Brew Markets — Episode Summary

Episode: lululemon Leadership Drama & Trump Waives 100-Year-Old Maritime Law
Date: March 18, 2026
Host: Anne Berry (with John Curto)

Overview

This episode dives deep into two headline stories: the unfolding leadership chaos at Lululemon and President Trump's unprecedented move to waive the century-old Jones Act to stabilize oil markets amid global conflict. The hosts also touch on Meta abandoning its VR dreams, the latest Fed rate pause, Macy’s surprise bounce-back, and woes at General Mills. There’s an insider’s look at boardroom drama, activism in US corporate governance, and thoughtful market analysis—with the usual smart, candid, and witty banter.

Main Discussion Points

1. Trump's Waiver of the Jones Act (00:32–04:24)

The White House suspends the Jones Act (Merchant Marine Act of 1920) for 60 days to ease surging US energy prices, impacted by war in Iran and supply disruptions.
- What is the Jones Act?
  It mandates US-built, owned, and crewed ships for transport between US ports, initially for national security.
- The Act raises shipping and consumer costs but is rarely waived—past waivers: Katrina (2005), Libya crisis (2011), Colonial Pipeline attack (2021).
- This time, the waiver allows foreign vessels to deliver oil, gas, fertilizer, and coal to alleviate East Coast refinery shortages as oil surpasses $100/barrel.
US simultaneously eases sanctions on Venezuela and grants limited exceptions for buyers of Russian oil, all in an attempt to tamp down commodity spikes.
- Notable Quote (Anne Berry, 03:19):
  
  “The waiver is designed to, quote, ‘allow vital resources like oil, natural gas, fertilizer, and coal to flow freely to US ports.'… This isn’t done lightly.”

2. Lululemon’s Boardroom Drama & Succession Crisis (04:57–15:04)

a. The Feud of Two Chips

Stock context: Lululemon ($20B market cap) up 5% today, still down 50% YoY. Flat sales in America, growth only in China—earnings below expectations.
Activist pressure: Wall Street and activist investors (notably Elliott Management) are circling, calling for change.
Insider heat: Founder Chip Wilson (owns 9%) publicly feuds with the board, accuses them of “losing Lulu’s cool,” and blames them for “kowtowing to Wall Street” at the expense of brand identity. Wilson is even sending letters to potential CEO candidates warning them to be wary of the board (07:28).
- Notable Quote (Anne Berry, 06:44):
  
  “He’s basically said Lululemon has lost its cool… sacrificing what made Lululemon special.”
Leadership vacuum: 3 departed CEOs; interim co-CEOs (Megan Frank & Andre Mastrini) doing double duty while searching for a long-term boss.
- Notable Quote (Anne Berry, 11:11):
  
  "When you’re the interim CEO, if you’re remotely ambitious… you know you’re auditioning, right?… It does sort of beg the question—if and when a full-time CEO is recruited… how do they feel?"
New board member: Chip Berg (ex-Levi’s CEO) joins but isn’t Wilson’s pick; known for turning around Levi's with bold, direct-to-consumer strategies (09:52).
Board power and governance: Spotlight on how boards, not just CEOs, drive corporate fates.
- Notable Quote (Anne Berry, 07:59):
  
  “Ultimately, the buck stops… at the board of directors level… if the board hasn’t made the decisions or picked the right CEOs, you’ve got to start looking there.”
Competitor activity: Lululemon’s new flagship in Soho immediately joined by rival stores (Alo Yoga, Vuori) nearby; Anne did “fieldwork” and found Lulu uninspiring, praising Vuori and Alo for fresher retail experiences (13:09).
- Notable Quote (Anne Berry, 13:14):
  
  “I did walk into the Lululemon store. It was totally cookie-cutter. I was not inspired by it… I think Lulu, they’re going to have to figure out something fresh and new.”

b. Street Chatter & Analyst Perspective

Cautious sentiment: Analysts flag the CEO gap as company’s “biggest overhang,” call the current search process uninspiring.
- Notable Quote (Anne Berry quoting Jefferies Analyst Randy Koenig, 14:04):
  
  "Until a credible CEO is in place… investors are left underwriting hope."
Fun Wall Street moment (15:04):
- John Curto: "You know how many headlines I saw today that said ‘downward dog’?"

3. Meta Retreats from the Metaverse (15:13–17:07)

Meta kills Horizon Worlds for VR headsets: The much-touted virtual social platform will close June 15 as Meta backs down from its bold metaverse vision.
Financial burn: Reality Labs (Meta’s Metaverse division) racks up ~$80 billion in operating losses from late 2020–2025.
- Notable Quote (Anne Berry, 16:43):
  
  “I cannot believe how much money has just been shredded on this.”
Pivot to AI: While the move hurts the stock (-1% today), hosts credit Meta for cutting losses early and repositioning around artificial intelligence.
- Notable Quote (Anne Berry, 17:07):
  
  “…Cleaning the slate to try and move forward, doubling, tripling, quadrupling down on AI.”

4. Market Roundup & Fed Update (22:16–24:00)

Indices: S&P 500, Nasdaq, Dow all close >1% down amid a key Fed decision.
Fed stays put: Federal Reserve holds rates steady (3.5–3.75%), hints a cut might come later in the year; uncertainty about Middle East developments.
Inflation surprise: PPI for February up 0.7% (double expectations).
- Notable Quote (Anne Berry, 22:50):
  
  “Producer Price Index… up over the month… most importantly, more than double what expectations had been.”

5. Retail & CPG Highlights (23:39–25:46)

Macy’s beats the odds: Shares up nearly 5%, holiday quarter and same-store sales (up 1.8%) beat forecasts. Luxury segment, via Bloomingdale’s, thrives.
General Mills stumbles: Shares hit 52-week low after big revenue drop (-8% YoY); CEO cites planned asset sales and weather disruptions (“I don’t enjoy it in earnings reports” — Anne Berry, 25:46).

6. Event Debrief: Women, Wealth, and What’s Next (19:05–21:31)

Brew Markets New York event highlights:
- Anne interviews financial influencer Mrs. Dow Jones (“Her energy was just the thing… and she has real substance.” – Anne Berry, 19:50)
- Shift in narrative: US stocks no longer the “only game in town”; new appetite for global diversification via ETFs, stock picking.
- Panel ideas: Building communities for investment discussion, AI as “copilot” for retail traders, shoutout to listeners (special mention: Theodora).

Notable Quotes & Moments

On corporate governance (Anne Berry, 07:59):

"The CEO reports to the board, which means you can fire a CEO if things are going poorly, but ultimately the buck stops... at the board of directors level."
On succession struggles (Anne Berry, 11:11):

“When you’re the interim CEO, if you’re remotely ambitious... you know you’re auditioning, right?”
On ineffective flagship strategy (Anne Berry, 13:14):

“The Lululemon store was totally cookie-cutter. I was not inspired.”
On Meta’s metaverse pullback (Anne Berry, 16:43):

“I cannot believe how much money has just been shredded on this.”
On Wall Street humor (John Curto, 15:04):

"You know how many headlines I saw today that said ‘downward dog’? That was the pun that they all wanted to see."

Timestamps Index

00:32 — Trump waives 100-year-old Jones Act, oil market context
04:57 — Lululemon succession drama & Chip Wilson’s board feud
09:52 — Chip Berg joins Lulu board; founder not satisfied
13:09 — Anne’s Soho “field trip”: Lulu vs. competitors
14:04 — Analyst notes CEO gap as key Lulu problem
15:13 — Meta axes Horizon Worlds, metaverse retreat
16:43 — Meta’s Reality Labs burns $80 billion
19:05 — Event recap: empowering women in investing, Mrs. Dow Jones
22:16 — Market close, Fed rate news, inflation data
23:39 — Macy’s surprise rebound, General Mills stumbles

Overall Tone

Clever, insightful, fast-paced, and accessible. The hosts blend rigorous analysis with approachable metaphors, humor, and street-level reporting (literally, in Soho).

For New Listeners

This episode distills major market drama, big policy shifts, and the nuanced realities of corporate leadership into tangible takeaways—anchored by real stories, candid opinions, and direct quotes. Whether you’re watching Lululemon’s fate, following oil prices, or considering the broader fate of big tech gambles, this show has you covered.