The Rundown - Apple Hit with Rare Sell Rating, J&J's Ketamine-Derived Nasal Spray Gets FDA Approved for Depression

Episode Date: January 21, 2025

Stock market update for January 21, 2025. Check out our Instagram account @TheRundownDaily

Public.com presents the rundown. Your daily market update in five minutes. My name is Zadmani, and today is Tuesday, January 21st. In today's episode, we tell you all the drama from this past weekend. There was a Trump coin. There was a Melania coin. TikTok got banned, and it got unbanned. We'll recap at all.

Then stick around to the end of the show to find out the latest AI stock that Nancy Pelosi just invested in, and it's pumping right now. All right. Let's go. The stock market is coming off a big week. Last week, the S&P 500 jumped 2.9%, which is the best week the indexes had since the election, thanks to solid inflation data and early earnings reports. But, you know, last week almost feels like a different world after everything that happened

over the long weekend. TikTok went dark for a few hours, then it came back, which had a lot of people talking. We're going to talk more about that in a bit. But we have to start with the wild 72 hours in critical. crypto. On Friday night, President Trump launched his own meme coin. And as you can imagine, things got crazy right off the bat. The coin went from 18 cents to $30 within 12 hours of launching. And then by Sunday morning, the price had jumped all the way to $70, giving the coin a market cap of over $20 billion. This got a lot of attention. My group chats were blowing up.

My parents were asking about it. I mean, this was crazy. And for people that jumped in early on this made a lot of money. Now, going back to the crypto drama, on Sunday, the first lady of the United States, Melania Trump, launched her own meme coin. And what's funny is that her coin launching ended up tanking Trump's coin by almost 50%. Now, Trump's coin is still trading around $37 at the time that I record this, but it's down 50% from its all-time highs. It's going to be interesting to see what happens to Trump's coin moving forward now that he's officially become president on Monday. He actually hasn't mentioned the coin himself in any press conference. He's only promoted it on his social media feeds. So we might be in for a while right here. Now, as all this meme coin shenanigans

is happening, the OG crypto Bitcoin was also having a moment. It made all-time highs on Monday jumping to $109,000. It's given some of that back, though. It's currently trading it around 104,000. So roller coaster weekend for crypto over the last 72 hours. We're probably going to be talking more about this throughout the week. So make sure you guys to subscribe to the podcast to stay in the loop. Now, beyond all this crypto stuff, Donald Trump took the oath of office on Monday to become president again, and he signed a ton of executive orders after taking office. Some of these executive orders will have an impact on the markets, but I want to talk about one comment that he made on Monday night.

Trump said that he's considering imposing a 25% tariff on Mexico and Canada by February 1st. Now, who knows if it's just a threat or a negotiation tactic? I mean, Trump has talked a lot about tariffs throughout his campaign, so we'll have to see. The next 10 days are setting up to be absolutely wild. Beyond just Trump making tariff threats and who knows what else he's going to say, We are in the thick of earning season right now. This week we're getting reports from Netflix, United Airlines, and American Express, just to name a few. And next week, I feel like, is the Super Bowl for Wall Street because we are getting earnings

from Apple, Amazon, Google, Microsoft, Meta, and Tesla. They're all reporting earnings in the same week. Add in the fact that we also have a Fed meeting on January 29th. So we are in for a wild 10 days. And I'm not going to lie, I'm already starting to lose my voice. I started losing it over the weekend, but it's getting worse today. But don't worry, we are going to have a show. every day to recap everything that's happening, all the madness, all the earnings, it's going to be

crazy. Let's run through some headlines. And we have to start with TikTok again. TikTok went dark over the weekend in the U.S. because of a law that banned the app and a lot of people were freaking out. Well, the app came back shortly after as Trump is pausing the TikTok ban with an executive order. He's giving the parent company ByteDance, which is based in China, 75 days to reach a deal that keeps the app in the U.S. Remember, Congress passed a law back in April that required TikTok to divest or be banned by January 19. President Trump still wants the app to divest. He's proposed a deal that grants the U.S. 50% ownership for the app's U.S. operations. He's also suggested he could leverage tariffs to push a deal through. So we'll see what happens. This is a very confusing situation because

his executive order from Trump instructs his attorney general not to take action to enforce the law for 75 days. So while the app is working right now, it's still not. not available for download on the Apple or Google App Store. Because the law that was passed in April subjects these companies to high fines as much as $5,000 per user for hosting or distributing TikTok while under the ban. So the legal counsel for these companies still aren't sure that the executive order is good enough for them to not be subject to those fines. So again, a lot of uncertainty here.

Now, what's not uncertain, though, is Meta pouncing on this opportunity. Meta has Instagram Reels, which is an alternative to TikTok. They're trying to get more big TikTok creators to post on Reel. first. In fact, according to reporting from the information, Meta is offering popular TikTok creators with big cash bonuses to switch over to Instagram. So we'll see if that works. Let's shift gears and talk about the FDA. They just approved a new nasal spray from Johnson and Johnson that treats severe depression. This drug is called Spravato and it treats severe depression after other drug's options have failed. Spravato is sold in a nasal spray form to get into the brain quicker,

making the effects of the medication kick in faster than a traditional depression drug. Spravato is also connected to the drug ketamine, which has hallucinogenic effects. Now, Jonathan & Johnson is coming hot for this market as the company expects Spravato to make between $1 and $5 billion in sales annually. A monthly U.S. subscriptions have nearly doubled since early 2023, according to data as recently as October. So it's a very popular drug. Currently, one of the most popular depression medications is Zolov.

It's owned by Pfizer. This medication makes up nearly 17% of drug prescriptions in 2023, according to definitive health care. But Zoloff comes in a pill form, rather than a nasal spray. So I wonder if the fact that this new drug is a nasal spray makes it more attractive to people taking it. Let's talk about some stocks making moves today. Tempus AI is rallying after former House Speaker Nancy Pelosi disclosed she purchased call options on the stock for between $50,000 and $100,000. Now, Tempice AI is a relatively unknown company. The company provides health diagnostics that uses artificial intelligence to analyze medical

data with the aim of helping doctors offer more precise treatments. And the fact that Nancy Pelosi is getting involved is bringing a lot of attention to this stock. Nancy Pelosi and her husband have built quite the reputation for their well-timed investments. It's become a meme at this point and sparked a lot of criticism on whether lawmakers should be allowed to trade stocks in the first place. But the fact that she's involved has a stock up more than 20% today. Nancy Pelosi out here moving markets. On the flip side, shares of Apple are taking a hit after receiving a couple downgrades from Wall Street. Analysts at Jeffries lowered their ratings to underperform, setting an expectation for weak iPhone sales.

I guess they're not convinced that Apple intelligence is leading to higher sales. Tad, insult to injury, loop capital also lowered their ratings for Apple, dropping it from a buy to a hold. So shares of Apple are down more than 3% this morning at the time of this recording. Let's wrap the show with a fun fact. S&P 500 went up 68% during President Trump's first term in office from 2017 to 2021. That's a pretty solid run, and it beats out Biden's 54% gain, but let's take a look at some of the first terms of other recent U.S. presidents. During Obama's first term, the index jumped 85% as the economy bounced back from the 2008

recession. During Bill Clinton's first term, the S&P jumped 79% thanks to a tech boom of the 90s. But not everyone's first four years was a bull market. like the S&P 500 dropped 12% during George W. Bush's first term, which went from 2001 to 2005, largely due to the difficulties emerging from the dot-com bust and the 9-11 attacks. We'll be interesting to see what happens to the S&P 500 during Trump's second term in office. Well, all right, guys, that's the rundown for today. Hope you guys enjoyed today's episode.

Sorry about the raspy voice. I'm hoping my voice is back to 100% by tomorrow. I'm going to be drinking a lot of soup and eating a lot of halls and cough drops to get it back. The next few days are going to be absolutely wild, so I'm trying to be fully healthy so I can lock it. If you guys have any tips in how to get your voice back sooner, let me know in the comments on Spotify, and while you're there, consider giving us a five-star rating as well,

and hit the notification bell so you're notified as soon as an episode goes up. It's a great time to do that right now. If you guys want to see bonus content and clips of this show, follow our Instagram account. We're going to be posting a lot more on there as well. Thank you guys so much for listening. Shout out to Mike and Connor for all the help behind the scenes, and we'll see you guys back here tomorrow.

This is the rundown, your real-time resource for news events and trends in the markets. All views presented in the show reflect the opinions of the guests. You should not take any mention of a publicly traded security as recommendation to buy, sell or hold that security. Run-down guests are not financial advisors and are not affiliated with public holdings or subsidiaries. You should make your own financial and investment decisions or consult. Respect to professionals. Learn more at public.com disclosures. In partnership with Zaid Money, brokerage services for U.S. listed, registered securities are offered by Open to the Public Investing Incorporated, Member Finra and SIPC.