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Meet the 20th-century media tycoon who would have parried Trump’s isolationist thrust—and not cowered in fear of retaliation

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 “In its failure to grasp this relationship between America and America’s environment lies the moral and practical bankruptcy of any and all forms of isolationism. It is most unfortunate that this virus of isolationist sterility has so deeply infected an influential section of the Republican Party. For until the Republican Party can develop a vital philosophy and program for America’s initiative and activity as a world power, it will continue to cut itself off from any useful participation in this hour of history. And its participation is deeply needed for the shaping of the future of America and of the world.”

While the quote seems modern, it’s taken from Henry R. Luce’s most famous essay, “The American Century,” published in Life magazine in February 1941. 

Luce hoped his message would persuade Americans to support Britain in its fight against Hitler and fascism. Although much has changed since it was published 84 years ago, if you substitute Ukraine for Britain and Putin for Hitler, many of his arguments still hold weight.

Luce understood that America had become the world’s most powerful nation. He thought that America needed friends and allies who shared its values, and it was obliged to “defend and even to promote, encourage and incite so-called democratic principles throughout the world.” 

Luce was America’s most powerful media executive when he wrote “The American Century.” His magazines—Time, Fortune, and Life—and The March of Time newsreels influenced public opinion, governments, and society. He was a conservative Republican, a capitalist, and a strong anti-communist. He criticized the Democrats for burdening America with “massive government debt, a sprawling bureaucracy, and a whole generation of young people conditioned to rely on the government as the source of all life.” He asserted that Democrats were “sympathetic to various socialist doctrines.”

But Luce—who was born in China to Christian missionary parents—believed that America, as the world’s most powerful nation, had global responsibilities that came with its ambitions. He recognized domestic pressures affecting the economy and society, and he understood that “America cannot be responsible for the good behavior of the entire world.” Nevertheless, he believed it was in America’s interest to assist countries that were too poor to help themselves. He felt that America could and should be “the Good Samaritan of the entire world” and that “for every dollar we spend on armaments, we should spend at least a dime in a gigantic effort to feed the world.”

Since the end of World War II, we have faced our share of setbacks and failures alongside our successes. The Korean War produced a dangerous stalemate, while the conflicts in Vietnam and Afghanistan ended with ignominious retreats. We relied on lies and false pretenses to justify the war in Iraq. Peace in the Mideast remains elusive. 

Foreign aid, however, transformed Germany and Japan into allies and democracies with thriving economies. Our ongoing military presence in South Korea helped it become a wealthy ally. The fall of South Vietnam did not weaken democracies in Southeast and South Asia. The so-called “domino theory” was proven wrong, and today Vietnam is a valued trade partner. The collapse of the Soviet Union 35 years ago liberated many of Russia’s satellite nations from its stifling grip. America has benefited from having strong allies who embraced what have traditionally been America’s core beliefs. 

American aid has saved millions of lives in the world’s poorest countries. The U.S. Agency for Global Media (USAGM), which includes Voice of America (VOA), Radio Free Europe, and other government agencies, is dedicated to explaining America. Geoffrey Cowan, who led VOA under President Clinton, says the goal was to do so with objective, unbiased information. 

Elon Musk’s Department of Government Efficiency has sought to dismantle the USAGM and its operating units, including VOA, with President Trump’s enthusiastic, albeit illogical, backing. Musk has also criticized the National Endowment for Democracy (NED), which has supported non-governmental groups working abroad to promote democratic goals for over 40 years. He claims, without evidence, that the NED is “rife with corruption.” Despite previous congressional approval, Musk has cut the NED’s funding, leading to the closure of many organizations it supported.  

One of those organizations is the International Republican Institute (IRI), founded in 1983 with support from then-President Ronald Reagan. The IRI conducts polling worldwide and operates in more than 100 countries, promoting free and fair elections. Marco Rubio was on its board before becoming Secretary of State, and several Republican senators are still on its board, including Tom Cotton, Joni Ernst, Lindsay Graham, Mitt Romney, and Dan Sullivan. None of them have had much to say about the IRI’s funding loss.

Each of these organizations has faced criticism, some of which is legitimate. The IRI, for instance, has been accused by several publications, including The New York Times, of inciting a coup in Haiti. The NED, intended to be nonpartisan, has drawn criticism from both the left and the right. Some of our aid efforts have undoubtedly been wasteful and ineffective, although Elon Musk’s DOGE has not yet proven substantial fraud or waste. 

But the proper response is to fix the problems. Instead, the Trump administration has gutted these efforts, freezing foreign assistance, shutting off funding, and forcing their closure. China, Russia, Iran, and other dictatorships couldn’t be happier. Along with cutbacks in support for Ukraine, the Trump administration is making the world a more dangerous place.

The world has clearly changed since Luce wrote “The American Century.” We will have to share power with other nations, particularly China, India, and their Asian neighbors. Our actions will determine whether the American Century gives way to a Pacific Century that includes the U.S. or an Asian Century that, whenever possible, leaves us on the sidelines. While much of the world may dislike China’s authoritarian government, it increasingly distrusts us. The Trump administration’s efforts to initiate tariff wars while cutting off U.S. government efforts to assist developing nations have tragically worsened that distrust. 

I never met Henry Luce. He wrote “The American Century” the year before I was born, and he died in 1967, the year before I became a working journalist. But during my 15 years at Time Inc., including eleven as its Editor in Chief, I sat on the executive floor of the iconic Time-Life building he had built in midtown Manhattan. While there, Time Inc. owned more than 150 magazines. Time and Fortune, now privately held by different owners, remain influential global brands. We might have disagreed on many issues if we had been contemporaries, but I came to appreciate many of his values. I admired his willingness to speak out against autocrats and Washington politicians he opposed, including Franklin Roosevelt and, through the pages of Time, Joe McCarthy. 

I regret that so many media properties are now controlled by conglomerates or billionaires hesitant to confront Trump. The public benefits from journalism that aims to hold governments accountable. However, Trump’s delight in retaliation has made owners and CEOs timid, especially if their other businesses depend on government contracts or are subject to government regulation. 

I have no doubt that Henry Luce would have been unafraid of Donald Trump, appalled by the president’s narrow-minded retreat from global commitments, disgusted by his embrace of authoritarian dictators, and shocked by his attacks on allies who are still dedicated to democratic values. Rather than making America great again, he would think Trump’s policies are more likely to “Make America Small Again,” as he rushes to dismantle the underpinnings of Luce’s American Century.

The opinions expressed in Fortune.com commentary pieces are solely the views of their authors and do not necessarily reflect the opinions and beliefs of Fortune.

This story was originally featured on Fortune.com



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Finland’s Oura went from a tiny Kickstarter campaign to a $5.2 billion startup with Cristiano Ronaldo and Prince Harry among its fans

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Mark Zuckerberg, Cristiano Ronaldo, Jennifer Aniston, and Prince Harry have one thing in common: They all own Oura Rings.

The Finnish company Oura, founded in 2013, is on the verge of a growth spurt as its niche innovation in wearable tech heads for the mainstream. Demand has boomed recently, with sales set to double this year and nearing the $500 million mark. 

Oura just capped off a Series D funding round in December led by Fidelity Management, which values the company at $5.2 billion. The capital injection is a key milestone, given that Oura was valued at half that figure just two years ago. 

The global wearable tech market is set to expand by 14.6% by the end of the decade. Of that group, smart glasses and rings are the ones seeing the most growth. 

This could be just the beginning of Oura’s popularity as the company also has plans to go “beyond the ring” with its new influx of funding, CEO Tom Hale said.  

“We’re seeing kind of cultural relevance here in that Oura is becoming a shorthand for how you’re doing. It’s like the doctor’s note that isn’t a doctor’s note,” Hale told Fortune‘s Leadership Next podcast earlier this year.

So, what made Oura a worthy competitor to the Apple Watches of the world?

Leaning into sleep

Oura was founded in Finland by Petteri Lahtela, Markku Koskela, and Kari Kivela, who wanted to find a way to gather wellness information on one’s finger

In 2015, the young startup launched a Kickstarter campaign (like Peloton and Allbirds did), raising over $650,000 by the end and exceeding its goal sixfold. The following year, Oura won a CES Innovation Award that helped establish it as an emerging tech company.

From its early days, Oura’s approach to overall wellness lured many users amid a growing focus on health. More specifically, the Oura Ring gave people insights on their sleep levels, which hit a “sweet spot with a particular customer set,” Hale said, according to the Financial Times

Oura’s app shows its users a “Readiness Score,” a number from one to 100 that reveals their preparedness for the day based on various health metrics, including sleep quality, heart rate, body temperature, and more.    

“Wearable tech is for anyone who wants to better understand the state of their health and live more optimally for longer,” Hale said. 

MELBOURNE, AUSTRALIA – OCTOBER 18: Prince Harry, Duke of Sussex wearing a Oura Health fitness tracker ring and Meghan, Duchess of Sussex walk at South Melbourne Beach on October 18, 2018 in Melbourne, Australia. BeachPatrol is a network of volunteers who are passionate about keeping Melbourne’s beaches and foreshores clear of litter to reduce the negative impact of litter on the marine environment and food chain, and provide a safe environment for the public to enjoy their local beach.The Duke and Duchess of Sussex are on their official 16-day Autumn tour visiting cities in Australia, Fiji, Tonga and New Zealand. (Photo by Scott Barbour/Getty Images)

Smartwatches from Apple or Garmin serve daily utility or track exercise but aren’t comfortable to wear all day long. They may also need to be charged more frequently. On the other hand, Oura Rings fit more seamlessly as an accessory and have a longer battery life.

The latest version, the Oura Ring 4, which launched in October, aims to be even sleeker in its look and feel. 

Don’t let the size of Oura’s devices fool you into thinking they cost less. They follow a subscription model that costs $6 a month, while the ring costs upwards of $350. 

Put a ring on it

Wellness and longevity are hot topics—and Oura is playing the long game in the tech market by catering to these trends. 

Celebrities have been spotted wearing Oura Rings, a culmination of the overall clout the device has gathered over the past decade. CEOs think the device boosts their performance by giving them specifics on their energy levels throughout the day. 

For now, Oura is a leader in the tech it pioneered. Hale confidently wrote off Apple foraying into the wearable ring market, leaving the Finnish company to contend with a small but growing pool of rivals.

However, Hale has noticed people pairing up an Oura ring with another wearable—often times, an Apple Watch, he told Fortune.

Competitors are in plenty: for instance, this summer Samsung launched a Galaxy Ring, which doesn’t charge a subscription fee and is made by one of the biggest tech companies globally. Still, Hale is unfazed by the competition; he argues that it further underscores the unique value of this category of wearable tech.

Meanwhile, the Oura Ring is finding new ways to be indispensable: It‘s been used in marriage proposals and indicated how stressed Americans were in the lead-up to Donald Trump’s election.

Women are Oura’s fastest-growing segment, with those between the ages of 25 and 34 representing a third of the women using its rings. Following Trump’s victory, Hale quelled concerns about the privacy of medical data, assuring users that their information would be kept private.

“Our business model is we serve you and our goal in serving you is to improve your health,” Hale told Fortune. “You think about like some of our competition, maybe they’re not quite so scrupulous or maybe they just have stronger incentives to actually, do something with that data that’s not, strictly speaking, in the interests of your health. We are 100% focused on it.”

A version of this story was originally published on Fortune.com on Dec. 20, 2024.

This story was originally featured on Fortune.com



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Russian economy grows at slowest pace in 2 years—plunge in oil prices could make things much worse

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Treasury Secretary Scott Bessent denies bond market panic pushed Trump into backing down on tariffs

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  • Treasury Secretary Scott Bessent denied that chaos in the bond market over the deleveraging of so-called basis trades forced President Trump into putting his global trade tariffs on pause for 90 days. Rather, Bessent said, this was Trump’s plan all along.

Treasury Secretary Scott Bessent denied Wednesday that bond market volatility had forced the president into putting a 90-day pause on most trade tariffs.

Following President Trump’s announcement that most of the tariffs he’d planned for U.S. trade partners would now not go into effect pending further negotiations, Bessent was asked by reporters at the White House whether a shocking rise in bond yields that sparked fears about a liquidity crisis and questions about whether Treasuries were losing their safe-haven status had pushed Trump into the partial retreat.

“This was driven by the president’s strategy,” the Treasury secretary said. “He and I had a long talk on Sunday, and this was his strategy all along.”

Stocks jumped after Trump announced the 90-day pause, in which most countries (except China) will be moved back to a baseline 10% tax on imports.

“This was the news we and everyone on the Street [were] waiting for as the pressure on Trump took on a life of its own,” Dan Ives and Sam Brandeis of Wedbush Securities wrote in a note Wednesday afternoon. “And the eye-popping rise of the 10-year yield was ultimately too much to hold his line on the self-inflicted Armageddon tariff unleashed at midnight. Now we would expect massive negotiations across the board over the coming months including China being front and center as the biggest wild card.”

Earlier, Bessent claimed that the bond market would calm down as highly leveraged bond trades unwound. He also noted that this type of deleveraging was normal and expected.

A select group of hedge funds profit handsomely from the so-called basis trade, which involves heavy borrowing to take advantage of tiny price discrepancies between Treasuries and futures linked to those bonds. Typically, this helps keep money markets humming. When the $1 trillion trade unwinds, however, yields surge as the market struggles to absorb a massive increase in the supply of Treasuries.

In an interview with Fox Business, Bessent said he’s seen a similar story play out many times during his hedge fund career.

“There’s one of these deleveraging convulsions that’s going on right now in the markets,” he said. “It’s in the fixed-income market. There are some very large leverage players who are experiencing losses that are having to deleverage.”

Investors initially piled into Treasuries last week as the stock market plunged after President Donald Trump unveiled sweeping “reciprocal tariffs,” which went into effect Wednesday morning. Early Monday, the yield on the benchmark 10-year Treasury note fell below 4% for the first time since October, down from about 4.8% in early January. A fixed-income selloff soon followed, however, and the 10-year yield—which rises as the price of the bond falls—surged above 4.5% Wednesday morning before retreating near the 4.4% mark as a successful Treasury auction eased concerns about demand for U.S. debt, per CNBC.

Bessent addressed concerns about chaos in fixed income by saying, “I believe that there is nothing systemic about this. I think that it is an uncomfortable but normal deleveraging that’s going on in the bond market.”

Basis trade could impact mortgages, car loans 

Market watchers have cited many possible reasons for the confusing selloff in bonds. As trade policy uncertainty reigns, investors could be desperate to simply hold cash, similar to the onset of the COVID-19 pandemic. Traders are struggling to price in how the Federal Reserve could react if a global trade war induces dreaded stagflation—rising inflation coupled with slowing growth. There’s a chance China and other foreign holders of U.S. debt are flooding the market with Treasuries to retaliate against Trump’s tariffs.

Evaluating all those explanations relies on circumstantial evidence of what’s going in markets, Torsten Sløk, chief economist at private equity giant Apollo, told Fortune on Tuesday.

Still, he thinks the basis trade is a likely culprit. For hedge funds to profit significantly on the tiny arbitrage opportunity, they need to do a lot of borrowing. According to the Financial Times, they might take as much as 50- to 100-times leverage, meaning $10 million in capital, for example, could support $1 billion of Treasury purchases.

During periods of extreme volatility, however, that leaves hedge funds vulnerable to margin calls from broker-dealers, Sløk noted.

“It is very, very unusual that you have long-term interest rates going up when the stock market is going down,” he said. “That’s telling me that there [are] some distressed, forced sellers out there.”

This is a concern, Sløk said, because long-term Treasury yields, particularly the 10-year, are the basis for mortgage rates, car loans, and other types of common borrowing costs throughout the economy.

“You don’t want long-term rates to go up for non-economic reasons,” he said.

To prevent that during the early days of the pandemic, the Federal Reserve had to buy $1.6 trillion in Treasuries over the course of several weeks. The central bank also temporarily loosened bank capital requirements instituted after the Global Financial Crisis. Exempting Treasuries and bank reserves from the so-called supplementary leverage ratio enabled lenders to buy more U.S. debt.

While insisting the market will steady as hedge funds de-risk, Bessent indicated Wednesday he wanted to make that change permanent as part of a broader deregulatory push.

Update: This story was updated with a longer version of a quote from Treasury Secretary Scott Bessent after President Donald Trump’s announcement of a 90-day pause on reciprocal tariffs, as well as commentary from a note written by Dan Ives and Sam Brandeis of Wedbush Securities.

This story was originally featured on Fortune.com



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