On Thursday, the S&P 500 officially joined the Nasdaq in correction territory, dropping 1.39% to end the day 10.1% below its all-time high. That makes it official: Everyone’s invited to the correction party, and no one is having fun.
Normally, this isn’t something to lose sleep over. Corrections (aka a 10% drop from the high) are like hangovers: unpleasant but pretty standard if you’ve been on a bender. They happen, on average, about once a year. But this time, the vibes are worse.
In addition to Trump’s latest trade war cosplay, like threatening 200% tariffs on EU booze via Truth Social pre-market Thursday morning, the White House is also floating a Ukraine-Russia ceasefire. The only catch being that Russia’s not signing it. Investors are interpreting that as “more geopolitical mess ahead,” and markets are doing their best impression of a toddler looking for candy in the produce aisle.
Meanwhile, Senate Democrats are playing a high-stakes game of chicken with a looming government shutdown. They're refusing to back the Republican-led funding bill, which conveniently ignores President Trump's and Elon Musk's plans to downsize federal operations. With the shutdown deadline breathing down our necks, the odds of Uncle Sam taking an involuntary nap are rising faster than a meme stock on Reddit.
Add it all up and you’ve got the S&P and Nasdaq both deep in correction land. The Dow’s flirting with its worst week since June 2022. But hey… maybe buy some American wine? You’ll need it.
Happy Friday.
Arnaults Cement Control at LVMH
Bernard Arnault installs all five children in key roles, locking in family rule and setting the stage for his succession, on his timeline.
THE GIST
The Arnault dynasty is tightening its grip on LVMH, with billionaire patriarch Bernard reshuffling his executive ranks to look less like a corporate org chart and more like a family tree. All five of his children now hold key leadership roles, making it clear that LVMH isn’t so much a business as it is a monarchy, and succession planning is in full swing.
WHAT HAPPENED
For years, Arnault has been meticulously orchestrating his family’s rise within LVMH’s sprawling luxury empire. Now, the pieces are falling into place.
Delphine Arnault continues to reign over Christian Dior Couture as CEO, a position she took on in 2023. Antoine, the eldest son, is steering LVMH’s communications strategy while overseeing Christian Dior SE and Loro Piana. Alexandre has taken the helm at Moët Hennessy, while Frédéric is now leading Italian brand Loro Piana. Meanwhile, the youngest, Jean, is making waves in Louis Vuitton’s watch division.
Five heirs, five divisions. Each handpicked to shape the future of a €400 billion empire. For investors, this level of succession planning is rare, and sometimes reassuring. Luxury firms often wobble when visionary founders exit, but Arnault’s strategy is all about continuity.
LVMH stock has weathered economic turbulence better than most, a testament to its deep-rooted family control and Bernard’s unwavering vision. But here’s the question: Will the next generation be as ruthless, as sharp, as adept at empire-building as their father?
WHY IT MATTERS
This isn’t just about keeping it in the family. It’s about keeping LVMH ahead of the pack. The luxury industry is evolving at breakneck speed, with shifting consumer habits, economic volatility, and rising pressure for sustainability all reshaping the landscape. The Arnault siblings bring a blend of old-world craftsmanship and new-school digital savvy. They’ve cut their teeth across divisions, from product development to corporate strategy, and now they’re being entrusted with some of LVMH’s crown jewels.
But challenges loom. China, once luxury’s golden goose, has become increasingly unpredictable. Sephora—one of LVMH’s prized assets—is struggling to gain traction in Asia, facing fierce competition from homegrown beauty brands. Guillaume Motte is now personally overseeing Sephora’s China operations, signaling the company’s sense of urgency to turn things around.
Meanwhile, Trump’s latest threat to slap a 200% tariff on EU alcohol couldn’t come at a worse time for LVMH. Moët Hennessy, heavily reliant on U.S. sales, could take a major hit. With China’s luxury demand already cooling, the potential blow to high-margin champagne and cognac sales is giving investors heartburn. LVMH shares slipped 1.9% on the news as markets braced for more fallout.
Still, at 76, Bernard Arnault remains firmly in control. He’s not just a CEO—he’s a kingmaker. And if LVMH’s proposal to raise the chairman’s retirement age from 80 to 85 passes, he may have another decade to shape his empire. For investors, that’s both a comfort and a concern. Arnault’s steady hand reassures markets, but the question of when, and to whom, he’ll pass the torch still lingers.
What’s clear: Bernard isn’t in a hurry. This latest reshuffle shows a patient, methodical approach to transition. Each of his children is being groomed for greater responsibility, but the old king is still very much on the throne. Investors may not know when the crown will pass, but at least they know who’s in line when it does.
WHAT’S NEXT
For now, LVMH is sending a clear message to rivals and markets alike: this is a family-run empire, and it’s staying that way. Unlike its competitors, plagued by leadership shakeups and boardroom squabbles,
LVMH is betting on stability through lineage. Whether that bet pays off long-term will be the real test.
Musk Gets His Starlink Into India
Elon Musk just scored deals with Reliance Jio and Bharti Airtel to bring Starlink to India’s untapped internet masses via government favors, old-school pressure, and some classic Muskian opportunism.
THE GIST
Starlink has finally broken through in India, signing two separate deals with rival telecom companies Reliance Jio and Bharti Airtel. These deals with India’s telecom giants will allow Starlink to offer high-speed satellite internet in one of the biggest untapped markets in the world—a goal it’s been chasing since 2021. But let’s hold off on popping the champagne. The deals still need to clear government approvals.
WHAT HAPPENED
Elon Musk's SpaceX signed two major back-to-back deals with India’s biggest telecom rivals, Reliance Jio and Bharti Airtel, to bring its high-speed satellite internet service, Starlink, to the world’s second-biggest internet market.
Getting competitors to cooperate for his benefit is a classic Musk move, but it’s not a one-way street. Airtel already has a partnership with Starlink’s European rival, Eutelsat OneWeb, to integrate satellite broadband services, particularly for underserved areas. And Reliance Jio entered into a similar deal with Luxembourg-based satellite and telecom provider SES back in 2022.
So far, it’s more of a win for Musk than for the markets. Bharti Airtel shares briefly rallied more than 3% on the news but quickly settled down. Reliance Jio saw a modest uptick of 0.75%.
WHY IT MATTERS
What’s in it for Musk and SpaceX? If approved, the partnership with Reliance Jio would give Starlink access to 70% of India’s mobile user base. That’s a huge leap in one of the world’s largest telecom markets. Starlink has been angling for entry into India for years, knowing the sheer scale could finally make its pricey satellite internet service financially viable.
Despite being the second-largest internet market, India still has a significant digital divide. According to GSMA, a global trade body for mobile network operators, over 670 million of India’s 1.4 billion people remain without internet access. Starlink’s satellite connectivity could help close that gap, particularly in rural and remote areas.
But this was less a savvy strategy and more a calculated end-run, much to the chagrin of Starlink’s new partners. Bharti Airtel’s Sunil Mittal and Reliance Jio’s Mukesh Ambani had both opposed Musk’s push to have satellite spectrum allocated administratively (read: handed out by the government without an auction). Their argument is that there should be no special treatment. Auctioning brings in more money for the government, and it’s only fair.
That battle ended last October when the Modi government sided with Musk and decided satellite spectrum would indeed be allocated administratively. This little quid pro quo fits neatly into the broader, transactional bromance between the Modi and Trump administrations with Musk walking away the clear winner.
India and the U.S. are leveraging this as part of the larger standoff over trade tariffs, under the banner of “collaborating” on space technology and mobility. And despite India’s typically protectionist stance, Modi let Musk have this one.
As for Airtel and Jio, analysts say neither party truly benefits. They had hoped to keep Starlink out—or at least slow it down—but were ultimately strong-armed into playing nice.
India isn’t the only place where Musk’s Starlink is stirring the pot. Italy’s right-wing government under Giorgia Meloni is reportedly close to handing SpaceX a $1.6 billion, five-year deal to provide secure communications for its diplomats and military. Opposition leaders are fuming, accusing Meloni of outsourcing national security to an American billionaire. Things are spicy enough that Musk is said to be angling for a face-to-face with Italy’s president to keep the deal alive. Meanwhile, tensions between the U.S. and Europe are rising over Trump’s back and froth on giving military aid to Ukraine. Starlink is about leverage.
WHAT’S NEXT
The apparent conquest of Elon Musk, tech overlord. Thanks to his friends in high places, the U.S. Commerce Department recently announced it’s revising the rules on a $42 billion broadband initiative in ways that could benefit Starlink. At the same time, the FCC granted Starlink a waiver to improve its satellite-to-phone connectivity despite rivals complaining the company is “anticompetitive.”
Meanwhile, reports suggest Musk’s inner circle is urging government agencies to adopt Starlink. SpaceX confirmed it’s leasing Starlink kits to the FAA, which may cancel a $2.4 billion contract with Verizon in favor of Starlink.
Though, let’s be honest, that might say more about Verizon than it does about Starlink.
This Week in Congressional Trading: Everything's Bigger in Texas
Or at least in Texas' 32nd congressional district, where Rep. Julie Johnson dumps stocks just in time to load up and buy the dip.
THE GIST
Stock trading by U.S. politicians has surged in volatility following President Trump’s tennis match of tariffs in recent weeks. The economic uncertainty triggered a spike in both stock sales and purchases by lawmakers, with Representative Julie Johnson of Texas’s 32nd congressional district making some of the most notable moves this cycle.
WHAT HAPPENED
Johnson took office in January 2025 and has disclosed 51 trades so far this year, spanning 49 different issuers and totaling nearly $500,000 in reported volume.
Among these, 23 were stock sales, a flurry of activity that signals a potential “panic sell” reaction to ongoing market volatility. Notable divestments included holdings in PepsiCo Inc., Tesla Inc. (in two separate transactions, one ranging between $15,000 and $50,000), PayPal Holdings, and Pfizer Inc. Most of her sales fell within the $1,000 to $15,000 range, aside from the larger Tesla transaction.
At the same time, Johnson executed 25 stock purchases, indicating she may be repositioning rather than simply retreating. Her acquisitions included shares of Boeing, Ford Motor Company, PayPal (appearing on both her buy and sell lists), Goldman Sachs, and The Bank of New York Mellon Corp.
She also initiated new positions in Palantir Technologies and ON Semiconductor Corp., suggesting a strategy that balances defensive selling with selective buying in key industries such as industrials, automotive, and semiconductors.
Overall, Johnson’s trades were concentrated in the Consumer Staples, Information Technology, and Financials sectors.
WHY IT MATTERS
Representative Johnson’s trading activity raises ethical concerns due to her committee assignments. She serves on the Insurance Committee and is Vice Chair of the House Committee on Judiciary and Civil Jurisprudence. These committees oversee legal, judicial, and regulatory matters that intersect directly with the industries she is actively trading.
- Johnson’s sale of Chubb Ltd., a leading insurance company, aligns with similar moves by Jupiter Asset Management, which cut its stake by 9.9% in the fourth quarter. Around the same time, Joseph F. Wayland, General Counsel at Chubb, sold 10,000 shares for nearly $2.9 million. Johnson’s timing raises questions about potential insider knowledge or conflicts tied to her committee role overseeing insurance regulation.
- Additional red flags appear in her sale of AES Corp., an energy company that also deals with insurance on major energy projects, and Pfizer, which negotiates regularly with health insurers.
- On the buy side, Johnson’s acquisition of stocks in Goldman Sachs, BlackRock, Morgan Stanley, Palantir Technologies, PayPal, Progressive Corp., Union Pacific, and Wells Fargo point to potential conflicts. These companies are frequently subject to litigation or regulation by the Judiciary and Civil Jurisprudence Committee.
- Notably, firms like BlackRock and Morgan Stanley often face fiduciary duty and securities law cases, areas that her committee has oversight over, creating further ethical concerns.
- Johnson’s trades come at a time when the Justice Department is reportedly planning to significantly downsize its units responsible for investigating fraud and public corruption. According to The New York Times, these units could shrink from 20–30 prosecutors to as few as 10, further reducing the likelihood of enforcement actions against members of Congress engaged in questionable trading practices.
The downsizing of these enforcement bodies raises alarms about the erosion of oversight at a time when elected officials like Johnson are making increasingly aggressive stock trades in industries they directly regulate.
WHAT'S NEXT
It has been 1,156 days since Senator Jon Ossoff introduced the Ban Congressional Stock Trading Act on January 12, 2022. It remains a bill.
© MOBY TECHNOLOGIES
Disclaimer:
The content provided by Moby is for informational and educational purposes only and does not constitute financial, investment, or trading advice. All stock price targets, projections, and analyses are based on publicly available information and our own opinions. They are not guarantees of future performance, and actual results may differ due to market conditions and unforeseen factors.
Moby is not a registered investment adviser, broker-dealer, or financial planner. Any investment decisions you make should be based on your own research and consultation with a qualified financial professional. Moby and its analysts may hold positions in securities discussed.
Past performance does not guarantee future results. Investing involves risks, including the potential loss of capital. Use of this app constitutes your agreement to our Terms of Service and Privacy Policy.