Market Beats | Powell Faces Dilemma at Jackson Hole; Investors Take Soho House Private in $2.7 Billion Deal; Comcast Faces Record Broadband Losses; Air Canada Pulls Guidance as Flight Attendants’ Strike Grounds Flights; Chinese EV Industry’s Overseas Investment Surpasses Domestic for First Time; Princeton University Launches New Cost Cuts

—— Powell Faces Dilemma at Jackson Hole; Investors Take Soho House Private in $2.7 Billion Deal; Comcast Faces Record Broadband Losses; Air Canada Pulls Guidance as Flight Attendants’ Strike Grounds Flights; Chinese EV Industry’s Overseas Investment Surpasses Domestic for First Time; Princeton University Launches New Cost Cuts

1. Powell Faces Dilemma at Jackson Hole

Federal Reserve Chair Jerome Powell will deliver his closely watched annual speech at Jackson Hole on Friday, but economic signals aren’t giving him a clear mandate to cut interest rates. While July’s weak jobs report bolstered the case for easing, last week’s sharp spike in wholesale prices raised fears of tariff-driven inflation, complicating the picture.

Investors are focused on whether Powell will hint at a rate cut when the Fed meets on September 16-17. Analysts expect him to remain cautious, likely stressing a “data-dependent” approach rather than committing outright. Still, bond markets are already pricing in a 25-basis-point cut, with two-year Treasury yields plunging this month on expectations.

The broader debate is whether the Fed should “start early and go slow” with incremental moves or “start later and be more aggressive.” Powell’s messaging at Jackson Hole is unlikely to lock in a decision but will be pivotal in shaping market expectations for this fall and beyond into 2026.

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2. Investors Take Soho House Private in $2.7 Billion Deal

A group of investors has agreed to take Soho House & Co. private in a transaction that values the members’ club at about $2.7 billion.

Hotel owner MCR and its chairman and chief executive, Tyler Morse, will purchase outstanding shares not held by certain shareholders for about $9 apiece in cash, Soho House said Monday. That price represents an 83% premium over the Dec. 18 closing level, the last trading day before the company disclosed it had received an offer. Morse will join the board, while billionaire Ron Burkle and the Yucaipa Companies LLC will retain majority control. A consortium led by actor-turned-technology investor Ashton Kutcher will inject new equity, and Kutcher will also join the board upon completion.

Founded in London in 1995 by entrepreneur Nick Jones, Soho House began as an exclusive members-only club but has since expanded worldwide with venues in cities including New York, Bangkok, and Rome. Since listing in New York at $14 per share four years ago, the company has struggled to meet investor expectations amid concerns over service quality and over-expansion.

Unlike clubs traditionally catering to finance or political elites, Soho House markets itself to the creative class — those in media, advertising, and music — where suits, ties, and “corporate attire” are discouraged.

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3. Comcast Faces Record Broadband Losses

Comcast Corp. is grappling with steep subscriber losses in its most important business — broadband internet — with more than half a million cancellations over the past three quarters. The decline follows the expiration of federal subsidies for low-income customers and aggressive moves by rivals like T-Mobile, AT&T, and Verizon, who are offering lower-cost fixed-wireless internet services.

CEO Brian Roberts and his team have responded by reshuffling management in the broadband division, rolling out new pricing options, and leaning more heavily into complementary businesses like wireless phone services. Comcast’s video unit, once its crown jewel, has continued to shrink as consumers cut traditional cable TV in favor of streaming. Today, with only 11.8 million cable-TV subscribers — less than half the 2008 peak — Comcast no longer has the easy bundling advantage it once enjoyed.

To counter competitive pressures, Comcast has introduced cheaper, lower-speed internet options and, in April, launched a new nationwide pricing plan featuring a five-year price guarantee.

Starting at $55 per month including taxes and equipment, the new model marks a departure from its old strategy of teaser rates followed by steep hikes, in hopes of winning back cost-conscious households.

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4. Air Canada Pulls Guidance as Flight Attendants’ Strike Grounds Flights

Air Canada suspended its third-quarter and full-year 2025 financial guidance after about 10,000 flight attendants went on strike Saturday, forcing the cancellation of hundreds of flights and disrupting travel for roughly 130,000 passengers a day during peak summer season.

The Canadian Union of Public Employees is demanding higher wages and compensation for work performed when planes aren’t in motion, such as during boarding. The federal government has asked the Canada Industrial Relations Board to order workers back and send the dispute to arbitration, but the union has defied the order, vowing to dismantle the Section 107 process used to end the strike.

Air Canada initially aimed to restart flights Sunday evening, later shifting its target to Monday evening, though the resumption remains uncertain as the standoff continues.

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5. Chinese EV Industry’s Overseas Investment Surpasses Domestic for First Time

Chinese companies in the electric vehicle supply chain invested more overseas than domestically for the first time in 2024, marking a “historic shift,” according to a report released Monday by Rhodium Group.

Firms invested about $16 billion abroad last year — mainly in battery production — slightly ahead of the $15 billion invested at home. For years, roughly 80% of investments had been directed domestically. But as overcapacity and a prolonged price war squeeze profit margins, companies are increasingly compelled to expand globally.

High tariffs in the US and Europe are another driver, with firms building local plants to skirt trade barriers and meet foreign customers’ demands for localized supply. “The fact that overseas investments now outpace domestic ones reflects a saturated Chinese market and the strategic appeal of expanding abroad for higher returns,” said Armand Meyer, senior research analyst at Rhodium.

About three-quarters of outbound investment came from battery makers, underscoring the capital-intensive nature of the industry.

Leading firms like Contemporary Amperex Technology Co. Ltd. (CATL), Envision Group, and Gotion High-Tech have followed clients such as Tesla and BMW overseas, spurred by high transport costs and localized supply needs.

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6. Princeton University Launches New Cost Cuts

Princeton University is rolling out a new wave of cost-cutting measures in response to the Trump administration’s cuts to higher-education funding and broader economic challenges.

In a statement Thursday, the Ivy League school said departments will implement steps such as “less free food and merchandise” and shorter operating hours in some areas. The university will also eliminate programs during the final two weeks of winter break that had offered workshops and activities for students and staff. Princeton noted that these measures are designed to safeguard its core mission despite financial strain.

President Trump’s administration has frozen dozens of research grants from agencies including the Defense Department, the Energy Department, and NASA, citing universities’ failure to address antisemitism on campus, alleged liberal political bias, and diversity policies. While Columbia, Brown, and the University of Pennsylvania have struck deals with the administration to restore funding, Princeton has not disclosed financial details about its reductions.

The university has already paused or canceled capital projects, slowed faculty hiring, and avoided staff expansion except in limited cases. Still, Princeton continues to boast Nobel Prize-winning faculty in physics and chemistry.

With an endowment of more than $34 billion as of June 2024, Princeton is among the wealthiest US universities and is subject to higher federal taxes on investment gains.

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7. Novo Nordisk Cuts Ozempic Cash Price to $499

Novo Nordisk is cutting the cost of its blockbuster diabetes drug Ozempic for cash-paying patients, amid ongoing scrutiny of high US drug prices.

The Danish pharmaceutical giant said Monday that patients can now get Ozempic for $499 a month — roughly half of its US list price — through its NovoCare cash-pay pharmacy. In addition, the company is partnering with GoodRx to make both Ozempic and its weight-loss counterpart Wegovy available at the same price at pharmacies nationwide.

The move comes as President Donald Trump has been pressuring drugmakers, including sending letters to companies like Novo, to take action on pricing. Previous efforts by the Biden administration to push for lower prices were unsuccessful. Novo stressed that this offer is unrelated to its government discussions.

GoodRx CEO Wendy Barnes said the collaboration would give patients easier access to more affordable versions of the drugs: “We already have millions of consumers searching for these products, and this partnership puts the most affordable options in their hands.”

Shares of Novo Nordisk jumped as much as 7.8% following the news, while GoodRx stock soared 39% — its biggest one-day gain since September 2020.

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