WSJ Your Money Briefing

Episode: What’s News in Markets: Kraft Heinz Split, Macy’s Turnaround, Musk’s Pay

Date: September 6, 2025
Host: Francesca Fontana, The Wall Street Journal

Episode Overview

This week’s episode delivers a concise roundup of the most significant market-moving stories: Kraft Heinz’s corporate split, Macy’s surprising turnaround, and a potential record-smashing pay package for Tesla CEO Elon Musk. Francesca Fontana breaks down why these headlines matter for investors and what they signal for the broader market.

Key Discussion Points & Insights

1. Market Recap: A Shaky Start to September

• Market Performance Post-Labor Day
  • Shortened trading week; all three major indexes opened September lower after ending August with gains.
  • Investors were wary due to political uncertainty and economic signals.
• Factors Spooking Investors
  • President Trump’s push to overhaul the Federal Reserve, including an attempt to dismiss Fed Governor Lisa Cook, added uncertainty.
  • Senate hearings for Trump’s Fed nominee Stephen Miron took place Thursday.
  • Friday’s weak jobs report raised likelihood of a Fed rate cut at the upcoming policy meeting.
• Weekly Index Movements:
  • Dow: down 0.3%
  • S&P 500: up 0.3%
  • Nasdaq: up 1.1%
  • (01:30) Quote:

    “Stocks started September on a gloomy note… the three major indexes all ending lower.”
    — Francesca Fontana

2. Kraft Heinz Announces Breakup of Its Business

• Corporate Split Details
  • Kraft Heinz plans to separate into two companies, reversing the 2015 merger.
  • Division of Brands:
    • Sauces, seasonings, and spreads: Heinz Ketchup, Philadelphia Cream Cheese, Kraft Mac and Cheese.
    • Grocery staples (focused on North America): Oscar Mayer, Kraft Singles, Lunchables.
  • Mimics industry trend of splitting legacy conglomerates for focus and efficiency (citing moves by Keurig Dr. Pepper, Kellogg).
• Market Reaction:
  • Kraft Heinz shares fell 7% on Tuesday, finishing the week down 2.4%.
• (02:45) Memorable Moment:

  “As in all breakups, we want to know who's getting what, right? Who gets Kraft Mac and Cheese? Who gets Kraft Singles?”
  — Francesca Fontana

• Insight:
  • Ongoing trend of big food companies restructuring to unlock growth and shareholder value.

3. Macy’s Earnings: A Promising Turnaround

• Positive Surprises
  • Macy’s posted its first same-store sales growth since 2022 and upgraded its annual outlook.
  • Credit for turnaround goes to CEO Tony Spring, at the helm since 2024.
• Turnaround Strategy
  • Closing underperforming stores
  • Adding more staff to fitting rooms
  • Introducing new brands
• Challenges Remain
  • Long-standing issues: declining mall traffic, competition from online retailers.
  • New challenges: tariff-driven price hikes.
• Cautious Optimism
  • CEO Tony Spring remains careful about future prospects despite a strong quarter.
• Market Reaction:
  • Macy’s shares jumped 21% on Wednesday; gained 31% for the week.
• (03:40) Notable Quote:

  “Apparently it’s paying off... There are still challenges ahead as online shopping has replaced the mall.”
  — Francesca Fontana

4. Elon Musk’s Potential $1 Trillion Pay Package

• Pay Proposal Details
  • Tesla’s board is proposing a package for Musk worth up to $1 trillion over the next decade, contingent on hitting major milestones.
  • Key target: Tesla must hit an $8.5 trillion market value (current: just over $1 trillion).
  • Reward: Musk could gain up to an additional 12% stake in the company.
• Shareholder Vote Scheduled:
  • November 6th, 2025.
• Market Reaction:
  • Tesla shares climbed 3.6% on Friday, 5.1% for the week.
• (04:35) Memorable Moment:

  “One of the richest men on the planet might be getting even richer. That man is Elon Musk… Hot dog.”
  — Francesca Fontana

Notable Quotes & Memorable Moments

• On Market Sentiment:

  “Stocks started September on a gloomy note… the three major indexes all ending lower.”
  — Francesca Fontana (01:30)

• On Corporate Splits:

  “As in all breakups, we want to know who's getting what, right? Who gets Kraft Mac and Cheese? Who gets Kraft Singles?”
  — Francesca Fontana (02:45)

• On Macy’s Revival:

  “Apparently it’s paying off... There are still challenges ahead as online shopping has replaced the mall.”
  — Francesca Fontana (03:40)

• On Musk’s Trillion-Dollar Pay:

  “One of the richest men on the planet might be getting even richer. That man is Elon Musk… Hot dog.”
  — Francesca Fontana (04:35)

Timestamps for Important Segments

• 00:31: Episode kick-off; market overview this week.
• 01:30: Why September started out negative for stocks.
• 02:10: Kraft Heinz breakup announcement and implications.
• 03:10: Macy’s quarterly results and turnaround story.
• 04:15: Elon Musk’s pay package proposal and Tesla’s targets.
• 05:00: Weekly stock moves recap.

Tone & Takeaway

Francesca’s delivery is brisk and lightly humorous, making complex market news accessible and relatable. The episode underscores broader trends—corporate streamlining, brick-and-mortar retail’s struggle for relevance, and the outsized role of personality-driven executive compensation in modern markets.

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