What’s going on here?

Hermès came out on top as it announced an impressive 11% sales spike in the third quarter, leaving rivals like Kering and LVMH in its dust.

What does this mean?

As folk around the world tighten their purse strings, shoppers at Hermès bucked the trend, buying up spendy items like the iconic Birkin bag. Makes sense: the brand’s customers are among the wealthiest out there and they can afford to stay loyal, snapping up its jewelry, leather goods, and clothes like they’re, uh, going out of fashion. So sales in Europe, Japan, and the Americas exceeded expectations. Even China appeared to see sales grow, despite its current economic woes. It’s unsurprising then, that Hermès’s stock has been mostly riding high, marking a 10% rise this year. Now, that’s all very well and good for Hermès, but it’s probably left shareholders over at LVMH (owners of Louis Vuitton) and Kering (think Gucci, Balenciaga) feeling glum. Those companies have seen their sales struggle and their stocks plunge, with their share prices dropping 13% and 40%, respectively, so far this year.

Why should I care?

For you personally: Reaching back into your pockets.

Luxury goods have been on the outs for a few years now, especially in the key market of China. Mind you, despite consumers seeming to tire of chasing the latest must-haves, share prices of luxury goods companies have shown signs of stabilizing recently. And that’s all down to hopes that new stimulus measures in China will breathe life into luxury spending again. For you, that might spell opportunity: buying quality companies that aren’t en vogue can be a solid strategy. Remember, though, timing the bottom is harder than it looks.

What’s going on here?

Novo Nordisk's popular Ozempic drug has been linked to a reduced Alzheimer's risk, suggesting that the blockbuster drug might have more than just physical benefits.

What does this mean?

A study of over a million US patient records found that semaglutide, Ozempic's active ingredient, offered a 40% to 70% reduced risk of Alzheimer’s versus older anti-diabetic drugs. The research, published Thursday, suggests that semaglutide's effects on nerve cells, inflammation, and vascular health could be a key to shrinking Alzheimer's risk. If clinical trials confirm it, the drugs could become not just a powerhouse in managing diabetes and obesity, but also a safeguard against dementia. Previous studies have also hinted at semaglutides’ off-script benefits: a potential capacity to curb opioid overdoses and substance abuse disorders.

Why should I care?

For markets: A $100 billion prize.

It’s little surprise then, that investors are feeling optimistic about the long-term health of Novo Nordisk’s bottom line. Its hugely popular weight-loss drugs are already in high demand in the US, where they’re not exactly sold for cheap – patients pay over $1,000 per month. And with seven million Americans currently living with Alzheimer’s, forecasters expect an expanding combined market for the drugs – potentially worth over $100 billion. Standing to benefit from this the most are the big fishes of the semaglutide market – Eli Lilly and Novo Nordisk.

The bigger picture: Competition heats up.

Just this week, Novo Nordisk asked the Food and Drug Administration to prevent compounding pharmacies from making unapproved, cheaper versions of its products – making it clear that the Denmark-based pharma giant is feeling some pressure. What’s more, Roche, which has plans to launch its own weight-loss drug, is asking authorities to block Novo’s takeover of drug manufacturer Catalent. And Novo needs that takeover to happen, if it hopes to boost production of its in-demand medicines.