Record Travel Can't Save Airline Earnings & TX Town Sick From Bitcoin?
Digest
The episode begins with a discussion of the New York Times' list of the 100 best books of the 21st century, with Neil Freeman sharing his recommendations. The hosts then move on to discuss the latest inflation report, which shows that prices declined on a monthly basis in June. They also discuss the impact of inflation on the snack industry, with PepsiCo reporting a drop in US sales. The episode then turns to the airline industry, with Delta reporting a 29% drop in profits despite record passenger numbers. The hosts attribute this to an oversupply of seats and flights. The episode also covers the controversy surrounding a Bitcoin mining facility in Texas, which residents claim is making them sick. The hosts discuss the noise pollution generated by the facility and the lack of regulations in Texas. The episode concludes with a discussion of the stock of the week, Costco, which is raising its membership prices for the first time in seven years. The hosts also discuss the dog of the week, Tesla, which has delayed its Robotaxi reveal.
Outlines
![](https://s3.castbox.fm/webstatic/images/book.5d108c35.png)
Introduction and Book Recommendations
This Chapter begins with the hosts introducing the episode and discussing the New York Times' list of the 100 best books of the 21st century. Neil Freeman shares his recommendations, including "My Brilliant Friend" by Elena Ferrante, "The Corrections" by Jonathan Franzen, and "The Known World" by Edward P. Jones. He also mentions other books he is currently reading, such as "Never Let Me Go" by Kazuo Ishiguro and "The Savage Detectives" by Roberto Bolano.
![](https://s3.castbox.fm/webstatic/images/book.5d108c35.png)
Inflation Update and Consumer Spending
This Chapter discusses the latest inflation report, which shows that prices declined on a monthly basis in June. The hosts discuss the implications of this report for the Fed's interest rate policy and the potential impact on the economy. They also discuss the impact of inflation on the snack industry, with PepsiCo reporting a drop in US sales due to consumers cutting back on price increases.
![](https://s3.castbox.fm/webstatic/images/book.5d108c35.png)
Airline Industry Challenges
This Chapter focuses on the challenges facing the airline industry, with Delta reporting a 29% drop in profits despite record passenger numbers. The hosts discuss the oversupply of seats and flights, which has led to discounting and lower profits. They also discuss the impact of the Paris Olympics on Delta's revenue.
![](https://s3.castbox.fm/webstatic/images/book.5d108c35.png)
Bitcoin Mining Facility Controversy
This Chapter covers the controversy surrounding a Bitcoin mining facility in Texas, which residents claim is making them sick. The hosts discuss the noise pollution generated by the facility and the lack of regulations in Texas. They also discuss the potential health impacts of noise pollution.
Keywords
Bitcoin Mining
Bitcoin mining is the process of verifying and adding transactions to the Bitcoin blockchain. It involves solving complex mathematical problems using specialized computers, which consume a significant amount of energy. The process is essential for maintaining the security and integrity of the Bitcoin network. Bitcoin mining facilities are often located in areas with low electricity costs and lax regulations.
Inflation
Inflation is a general increase in prices for goods and services in an economy over a period of time. It erodes the purchasing power of money, meaning that consumers can buy less with the same amount of money. Inflation can be caused by a variety of factors, including increased demand, supply chain disruptions, and government policies. The Federal Reserve (Fed) uses monetary policy tools, such as interest rate adjustments, to manage inflation and keep it at a target level.
Tesla
Tesla, Inc. is an American electric vehicle and clean energy company founded by Elon Musk in 2003. The company designs, develops, manufactures, and sells electric vehicles, battery energy storage from home to grid-scale, solar panels and solar roof tiles, and related products and services. Tesla is known for its innovative technology, high-performance vehicles, and ambitious goals in the electric vehicle and renewable energy sectors. The company has faced criticism for its production delays, safety concerns, and Elon Musk's controversial statements.
Costco
Costco Wholesale Corporation is an American multinational corporation that operates membership-only warehouse clubs. The company offers a wide variety of products, including groceries, electronics, furniture, and clothing, at discounted prices. Costco is known for its bulk-buying options, low prices, and popular food court. The company has a strong reputation for customer service and loyalty. Costco's membership model allows it to offer lower prices and generate revenue from membership fees, which helps to subsidize its products.
Airlines
Airlines are companies that provide air transportation services, carrying passengers and cargo between different locations. The airline industry is a complex and competitive sector, facing challenges such as fuel price fluctuations, economic downturns, and competition from low-cost carriers. Airlines operate a network of routes, connecting cities and countries. They rely on a variety of revenue streams, including ticket sales, cargo transportation, and ancillary services such as baggage fees and in-flight entertainment.
Robotaxi
A robotaxi is a self-driving taxi, a vehicle that can transport passengers without a human driver. Robotaxis are being developed by several companies, including Tesla, Waymo, and Cruise. The technology relies on advanced sensors, artificial intelligence, and mapping systems to navigate roads and avoid obstacles. Robotaxis have the potential to revolutionize transportation, offering convenience, safety, and efficiency. However, the technology is still under development and faces challenges such as regulatory hurdles, public acceptance, and safety concerns.
Paris Olympics
The Paris Olympics, officially known as the Games of the XXXIII Olympiad, are scheduled to take place in Paris, France, from July 26 to August 11, 2024. The event will feature athletes from around the world competing in various sports. The Paris Olympics are expected to attract a large number of visitors and generate significant economic activity for the city and the country. The event is also a major sporting and cultural event, showcasing the best of human athleticism and the spirit of international cooperation.
Progressive Jackpot
A progressive jackpot is a type of slot machine jackpot that increases with each bet placed on the machine. A portion of each bet is added to the jackpot, which grows until it is won. Progressive jackpots can reach very large amounts, attracting players with the potential for a big payout. They are often linked to multiple machines or even across multiple casinos, creating a larger pool of money for the jackpot. Progressive jackpots are a popular feature in slot machines, adding excitement and the possibility of a life-changing win.
Las Vegas
Las Vegas is a city in the U.S. state of Nevada, known for its casinos, entertainment, and nightlife. It is a major tourist destination, attracting millions of visitors each year. Las Vegas is home to numerous casinos, hotels, resorts, and entertainment venues, including the Las Vegas Strip, a famous stretch of road lined with iconic hotels and casinos. The city is also known for its shows, concerts, and other entertainment events. Las Vegas has a vibrant economy, driven by tourism and gambling.
Mukesh Ambani
Mukesh Ambani is an Indian billionaire businessman, the chairman and managing director of Reliance Industries Limited, a multinational conglomerate headquartered in Mumbai, India. He is the richest person in Asia and one of the wealthiest people in the world. Ambani is known for his business acumen, his investments in various sectors, including energy, telecommunications, and retail, and his philanthropic activities. He is also known for his lavish lifestyle and his family's high-profile weddings.
Q&A
What are some of the key takeaways from the latest inflation report?
The latest inflation report shows that prices declined on a monthly basis in June, indicating a potential slowdown in inflation. This could lead to the Fed cutting interest rates in September, which could stimulate economic growth.
How is the airline industry performing despite record passenger numbers?
The airline industry is facing challenges despite record passenger numbers, with Delta reporting a 29% drop in profits. This is attributed to an oversupply of seats and flights, which has led to discounting and lower profits. The Paris Olympics are also expected to have a negative impact on Delta's revenue.
What are the concerns surrounding the Bitcoin mining facility in Texas?
Residents of a small town in Texas are concerned about the noise pollution generated by a new Bitcoin mining facility, which they claim is making them sick. The facility emits a constant loud buzz, exceeding noise regulations in other areas. There are also concerns about the lack of regulations in Texas regarding noise pollution from such facilities.
Why is Costco raising its membership prices?
Costco is raising its membership prices for the first time in seven years, following a similar strategy to Netflix. The company hopes to increase revenue from membership fees while maintaining low prices for its products. This strategy has been successful in the past, allowing Costco to offer competitive prices and generate strong profits.
What is the significance of Tesla's Robotaxi delay?
Tesla's delay in its Robotaxi reveal has caused concern among investors, as the company's valuation is heavily tied to the success of this technology. Elon Musk has been promising a Robotaxi for years, but the repeated delays raise questions about the company's ability to deliver on its promises. The delay also comes at a time when Tesla's US market share in electric vehicles is declining.
What is the significance of Mukesh Ambani's son's wedding?
The wedding of Mukesh Ambani's son is a major event in India, drawing attention for its extravagance and the involvement of high-profile guests. The wedding is expected to cost over $150 million, showcasing the wealth and influence of the Ambani family. The event has also sparked debate about economic inequality in India.
What is the situation with the Mirage Casino in Las Vegas?
The Mirage Casino is closing down after 35 years of operation. Nevada gambling regulations require casinos to pay out their progressive jackpots before closing, leading to a rush of gamblers hoping to win the big prize. The casino is expected to reopen in 2027 as the Hard Rock Las Vegas.
Show Notes
Episode 364: Neal and Toby recap the latest inflation report that might’ve sealed the deal on a Fed rate cut with a minor increase that shows signs of cooling down. Then, airline profits are underperforming despite record air travel. Plus, a Texas jury sides with a bitcoin miner that’s been making nearby residents sick from the loud data facilities. Next, Costco is the stock of the week and Tesla is the dog of the week. Meanwhile, the most star-studded Indian wedding that billions of money can afford. Lastly, the iconic Las Vegas casino The Mirage is closing its doors and needs to get rid of its prize money.
Expand your world with Meta AI. Now on Instagram, WhatsApp, Facebook and Messenger.
00:00 - NYT Book List
3:00 - Inflation goin’ down
7:20 - Delta Air struggling
10:30 - Bitcoin mining is very noisy
14:00 - Dog: Tesla
17:20 - Stock: Costco
19:20 - The wedding to rule all weddings
22:00 - The Mirage closes shop
Get your Morning Brew Daily Mug HERE: https://shop.morningbrew.com/products/morning-brew-daily-mug?utm_medium=youtube&utm_source=mbd&utm_campaign=mug
Listen to Morning Brew Daily Here: https://link.chtbl.com/MBD
Watch Morning Brew Daily Here: https://www.youtube.com/@MorningBrewDailyShow
Learn more about your ad choices. Visit megaphone.fm/adchoices