Good morning readers. Last week, we asked you, our loyal subscribers to hit us up with the songs you listen to that help you get sh*t done throughout the day. And we received an overwhelming amount of responses. Thank you to all who sent us their tracks.

As promised, we created a playlist (with some of the entries so far) to help you power through those Monday blues. We’ll be updating the playlist as more entries filter in and as we find more ourselves. As always, if you have any suggestions, we’re all ears (literally).

Oh, and of course we had to name the playlist “Get sh*t done”. Let us know what you think.

Let’s jump into today’s storylines.

In today’s digest:

• The US economy is in a slump this summer

• Headline Hustle: Paramount Global agree to Skydance merger, France’s leftist coalition win in parliamentary elections, Tesla becomes an official Chinese government car

• Mt. Gox begins paying back its creditors

• The Week Ahead: What to Expect

• Pulse Points: What’s Trending

ECONOMY

The US economy hits a summer slump

As beach towels roll out and grills fire up, the US economy isn't feeling quite the summer love. This season, instead of a spending spree, there’s a noticeable tightening of belts across America. Restaurants to dental clinics are feeling the pinch as consumer demand cools off, marking a stark contrast to last year's robust economic activity.

So what gives?

Recent surveys, including one from the Institute for Supply Management (ISM), paint a less than sunny picture. Their latest report on the services sector—where a whopping 86% of the US's 158.6 million jobs reside—dipped into contraction territory for the first time in months. The headline index took a dive to 48.8 in June from May’s 53.8, signaling a slowdown that could lead to more cautious hiring or even job cuts if the trend persists.

The backbone of the US economy, consumer spending, which accounts for about 70% of economic activity, is showing signs of fatigue too. High inflation, soaring interest rates, and dwindling pandemic savings are squeezing households nationwide. Retail insights reveal that even essentials like dining out are on the chopping block, with spending at restaurants and bars dipping by 0.4% in May.

But the pinch is felt unevenly across income brackets.

• The top 20% of earners might still splurge on vacations and dining, but the majority are scaling back, particularly on non-essential services.

• This shift in spending habits is crucial because when the US consumer pulls back, the entire economy feels it.

The silver lining? This could be temporary. Businesses are watching closely, hopeful that this is just a seasonal ebb rather than a prolonged downturn. The coming months will be crucial in determining whether the US economy can regain its momentum or if we’re in for a longer economic winter.

IN THE KNOW

Headline Hustle

🤝 Paramount Global agrees to Skydance deal. Skydance Media and Paramount Global have agreed to merge, marking a new chapter for one of Hollywood’s oldest studios. Shari Redstone will sell the family's controlling stake, ending an era for the Redstones. The deal combines Paramount, known for classics like "The Godfather," with Skydance, its financial partner on hits like "Top Gun: Maverick." David Ellison, Skydance's founder, will take a leading role, inheriting a company facing challenges from the streaming revolution. The deal, valued at $1.75 billion, includes a 45-day window for better offers.

🇫🇷 France’s leftist coalition wins most seats in country’s parliament election but fails to win majority. France's left-wing New Popular Front coalition prevented a far-right advance on Sunday, securing the largest number of seats in a parliamentary run-off vote but falling short of an absolute majority. Early projections show the coalition gaining between 172 and 215 seats. President Macron’s Ensemble party and its allies are set to gain between 150 and 180 seats, while far-right Rassemblement National is projected to secure 120-150 seats. None of the parties reached the 289-seat majority, suggesting a hung parliament and potential political instability.

🚗 Tesla becomes an official Chinese government car. For the first time, Tesla cars have been placed on a Chinese government purchase list, according to state-owned media Paper.cn. Tesla is the only foreign-owned EV brand on Jiangsu province's purchase catalog, alongside Volvo and state-owned SAIC. This allows government agencies to procure Teslas as service cars, highlighting Tesla's strong relationship with China. But the inclusion has sparked debate on Chinese social media. Despite rising competition from Chinese rivals like BYD, Tesla's Shanghai-made Model Y is now eligible for government use.

CRYPTO

Mt. Gox begins repayment decade after collapse

A decade after vanishing into the abyss of bankruptcy following a catastrophic hack, Mt. Gox, once the behemoth of bitcoin exchanges, is making headlines again. This week, it announced the commencement of long-awaited repayments to some of its creditors, a move stirring both relief and market speculations among the crypto community.

The $58 billion hack

The Tokyo-based exchange, notorious for the heist that led to the loss of up to 950,000 bitcoins (valued at $58 billion at the time), has started disbursing payments in bitcoin and bitcoin cash, signaling the first steps toward closure for many who had their digital assets locked away in what turned into one of the most infamous chapters in cryptocurrency history.

But not all are set for a smooth payout; recipients must first jump through several hoops including account verification and registration with designated digital asset exchanges to receive their due.

As Mt. Gox kicks off its repayment process, the ripple effects have been intense.

• The price of bitcoin has taken a nearly 6% dip in the last 24 hours, reflecting market anxieties that the released funds might lead to heavy selling.

• While some analysts predict this sell-off to be short-lived, with expectations of price recovery later in the year, others remain wary of the potential for more sustained impacts on market dynamics.

Looking ahead…as Mt. Gox slowly releases billions of dollars worth of bitcoin back into the wild, the crypto markets brace for the effects of this newfound liquidity. Though the payments are a welcome resolution for many, they introduce new variables into an already volatile market, making the next few months a period of watchful anticipation for traders and investors alike.

WEEK AHEAD

What to expect

• U.S. inflation data will be a key highlight this week: Investors will be looking for signs from the Federal Reserve on potential rate cuts, possibly as soon as September.

• Wall Street's quarterly earnings reports begin: Reports are expected to be lackluster due to high interest rates slowing lending and increasing borrower defaults.

• Newly elected British Prime Minister Sir Keir Starmer starts his first full week in office: Starmer's first international engagement is the Nato summit in Washington, commemorating 75 years of the military alliance. He will meet US President Joe Biden, Ukrainian President Volodymyr Zelenskyy, and other western leaders.

What else is happening…

• The Euro cup semi-final begins on Tuesday with Spain and France going head to head. Then on Wednesday, the Netherlands play England for a chance to meet the winner of Span / France in the final.

• The Copa America semi-finals also begin on Tuesday with Canada going up against Argentina. Then on Wednesday, Uruguay takes on Columbia.

SNIPPETS

Pulse Points

• Six Flags completed an $8 billion merger with Cedar Fair this week, forming the largest amusement park operator in the U.S., with 42 parks across 17 states.

• NASCAR, known for loud, fast gas-powered cars, unveiled an all-electric SUV on Saturday with twice the horsepower of their current gas models.

• A federal judge on Wednesday temporarily delayed a ban on noncompete agreements for a few employers from taking effect on September 4. Unless the judge rules otherwise before that date, the ban will still apply to most companies in the US, with a final decision expected later this summer.

• Your secret ChatGPT conversations were not compromised in the recent OpenAI breach, which, although concerning, was superficial.

• A Phoenix police officer pulled over a Waymo car for driving in the oncoming lane.

Was this email forwarded to you? Feel free to sign up using the following link: https://www.pulseofprogress.info/

⚡️ Want to feature in this newsletter?

Elevate your brand's visibility to over 7,000+ decision makers by partnering with Pulse of Progress and seize the chance to connect with our rapidly expanding, highly engaged audience! Reach out for more details.