(THE WEIGHT LOSS REVOLUTION COULD TRANSFORM OUR ECONOMY)
December 6, 2024
Hello everyone
The weight loss revolution is having far-reaching economic effects
Shopping habits are changing with the advent of weight loss drugs, as are foods purchased and exercise habits.
The active ingredient in most weight loss drugs – including Mounjaro, Wegovy, and Ozeumpic – mimics a hormone called glucagon-like peptide-1 (GLP-1). That peptide slows digestion and sends fullness signals to the brain, resulting in people eating less.
Waistlines are not the only thing being reduced.
The drugs have created ripples across the US economy due to the country’s large uptake – about 7 million Americans take the drugs, according to Morgan Stanley, and that number is predicted to rise to 24 million by 2035.
Food shopping bills are being slashed - down from $400 per week to $150-$200, according to one family.
Res-Med – an Australian medical device company that makes CPAP machines for sleep apnea and is worth $56 billion – saw a drop in its share price earlier this year largely due to the belief that GLP-1s would lead to fewer people suffering from sleep apnea.
ResMed – chief executive Mick Farrell told the ABC’s The Business the opposite had occurred, with the company’s data indicating patients with sleep apnea using GLP-1 drugs were almost 11 percent more likely to use a CPAP machine.
The food and fashion industry could be reshaped.
Some studies indicate GLP-1 may change food preferences and reduce cravings for processed foods while boosting the desire for fresh fruit and vegetables.
It appears to be typical for most people using GLP-1s to reduce their calorie consumption by about 30 to 35 percent.
Adam Spielman is the head of future health at Citigroup and co-authored a report looking at the reach of GLP-1 medications in the US and possible future commercial implications.
He believes the weight loss drugs could have “a profound effect” on the economy. He expands this argument by pointing out that if 20 percent of Australians end up taking these drugs, then it is quite easy to argue that total calorie consumption in Australia could fall by roughly 6 percent. And the food products that would benefit the most would be fruit and vegetables. The fast-food industry may face its worst nightmare – people not wanting their type of food anymore because of different food tastes and behaviours. This would force the industry to shift its offering to fit in with the changing palates of customers.
Weight loss pills will change society, but it will take decades to really understand what the true impact will be.
The worst telecom hack in U.S. history
Many Americans’ data have been stolen in a telecoms attack allegedly carried out by a Chinese hacking group dubbed “Salt Typhoon.”
The White House has confirmed that at least eight U.S. telecom firms, as well as dozens of nations, have been impacted by this attack.
According to the FBI, the hackers used their access to telecom networks to target the metadata of a large number of customers, including information on the dates, times, and recipients of calls and texts.
The hackers also succeeded in retrieving the actual audio files of calls and content from texts from a much smaller number of victims.
US government officials and prominent political figures have also been impacted by this hack.
Telephones belonging to then-presidential and vice-presidential candidates Donald Trump and JD Vance were also affected.
China has denied all claims.
Cybersecurity needs to be bolstered to fill the gaps that the Chinese are apparently exploiting.
Cyber-attacks are our modern warfare. So, if we can understand that, then cyber security companies should always do well and should be part of any long-term portfolio.
Housekeeping
Thank you to those who joined the monthly Zoom meeting on December 5.
Cheers
Jacquie
