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Wall Street Breakfast
Up for a challenge? Test your knowledge on the biggest events in the investing world over the past week. Take the latest Seeking Alpha News Quiz and see how you stack up against the competition.

Good morning! Here's the latest in trending:

Financing costs: U.S. sells 30-year T-bonds at highest yield since 2001.

Hot locations: Miami, Nashville and Houston lead the U.S. buyer's market.

New member: Reddit (RDDT) takes off after securing entry into the S&P 500.

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Executive pay is under the microscope again, with top brass increasingly making hundreds of times the pay of the average worker. Awareness of the pay scale has prompted some shareholders to take action, though others caution that generous compensation is what's needed to secure talent in the current environment. It's a debate that has played out across many segments of society, especially given growing concerns over affordability and a cost-of-living crisis that dominated the latest election cycle.

By the numbers: According to the AFL-CIO Executive Paywatch report, the average S&P 500 CEO received a 21% raise to $22.8M in 2025, representing 312 times the average worker's pay. This figure significantly outpaces the 3.7% Y/Y increase in U.S. worker wage growth, and with Elon Musk's compensation included, it would raise the average CEO pay to $340M. As for Musk, his total compensation at Tesla (TSLA) was 2,522,203 times the median employee's pay in 2025, raising concerns that such packages could set a new benchmark for corporate executive pay. SpaceX IPO makes Musk the world's first trillionaire

It's important to note that while CEO salaries and bonuses have inflated in recent years, much of the outsized compensation comes from stock options, restricted stock, and other asset-based incentives. Those are approved by company boards, who argue that plans linked to shareholder value incentivize their executives and drive the long-term growth of a company. While rank-and-file employees may perceive those pay ratios as unfair, the criticism surrounding executive compensation often fails to make a dent in the real world absent strong unions or collective bargaining.

Thought bubble: The rise of democratic socialism on the left and the belief that the free market system is no longer working are due in part to the widening executive-worker pay gap. Even on the right, there are increasing calls for stronger private-sector unions to realign corporate incentives and ensure that economic growth benefits labor as a whole. What was once purely a boardroom debate over talent retention has transformed into a defining political question about the future of American capitalism. See the Top 20 highest-paid CEOs of 2025  (2 comments)

     
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Today's Markets
In Asia, Japan +0.6%. Hong Kong -1.1%. China flat. India -0.1%.
In Europe, at midday, London -0.1%. Paris +0.1%. Frankfurt +0.8%.
Futures at 6:30, Dow -0.1%. S&P +0.1%. Nasdaq +0.1%. Crude +0.7% to $81.80. Gold -0.2% to $4,410.10. Bitcoin -1.1% to $62,834.
Ten-year Treasury Yield +1 bp to 4.66%.
On The Calendar

Companies reporting today include Credicorp (BAP) and Jersey Mike's Subs (JMKE).

See the full earnings calendar on Seeking Alpha, as well as today's economic calendar.

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