Bloomberg Businessweek Podcast Summary

Episode: Major Storm to Test Power Grids Across Much of US This Weekend
Date: January 23, 2026
Hosts: Carol Massar & Tim Stenovec
Featured Guests: Josh Saul (Bloomberg News Energy Reporter), Andrew Kry (Crescent Grove Advisors CIO), Alexandra Levine (Bloomberg News Technology Reporter), Lauren Hochfelder (Morgan Stanley Head of Global Real Assets)

Overview

This episode centers on the approaching major winter storm projected to impact over 170 million Americans across the US, putting regional power grids—especially in Texas—under severe stress. The discussion expands into broader economic issues, including global investment sentiment, recent major tech deals (the TikTok-Oracle transaction), and new real estate trends for 2026. The hosts and their expert guests provide clarity on high-stakes challenges facing the economy and everyday Americans, from energy reliability to investment strategies and housing dynamics.

Key Discussion Points & Insights

1. Major Winter Storm and its Impact on Power Grids

Guest: Josh Saul, Bloomberg News Energy Reporter
Timestamps: 02:26 – 06:50

• Scope of the Storm:

  • The storm will span 1,500 miles, affecting regions from the Southern Rockies to New England, impacting at least 170 million people.
  • New York City alone could see up to a foot of snow.
  • "We're going to see up to a foot of snow here in New York City on Sunday. Might cancel my kids' basketball game, but snow is already falling in the Rockies." – Josh Saul (02:48)

• Texas as a “Big Test”:

  • Texas is not used to extreme cold and its isolated grid system will be severely tested.
  • Demand is projected to peak at 84 gigawatts—nearing both winter and summer records.
  • "The state's power grid is expecting a demand peak of 84 gigawatts...that much demand is going to be tough for the grid to keep up with." – Josh Saul (03:24)

• Explaining Power Demand:

  • One gigawatt = output of one nuclear reactor.
  • "If you think of...the nuclear power plant in the Simpsons, 84 of those...producing power across Texas." – Josh Saul (04:04)

• Climate Change & Weather Extremes:

  • Climate change results in more frequent, erratic, and severe weather, not just warming.
  • "Climate Change is a more accurate, broader term because what climate change does is make for more erratic swings in temperature and more types of extreme weather." – Josh Saul (04:59)
  • The rare southern reach of the cold due to disruptions in the jet stream and polar vortex.

• Grid Reliability & Underground Power Lines:

  • Buried lines (e.g., in NYC) are more secure during storms, less likely to freeze or be compromised by falling trees.
  • "Having the lines underground means they're less likely to freeze, get overloaded, have a tree fall into them, get knocked out in that way." – Josh Saul (06:21)

2. Global Markets, Geopolitics, and Investment Shifts

Guest: Andrew Kry, CIO, Crescent Grove Advisors
Timestamps: 11:03 – 15:53

• Market Jitters and Geopolitical Uncertainty:

  • Recent comments and social media posts from President Trump have heightened volatility and uncertainty.
  • Geopolitics acknowledged as a major, hard-to-predict economic risk.

• Investor Risk Appetite in 2026:

  • Despite a three-year stock rally, there’s greater unease due to labor market shifts, anticipated Fed rate cuts, and fragmented macro conditions.
  • "There’s been uneasiness about the general rally in the S&P 500...It just doesn’t feel right to have such a buoyant stock market against [a] fragmented macro backdrop." – Andrew Kry (11:53)

• Japanese Yield Curve Moves as a Signal:

  • A spike in Japanese yields and potential for a steepening US yield curve are early warning signs.
  • Higher discount rates could lead to a rerating of high-growth stocks, reminiscent of 2022.
  • "To us, that's a big concern moving forward here—is do you see an untethering of the long end of the yield curve?" – Andrew Kry (12:49)

• The ‘Sell America’ Trade:

  • Notable shift of funds from US assets into emerging markets, particularly Asia and Latin America.
  • Policy uncertainty and trade tensions prompting more foreign capital to seek opportunities outside the US.
  • "This is just another force to galvanize Europe...around feeling like they don’t want to be antagonized by the US Administration...ultimately will have trade ramifications." – Andrew Kry (14:58)

3. TikTok's American Deal Comes to Fruition

Guest: Alexandra Levine, Bloomberg News Technology Reporter
Timestamps: 16:57 – 22:05

• The Deal Structure:

  • Seven-year saga concludes with TikTok US bought by a consortium led by Oracle, Silver Lake, and Saudi firm MGX.
  • ByteDance, TikTok’s Chinese parent, reduces its direct stake below 20% but maintains influence over key business units, including TikTok Shop and advertising.

• Algorithm & User Experience:

  • US joint venture will lease TikTok’s algorithm from ByteDance and retrain it on American user data.
  • The public experience on the app is not expected to change noticeably, though moderation and certain data responsibilities now rest with the US entity.
  • "US TikTok users are not going to need to download a new app...byteDance is going to be leasing a copy of its algorithm to this new US joint venture." – Alexandra Levine (18:25)

• National Security & Trust Concerns:

  • Oracle serves as a "trusted security guard" to vouch for US data privacy compliance, but concerns linger.
  • ByteDance keeps control over lucrative operations and may retain technical reach, raising ongoing trust and transparency debates.
  • "How do we know that copy of the algorithm doesn't have some backdoor entry for ByteDance?" – Host (19:15)
  • "I think there’s a lot of questions around how that will be communicated to the American public..." – Alexandra Levine (20:02)

• Chinese Government’s Position:

  • China remains relatively quiet but is seen as coming out ahead since ByteDance retains significant business interests.
  • "A lot of people looking at this are seeing that China comes out with a win here, that Trump comes out with a win here...but especially, especially China." – Alexandra Levine (20:48)

4. Real Estate Market Trends and Investment Strategies

Guest: Lauren Hochfelder, Head of Global Real Assets at Morgan Stanley
Timestamps: 25:37 – 33:57

• Transaction Activity Trends:

  • Senior housing asset transactions jumped 70% in December 2025; apartment REIT activity also rose by 40%—windfalls driven more by sales than purchases, possibly foreshadowing price decreases in 2026.

• Responding to a Volatile World:

  • Despite a “world of heightened geopolitical and policy proposal uncertainty,” investors should focus on long-term megatrends like aging demographics and supply chain realignment.

• Housing Affordability & Supply Dynamics:

  • Housing affordability crisis acknowledged, but restrictions on institutional buyers are seen as a distraction (just 1% of the market).
  • "It's a little bit like the 1% tail wagging the 99% dog...price comes down when supply goes up. This is the solution." – Lauren Hochfelder (27:48)
  • Example: Chicago rents up 20% (lower supply), Austin rents down (high supply).

• Investment Focus for 2026:

  • Emphasis on sectors where structural—not cyclical—growth drives returns, e.g., senior housing and industrial real estate.
  • Industrial segment focus on warehouses, especially those with high power capacity (enabling optionality like data centers).

• Outlook for Office Real Estate:

  • Office demand is coming back, but value is increasingly concentrated in top-tier properties.
  • US and European offices may have been overvalued before COVID-19, with capex needs underestimated.
  • Japan cited as an exception due to lower capex burdens and different tenant structures.

Notable Quotes

• On Power Grid Stress & Climate:

  • "Global warming is one term; climate change is a more accurate, broader term because what climate change does is it makes for more erratic swings in temperature and more types of extreme weather." – Josh Saul (04:59)

• On Housing Affordability:

  • "If you look at single family home ownership or buying among institutions, it represents about 1% of the market—so it's a little bit like the 1% tail wagging the 99% dog." – Lauren Hochfelder (27:48)

• On Shifts in Investment Flows:

  • "You see...this more insidious effect of selling US assets because, you know, moving into things like gold because they don't want to be exposed to the potential ramifications of US policy." – Andrew Kry (14:58)

• On ByteDance’s Continuing Role:

  • "ByteDance is still going to be in charge of TikTok Shop...and the advertising business, which is a very lucrative piece of their empire." – Alexandra Levine (20:02)

Timestamps for Key Segments

• Winter Storm & Power Grids: 02:26–06:50
• Markets, Geopolitics, and Investment Risk: 11:03–15:53
• TikTok-Oracle Deal Explained: 16:57–22:05
• Real Estate Investment Outlook: 25:37–33:57

Memorable Moments

• Josh Saul’s comparison of Texas’ power demand to “84 nuclear reactors” (04:04) brought levity and clarity.
• Alexandra Levine candidly addresses US skepticism over ByteDance’s ongoing algorithmic access: “How do we…know that copy…doesn’t have some backdoor entry for ByteDance?” (19:15)
• Lauren Hochfelder’s “the 1% tail wagging the 99% dog” metaphor for institutional homebuyer impact (27:48) stood out for its color and simplicity.

Tone & Style

The episode maintains Bloomberg’s signature blend of sharp, data-driven discussion with accessible analogies for complex issues. Each conversation strives to connect real-world events (storm, TikTok, market swings) back to individual and institutional interests, with experts candid about uncertainty and risk.