The U.S. national debt crossed $40 trillion — the alert literally hit mid-recording. So why aren't markets panicking? Bob Sloan breaks down the basis trade quietly keeping the debt machine running, the symbiosis between Wall Street and the Treasury, and the thing to watch as September funding pressure builds: banks starting to tell hedge fund clients "no."
Plus: the arbs are back in the Paramount–Warner Bros. Discovery (WBD) deal as the $7M-a-day ticking fee looms, short sellers are positioning for an MLB lockout through the only publicly traded team in baseball (BATRA), and shipping stocks have become a live proxy for how long the Iran conflict drags on.
Chapters:
0:00 Opening
2:20 Paramount–Warner Bros.: the arbs are back
9:33 Media consolidation & the future of CNN and CBS
13:59 $40 trillion in debt — why isn't the market panicking
18:54 The basis trade funding the deficit
22:09 Funding pressure: what banks are telling clients
24:25 Teamsters vs. Amazon
28:45 Braves short interest & the MLB lockout bet
30:36 Sports valuations & the gambling bid
31:31 Shipping stocks: a proxy for the Iran war
36:47 The Trump crypto debate
41:41 Closing
Risk & Return returns after Labor Day for Year 2!
Hosted by Bob Sloan, founder & managing partner of S3 Partners, and Charlie Gasparino of Fox Business and the New York Post.
Follow:
Bob Sloan: https://x.com/BobSloanS3
Charlie Gasparino: https://x.com/CGasparino
S3 Partners: https://x.com/S3Partners
Nothing in this episode should be considered investment advice. The hosts are not investment advisors.
