The Rundown – September 5, 2025

Episode Theme:
A fast-paced recap of the day's major market movers and economic headlines, including the latest jobs report, a $10 billion Broadcom-OpenAI chip deal, and Tesla’s proposed $1 trillion CEO pay package for Elon Musk. Host Zaid Admani also fields listener questions on the origins of the show and comparisons between today’s AI market boom and the dot-com era.

1. Overview – Market Recap (00:15)

• Main Message:
  Both the S&P 500 and Nasdaq rose about 0.9% Thursday, pushing the S&P to record highs.
• Key Highlight:
  Job growth data came in significantly weaker than expected, suggesting an economic slowdown.

2. Key Discussion Points & Insights

A. Jobs Report & Market Outlook (00:33)

• Headline:
  The US economy added only 22,000 jobs in August 2025, compared to the 75,000 expected.
• Additional Data:
  • Unemployment rate increased to 4.3%
  • June's job numbers revised down, now showing a loss of 13,000 jobs—the first negative month since 2020.
• Host's Analysis:
  • "The signs seem to be clear that the labor market is slowing down and I think this pretty much guarantees that the Federal Reserve will be cutting interest rates later this month." (01:12)
  • Stagflation concerns loom with sticky inflation and slowing job growth.

Memorable Moment:

• “You might start hearing the stagflation word being thrown around a lot more. So yeah, the economy just got a lot more interesting.” – Zaid Admani (01:40)

B. Headline: Broadcom’s $10B OpenAI Deal (02:12)

• Overview:
  • Broadcom to co-design a new AI chip for OpenAI—a $10 billion agreement.
  • OpenAI follows Google, Amazon, and Meta in making custom silicon to reduce reliance on Nvidia.
• Market Impact:
  • Broadcom shares soared 15% in response; its market cap surpassed $1.5 trillion.
  • CEO Hock Tan confirmed the deal but referred to OpenAI as a "mystery customer."
  • Raised their 2026 AI revenue outlook (previously targeting 50-60% growth).
• Host's Take:
  • “Broadcom doesn’t really get talked about that much, but they’ve been a big beneficiary of the AI boom… Nvidia is still the king of AI chips, but Broadcom is becoming a serious competitor." (03:25)

C. Tesla’s $1 Trillion Elon Musk Pay Package (04:02)

• Details:
  • Tesla’s board proposed the largest CEO pay package in history: $1 trillion over the next decade, in 12 tranches of stock.
  • Conditions include Tesla hitting significant milestones:
    • $8.5T market cap (from ~$1T now)
    • Delivering 20 million cars/year (up from less than 2 million)
    • 20x profit increase
    • Millions of robots and robo-taxis in service
• Host’s Skepticism:
  • “When you dig into it, I don’t think that Elon is going to see the full $1 trillion payout because I don’t think that Tesla is going to be able to hit some of these milestones. But…maybe this gets Elon to lock in for the next decade.” (05:20)
• Shareholder Vote:
  • Scheduled for November 6th.

Notable Quote:

• “Sounds crazy, right? That’s why I think that Tesla shareholders are going to end up approving this pay package.” – Zaid Admani (05:58)

D. Stocks on the Move

DocuSign (06:08)

• Why Up:
  • Beat Q2 revenue expectations ($800+ million, +9% YoY); strong AI tool adoption.
• Feature Highlighted:
  • Intelligence Agreement Management platform: uses AI to summarize/analyze contracts.
• Host’s Wit:
  • “I’m pretty sure ChatGPT can do the same thing, but DocuSign says they’re seeing adoption with small and mid-sized businesses…and also some larger enterprise customers too.” (06:40)
• Market Reaction:
  • Stock up over 7% today; up 30% in the past year.

Lululemon (07:10)

• Why Down:
  • Q2 comparable sales rose only 1% (vs. 3% expected); US same-store sales dropped 4%.
• CEO Admission:
  • Calvin McDonald: Lounge/social products have gotten stale.
• Host’s Anecdote:
  • “I’m seeing a lot more people rocking Alo or Vuori these days.” (07:40)
• Market Reaction:
  • Stock down more than 15% today; has lost over half its value in 2025.

3. Listener Q&A (08:02)

Q1: Podcast Origin Story (Chris Fernandez)

• Quick History:
  • Started as a 5-minute audio-only market recap inside the Public.com app (October 2023).
  • Launched as a standalone podcast in early 2024; expanded to 10 minutes with video, graphics, weekend deep-dives, and interviews.
• Host’s Philosophy:
  • “Our goal is to keep you guys informed on what’s happening in the markets without being super stiff or serious and trying to share a laugh along the way.” (08:50)

Q2: AI Boom vs Dot-Com Bubble (Landon McGee)

• Similarities:
  • “In the '90s, if you had a dot-com in your name, your stock went parabolic. Now it’s kind of the same thing with AI.” (09:25)
• Key Difference:
  • Dot-com bubble: mostly new, unproven companies with shaky business models and lots of debt.
  • Today: Led by established Big Tech (Nvidia, Microsoft, Google, Amazon) with real, cash-flowing businesses.
• Risk Analysis:
  • Even if today's AI bubble bursts, major tech companies are unlikely to collapse as badly as dot-com era firms did.
  • “Even if we are in an AI bubble, which I think we are, I don’t see the AI bubble popping [causing] as devastating [an effect] to the stock market as the dot com bubble was.” (10:15)
• Statistic:
  • During the dot-com burst, NASDAQ fell 75% from its 2000 peak.

4. Notable Quotes & Memorable Moments

• On labor slowdown and stagflation:
  • “The economy just got a lot more interesting.” (01:40)
• On Tesla’s pay package:
  • “Maybe this pay package gets Elon to lock in for the next decade…and he might become the world’s first trillionaire.” (05:47)
• On the show’s tone:
  • “Trying to share a laugh along the way.” (08:50)
• On the bubble:
  • “Even if the AI bubble pops... [big tech] all have legit cash flowing businesses outside of the AI stuff.” (10:10)

5. Timestamps for Key Segments

• Market Recap & Jobs Report: 00:15–02:11
• Broadcom-OpenAI Deal: 02:12–04:00
• Tesla $1T Pay Package: 04:02–06:08
• DocuSign Results: 06:08–07:10
• Lululemon Earnings: 07:10–08:02
• Listener Q&A: 08:02–end

6. Closing Notes

• Deep Dive on Klarna IPO episode releasing tomorrow.
• Interview with finance author Nick Maggi airing on Sunday.
• Shoutout to production team; show continues to evolve with listener feedback.

tl;dr:
Jobs market weakness likely signals Fed rate cuts ahead; Broadcom surges on $10B OpenAI chip deal; Tesla proposes audacious pay package for Musk (pending shareholder vote); DocuSign thrives on AI, Lululemon struggles in US; host compares today’s AI hype cycle to the dot-com bubble with important distinctions for investors.