On The Deals Shaping Our Economy
1 Big Thing: The January Jolt ⚡
The U.S. labor market just delivered a shock to the system, adding 130,000 jobs in January. This surge comes as a relief after a long string of bleak economic data.
Why it matters: This report suggests that 2025 might have been the rock bottom for American hiring. The economy could finally be finding its footing after a year of near-stagnation.
The context: The figure was nearly double the 68,000 jobs anticipated by Bloomberg’s surveyed economists.
The "but": The Bureau of Labor Statistics also released massive annual revisions showing that 2025 was far worse than initially reported.
By the numbers: Last year's job growth was slashed from 584,000 down to just 181,000 jobs for the entire year.
Stabilization? The unemployment rate ticked down slightly to 4.3%. Roughly 81% of prime-age workers are now employed, returning to the peak of this economic cycle.
Sector split: Hiring remains historically narrow. Healthcare (+82,000) and social assistance (+42,000) accounted for the vast majority of the gains.
The losers: Finance and real estate firms shed 22,000 workers, while the federal government lost 34,000 jobs as resignation offers took effect.
"January's jobs report reads like a race split in two... After a slow start in the first leg, the labor market may be finding its footing now."
Zelenskyy’s Spring Gamble 🗳️
Ukrainian President Volodymyr Zelenskyy is planning a high-stakes political pivot. Kyiv is now mapping out presidential elections and a national peace referendum by May 15.
The intrigue: The move follows intense pressure from the Trump administration to wrap up negotiations with Russia by spring.
The ultimatum: The White House has signaled that failure to hold the votes could result in the loss of proposed U.S. security guarantees.
The goal: Washington wants a signed peace deal by June so it can shift its focus to the U.S. midterm elections in November.
The logistical nightmare: Experts warn that holding a vote is nearly impossible while the country is under martial law and 20% of the territory is occupied.
The risks: Without a ceasefire, Russian drones put every polling station under threat.
Domestic divide: Kyiv Mayor Vitali Klitschko warns that political competition during a war could "destroy the country from inside".
"Security issues are the key priority right now, and everything else must be addressed only in conjunction with truly guaranteed security."
Musk’s xAI Exodus 🚀
Elon Musk’s AI startup, xAI, is facing a technical leadership crisis. A sixth co-founder, Jimmy Ba, has confirmed his departure as internal tensions boil over.
Between the lines: Staff have complained about "unreasonable demands" and leadership overpromising on technical developments.
Founder flight: Out of the original 12-person founding team, six have now left the company.
Musk’s project to solve human computer emulation has reportedly fallen short of expectations.
The SpaceX merger: Musk is rolling xAI into SpaceX to create a $1.5 trillion group. This move is intended to help fund xAI's massive capital needs for chips and electricity.
The IPO push: Musk intends to take the combined group public as early as June, adding immense pressure on the remaining team.
Public backlash: The team has also been forced to navigate global scrutiny after requests for Al-generated non-consensual sexual imagery flooded the platform.
"I'd be surprised if by the end of this year, the digital human emulation has not been solved... Can you do anything that a human with access to a computer could do?"