Pentagon’s Half Billion-Dollar Investment, Amazon’s Prime Day Record & Housing Surge

Dear Money Master,

Mortgage applications just hit a two-year high as rates fall and buyers return to the market. Meanwhile, the Pentagon is diving into the minerals game, investing $400 million in MP Materials to secure rare earth magnets for military and tech use.

On the tech front, Amazon is racing to cool its AI chips with custom-built heat exchangers for Nvidia's GPUs. Prime Day also crushed expectations, logging nearly $8 billion in a single day, making it the biggest e-commerce moment of the year.

And that’s not all, X CEO Linda Yaccarino has stepped down following backlash over Elon Musk’s AI chatbot Grok. Starbucks’ China unit could fetch up to $10 billion in a private equity bidding war, while Levi’s and Delta are bucking the economic narrative with upbeat earnings and raised forecasts.

Let’s get into it. 📉📈🌍

📰 Your Daily Financial Digest - July 11th, 2025

🌍 Economics:

1. 🏡 Mortgage Applications Hit 2-Year High 📈
   Lower rates and stable prices are drawing homebuyers back. The 30-year fixed mortgage dropped to 6.77%, pushing applications up 9.4% and purchase loan volume to the highest since Feb 2023. Read More

2. 🎯 Pentagon Buys $400M Stake in Rare Earth Miner MP Materials 🛡️
   The U.S. Defense Department will become MP’s largest shareholder. The move secures access to strategic minerals used in defense tech. Read More

3. 🌏 Starbucks China Reportedly Valued up to $10B in Stake Sale 🥡
   Nearly 30 private equity firms are bidding for a piece of Starbucks' China unit. Starbucks may retain a 30% stake, signaling long-term commitment despite local competition. Read More

💻 Technology:

1. 💥 Amazon Develops Custom Cooling for Nvidia AI Chips ❄️
   AWS built its own heat exchangers to cool high-powered Nvidia GPUs. Amazon’s in-house solution accelerates AI deployment. Read More

2. 🛍️ Prime Day Hits $7.9B in Single-Day Online Sales 🚀
   Adobe says Prime Day 2025 became the year’s biggest e-commerce day, topping Thanksgiving sales. Walmart, Target, and Best Buy all launched competing mega-discount events. Read More

3. 🚪 Yaccarino Resigns as CEO of X Amid Grok Backlash 💥
   Her exit follows controversy over Musk’s AI chatbot making antisemitic remarks. X merged with xAI earlier this year in an $80B deal, and the fallout is now rattling leadership. Read More

💹Earnings:

1. ✈️ Delta Air Lines Reinstates Outlook After Strong Q2 🧳
   EPS hit $2.10, topping expectations, with Q3 guidance now at $1.25–$1.75. Delta expects full-year EPS between $5.25–$6.25, well ahead of consensus. Read More

2. 🥣 Ferrero Buys WK Kellogg for $3.1B 🍫
   Known for Nutella and Kinder, Ferrero will acquire Kellogg’s cereal spinoff. The deal includes brands like Froot Loops and is expected to close later this year. Read More

3. 👖 Levi’s Lifts Forecast Amid Tariff Headwinds 📊
   The denim brand now expects FY2025 revenue to rise 1%–2% and EPS between $1.25–$1.30. Shares popped as investors cheered the surprise guidance bump. Read More

To your financial empowerment, The Money Masters Team

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DISCLAIMER: This information is for educational purposes only and does not constitute financial advice. The publisher does not accept any responsibility for any losses incurred as a result of actions taken based on the information provided. Always conduct your own research or consult with a financial advisor before making any investment decisions.