Bloomberg Businessweek Weekend – February 6th, 2026

Episode Overview

This episode, hosted by Carol Massar and Tim Stanovec, unpacks the latest trends and big stories shaping the global economy, with a sharp focus on artificial intelligence, strategic government action on critical minerals, shifting patterns in precious metals and cryptocurrencies, resilience in banking and small business, and the innovative battle for snow at the Winter Olympics. Through expert interviews and ground-level perspectives, listeners are given deep insight into the forces steering markets, technology, industry, and everyday business.

Key Segments & Insights

1. Artificial Intelligence Arms Race: Earnings & CapEx at Alphabet (Google)

Timestamps: 02:32–14:38

• Alphabet’s Massive CapEx Spend:
  Google parent Alphabet reported a capital expenditure plan for 2026 expected to reach $175–185 billion, far surpassing Wall Street’s $119.5 billion expectation.
• Why Such Aggressive Investment?
  • AI and cloud require heavy infrastructure and GPUs.
  • Cloud revenues accelerating; Alphabet's cloud business runs at a $70B annual rate, with Q4 beating estimates ($17.66B vs. $16.2B expected).
  • Growth in Gemini AI app (750 million MAUs vs. 650 million expected), search ad margins remain world-leading (~70–80%).
  • Alphabet’s infrastructure is key not only for itself but for customers like Anthropic and even Apple considering using Google chips for Siri.
• Comparison to Peers:
  Unlike Meta, Alphabet’s investments can be productized for customers. Microsoft and Amazon are likewise heavily investing as the “AI arms race” continues.
• Notable Quotes:
  • "For a business that's a $225 billion run rate to grow 17%, is that at incremental margins of 70% or 80%?... that's probably the envy of the world." – Mandeep Singh [06:22]
  • "Everyone is trying to be very careful how they allocate that capacity. Every hyperscaler has that challenge and that's where, you know, Alphabet really is going big. Because they have $150 billion in free cash flow..." – Mandeep Singh [11:54]

2. Strategic Critical Mineral Stockpile (Project Vault)

Timestamps: 17:43–23:14

• Biden Administration (and now Trump) Response:
  Launching a $12B "Project Vault" to help private companies procure and store strategic minerals, aiming to reduce reliance on China for rare earths and other crucial inputs.
• How It Works:
  • Combination of $10B federal loan and $1.67B private capital.
  • Initial partnerships with over a dozen major automakers and aerospace giants.
  • Details on what forms of minerals (raw vs. processed) and how exactly the government will buy remain to be clarified.
• Broader Significance:
  The move echoes the Strategic Petroleum Reserve, but for minerals essential to high-tech industry, affecting metal markets and trade flows.
• Notable Quotes:
  • "You have the equivalent in critical minerals of the SPRO [Strategic Petroleum Reserve]." – Joe Doe [19:41]
  • "As I understand it, right out of the gates, they intend to start purchasing critical minerals. How does that happen...?" – Joe Doe [20:13]

3. Market Volatility: Precious Metals and Crypto, Burry’s Warning

Timestamps: 23:18–30:09

• Dramatic Drops in Gold, Silver, and Bitcoin:
  • Precious metals fell from recent highs; Bitcoin down 40% since October.
  • Michael Burry warns of a potential “death spiral” in Bitcoin, with risk of forced selling cascading through crypto and related markets.
• Expert Perspective:
  • Axel Merck (Merck Investments) notes most gold inflows are due to price appreciation, but recent market stress sparked “long term investors” to buy gold on the dip.
  • Merck asserts that Bitcoin acts as a risk asset (strongly correlated with S&P 500) while gold is non-correlated and defensive, attracting fundamentally different investors.
• Regulatory and Systemic Considerations:
  • Gold and silver derivatives, particularly unregulated products in China, heighten volatility but US margin rules limit systemic spillover.
• Notable Quotes:
  • "Bitcoin is still trying to figure out what it wants to be when it grows up… it's very clear that it is a risk asset, whereas gold is a defensive asset." – Axel Merck [29:14]
  • "The purpose of these rules… is not to prevent you from making a stupid decision, but that your stupid decision doesn't wreck the system as a whole." – Axel Merck [27:49]

4. Regional Banking: ConnectOne CEO Frank Sorrentino on Growth and Opportunity

Timestamps: 33:02–43:15

• Regional Bank Outperformance:
  Investors rotate from big nationals to regionals; ConnectOne’s market cap up 7% YTD, mirroring the regional banking index outpacing majors.
• Consolidation & Opportunity Post-M&A:
  US sees continued M&A in banking supported by accommodative regulation, but every transaction opens opportunities for smaller institutions to capture clients and grow.
• Small Businesses and Construction:
  • ConnectOne’s clientele is optimistic, with Sorrentino citing chronic undersupply in housing and robust demand among builders.
  • Regulatory and political barriers, not financing, are described as the real bottlenecks to affordable housing.
• Fed Policy & Macro Perspective:
  Sorrentino supports a data-driven, balance-sheet-focused approach at the Fed, emphasizing that true market health lies not just in rates but in overall systemic liquidity.
• Notable Quotes:
  • "Our job is to continue to make ourselves unavailable to be sold. But certainly that's always a possibility..." – Frank Sorrentino [35:27]
  • "If we're not growing ConnectOne, we're not going to be able to satisfy our clients' needs as they're growing." – Frank Sorrentino [38:36]

5. Brooks Running: Resilient Consumers, Global Expansion, and Berkshire Stability

Timestamps: 48:10–58:21

• Athleisure & Performance Market:
  Brooks posts 16% growth in 2025; consumer demand is resilient, with running and walking culture booming globally.
• Global Expansion:
  • China is a major new focus, with plans for 30 stores by 2027 and 245% YoY growth in China sales.
  • US and Germany are other major strongholds (US: 80% of revenue).
• Innovation and Supply Chain:
  • Focused on product innovation for runners (biomechanics, authentic branding).
  • Navigating high tariffs via cost adjustments.
• Ownership Matters:
  • Remaining with Berkshire Hathaway is touted as a strategic advantage, allowing 10–20 year planning horizons.
• Leadership Transition:
  Greg Abel shows continuity with Buffett's culture at Berkshire.
• Notable Quotes:
  • "Ownership matters in business. We're lucky and fortunate to have the ownership of Berkshire Hathaway." – Dan Sheridan [53:00]
  • "Our consumer is very, very healthy right now and it's rooted in the participation… Brooks is winning the runner at the cash register." – Dan Sheridan [48:41]

6. Small Business Snapshot: Brad Finkel, Hoboken Farms

Timestamps: 61:15–71:54

• Pulse of the Consumer:
  • Small business owner Brad Finkel notes fear and confusion among consumers, with a clear shift from dining out to home cooking.
  • Affordability and value dominate purchasing decisions.
• Resilience & Story of Growth:
  • Finkel’s company grew from farm market stands to supermarket shelves nationwide (and abroad) by listening to customer needs and leveraging community relationships.
  • Funding growth through community connections rather than formal institutional rounds: "$4 million raised in Series A from customer-investors."
• Tariffs & Stability:
  Tariffs on ingredients directly impact costs; stability is crucial for planning.
• Notable Quotes:
  • "This feels kind of like a combination of both, not just confusion, but fear." – Brad Finkel [63:44]
  • "[Farm markets are] both an ecosystem and an incubator." – Brad Finkel [69:58]

7. Snowmaking and the Future of Winter Olympics: Cloud Seeding

Timestamps: 76:47–88:14

• Olympic Challenge:
  2026 Winter Games in Italy threatened by warming winters; snow arrived just in time.
• Cloud Seeding Innovations:
  • Growing use of cloud seeding (silver iodide particles, from ground or aircraft) to coax precipitation.
  • Drones, as launched by Rainmaker, promise more precise delivery at scale.
  • Efficacy remains unproven in natural settings; expert Katya Friedrich notes stronger evidence in lab, less so in real-world storms.
• Ecological & Economic Impact:
  • Most science finds minimal ecological risk; cost-effective relative to mechanical snowmaking.
  • States like Utah spending millions to secure water supply for ski resorts and critical watersheds.
• Climate Realities:
  • Even if seeding works, rising temperatures erode the viability of traditional winter sports; ski resorts are hedging geographically.
  • All former Winter Olympics cities have warmed nearly 5°F since 1950; up to 13% of global ski areas may lose natural snow by late 21st century.
• Notable Quotes:
  • "Cloud seeding… acts as a catalyst. This little chemical acts as a tiny piece of ice… and you have fresh powder. That's the theory at least." – Kyle Stock [78:19]
  • "Drones… get these chemicals right where they need to be in a cloud, right where they want them to be." – Kyle Stock [82:14]

Memorable Moments & Notable Quotes

• On AI Investment:
  “Everybody says these guys have to spend, these hyperscalers, right, in order to compete. Is there some truth to that?” – Carol Massar [10:47]

• On Bitcoin’s Identity Crisis:
  "Bitcoin is something that still wants to decide what it wants to be when it grows up." – Axel Merck [26:28]

• On Consumer Sentiment:
  "I think the consumer is scared. I think the consumer is confused. I think the consumer is trying to grab onto some form of an idea of what they can plan for and they can't find it." – Brad Finkel [62:14]

• On the Fragility of Winter Sports:
  "All the cities that stage the Winter Games since 1950 have heated up… by an average of 4.9 degrees Fahrenheit." – Carol Massar [87:13]

Episode Flow/Structure

• Opening:
  • Headlines on AI, Alphabet earnings, precious metals, government action (Project Vault).
• First Hour:
  • Alphabet and AI, critical minerals, metals and crypto volatility, regional banking outlook.
• Second Hour:
  • Running boom and Brooks’ strategy, small business profile (Hoboken Farms), and the future of snowmaking at the Olympics.
• Closing:
  • Reflection on consumer and labor market fragility, looming winter sport challenges, and reminders to catch further coverage on Bloomberg platforms.

A Valuable Listen For

• Business and Tech Leaders:
  Rapid shifts in AI, infrastructure, and policy.
• Investors:
  Market dynamics, risk factors, and real-world drivers.
• Policy Watchers:
  U.S. government industrial strategies, climate adaptation.
• Small Business Owners:
  Candid insight on resilience and customer adaptation.
• General Audience:
  Understanding the macro—and human—side of current economic stories.

For a full episode, search "Bloomberg Businessweek Weekend - February 6th, 2026" on your preferred podcast platform or access via Bloomberg.com.