Finance Digest: Warner Bros. Changes Hands
A weekly column recapping and previewing the top financial news
Every week, Micah Briggs (UATX ‘29) will bring you a quick breakdown of the biggest financial stories from the past week, along with a preview at what to watch out for in the week ahead. The goal is to give you a clear vision of where the markets and financial world stand.
Thanks for reading and stay tuned for more each week!
Events from Last Week
Middle East Conflict Shakes Oil, Gold, Stocks
Tensions in the Middle East escalated this week as the U.S. and Israel launched major strikes on Iran, prompting retaliatory attacks across the region. Oil prices jumped to around $80 per barrel as traders braced for possible disruptions in the country, which handles roughly one-fifth of global oil shipments. Investors rushed into safe havens; gold surged back above $5,400 a troy ounce, and both the dollar and Swiss franc rose as global equity markets fell on Monday. This conflict is expected to continue for at least several weeks. Read more here.
AES Goes Private in Power Grab
AES has been acquired for about $10.7 billion by a consortium led by BlackRock’s Global Infrastructure Partners and EQT. The buyers expect that as data centers soak up more electricity, the AI boom will require massive new investment in power generation and distribution; this makes AES and its portfolio of generation assets an attractive long-term play. The investor group will pay $15 per share, roughly 40% premium to AES’
s30-day volume-weighted average price, but below where the stock had recently traded. Shares fell about 17% in premarket trading upon the official announcement as traders adjusted to the final price. Read more here.Warner Bros. to Sell to Skydance
After months of negotiation, Netflix has dropped its $82 billion bid for Warner Bros. and declined to bid higher than Paramount’s $111 billion, deciding Warner Bros. unattractive at that price. Paramount, owned by those who founded Oracle and now own a significant portion of TikTok, went through a large merger with Skydance Media less than a year ago. This deal has yet to be approved by regulators from both the Federal government and California. Read more here.
Bank Stocks and New AI Fears
Bank shares were rattled this week by old and new worries alike. Increased oil prices revived concerns that inflation could keep rates higher for longer, harming loan and credit quality. At the same time, fears have surfaced that AI-driven trading strategies could amplify market swings rather than smooth them out. The latest Middle East shock is a live test: if AI-enabled trading exacerbates volatility in bonds, currencies, and commodities, bank stocks may continue to trade at a discount until investors are convinced that these tools reduce risk rather than magnify it. Read more here.
UK Housing Costs Decrease and Stabilize
The latest Land Registry data show the average UK house price at 270,259 GBP as of December 2025: a modest decline from pandemic-era peaks as higher mortgage rates and tighter affordability have worked through the system. Looking ahead, Nationwide suggests UK house prices could rise between 2% and 4% in 2026, aided by easing mortgage rates and wage increase. A new “mansion tax” on homes worth more than 2 million pounds—announced in the 2025 Autumn Budget and set to begin in 2028—is only expected to affect around 1% of properties and is unlikely to distort the broader market. Read more here.
This Coming Week
The US February jobs report will be released on Friday, delivering key macroeconomic employment data.
The European Central Bank will release estimates on inflation, unemployment, and Q4 GDP this week, which will provide a wealth of data about the EU’s economic health.