What you need to know today

Warren Buffett’s Berkshire Hathaway has accumulated $234.6 billion in Treasury bills, surpassing the U.S. Federal Reserve’s holdings.

The move comes as Buffett builds a massive cash reserve, fueled by selling stocks including Apple.

The Fed remains a significant holder of Treasury securities overall, but Buffett’s focus on short-term T-bills reflects a cautious approach amid market uncertainty.

Profitable, finally
Disney’s media business is no longer a drag on the company. Streaming services Disney+, Hulu and ESPN+ turned a profit for the first time, making $47 million in the second quarter, a significant shift from a $512 million loss a year ago.

The theatrical unit also saw success with record-breaking releases, like “Inside Out 2” and “Deadpool & Wolverine.”

However, theme parks experienced a slight decline in consumer demand. Disney’s stock, down 24% over two years while the S&P 500 rose 28%, dropped 4.4% in Wednesday trading.

Write down
Warner Bros. Discovery’s stock dropped more than 6% in extended trading after it reported a $9.1 billion write-down on its TV networks and missed analyst estimates on second-quarter revenue. The charge reflects the declining value of traditional TV networks as customers flee and advertisers opt to spend on digital and streaming instead.

Revenue at its TV networks — which include TBS, TNT, Discovery and TLC — was down 8% to $5.27 billion. However, the company’s streaming business Max added 3.6 million subscribers during the quarter, bringing its total global streaming customers to 103.3 million.

Recession on horizon
JPMorgan Chase CEO Jamie Dimon still believes that the odds of a “soft landing” for the U.S. economy are around 35% to 40%, making recession the most likely scenario in his mind. “There’s a lot of uncertainty out there,” Dimon told CNBC. “I’ve always pointed to geopolitics, housing, the deficits, the spending, the quantitative tightening, the elections, all these things cause some consternation in markets.”