…and Instacart tosses ads into its smart cart
| Not an emergency exit (NTSB/Getty Images) | |
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Yesterday's Market Moves | | Dow Jones
37,683 (+0.58%) | S&P 500
4,764 (+1.41%) | Nasdaq
14,844 (+2.20%) | Bitcoin
$47,040 (+7.18%) |
| Dow Jones
37,683 (+0.58%) | S&P 500
4,764 (+1.41%) | Nasdaq
14,844 (+2.20%) | Bitcoin
$47,040 (+7.18%) |
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Hey Snackers, Astrobotic's Peregrine blasted off yesterday, trying to become the first US lander in over half a century to touch down on the moon. The 6-foot lander contains quirky contents including a piece of Mount Everest, toy cars, and the ashes of "Star Trek"'s creator, which — after a rocky start for Peregrine — are unlikely to find a new home on the moon. Stocks returned to green pastures yesterday, lifted by a tech rally. Investors have their iCal reminders set for the December consumer-inflation report on Thursday, plus bank earnings on Friday. | |
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Boeing 737 Max groundings spread as airlines respond to the jet's midair blowout | In the unlikely event of an emergency… Aviation icon Boeing came under renewed pressure on Friday after a plug door blew off one its 737 Max 9 aircraft at 16K feet. No one was seriously injured on the Alaska Airlines flight, which landed safely, but there's already been plenty of fallout. On Saturday, the FAA ordered the temporary grounding of 171 of the 737 Max planes. As of yesterday, Alaska and United Airlines had canceled a combined 500 flights. Aeromexico, Copa Airlines, and Turkish Airlines all pulled their 737 Maxes from service. Maxed-out issues… The recent blowout on the three-month-old 737 Max 9 wasn't the jet design's first problem. Last month Boeing asked airlines to check for loose bolts on the planes, and last year mis-drilled holes and bad fittings were spotted. In 2018 and '19, faulty sensors caused older 737 Maxes to nosedive, killing 346 people in two crashes. In response the FAA grounded the model for 20 months. In 2021, Boeing agreed to pay $2.5B to settle a criminal investigation into the crashes, and all told the incidents cost the biz $20B+. But Boeing's rep eventually recovered, with Air India ordering 190 737 Maxes last year (FYI: Boeing is paid on delivery of an aircraft). |  | THE TAKEAWAY |
| One serious stumble can jeopardize the race… Boeing is speeding to churn out planes to meet elevated travel demand, and the 737 Max is its most popular model and its biggest revenue source. European rival Airbus passed Boeing in commercial-aircraft deliveries years ago. Now viral videos of Friday's terrifying incident could further jeopardize Boeing's future deliveries, including to China, which hasn't accepted a Max since the 2019 grounding. | |
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Instacart brings personalized ads to smart carts, in the latest sign of retail media's rise | Popup on aisle three… Instacart's loading ads into its smart carts. The grocery-delivery app launched its Caper Carts at chains like Kroger and Shoprite last year, letting folks ring up items and check out through an attached touchscreen. Shoppers at California's Bristol Farms will be the first to see the in-cart ads, which use AI to display personalized popups (picture: a Cheerios promo as you cruise the cereal aisle). As grocery-delivery demand cools, Instacart aims to have thousands of smart carts in stores by December. Peas and mint chip: General Mills, Del Monte Foods, and Dreyer's ice cream will be the first smart-cart advertisers. Ad to cart: Instacart first started selling ads on its app in 2019. By 2022, ads made up nearly a third of its revenue.
Beyond the barcode… Traditional digital-ad titans like Meta and Google are in flux as privacy regulators crack down on invasive tracking tactics. Now advertisers are pouring more $$ into companies you wouldn't think would sell tons of ads, like retailers. In May, Kroger expanded its fast-growing ad biz by adding promo-displaying smart screens to 500 stores. Uber, which launched in-app ads in 2022, said it's on track for $1B in ad sales by this year. Even United Airlines is said to be considering targeted ads on seatbacks. | | THE TAKEAWAY |
| "Sneaky advertisers" have an ad-vantage… Unlike Meta and Google, retailers are already shopping destinations, making them highly valuable for marketers. While you might easily ignore a Lay's ad on Instagram, it could be tougher when you see it sneaking past the snack aisle. Retail media accounted for nearly a fifth of global digital advertising in 2022, and is forecast to surge 60% over the next three years. | |
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What else we're Snackin' | Real: Apple's mixed-reality headset will finally start shipping on February 2 (preorders begin January 19). The Vision Pro could revive hype for the meta-reality — but its $3.5K price tag may limit scale. Jegging: Abercrombie, American Eagle, and Lululemon all lifted their holiday-quarter forecasts, suggesting a splurgier-than-expected Santa szn. The three mall go-tos have outperformed many of their retail peers. Abandoned: US animal shelters are facing a crisis, overwhelmed by a surge in stray dogs. Adoptions popped during the pandemic, but dwindling savings, higher pet-care costs, and RTO rules have dimmed the puppy-palooza. Pharma: As Covid-vax sales plunge (Moderna's fell by two-thirds last year), pharma powerhouses are going big on cancer therapies: J&J said it'll buy cancer-treatment maker Ambrx for $2B, while Merck announced a $680M deal. Deadline: The SEC has until tomorrow to decide on at least one of the spot bitcoin ETF applications it's received. BTC surged to $47K yesterday as crypto bulls hoped this week would bring the first approvals.
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Snack Fact Of the Day | In major US cities, nearly 20% of office space is vacant — the most in over four decades | | |
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Tuesday | CES tech expo begins UK's six-day doctors' strike set to end Earnings expected from Albertsons, Tilray, and WD-40
Authors of this Snacks own bitcoin and shares of: Alphabet, Apple, Moderna, and Uber | |
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Sherwood Media, LLC produces fresh and unique perspectives on topical financial news and is a fully owned subsidiary of Robinhood Markets, Inc., and any views expressed here do not necessarily reflect the views of any other Robinhood affiliate... See more | |
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