Good Morning. This is the Investor Lookout with the daily digest to make you a smarter investor. (Keep an eye on the Lookout Watch to see how we’re doing!)

Here’s what we got today:

• 💰 Microsoft CEO Satya Nadella Gets 63% Pay Increase While 2,500 Employees Get The Boot

• ⚠️ Musk's Kremlin Calls Raise National Security Concerns

Microsoft CEO Satya Nadella Gets 63% Pay Increase While 2,500 Employees Get The Boot

Satya Nadella found a new cheat code, and his pay got a major upgrade. Microsoft's ($MSFT) CEO compensation package increased to $79.1 million in the fiscal year ended June 30 from $48.5 million previously. The pay increase comes as Microsoft laid off 2,550 employees following the $69 billion Activision Blizzard acquisition and closure of Arkane Austin gaming studio. Nadella voluntarily cut his cash bonus from $10.7 million to $5.2 million due to cybersecurity breaches caused by Russian and Chinese actors.

• Microsoft stock has risen 16% YTD but is still behind the S&P 500's 23%

• The $3.2 trillion market capitalization of Microsoft puts the company third in the world, behind Apple and Nvidia

Musk's Kremlin Calls Raise National Security Concerns

Looks like Putin managed to slide in Elon Musk's DMs. The Wall Street Journal reports the world's richest man has been in constant contact with Russia's president, Vladimir Putin, since late 2022. The conversations, ranging from personal topics and business to geopolitical tensions, are raising red flags in Washington. Musk's SpaceX conducted 90% of U.S. launches in 2023. NASA administrator Bill Nelson said that if the story is true, it would be concerning for NASA, the Department of Defense, and some intelligence agencies.

• SpaceX has a $1.8 billion classified contract with the government

• Musk has top-secret clearance and access to sensitive information

Markets

In this election cycle, ‘bond vigilantes’ are voting too—and they don’t like what they see. Ed Yardeni, who coined the term "bond vigilantes" (traders who protest against deficits by selling off bonds), praised Bill Ackman's profitable Treasury short position from August to October. [Read]

U.S. stocks could soon trade for almost 24 hours a day. The New York Stock Exchange ($ICE) announced plans to expand its Arca Equities exchange open hours to 22 hours on weekdays. The move aims to fend off competitor platforms such as Robinhood ($HOOD) and capture international investors. [Read]

Russia's central bank hikes interest rate to 21% to fight stubborn inflation. Russia's central bank has raised its key interest rate by 200 bps to a record high of 21%. Inflation hit 8.6% year-on-year, mainly driven by heavy defense spending caused by the invasion of Ukraine. [Read]

Business

Apple returned to China’s top 5 smartphone sellers last quarter—but Huawei’s growth dwarfs the competition. Apple ($AAPL) reclaims top 5 spot in China's following new smartphone launches. Rival Huawei boasts a remarkable 42% growth year-on-year, while Vivo leads the market with 18.6% market share. [Read]

Alibaba to pay $433.5 million to settle shareholder lawsuit over monopoly claims. Alibaba ($BABA) agrees to pay U.S. investors $433.5 million to settle a lawsuit over monopolistic practices. The company denies any wrongdoing, stating that it entered settlement to avoid the cost of further litigation. [Read]

Spirit Airlines stock jumps 15% after struggling budget carrier said it will sell planes, cut jobs. Spirit Airlines ($SAVE) plans to sell 23 older Airbus Aircraft for $519 million and cut jobs to reduce costs by $80 million. Stock is still down 80% this year despite a 16% surge on the news. [Read]

How gold became one of the world's hottest investments. Business Insider

German finance minister warns of retaliation if U.S. kicks off trade war. CNBC

Wall Street and tech royalty fly to Saudi event amid Mideast war. Fortune

Britcoin will not replace cash, BOE Governor Bailey says. Fortune

China's Sept industrial profits post steepest fall of the year. Investing.com

Bond Trading Frenzy Risks Giving Market Makers a False Sense of Security. Bloomberg

ChatGPT maker OpenAI is disbanding yet another AI safety team. Quartz

Israel just launched an airstrike against Iran. Fortune

Trump Polymarket Odds Briefly Dip After His No. 2 Bull Adds Bet on Harris. CoinDesk

The big listeria meat recall has hit Costco chicken. Quartz

DISCLAIMER: None of this is financial advice. This newsletter is strictly educational and is not investment advice or a solicitation to buy or sell any assets or to make any financial decisions. Please be careful and do your own research.