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Hello, and welcome to a short week for Wall Street as we barrel toward July.

The Supreme Court this morning overturned a 90-year-old precedent, giving President Donald Trump extraordinary power to fire heads of independent government agencies, while nearly simultaneously blocking Trump’s attempt to remove a Federal Reserve official as he ramped up a pressure campaign over interest rates.

If you’re wondering how the justices squared this contradiction… we are too. Is it as simple as “don’t mess the money up”? Not exactly. As Michigan law professor Leah Litman said on our show this afternoon, Trump can now reshape the FTC, the SEC and many other agencies with huge economic effects. But not the Fed.

There will be more to come on this story, but for now my colleague Henry Epp has a story about kitchen table issues.  — Tony Wagner, newsletter editor
A man in a grocery aisle.
Andrej Ivanov/AFP via Getty Images
GLP-1s are changing shopping habits — and brands are changing along with them
A new survey found Ozempic and drugs like it could shave up to 2.7% off grocery store sales this year.
For years, the size of packaged foods went mostly in one direction: bigger, said Rick Miller, a partner at Big Chalk Analytics, which administered the survey.

“Six packs of Coke turned into 12 packs of Coke turned into 48 packs of Coke,” he said.

But in recent years (partly due to shrinkflation), package sizes have gotten smaller. As more Americans use GLP-1s, which reduce food cravings, there’s also more demand for that 12-pack again.

Companies make up for selling less of their product by charging a higher unit price, Miller said.

“So you're paying a little bit more per ounce for a smaller portion than you would for a larger portion, but the consumer demand is definitely shifting towards these smaller pack sizes,” he explained.
READ MORE


 
News you should know
Let’s do the numbers
  • Stocks jumped today and made up for some of last week’s losses. The S&P 500 closed up 1.2%, the Dow rose 0.6% with help from its newest addition, and the Nasdaq surged 2.1%.

  • Comcast shares spiked this morning after the cable company announced it would spin off its media arm, NBCUniversal.

  • Brent crude oil crept back up to $73.91, above where it was before the war. The average price of a gallon of gas continued its fall to $3.86 today.

  • The yen hit a 40-year low against the dollar today.

  • We’ll get June jobs numbers a little early this week because of the July 4th holiday. Experts say the past couple months of strong numbers might not look as good as they seem.
Artificial intelligence
  • Ford invested heavily in AI quality control at its factories. Now it’s rehiring hundreds of engineers after the software fell short. 

  • Nurses’ unions are negotiating the use of AI in some healthcare settings, both to preserve jobs and make sure patients get the best care. Some hospitals are already pulling back on robo nursing assistants.


QUOTE OF THE DAY
“Sort of similar to now, there was a lot of heralding the internet as this extraordinary and transformative technology. By the end of the 1990s, it wasn't quite delivering on all those promises.”
— Margaret O’Mara, tech historian at the University of Washington
Apple announced price hikes on many of its devices last week, citing the rising price of memory and storage devices as AI companies scale up.

Many economists think the AI build-out will drive inflation in the short-term, but some say the tech could eventually bring prices down. Other technology has followed that pattern, but the trickier question is when workers might see the productivity gains the AI industry has promised.
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Elon Musk frowns looking at his phone.
Peter Dazeley
Final note
One more thing on GLP-1s
As some insurers drop coverage for the weight-loss drugs (if they ever covered them in the first place), Medicare is adding them. As part of a pilot starting next week, recipients can get GLP-1 drugs for $50 per month. Here’s what you need to know.
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Join host Reema Khrais and the rest of the "This Is Uncomfortable" team for a virtual meet-up to cross that financial task off your to-do list!
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