Good Morning. This is the Investor Lookout with the daily digest.

Here’s what we got today:

• 🚗 California's EV Credit Revival Excludes Tesla

• 🛍️ Macy's Q3 Report Delayed After $154M Accounting Discovery

California's EV Credit Revival Excludes Tesla

California's latest EV tax credits have everything except its biggest EV maker. Governor Gavin Newsom said on Monday that if Trump eliminates the federal EV tax credit, he will create a new version of the Clean Vehicle Rebate Program, which was phased out in 2023. Tesla ($TSLA) electric vehicles would not qualify for the new rebate program, the governor's office announced on the same day. Elon Musk, CEO of Tesla, strongly criticized the decision, pointing out on X that Tesla is the only EV manufacturer in California.

• Tesla moved its headquarters from California to Texas in 2021, with SpaceX and X (formerly known as Twitter) to follow suit

• California requires 80% of all new vehicles sold in the state to be electric by 2035

Macy's Q3 Report Delayed After $154M Accounting Discovery

Macy's just found $154 million in the wrong department. Macy's ($M) delayed its third-quarter earnings report on Monday after discovering that an employee hid $154 million in expenses over the years. The employee "intentionally" made wrong accounting entries between $132 million and $154 million of delivery expenses from 2021 to 2024. The employee is no longer working with the company, Macy's stated. Its shares fell 3.5% after they announced preliminary sales data that missed analysts' mark, $4.74 billion compared to $4.77 billion estimated by LSEG. 

• Morningstar analyst David Swartz said that the error should not worry investors, as the amount does not seem significant for Macy's

• CEO Tony Spring said November comparable sales are ahead of third-quarter levels

Markets

Trump's tax-cut plans could be slowed by a wary bond market. The $28 trillion Treasury market is signaling concerns about Trump's proposed tax cuts, which could add nearly $8 trillion to the deficit over 10 years. [Read]

The auto industry is pulling back on its 'capital junkie' tendencies after unprecedented spending on EVs, self-driving. Automakers are scaling back investments after years of heavy spending on electric and autonomous vehicles. [Read]

Russian food prices are soaring — but no one dares blame Putin and the war. Russian inflation hit 8.5% in October despite the central bank's 21% rates. Citizens avoid criticizing the government, which blames "unfriendly" countries for the economic pressure. [Read]

Business

Intel and Commerce Department close to finalizing roughly $8 billion CHIPS Act grant, source says. Intel ($INTC) and the Commerce Department are close to finalizing a $8 billion grant, according to a person familiar with the matter. [Read]

Zoom's results beat expectations, but stock slips. Zoom ($ZM) reported better-than-expected Q3 results with net income of $207.1 million and sales up 3.6% to $1.18 billion. Despite beating estimates, shares fell 5.5% after hours. [Read]

Indonesia says Apple's $100 mln investment proposal inadequate. Indonesia has rejected Apple's ($AAPL) $100 million investment proposal to lift the ban on the iPhone 16 series, saying it "has not met principles of fairness." [Read]

Keep An Eye On Value. “The intelligent investor is a realist who sells to optimists and buys from pessimists" — Benjamin Graham

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.