00:03:51 · Jordi Hays, John Coogan, Tyler
[00:03:51] S0: AI could never do this. [00:03:52] S1: No. No. It is Never. It feels like next year the AI will be so good, more people will be skeptical, but we started in the pre AI era, so you know it's real. Know we're sticking [00:04:03] S0: with We showed up at [00:04:04] S1: We're sticking with it. [00:04:05] S0: We were we were here at the studio at 6AM this It took just under four hours to get suited up. [00:04:12] S1: But let's give it up for the team that helped us [00:04:14] S0: with this. [00:04:14] S1: It was really incredible. Look at that, Greg. Is looking great. [00:04:20] S0: Looking good. [00:04:21] S1: Really white teeth too. Did they give you veneers or those are your natural teeth? Looking... That's just... All natural. [00:04:27] S0: All natural. All natural. [00:04:28] S1: All natural. [00:04:28] S0: Serious. Greg, you look fantastic. [00:04:31] S1: And you've been working on your Greg Abel impression. Can you give us a little bit? A little taste? [00:04:35] S2: Hey, guys. It's it's me, Greg. [00:04:40] S0: That's a [00:04:40] S1: matter of luck. [00:04:41] S2: That's That's a [00:04:41] S1: of luck. Nailed it. You nailed it. Yeah. Yeah. So these are gonna clean clean up and trick or treating later. You go around in these. Well, the market's all over the place. [00:04:53] S0: I FaceTimed Yeah. A friend of the show Yeah. And he said don't wear that out later. Gonna scare people. [00:04:59] S1: Yeah. Yeah. You look so much as Warren Buffett. It's just Crazy. [00:05:03] S0: It's it's unnerving.
00:05:03 · Jordi Hays, John Coogan
[00:05:03] S0: It's it's unnerving. [00:05:07] S1: Really is so so funny especially when you get the moves going. [00:05:11] S0: Should we see how I can hit the gong? [00:05:13] S1: When you start moving like a young guy in there. It's good. Oh, your stock... Oh. His back's going out. It was an older guy, older gentleman on the on the set. Let's see let's see a gong hit for old Berkshire. The stock is up by the way. Everything's everything's down, but Berkshire's doing great. It's a $1,170,000,000,000 company. To everyone over in the Berkshire Hathaway universe Absolutely. These young whippersnappers in the market today. Market, but Berkshire doing well. [00:05:45] S0: Only company that I've found Yeah. That's looking green. Is this [00:05:49] S1: gong ringing longer than usual? Does it always ring [00:05:51] S0: I think it was just a strong hit.
00:05:51 · Jordi Hays, John Coogan
[00:05:51] S0: I think it was just a strong hit. [00:05:53] S1: Strong hit. Strong hit for mister Buffett. Well, The US economy is up, interestingly. The The US economy grew 3.4% this summer. Consumer spending, business investment powered the fastest expansion in a year. 3.4% annual rate. The the the latest reading of gross domestic product, the value of all goods and services produced across the economy beat analyst expectations. They were expecting 3.1, came in at 3.4. The report from the commerce department is the last major accounting of The US economy before the midterms election... Midterm elections on Tuesday. So a big referendum on do you vote GDP numbers or do you vote stock market numbers? A lot of a lot of voters have their wealth in the stock market and they're they're seeing a lot of red today. [00:06:39] S0: Well, of course, I think voters care more about vibes than anything else.
00:06:39 · Jordi Hays, John Coogan
[00:06:39] S0: Well, of course, I think voters care more about vibes than anything else. [00:06:44] S1: Yeah. True. And the vibes are down. Nasdaq is down something like 3% today. Let's see. 3.34%, but the Dow is also down 1.13%. There... A a lot of it has to do with earnings. We talked about it yesterday, but Google search struggles reignite AI anxiety. They suffered the worst day on record Thursday as investors confronted the reality that a company that has long been a dynamo of growth and profits faces painful trade offs in the artificial intelligence transition. A headline that could have been written three years ago but is now being digested in reality in a data backed way. Because the first three years, everything's continued to look like business is normal. And that's the nature of these these technology trends. It takes a while for it to actually show up in earnings. There's a lot of there's a lot of inertia in every business in the economy even if you're high growing tech high high growth tech company. The slide erased... [00:07:46] S0: Still got a bit painful. Obviously, Berkshire Yeah. Recently [00:07:50] S1: Backed up the truck. [00:07:51] S0: Backed up the truck. [00:07:52] S1: Yeah. [00:07:53] S0: For Alphabet but for good reason. There's a lot of ways that they can be an AI winner. Yeah. They sell great chips. They have, you know, an incredible cloud business. [00:08:03] S1: That's also They
00:08:03 · John Coogan, Jordi Hays
[00:08:03] S1: That's also They [00:08:06] S0: have a frontier ish lab. Yeah. But... Yeah. It'd be interesting to know what what the business would be trading at if they had revenue ramp from their own model. [00:08:19] S1: Sure. Sure. Right. Yeah. Yeah. Yeah. So yeah. On the front page of the of the journal, you got Google search struggles reignite AI anxiety. They're losing 500,000,000,000 and and you know, their earnings analysis is here. But on the back of the business section, business and finance section, have Alphabet can still win in an AI pullback, more of a bull case, saying it's the closest thing in tech to a one stop AI shop with a frontier model, a fast growing cloud computing business, a major in house chip effort, and large core advertising businesses. They are diversified across the AI stack, and so that could be a cause for optimism even among some jitters in the market. [00:09:01] S0: Well Yeah. We got to talk about Binance. [00:09:03] S1: Okay. [00:09:04] S0: They had a rough one yesterday in the journal, how Binance is racing to cover losses in the biggest heist in crypto history. We will weather this storm, the company says, as it taps reserve funds and its founder gets into a confrontation on x with Elon. Binance executives are racing to cover billions in losses from the biggest crypto heist in history. A breach that blew past everything the exchange had set aside to cover such an incident. So they've had a fund set up that had roughly a billion [00:09:35] S1: Is that the fund? [00:09:36] S0: Yeah. Safu.
00:09:36 · Jordi Hays, John Coogan
[00:09:36] S0: Yeah. Safu. [00:09:37] S1: Secure asset fund for users. Yeah. They set it up for exactly [00:09:42] S0: They were sort of planning for a worst case scenario. Turns out the worst case scenario [00:09:45] S1: Was three or six times what Yeah. [00:09:48] S0: Much they were planning for. Greater. The hackers plundered 6,300,000,000 from the exchanges digital wallets by breaking into a Binance engineer's laptop among other breaches, Binance said. So yeah, I think a big question that everyone has is like, yeah, how how does it how is it possible that like... [00:10:05] S1: A single engineer needs to be... [00:10:06] S0: Single point [00:10:07] S1: of failure. You would think it would be a number of you would think it would be a number of of engineers that need to all sign off on something like this for that much money to move. You know, sending a wire these days from a traditional bank is usually a couple phone calls, two factor, there's a bunch of different stuff that needs to happen. It's rarely just one person signing off. But... [00:10:27] S0: Anyways, stablecoin issuers, Tether and Circle, along with other crypto firms managed to freeze about 3,000,000,000 of that sum leaving roughly 3,300,000,000 under the hacker's control. Finance has had has an... There's some questions around that too. Possible that they were able to take a loan out against those assets and so the assets are frozen now, but they already got some more liquid [00:10:50] S1: Oh interesting. Frozen assets. Okay. Yeah. [00:10:51] S0: So still Easy. Happening in real time.