The markets: The S&P 500 closed up more than 1% on Friday. Futures are up 0.38% this morning, premarket open. … Bitcoin rose to above $98K. … In China, markets continued their declines this morning.
Today: Elon Musk continues his campaign to topple Keir Starmer’s Labour government in the UK, claiming (often falsely) that, years ago, officials did little to stop Asian gangs who groomed underage girls for sex. The FT has an explainer here.
Allstate CEO strikes the wrong tone
Good morning. Allstate CEO Tom Wilson got criticism last week when he issued a video message prior to the broadcast of the Allstate Sugar Bowl in New Orleans, offering prayers to the victims of the horrific New Year’s Day attack, calling on viewers to be “stronger together by overcoming an addiction to divisiveness and negativity” and join the insurance giant in working to “amplify the positive, increase trust, and accept people’s imperfections and differences.”
As the longtime sponsor of an annual event that was delayed by a terror attack, Wilson had to say something. But to talk about positivity and acceptance in the aftermath of mass murder came across as insensitive and tone-deaf, to put it mildly.
I recently spoke with Wilson after the execution-style killing of UnitedHealthcare CEO Brian Thompson in midtown Manhattan and the outpouring of support for his murderer on social media. It’s a different tragedy that evoked a similar reaction from Wilson, whose company announced a partnership with the Aspen Institute six months ago to rebuild trust in an era of polarization.
“I think one of the things we have to do is encourage people to be more positive,” he said at the time, arguing that an onslaught of news about how bad things are and how much we hate each other becomes a self-fulfilling prophecy. “Trust declines, emotional health declines, conspiracy theories come up.”
Wilson spoke at the time about his desire to reinforce trust through investing in local communities and opportunities to bring people together. “Digital communities tend to reinforce your identity; physical communities broaden your identity,” he said. “If you and I are doing sandwiches at a food depository, I'm not going to ask you who you voted for. I'm not going to care … We're just making sandwiches.”
In the aftermath of a cold-blooded murder that unleashed vitriol against the victim’s company and industry, it was a powerful and poignant point to make. But to voice that sentiment in the aftermath of a cold-blooded mass murder that claimed the lives of 14 people plus the perpetrator and left the nation united in mourning struck a very different tone. Sometimes the only words to say are those that convey prayers, sympathy and sadness.
Also on the radar
Canadian Prime Minister Justin Trudeau is expected to resign this week, multiple sources have told The Globe & Mail. Trudeau’s Liberal party has been polling poorly for some time.
The private equity industry will lobby the Trump administration to allow 401(k) holders and other retail investors access to PE investment funds. Individual investors have long been locked out of the high gains that can be made in PE, but that lockout exists because PE investments are often risky and illiquid.
President Biden plans to ban drilling for oil and gas on 625 million offshore acres. The fossil fuel industry is unhappy. The move throws a hurdle in front of President-elect Trump's hopes of doubling down on oil.
Amazon has acquired the right to screen a documentary about Melania Trump that was made with her cooperation.
The perpetrator of the New Orleans attack used a pair of Meta smart glasses to scope out Bourbon Street in advance of his track, police said.
From the analysts
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JP Morgan’s Doug Anmuth is bullish on Alphabet: “Google’s accelerated pace of innovation is very evident into the new year with many significant recent product announcements and updates across GenAI (new LLMs and agentic applications), technical infrastructure, Android, and Waymo, and it is a key factor in our positive view on Google shares in 2025,” according to a note seen by Fortune.
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Greed > Fear: Only two strategists surveyed by Bloomberg think the S&P 500 will decline in 2025. Time to sell?
- Municipalities that allow wind farms collect more tax revenue than those that don’t, according to Panmure Liberum’s Joachim Klement.
More news below.
Diane Brady
diane.brady@fortune.com
