In partnership with
Good morning investors!
If this is your first time reading, welcome to The Investor’s Edge — a thriving community of over 26,000 subscribers striving to be better investors with an edge in the market.
Every Wednesday we publish “The Mid-Week Wrap-Up” — your ticket to being well informed and staying ahead in the investment game!
This report is designed to help investors of all skill levels break down important stories/topics within the stock market. And best of all, we cut through all of the BS and give you exactly what you need to know in easy to digest, bite sized pieces of content.
This article is designed to truly give you that EDGE in the day ahead!
Grab your afternoon pick me up and let’s dive in.
Market Talk
After a sluggish start to the week, all three major indexes are higher after the Fed cut rates by 25 basis points this afternoon.
3 Stories Moving the Market
These are some of the biggest stories so far this week that are having an influence on market action.
Fed cuts rates again as widening internal split raises uncertainty for 2026
The Federal Reserve delivered a 25 bps cut, lowering its policy rate to 3.5%-3.75% and marking its third straight reduction. The decision came with three dissents, the most divided vote in more than a decade, highlighting growing disagreement over how to balance cooling labor conditions with still elevated inflation. Powell signaled a patient posture from here, with policy now viewed as sitting near the broad neutral range.
🔑 Key Points
Deepening split: Three officials dissented, revealing the widest internal divide since 2014 and underscoring real policy uncertainty.
Hawkish cut: Powell emphasized balanced risks and pushed back on the idea of hikes, but he made clear future cuts are no longer automatic.
Sticky inflation: Goods prices are running hotter due to tariffs, keeping PCE near 2.8% and complicating any push toward the 2% target.
Bond buying returns: The Fed will restart purchases with an initial $40B in T-bills, responding to funding market pressures and pausing balance sheet runoff.
Market reaction: Equities pushed higher and yields slipped as traders increased bets on deeper 2026 cuts despite the Fed’s more restrained dot plot.
👀 What You Need to Know
This meeting shifts the Fed from a predictable cutting path to a fragmented, harder to read policy environment, with deep disagreements now shaping the outlook. Inflation holding near 2.8% keeps officials cautious, while labor indicators continue to soften and complicate the balance of risks. The restart of bond buying signals stress beneath the surface even as Powell plays down urgency. Markets are pricing more easing than the Fed projects, creating a widening gap between expectations and official guidance. With a leadership change coming, policy visibility is likely to deteriorate further.
🔐 Edge Takeaway: Powell leaned on patience, blamed the inflation pop on tariffs, and said the Fed is “well positioned to wait,” but the…upgrade to Edge+ to read the full Edge Takeaway.
Trump approves Nvidia’s H200 China shipments under a 25% revenue-share deal
President Trump authorized Nvidia $NVDA ( ▼ 2.11% ) to sell its H200 AI chips to approved Chinese buyers, with the U.S. government receiving a 25% cut of revenue. The chips will move from Taiwan to the U.S. for security screening before export, an unusual structure that reflects legal and political constraints. China has not formally responded, although major firms like Alibaba and ByteDance have already signaled interest.
🔑 Key Points
Regulatory structure: The U.S. review stop enables the government to treat the 25% fee as a tariff rather than a prohibited export tax.
Security concerns: Analysts warn large H200 flows could narrow the U.S. computing advantage while oversight procedures remain undefined.
Supply limits: Production of H200 chips is extremely constrained as Nvidia prioritizes Blackwell and Rubin, creating scarcity for China.
Chinese demand: Alibaba, ByteDance and Tencent are assessing orders because the H200 delivers far more training power than the H20.
Political tension: Lawmakers fear downstream military use while Nvidia argues it must participate in China to compete with Huawei.
👀 What You Need to Know
This shift shows how economic incentives are reshaping policy at a moment when national security remains under intense scrutiny. The forced U.S. checkpoint is a legal workaround, but it also highlights uncertainty around monitoring and enforcement. China’s demand will likely be strong, yet actual volume depends on supply and political approval. It’s a step forward on paper, but it leaves the real direction of U.S.–China chip policy completely unsettled.
🔐 Edge Takeaway: Nvidia finally got the policy break they needed, but the timing tells you how much pressure was building behind the scenes. The company is…upgrade to Edge+ to read the full Edge Takeaway.
Sponsored by Fisher Investments
7 Actionable Ways to Achieve a Comfortable Retirement
Your dream retirement isn’t going to fund itself—that’s what your portfolio is for.
When generating income for a comfortable retirement, there are countless options to weigh. Muni bonds, dividends, REITs, Master Limited Partnerships—each comes with risk and oppor-tunity.
The Definitive Guide to Retirement Income from Fisher investments shows you ways you can position your portfolio to help you maintain or improve your lifestyle in retirement.
It also highlights common mistakes, such as tax mistakes, that can make a substantial differ-ence as you plan your well-deserved future.
Paramount launches hostile $108.4 billion bid to block Netflix from acquiring Warner Bros Discovery
Paramount Skydance $PSKY ( ▼ 3.13% ) made a surprise hostile offer of $108.4 billion for Warner Bros Discovery $WBD ( ▼ 0.25% ) in a last attempt to derail Netflix’s $NFLX ( ▲ 1.84% ) $72 billion agreement reached last week. The Warner Bros board said it will review the new proposal but has not changed its recommendation in favor of Netflix, leaving the situation unsettled. Paramount argues its bid offers more cash, clearer regulatory visibility, and a strategic path that keeps major Hollywood assets under a traditional studio rather than a global streaming platform.
🔑 Key Points
Hostile bid escalation: Paramount raised its proposal to $30 per share, a move that pushes the takeover fight into public and political territory.
Political involvement: Financing links to Kushner and Middle Eastern funds create scrutiny around influence, national security, and White House alignment.
Regulatory headaches: Combining Paramount with Warner Bros enlarges linear TV market share and draws just as much if not more antitrust risk.
Break fees in play: Warner Bros owes Netflix $2.8 billion if it switches, while Netflix faces a $5.8 billion penalty if its deal collapses.
Market reaction: Paramount and Warner Bros rallied while Netflix declined as investors reassessed deal odds and regulatory pathways.
👀 What You Need to Know
This fight is turning into a messy mix of politics, regulation, and industry pressure, and the price tag is only one part of the story. Paramount is trying to win support by framing its deal as better for Hollywood, but lawmakers have already raised concerns about consolidation. Netflix faces its own resistance from unions and politicians who worry about job cuts and pricing power. Both bids carry real antitrust hurdles, which means approval risk is now the main driver of deal odds.
🔐 Edge Takeaway: Netflix, Warner Bros Discovery, and Paramount are now locked in a fight that will reshape the power structure of U.S. media for years. WBD sits between…upgrade to Edge+ to read the full Edge Takeaway, including the Edge score and CMG Strength Ratio.
📚 Edge-ucation: What is a Hostile Takeover Bid?
A hostile takeover bid happens when a company attempts to acquire another firm without the approval or cooperation of that firm’s board. Instead of negotiating a friendly deal, the bidder goes straight to shareholders or tries to replace the board itself.
Bypassing the board: The bidder appeals directly to shareholders through a tender offer or launches a proxy fight to install a new board willing to approve the deal.
Premium pricing: Hostile offers often include a large cash premium to persuade shareholders to ignore management’s objections and tender their shares.
Defensive tactics: Targets respond with poison pills, staggered boards, litigation, or white knight searches to block or dilute the bidder’s attempt.
Political and regulatory pressure: Hostile bids attract scrutiny because they can consolidate market power quickly, alter control of sensitive assets, or involve financing sources that raise national security questions.
Hostile takeovers matter because they create high-volatility situations where shareholders must weigh a premium today against strategic uncertainty, regulatory risk, and the long-term consequences of new ownership.
In Other News
In this section we'll be curating a selection of news headlines we think you'll find interesting. If a topic catches your eye, click the provided links to read more about it.
Unlock the Edge+ Experience
Like the content you have seen so far? Edge+ members not only get additional content in these recaps, but they also get expert market analysis straight to their inbox multiple times per week.
Upgrade Options:
Ultimate Edge - our latest addition to the Stock Investor’s Edge
Get access to all premium tiers with one subscription
Edge+
Comprehensive market insights and analysis delivered multiple times weekly.
Exclusive deep dives into earnings reports, stock performance, and macro trends.
Access to our expertly managed portfolios and live webinars.
Member-only Discord: Stay connected with the team and community in real-time.
Options Edge+
Weekly Options Edge Report: Top-tier options trade ideas, including covered calls, cash-secured puts, and spreads with detailed risk-reward analysis.
Options Education Hub: A growing library of primers and strategies to boost your confidence.
Live Trade Alerts: Never miss an opportunity to act on key trades.
Market Sentiment Analysis: Stay ahead with insights on volatility trends and strategy adjustments.
Member-Exclusive Discord: Connect with experts and like-minded traders in real-time.
Quick Picks — The Affordable Option
Still not sure if the Edge+ club is for you? We’ve launched Edge Quick Picks, a cost-effective tier that delivers actionable insights and recommendations at just $12 per month or $120 per year.
With Edge Quick Picks, you’ll get:
5 stock or ETF picks each month: High-conviction ideas at current valuations.
Edge Scores: A snapshot ranking of each pick based on key metrics.
Exclusive Discord Room: Updates on picks and strategy throughout the month.
Our goal with Edge Quick Picks is to offer a streamlined, actionable option for investors who want high-quality recommendations without breaking the bank. We’re confident this new tier will help you build long-term wealth while gaining an edge in the market.
As we like to say, price is what you pay, value is what you get. Trust us when we say you’re not getting this much value for the price anywhere else on the Internet. Choose the tier that fits your goals and join the Edge community today!
The Second Half
Now that the Fed has made its rate decision, focus shifts to earnings for the rest of the week as several major names are expected to report.
Earnings Reports
We get a slew of major reports to end the week, with major AI and chips players and two key retailers that will give insights into the consumer. Here are the list of names we will be watching:
Wednesday 12/10: Oracle and Adobe
Thursday 12/11: Broadcom, Costco, and Lululemon
Friday 12/12: --
Here is the calendar of earnings releases scheduled for the rest of the week:
Source: Earnings Whisper
Economic Reports
With the Fed decision behind us, the only report remaining this week is tomorrow’s initial jobless claims.
The Investor’s Edge Discord is the place to be!
Before you go, don’t forget to join our Discord server. Members this week got a first row seat to some great trades and a sneak-peek of our Edge Scoring Dashboard.
If you are only reading the newsletter, you are only getting a fraction of the benefits of being an Edge subscriber. Here’s what you’re missing in the Discord:
🗨️ Chat rooms: Connect with fellow investors, swap ideas, and engage in lively discussions about stocks and market trends—all while rubbing virtual elbows with both Mark and Chris.
🚨Trade Alerts: Get exclusive, behind-the-scenes access to our trades as they happen. It's like having a front-row seat to our investment decisions!
Join us on Discord and let's level up our investing game together. The future of trading awaits—and you're invited to be a part of it! 🌟
Thank you for reading this edition of the Mid-Week Wrap-Up.
Until next time investors!
Mark & Chris
The Investor’s Edge
Disclosure
This is not investing advice. It is very important that you do your own research and make investments based on your own personal circumstances, preferences, goals and risk tolerance.
