🚀 IRS expanding Health Savings Account

In partnership with

Market Overview
Read time 1.4 minutes

Year To Date Performances:

1. The IRS released new guidance detailing major expansions to health savings account eligibility under President Trump’s “big beautiful bill,” opening the door for millions more Americans to contribute to HSAs starting in 2026. Bronze and catastrophic ACA plans, previously ineligible, will now qualify as HSA-compatible, and the law also makes permanent a telehealth “safe harbour” that lets patients access virtual care before meeting their deductible without losing HSA access; beginning in 2026, specific direct primary care arrangements will also be allowed, with fees payable via HSAs. The changes arrive amid political uncertainty over expiring ACA marketplace subsidies, which currently help 92% of enrollees afford coverage and are set to lapse after 2025 without congressional action. Republicans have proposed letting those subsidies end and redirecting funds into HSAs instead, offering $1,000 to $1,500 per enrollee depending on age. Still, it remains unclear whether lawmakers will reach any agreement before year-end.

2. Eli Lilly’s next-generation obesity drug, retatrutide, delivered the most substantial weight loss seen to date in a late-stage trial, helping patients lose up to 23.7% of their body weight on average, and nearly 29% among those who stayed on treatment, while also significantly reducing knee arthritis pain. The “triple G” drug, which mimics three hunger-regulating hormones rather than one or two like current GLP-1 therapies, is central to Lilly’s strategy to maintain its lead over Novo Nordisk in a weight-loss market projected to reach $100 billion by the 2030s. The trial also showed knee pain reductions of more than 60%, with over 12% of patients becoming entirely pain-free, though the highest dose led to an 18% dropout rate driven largely by side effects and perceived excessive weight loss. Despite these tolerability issues, analysts say the results exceed expectations and position retatrutide as a potentially important option for those with severe obesity and related complications. Lilly plans to release results from seven additional phase-three trials by the end of 2026, as Novo Nordisk races to develop its own three-hormone competitor, still in early stages.

3. JetBlue is entering the airport lounge race with the debut of BlueHouse, a 9,000-square-foot, Art Deco–inspired space opening Dec. 18 at JFK’s Terminal 5 and modelled after a classic New York apartment. The two-floor lounge offers free Wi-Fi, flexible seating, and New York–themed grab-and-go food, along with drinks from Joe Coffee, Greats of Craft, and cocktail partner Please Don’t Tell, but access will be tightly controlled: Mint business-class passengers, JetBlue Premier Mastercard holders, and Mosaic 4 elites get in with one free guest, with extra guests costing $39. Additional paid passes will roll out next year, though basic economy travelers won’t be eligible. With room for just 140 guests, BlueHouse is smaller than lounges from larger competitors, but reflects JetBlue’s strategy to appeal to premium leisure travelers as it trims unprofitable routes. A second BlueHouse will open in Boston next year, signaling the airline’s broader push into high-end travel amenities.

   Headlines

   1. Secretary Bessent is proposing significant changes to the Financial Stability Oversight Council, which was set up after the 2008 recession to regulate financial conduct.

   2. Goldman Sachs is leading an investment in Harness, valuing the startup at $5.5B.