Daily Brief - 14 Jan 2024

Jeff Bezos just sold $4 billion of his Amazon shares

Jeff Bezos, the founder of Amazon, sold a whopping $4 billion worth of his company's shares in just four days. This big move comes after he hadn't sold any shares since 2021, and it happened less than two weeks after he shared plans to sell up to 50 million shares. Bezos's recent move to Miami from Seattle might have been a clever way to save on taxes, dodging Washington state's 7% capital gains tax and potentially saving himself $288 million. The sale took place as Amazon's stock was on the rise, though it dipped slightly after his sell-off. While Bezos and Amazon are keeping quiet about the reasons behind the sale, it's clear this massive sell-off has made waves, especially considering the impact on Washington state's capital gains tax revenue.

Siemens powers up US manufacturing to meet transformer demand

Siemens Energy, a big company from Germany, is getting ready to make transformers right in the US, starting next year. They're putting $150 million into making their plant in Charlotte, North Carolina bigger because they've noticed we need more electricity, especially for big computer centres that use a lot of it. Since about 80% of transformers in the US come from other places, Siemens wants to make more of them here to help out. They're planning to start making them in 2026. This move is a big deal because it means we can rely more on ourselves for our electricity needs and it's all about getting ready for the future where we'll use even more power.

Lyft shares soar amid forecast fumble

Lyft's stock jumped 17% after the company shared news of cost cuts and a positive cash flow forecast for 2024, marking a bright spot against its rival Uber. However, a big mistake in their profit margin forecast caused a wild fluctuation in their stock price, initially surging 67% then dropping after the correction was made. Despite this hiccup, Lyft's CEO David Risher has been praised for cutting costs and restructuring, which has led to significant stock growth. The company also boasted a rise in rides to stadiums, thanks to big events like Taylor Swift's tour. Lyft aims to keep growing by partnering with companies like LinkedIn and Starbucks, and by encouraging more drivers with better earnings prospects.