "caution" before imposing structural changes.

Here’s what the court decided:

  1. Google keeps Chrome, avoiding a messy spinoff

  2. Apple keeps its $20B/year deal, but it must renegotiate annually

  3. Exclusive search deals are banned, but non-exclusive ones can continue

  4. Google must share certain search data with competitors

The ruling is a clear win for both Alphabet and Apple. Alphabet stock jumped 9%, adding around $230 billion in market cap. Apple rose nearly 4%, good for about $130 billion in gains.

Here’s the twist: Google wasn’t cleared of wrongdoing. It was let off easy because the judge no longer sees its dominance as unshakeable.

After all, AI is already chipping away at Google’s core business.

With more and more ā€œsearchesā€ starting outside of traditional search engines, Google has been forced to disrupt itself. One in five Google searches now include an AI summary. According to Pew, those summaries result in about 40% fewer clicks — striking at the heart of Google’s ad model.

It’s no wonder Google is pivoting. In 2017, search ads made up 87% of the company’s total revenue. Today, that share is less than 75%.

Bottom line: The court didn’t excuse Google’s past behavior. It simply acknowledged that the future looks different. In this new era of AI-driven search, the top spot is still up for grabs.

OUR PARTNER: THE AI REPORT

AI You’ll Actually Understand

Cut through the noise. The AI Report makes AI clear, practical, and useful—without needing a technical background.

Join 400,000+ professionals mastering AI in minutes a day.

Stay informed. Stay ahead.

No fluff—just results.

FAST FACTS
3. New Listings, New Laws, And New Money 🧾

šŸš€ IPO frenzy returns to Wall Street — Klarna and Gemini headline a five-company push that could deliver the largest U.S. deal volume of the year. [Read]

šŸ¦ Missouri axes capital gains tax — The state is the first in the nation to fully exempt residents from paying capital gains tax, and policymakers are now eyeing a full income tax repeal. [Read]

šŸŽÆ Powerball jackpot rockets to $1.7B — Don’t count your millions just yet. A new breakdown shows how much winners actually keep after taxes in each state. [Read]

šŸ“‰ September slump arrives — Since 1980, September is the only month with negative average stock returns. Will Wall Street’s ā€œjinx monthā€ live up to its reputation? [Read]

šŸ‘– American Eagle pops 38% — A viral ā€œGreat Jeansā€ ad starring Sydney Sweeney racked up 150M+ views, sold out fast, and drew applause and outrage from Wall Street to Washington. [Read]

šŸ  Housing emergency on the horizon? — Treasury Secretary Scott Bessent hinted one may be declared this fall, sparking debate about supply, affordability, and government action. [Read]

šŸ‘‘ America now has over 1,100 billionaires — Most aren’t household names, and many didn’t build tech empires. Here's where they live, how they give, and what they’re worth. [Read]

šŸŖ™ Galaxy tokenizes its own stock on Solana — It’s the first SEC-registered company to trade real shares on-chain, offering a glimpse at what blockchain-based equity could look like. [Read]

ECONOMY
4. Workers Had The Upper Hand... Not Anymore šŸ”

Although the unemployment rate remains at 4.2%, near historic lows, trouble is brewing beneath the surface.

For the first time since 2021, there are now more unemployed Americans than job openings.

According to the latest JOLTS report, job openings dropped to 7.18 million in July, missing economist expectations by a wide margin. That falls short of the 7.24 million unemployed Americans now looking for work.

In other words, for every job seeker, there’s less than one open position. Just a few years ago, that ratio was 2 to 1 — a worker’s paradise. Today? Not so much.

The power shift is clear:

  • The quits rate is stuck near 2%, the lowest since 2016. Workers are "job hugging," clinging to the roles they have.

  • The average job hunt now takes 24 weeks, nearly a month longer than last year.

  • Layoffs and job cuts are slowly creeping higher.

Slower immigration may help cushion the slowdown. But AI and automation are having the opposite effect, eliminating some jobs and putting a freeze on hiring in others, particularly for new graduates.

Even the Fed seems to be shifting focus. At Jackson Hole, Chair Jerome Powell noted ā€œthe shifting balance of risks may warrant adjusting our policy stance.ā€ Translation: the Fed is beginning to see the labor market, not inflation, as the bigger threat.

What comes next?

  • Wage growth could slow as employers regain leverage.

  • A rate cut is nearly certain. The CME now pegs odds of a September 17th cut at 99%, with 1-2 more by year end.

Bottom line: The job market hasn’t fallen off a cliff, but the safety net is looking thinner. The Fed is now being forced into a balancing act — less tunnel vision on inflation, and more consideration for the labor market.

STOCKS
5. Guess That Stock šŸ•µļøā€ā™‚ļø

This iconic American food giant is breaking itself in two — and not everyone’s happy about it.

Can you guess the stock?

  1. Even though the stock hasn’t moved in years, it offers a juicy 6% dividend yield of 40 cents per quarter.

  2. Warren Buffett owns over 25% of the company and was the architect behind its 2015 megamerger, when a processed cheese powerhouse joined forces with a condiment king.

  3. That megamerger? It’s now being undone. The company is splitting into two: one for fast-growing condiments and spreads, the other for slower-moving grocery staples.

  4. Its portfolio includes over 200 brands, including Velveeta, Oscar Mayer, Lunchables, Capri Sun, Philadelphia cream cheese, Classico pasta sauce, and Jell-O.

  5. The company's name is a two word mash-up coming from its iconic mac and cheese brand and its best-selling ketchup label.

Spread The Wealth šŸ’ø

Like what you read? Do me a favor and don’t keep it a secret! Send this newsletter to a friend and help them level up their financial game—one fact at a time.

Click the button above -or- copy and paste this link: https://read.themoneymaniac.com/subscribe?ref=PLACEHOLDER

DISCLAIMER: The information provided in this newsletter is for informational purposes only and should not be construed as financial advice or a solicitation to buy or sell any assets. All opinions expressed are those of the author and are subject to change without notice. Please do your own research or consult with a licensed professional before making any investment decisions.

Reply

or to participate.