Key global financial headlines from last night and this morning include:

1. U.S. Supreme Court appears poised to expand presidential authority to dismiss government officials 2. Paramount launches $108 billion hostile bid for Warner Bros Discovery, intensifying takeover battle 3. Morgan Stanley downgrades Tesla for the first time in 2.5 years, citing overvaluation 4. Warby Parker and Google to launch AI-powered smart glasses by 2026 5. IBM acquires Confluent for $11 billion to accelerate cloud computing growth 6. Berkshire Hathaway reshuffles leadership team ahead of Buffett's transition, backing JPMorgan investment initiative

**U.S. Supreme Court appears poised to expand presidential authority to dismiss government officials** The U.S. Supreme Court on Monday signaled readiness to broaden presidential power to remove heads of regulatory agencies, though a key justice expressed concerns about protecting Federal Reserve independence. During 2.5 hours of oral arguments, justices debated limits on executive authority regarding agency leadership dismissals, despite statutory protections against policy-based terminations. Justice Brett Kavanaugh directly questioned Solicitor General D. John Sauer about economists' warnings that a sweeping Trump administration victory could threaten Fed independence.

**Paramount launches $108 billion hostile bid for Warner Bros Discovery, intensifying takeover battle** Paramount Global made an unsolicited $108.4 billion offer for Warner Bros Discovery on Monday, attempting to outmaneuver Netflix in creating a media conglomerate to challenge streaming dominance. This comes after Netflix secured Warner Bros' TV/film studios and streaming assets for $72 billion last Friday following weeks of bidding with Paramount and Comcast. Warner Bros Discovery's board stated it would review Paramount's proposal but maintained its Netflix recommendation, advising no immediate action on the new bid.

**Morgan Stanley downgrades Tesla for the first time in 2.5 years, citing overvaluation** Morgan Stanley downgraded Tesla to "hold," marking its first rating cut since June 2023, arguing the EV maker's valuation already reflects Musk's robotics/AI ambitions. Tesla shares trade at 210x forward earnings - making it the S&P 500's second-priciest stock behind Warner Bros Discovery (220x) and well above third-place Palantir (186x).

**Warby Parker and Google to launch AI-powered smart glasses by 2026** Warby Parker announced its collaboration with Alphabet's Google to develop lightweight AI glasses, with first products expected by 2026. The timeline was revealed at Android Expo, marking the partners' first public product roadmap since their partnership announcement earlier this year. Google is reasserting itself in AR/wearables where Meta and Apple hold early leads.

**IBM acquires Confluent for $11 billion to accelerate cloud computing growth** IBM will purchase data infrastructure firm Confluent for $11 billion to strengthen its cloud offerings amid AI-driven demand. The Mountain View-based company provides technology for managing real-time data streams critical for AI models. Preliminary talks began this summer through IBM's partner network, according to sources familiar with negotiations.

**Berkshire Hathaway reshuffles leadership team ahead of Buffett's transition, backing JPMorgan investment initiative** Berkshire reorganized management weeks before Buffett's handover to Greg Abel, with key investment manager Todd Combs moving to JPMorgan to support the bank's $1.5 trillion strategic corporate financing initiative. The changes reflect Abel's early imprint before becoming CEO on January 1. Longtime CFO Marc Hamburg (40-year veteran) will retire June 1, 2027, succeeded by Berkshire Hathaway Energy CFO Charles Chang next year.