☕️ Trump classics

Good morning.

Donald Trump’s virtual Davos address was as predictable as it was chaotic—and worth every minute.

He went after NATO allies, warning he’ll demand they all boost defence spending to 5% of GDP. He said he’ll demand immediate interest rate cuts from the US Fed, pressed OPEC to slash oil prices, issued the usual tariff threats for anyone manufacturing outside the US, and slammed Europe’s tech fines as hidden taxes.

But the curveball at the world’s most exclusive economic gathering came when Trump accused Bank of America and JPMorgan of discriminating against conservative clients, telling CEO Brian Moynihan “what you’re doing is wrong!”

Moynihan kept his poker face, but both banks were quick to issue denials.

Classic Trump!

🏆 LOI Subscriber #TBD

Market movers

Citi and Macquarie downgrades sent Iluka Resources and Evolution Mining shares tumbling on Thursday, leading a broad ASX mining selloff.

The quick sync

• ASIC’s private credit probe exposes hidden fees and trustee conflicts, spotlighting risks in Australia’s growing market. (Capital Brief)

• Disney’s Australian profits nosedived 22%, with strikes and postponed hits like Inside Out 2 leaving a $742m-sized hole. (Capital Brief)

• Morgan Stanley CEO Ted Pick sees private equity fuelling a comeback in M&A, forecasting a multiyear boom as dealmaking rebounds to record levels. (Bloomberg)

• Bitter divide over DEI reporting splits the ASX governance council, pitting business leaders against investor advocates ahead of a pivotal February meeting. (AFR)

• Gemi Investments freezes redemptions from its $300m mortgage fund, revealing cracks in Australia's commercial property lending boom. (AFR)

Trading floor

M&A

• Monadelphous wins $150M Rio Tinto contracts for construction and water management. (Capital Brief)

• Bain Capital matches CC Capital's bid for Insignia amid funds growth. (Capital Brief)

• Peabody CEO meets Japanese stakeholders to resolve pre-emption rights in its $3.78B Anglo coal mine acquisition. (AFR)

• SoftBank and OpenAI invest US$19B each in Stargate AI project, amid doubts from industry figures. (Bloomberg)

• Earlypay seeks a buyer, possibly concluding its 25-year ASX run. (AFR)

• Myer shareholders back Premier's Apparel Brands acquisition. (Capital Brief)

• ByteDance seeks alternatives to selling TikTok amid US national security concerns. (Capital Brief)

• White Bay and Hawkers merge to form Social Drinks, backed by a $1.5M raise and former Heineken Australia boss as CEO. (AFR)

• Labor's $50M buyout of PAG Asia Capital helps keep Rex afloat. (The Australian)

• Rivers' 136 stores to close by mid-April, with 650 job losses, as Mosaic Brands shuts down its seventh label. (SMH)

• Text Publishing’s merger with Penguin Random House marks growing consolidation in Australian publishing, following similar acquisitions of Pantera Press and Affirm Press. (The Conversation)

• Santos considers expanding its Darwin LNG plant to export Beetaloo Basin gas, balancing new projects with investor pressure. (AFR)

Capital Markets

• Fortescue posts record shipments and advances zero-emission mining goals. (Capital Brief)

• Databricks' $23.9B raise values it at $62B, with backing from Temasek, Macquarie, QIA, Meta, and wealthy Australian families. (AFR)

• Vaxxas secures $7.2M to develop room-temperature, needle-free vaccines. (Capital Brief)

• DAZN secures a $1.8B loan for Foxtel acquisition. (Bloomberg)

• ByteDance plans US$20B capex for AI infrastructure, benefiting Huawei, Nvidia. (Reuters)

• ASX issues $1M rebates after CHESS outage, pursues system upgrades. (Capital Brief)

• Beach Energy rallies as UBS, Bell Potter raise price targets after strong results. (Capital Brief)

• ASIC chair criticizes ASX outage response, suggests ACCC oversight role. (Capital Brief)

• Labor announces $10,000 incentive for housing sector apprenticeships. (Capital Brief)

• Perplexity launches Android assistant to compete with ChatGPT, Siri, and Alexa. (Reuters)

• Puma shares plunge as company delays margin target and announces cost cuts. (Capital Brief)

• Semiconductor stocks, including Nvidia, drop amid SK Hynix demand warning. (Capital Brief)

• Trump urges global rate cuts, lower oil prices, and slams EU at Davos. (Capital Brief)

• Disney's Australian profits dropped 22% amid Hollywood strikes, with ESPN's Australian unit integrated into the business. (Capital Brief)

• Saudi Arabia’s US$600b US trade boost underscores Crown Prince Mohammed’s enduring alliance with Trump’s business-first agenda. (NYT)

• Gaming company EA shares nosedive 18% after flops in 'Dragon Age' and soccer titles devastate earnings outlook. (Bloomberg)

• ByteDance plans US$20b capex in 2025, mostly on AI, sources say. (Reuters)

VC

• Palona AI, founded by ex-Google, Meta, and Samsung executives, raises US$10M to develop emotionally aware AI sales agents. (Bloomberg)

• AI medtech startup, Medow Health, raises $2M with backing from leading doctors Michael Boyer and Michael Solomon. (AFR)

People moves

• Tim Cooper retires as managing director of Coopers Brewery but will remain as head brewer. (The Australian)

• Wilsons Advisory hires Dr. Bryan Tan and Rita Fung to boost healthcare coverage. (AFR)

• Australian law firms uphold DEI programs amid global pushback. (Capital Brief)

• Morgans hires Tim Usasz from UBS to lead its equity syndicate in Sydney. (AFR)

• Sayers Group faces identity crisis after Luke Sayers’ exit amid lewd photo fallout. (AFR)

• Tom Brady tests the market with his US$150m Indian Creek mansion, as Bezos’ presence fuels a property boom. (Bloomberg)

The watercooler