Hello Capitalists,

Here is everything you should be following today:

• SpaceX’s IPO breaks cover at a staggering valuation

• Proceeds to be used to fund pioneering orbital platforms

• Traders getting worried about Oracle earnings due today

• Trump unveils $12B aid package for America’s farmers

• FDA seeks to protect US beef herd from Mexican parasite

• Banks given the green light to handle Crypto transactions

• OpenAI scoops a high profile hire to lead revenue charge

• JPM crashes 4% as costs are projected to rise

Today’s markets + assets:

• ✅ DOW: 47741.13 (⬆️ 0.38%)

• 🔴 S&P: 6839.11 (⬇️ 0.02%)

• 🔴 NASDAQ: 23481.61 (⬇️ 0.40%)

• ⚠️✅CBOE VIX Volatility Index: 17.08 (⬆️ 0.89%)

• 🔴 Gold: $4221.40 (⬇️ 0.33%)

• ✅ Silver: $61.00 (⬆️ 0.26%)

• ✅ Bitcoin: $92,765 (⬆️ 4.22%)

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SpaceX’s 2026 IPO is calculated to be at a $1.5T Valuation

Elon Musk’s SpaceX is charging toward a blockbuster 2026 initial public offering, aiming to raise over $30 billion at a staggering $1.5 trillion valuation to fuel ambitious space-based data centers.

• Massive Valuation Leap: SpaceX targets a $1.5 trillion company-wide listing, eclipsing recent $800 billion private sale rumors dismissed by Musk as inaccurate.

• Revenue Surge Projected: Expects $15 billion in 2025, climbing to $22-24 billion by 2026, with Starlink driving most growth through stabilized satellite internet services.

• Strategic Fund Deployment: IPO proceeds earmarked for pioneering space-based data centers, including bulk chip acquisitions to power orbital computing infrastructure.

• Timeline Flexibility Built-In: Mid-to-late 2026 debut eyed, but advisers warn of potential slippage to 2027 amid volatile market conditions and external factors.

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Oracle’s billion dollar bet on OpenAI is scaring people ahead of earnings

In a debt-laden sprint to fuel OpenAI’s trillion-dollar AI ambitions, Oracle’s massive datacenter buildout has sparked investor panic, erasing stock gains and spiking default risks just ahead of Wednesday’s earnings reveal.

• Massive OpenAI Contract: Oracle’s $300 billion deal with OpenAI exposes unprecedented revenue reliance on one unprofitable client heightening single-customer risks even as hyperscaler investment has fueled a 71% growth in cloud services.

• Debt Surge Signals Alarm: Record-high credit default swaps against Oracle highlight borrowing strains from their AI infrastructure spending, amid an industry-wide $400 billion spending frenzy in 2025.

• Diversification Push Emerges: A new $20 billion Meta Platforms booking bolsters Oracle’s cloud bookings, and they are projecting $166 billion revenue by 2030 which would be beyond their OpenAI dependency.

• Bubble Fears Loom Large: Scrutiny is intensifying over OpenAI’s funding opacity and lagging real-world AI adoption, threatening Oracle’s aggressive expansion amid competitive pressures from Google, Amazon and Microsoft.

Trump unveils $12 Billion aid package for American Farmers

President Donald Trump unveiled a $12 billion aid package to shield U.S. farmers from the fallout of his escalating trade war with China, channeling tariff revenues into emergency “bridge payments” for soybean and crop growers battered by Beijing’s retaliatory soybean boycott and soaring input costs.

• Tariff Funds Fuel Relief: $11 billion funneled to USDA’s new Farmer Bridge Assistance for one-time payouts to row crop producers, with $1 billion held for market volatility assessments.

• China’s Soybean Stalemate: Beijing halted key U.S. imports during 2025’s fall harvest but resumed partial buys in October, hitting just 12 million metric tons by February—far below the 25 million annual target.

• Biden-Era Blame Game: White House slams prior administration for $1.2 trillion trade deficits and “woke” policies, positioning Trump’s aid as a gateway to fresh export deals and safety nets.

• Democrats Decry Damage: Critics like Schumer and Wyden blast the package as inadequate, arguing Trump’s tariffs have driven up fertilizer prices and bankruptcies without restoring lost markets.

SCREWWORM CRISIS: FDA OKs Merck Drug to Save U.S. Herds!

In a swift move to combat a parasitic screwworm outbreak ravaging cattle from Mexico, the FDA on December 4 approved Merck’s EXZOLT CATTLE-CA1 topical treatment for U.S. beef herds, aiming to halt a border-driven decline that has shrunk inventories to 1951 lows and spiked beef prices nationwide.

• Approval Accelerates Urgency: FDA’s conditional nod on December 4 for fluralaner-based pour-on solution, developed via July discussions, ensures 21-day protection against screwworm and fever ticks, with shipments already en route to vets by December 20.

• Herds Hit Historic Lows: U.S. cattle on feed dropped 2% to 11.7 million head by November 2025, exacerbated by 2024 border closures blocking over 1 million annual Mexican calf imports—3.3% of total U.S. crop.

• Industry Faces Plant Closures: The Screwworm-fueled shortages prompted Tyson Foods to shutter its Lexington, Nebraska beef facility and slash Amarillo, Texas operations in November, amplifying market volatility and economic strain on ranchers.

• Multi-Year Battle Looms: Experts forecast prolonged screwworm persistence in Mexico, demanding ongoing treatments despite 98-day meat withholding for safety precautions. Ranchers like Texas’s James Clement III hail it as an “essential” tool amid drought and tariff pressures.

Banks unleashed, OCC gives the thumbs up to begin Crypto transactions

In a bold pivot under the Trump administration, the Office of the Comptroller of the Currency on Tuesday greenlit U.S. banks to intermediate crypto transactions via riskless principal trades, scrapping prior Biden-era hurdles and fueling fears of volatile assets infiltrating Wall Street’s stability.

• OCC Guidance Issued Swiftly: Federal regulator’s new directive permits banks to buy and sell crypto assets simultaneously between counterparties, bypassing inventory holding and advance approvals for seamless intermediation.

• Biden Barriers Dismantled: Trump-era regulators revoked 2022 restrictions, including the need for pre-engagement nods, echoing March approvals that already eased some crypto custody and stablecoin rules.

• Pro-Crypto Policy Surge: Move aligns with administration’s rule rewrites, aiming to bridge legacy finance with digital assets amid ongoing federal efforts to deregulate the sector.

OPENAI scoops Slack’s CEO to be “Chief Revenue Officer”

In a bold move to supercharge its enterprise push, OpenAI on Tuesday named Slack CEO Denise Dresser as chief revenue officer, tasking her with scaling global strategies for customer success and business integration amid explosive AI growth.

• Dresser Scales AI Platforms: Tech veteran Dresser, who helmed Slack since 2023 after over a decade at Salesforce, brings proven expertise in transforming enterprise tools for massive adoption.

• Rapid Revenue Surge: OpenAI eyes hundreds of billions in sales by 2030, building on a $20 billion annualized run rate this year fueled by ChatGPT’s 800 million weekly users and 1 million business clients.

• Intensifying Rival Pressure: Facing fierce competition from Google and Anthropic, OpenAI has committed over $1.4 trillion to infrastructure, sparking debates on AI investment sustainability.

• Enterprise Transformation Focus: Dresser will be expected to drive reliable AI deployment for industries worldwide, echoing her past successes in cloud scaling.

JPMorgan Stock Crashes on 2026 Cost Projection Bombshell

JPMorgan Chase’s shares plunged nearly 4% Monday, dragging down the Dow, after the banking giant warned of $105 billion in expenses next year—fueled by fierce credit card competition and massive AI investments.

• Expenses Surge to $105 Billion: The bank projects 2026 noninterest expenses at $105 billion, up sharply from $96 billion tracked through 2025’s third quarter and exceeding October’s $100 billion analyst consensus.

• AI Investments Fuel Spending: Technology outlays hit $18 billion this year, with future hikes tied to AI advancements, branch expansions, and inflation-driven real estate costs amid broader growth strategies.

• Charge-Offs Signal Consumer Strain: Credit card losses drop to 3.3% for 2025 but expected to climb to 3.6%-3.9% in 2026, as unemployment rises and pandemic savings buffers erode, heightening fragility for households and small businesses.

• Q4 Business Edges Higher: JPMorgan expects Investment banking fees to grow low single-digits year-over-year, while markets revenue surges in the low teens, offering some offset to rising costs in a cautiously optimistic outlook.

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