As Alphabet returns to the debt market to fund its artificial intelligence buildout, the company is acknowledging new risks tied to the rise of AI and its hefty investments in infrastructure.In its annual financial report late last week, the Google parent highlighted the potential impact of AI on the company's core advertising business and the possibility of ending up with "excess capacity" from its costly commitments. "To meet the compute capacity demands of AI training and inference, as well as traditiona ...

Target said Monday that it's stepping up store staffing, but eliminating about 500 jobs in distribution centers and regional offices as it tries to win back shoppers who have complained about sloppier shelves, out-of-stock items and longer checkout lines.In an internal employee memo obtained by CNBC, the big-box retailer said it's making changes to the way it runs and oversees stores to improve the customer experience, a top goal of the company's new CEO Michael Fiddelke. To do that, Target said it will red ...

Market Overview - The S&P 500 rose approximately 0.5%, the Nasdaq increased by 1%, and the Dow Jones Industrial Average remained around the flatline above 50,000 [1] - Technology stocks rebounded from recent declines, with significant contributions from the portfolio's Magnificent Seven positions, excluding Apple and Amazon [1] Inflation Expectations - The New York Fed's 1-year inflation expectations decreased to 3.09% from 3.42% in December, below the consensus estimate of 3.38% [1] Capital Expenditure Insights - Bank of America reported a 14% quarter-over-quarter and 66% year-over-year increase in fourth-quarter global hyperscale capital expenditures, reaching $148 billion, which was $7 billion more than previously expected [1] - Looking ahead, Bank of America forecasts capital expenditures to be $748 billion in 2026 and $869 billion in 2027, reflecting year-over-year growth rates of 56% and 16% respectively, which are higher than previous estimates of 36% and 15% [1] Upcoming Earnings Reports - Earnings reports are expected from On Semiconductor and Vornado Realty Trust after the market closes, with additional reports from DuPont, Coca-Cola, Datadog, Fiserv, Spotify, AstraZeneca, Ferrari, Marriott International, BP, and Xylem before the market opens on Tuesday [1] Sector Performance - The AI capital expenditure beneficiary basket is performing well, with new highs in companies such as Corning, GE Vernova, Dover, Cisco, and Qnity Electronics, alongside solid gains in Eaton and strength in semiconductor stocks like Nvidia and Broadcom [1]

A box of Wegovy pills arranged at a pharmacy in Provo, Utah, US, on Thursday, Jan. 15, 2026.The Food and Drug Administration said Novo Nordisk's TV advertisement for its newly launched Wegovy pill for obesity included "false or misleading" claims about the medicine's abilities and benefits to patients.In a letter to Novo dated Feb. 5, the FDA said the ad misbrands the oral drug, making its distribution a violation of federal law. The agency requested that the drugmaker take immediate action to address the v ...

The AppLovin logo arranged on a laptop in New York on Feb. 26, 2025.Short-seller CapitalWatch has issued an apology and revised its report accusing a major AppLovin shareholder of financial crimes. The report, published last month, alleged relationships between Hao Tang and criminal syndicates, which the short-seller now says is inaccurate."Descriptions asserting direct connections between Mr. Tang and Chen Zhi, Prince Group, Jin Bei Group, Tang Jun, and Yang Zhihui were inaccurate and failed to meet our pu ...

Group 1 - Monday.com's stock dropped over 19% following the release of weak guidance amid concerns about AI disrupting the software business model [1] - The company projected revenue between $338 million and $340 million for the current quarter, below the $343 million expected by analysts [2] - For the full year, monday.com forecasted revenue between $1.452 billion and $1.462 billion, compared to a FactSet estimate of $1.48 billion [2] Group 2 - The iShares Expanded Tech-Software Sector ETF (IGV) has decreased by 22% this year, while monday.com shares have lost half their value [3] - During an earnings call, management defended the company's market position and emphasized new AI capabilities being implemented to enhance conversion and engagement [3]

Workday on Monday announced that CEO Carl Eschenbach is stepping down from his role and will be replaced by the company's co-founder, Aneel Bhusri, effective immediately.Bhusri has previously held a range of leadership roles at the software maker, serving as co-CEO from 2009 to 2014, CEO from 2014 to 2020, co-CEO from 2020 to 2024 and executive chair from 2024 to 2026. Eschenbach was named co-CEO of Workday alongside Bhusri in 2022, and took on the top job solo in 2024. Software stocks, including Workday, h ...

Group 1 - Novo Nordisk is suing Hims & Hers over the sale of copycat versions of its Wegovy obesity treatment, claiming it deceives patients and risks their health [3] - Hims & Hers announced it would withdraw its copycat weight-loss pill from the market after legal threats from Novo Nordisk, which sells its pills for approximately $149 [3] - Shares of Hims & Hers fell over 20% in premarket trading, while Novo Nordisk's shares rose about 5.5% [4] Group 2 - Meta is facing two significant trials this week that could impact the company and the social media industry [6] - In New Mexico, Meta is accused of failing to protect child users from online predators and facilitating access to exploitative materials [7] - A separate trial in Los Angeles involves allegations that Meta and other platforms did not inform users about potential mental health risks associated with their apps [7] Group 3 - Gen Z is showing a strong interest in the aesthetic of 2016, with increased searches and playlists from that year [8] - This trend is attributed to economic unease, leading consumers to revert to familiar styles from a perceived stable era [9] - Brands like Abercrombie & Fitch, Victoria's Secret, and Urban Outfitters are expected to benefit from this nostalgia-driven consumer behavior [9]

Core Viewpoint - Meta is facing a high-profile trial initiated by the state of New Mexico, alleging that the company failed to protect child users on its platforms from online predators and harmful content [1][2]. Group 1: Legal Challenges - The lawsuit claims that Meta directed users, including children, towards sexually explicit and exploitative materials, facilitating human trafficking within New Mexico [2]. - This trial is part of a series of significant legal cases against Meta in 2025, which could have substantial implications for the company and the social media industry as a whole [3]. - The allegations against Meta are compared to lawsuits against "Big Tobacco" in the 1990s, highlighting concerns over the potential harm of social media products [3]. Group 2: Related Trials and Developments - A separate trial in Los Angeles involves allegations against Meta, YouTube, TikTok, and Snap for failing to disclose the safety of their apps, with TikTok and Snap settling before the trial [4]. - Opening statements in the Los Angeles trial were delayed due to the illness of a lead attorney, with Meta's Instagram head and CEO scheduled to testify [5]. - Another upcoming trial in Northern California will address claims that Meta and other companies created defective apps leading to unhealthy behaviors in teens and children [7]. Group 3: Meta's Response - Meta has denied the allegations from New Mexico, asserting its commitment to supporting young users [6]. - The company argues that content shared on its platforms is protected under Section 230 of the Communications Decency Act, despite the lawsuits suggesting that app designs endanger young users [6].

Core Viewpoint - Novo Nordisk is suing Hims & Hers for marketing unapproved copies of its Wegovy obesity drug, claiming it deceives patients and poses health risks due to lack of regulatory verification [1][2][7]. Group 1: Legal Actions and Claims - Novo is seeking a permanent ban on Hims from selling compounded versions of its drugs that infringe on patents and is pursuing damages [2]. - Hims announced it would stop offering its copycat obesity pill after facing scrutiny from regulators and legal threats from Novo [3]. - The FDA plans to take legal action against Hims, including restricting access to ingredients and referring the company to the Department of Justice for potential violations [8]. Group 2: Market Context and Competition - The lawsuit occurs as Novo aims to reclaim market share in the growing obesity drug market, facing competition from Eli Lilly and compounded alternatives [4]. - Novo has increased manufacturing capacity, eliminating shortages of semaglutide, the active ingredient in Wegovy, which has seen a successful launch since January [5]. - Despite the lack of shortages, an estimated 1.5 million Americans are using compounded GLP-1 drugs, indicating a significant market for alternatives [5]. Group 3: Regulatory and Safety Concerns - Hims claims its compounded products are legal due to personalized dosages, despite semaglutide being protected by U.S. patents until 2032 [6]. - Novo argues that Hims is engaging in illegal mass compounding, undermining safety and efficacy standards established by the FDA [7]. - The aggressive legal actions by Novo and Lilly against compounding pharmacies reflect the rising popularity of their weight loss and diabetes drugs [9].