Blockbuster Week For Big Tech Earnings | Prof G Markets

About this Video

• Video Title: Blockbuster Week For Big Tech Earnings | Prof G Markets
• Channel: The Prof G Pod – Scott Galloway
• Speakers: Scott Galloway, Ed, Claire
• Duration: 01:05:17

Introduction

This episode of Prof G Markets discusses the week's significant economic news, including a U.S. GDP contraction, China's factory activity decline, Amazon's Project Kuiper launch, and the latest Big Tech earnings reports. The discussion analyzes the implications of these events and offers insights into the current economic climate and future predictions.

Key Takeaways

• U.S. GDP Contraction: The Q1 2024 GDP contraction was largely attributed to a surge in imports due to pre-tariff stockpiling, rather than fundamental economic weakness. Future GDP reports will offer a clearer picture.
• China's Manufacturing Decline: China experienced its worst manufacturing contraction in nearly two years, leading to decreased export orders and lower GDP growth forecasts. This could benefit the EU in the short term as businesses seek alternative partners.
• Project Kuiper Launch: Amazon launched its first internet satellites, aiming to compete with SpaceX's Starlink, but Starlink maintains a significant lead in this market.
• Big Tech Earnings: Microsoft and Meta exceeded expectations, showing strong revenue and profit growth, particularly in cloud computing (Microsoft) and daily active users (Meta). Apple and Amazon showed mixed results, with some positive indicators overshadowed by concerns about tariff impacts and AI-related growth.
• Student Loan Collections: The resumption of forced collections on defaulted federal student loans could negatively impact millions of borrowers' credit scores and financial stability. The high cost of higher education is identified as a core issue.