joining us now on set to talk about some other news AI related. We got Amazon, we got some open AI, Microsoft news as well. McKenzie Seagalos McKenzie, we'll get to the Amazon stuff, get to the open AI stuff because they made some comments about energy as well.But as somebody who covers this stuff every single day, anything you heard that sort of takes us into a new track or is it stuff we've heard about Nvidia's business prospects prior. I feel like this is the latest example of Nvidia leaning into this te ...

Core Insights - The article discusses the competitive landscape in the AI and semiconductor industries, highlighting significant investments and strategic moves by major players like Nvidia, OpenAI, Microsoft, and AMD [2][3][4]. Investment and Strategic Moves - Nvidia is making substantial investments, including $100 billion into OpenAI and $5 billion into Intel, while also acquiring a $500 million stake in a self-driving startup, indicating a broadening of its business model [3]. - OpenAI has finalized a commercial agreement with Microsoft, which now holds a 27% equity stake in OpenAI, valued at approximately $135 billion from an initial investment of $13 billion [11][12]. Infrastructure and Energy Ambitions - OpenAI's CEO, Sam Altman, announced a commitment to 33 gigawatts of compute power, aiming to reduce the cost of building a gigawatt of compute from $50 billion to $20 billion, which is seen as an ambitious goal [8][10]. - Altman has received 800 bids from infrastructure providers across North America to support his energy needs, indicating a strong demand for diverse power sources [10]. Market Reactions and Trends - The article notes a PR and investment race among tech companies, with significant stock price surges following announcements related to OpenAI partnerships, showcasing the influence of AI-related news on market performance [4][5][6].

Market Overview - The market is experiencing a resilient rally, with the S&P index closing above 6,800 and potentially reaching 6,900 soon [2][4] - There is a prevailing optimism regarding earnings, with expectations for a strong earnings season, particularly from major companies like Visa and Mastercard [4][5] Investor Sentiment - Investors are currently not expressing near-term negative views, indicating a strong bullish sentiment [3] - Concerns about potential issues, such as job data, are present but not significantly impacting market confidence [4][6] Economic Factors - The fiscal backdrop is supportive of growth, with expectations for lower rates, which is seen as a tailwind for the market [6] - The current liquidity and benign inflation are contributing to a positive market environment, although there is a recognition that this could change in the new year [7] Market Dynamics - There is a sense that market enthusiasm is being driven by fundamentals, particularly profits that continue to surprise on the upside [9] - Despite some investors being cautious and questioning if certain sectors are in a bubble, this has not translated into a significant shift in capital allocation [8][9]

Hello and welcome to Eye on AI…In this edition: OpenAI’s new deal with Microsoft…Elon Musk launches Grokipedia…data engineers struggle with AI workloads...and are AI browsers a security risk? Hello, Beatrice Nolan here, filling in for Jeremy Kahn, who is traveling back from the Fortune Global Forum in Riyadh today. In big AI news, OpenAI and Microsoft announced that they had reached an agreement on the future of their partnership that allows OpenAI to complete a long-awaited corporate restructuring.The arr ...

Microsoft AI Chief Says No to 'Sex Robots' as Industry Booms► https://t.co/5sqBlmHeE5 https://t.co/5sqBlmHeE5 ...

Core Insights - OpenAI has restructured its for-profit arm into a public benefit corporation, resulting in Microsoft holding a 27% stake valued at approximately $135 billion [2] - A new definitive agreement has been signed between OpenAI and Microsoft, granting Microsoft exclusive intellectual-property rights to OpenAI technology until 2032 [3] - OpenAI is set to purchase an additional $250 billion worth of Microsoft's Azure cloud-computing services, although Microsoft will no longer have a right of first refusal as OpenAI's compute provider [3] - The new arrangement allows Microsoft to independently pursue artificial general intelligence (AGI) [4] - OpenAI's restructuring may pave the way for a potential public offering and attract more talent [5] - The partnership between Microsoft and OpenAI has been ongoing since 2019, with Microsoft investing a total of $14 billion [5] - OpenAI is currently involved in a legal dispute with Elon Musk's xAI regarding its corporate status and mission [6] - Microsoft’s valuation has surpassed $4 trillion, joining Apple in this valuation milestone [7]

Group 1: Market Performance - Apple Inc (AAPL) recently traded at $269.67, surpassing a $4 trillion market cap, making it the third most valuable company after Microsoft (MSFT) and Nvidia (NVDA) [1] - AAPL reached a record price of $269.89, with a year-to-date gain of 7.4%, ahead of its fiscal fourth quarter report on October 30 [2] - Microsoft (MSFT) is trading at $542.52, up 27% year-over-year, and is set to report fiscal first-quarter earnings on October 29 [3] - Nvidia (NVDA) is trading at $195.67, with a modest quarterly gain of 5%, and is expected to report earnings in late November [4] Group 2: Options Activity - Call options for AAPL, MSFT, and NVDA have seen increased popularity, with AAPL's 50-day call/put volume ratio at 2.46, ranking higher than 77% of readings from the past year [5] - MSFT's and NVDA's 50-day call/put volume ratios are 2.16 and 2.22, ranking higher than 93% and 75% of annual readings, respectively [5] - Options for AAPL, MSFT, and NVDA are considered affordable, with their Schaeffer's Volatility Index (SVI) ranking in the 34th percentile or lower of their annual range [6]

Market Overview - US stocks experienced mixed results last week, with the S&P 500 and Nasdaq Composite rising slightly over 1.6%, while the Dow increased by 2% [2] - Both the DJIA and S&P 500 reached record levels on Friday, influenced by Q3 earnings season, dovish Federal Reserve commentary, and better-than-expected inflation data [2][12] Earnings Season Insights - The second week of Q3 earnings season showed mixed results, with initial strong performances from big banks followed by disappointing reports from regional banks and major tech companies [3] - High-profile disappointments included Tesla, which saw profits drop 37% year-over-year despite beating revenue expectations, leading to a 4% stock drop [4] - IBM reported better-than-expected earnings but showed slowing growth in its core cloud services, facing stiff competition from AWS, Microsoft Azure, and Google Cloud [4] - Netflix missed earnings estimates due to a tax dispute, despite having a successful film, resulting in a 5% stock decline [4] Positive Earnings Reports - Honeywell exceeded analyst expectations due to strength in its aerospace division, resulting in a 4% stock increase [5] - American Airlines reported better-than-expected results driven by travel demand and provided strong guidance for Q4 and the full year [5] - Intel reported strong earnings driven by AI chip demand, leading to a 3% stock gain for the week [5] - The blended EPS growth rate for the S&P 500 increased to 9.2%, up from 8.5% the previous week, marking the ninth consecutive quarter of growth [5] Job Market Trends - Initial jobless claims rose to approximately 227,000, indicating an upward trend in unemployment applications [6] - Major corporations announced workforce reductions, including Meta (600 layoffs), Rivian (over 600 layoffs), and Target (1,800 corporate jobs) [6] - GM laid off over 200 employees, while Amazon plans to replace over half a million jobs with robots in the next seven years [6][14] Upcoming Earnings Reports - The upcoming week is expected to be significant for the Q3 earnings season, with major companies like Microsoft, Meta, Alphabet, Apple, and Amazon reporting [7][8] - The "Magnificent 7" companies are anticipated to have a substantial impact on overall market growth, with expected YoY EPS growth of 14.9% compared to 6.7% for the rest of the S&P 500 [7] Conclusion - Despite mixed corporate earnings signals and layoff news, the market closed at record highs, driven by favorable inflation data [12] - The focus will shift back to corporate fundamentals as the "Magnificent 7" prepare to report, which will be crucial for sustaining market growth [12]

Microsoft (MSFT) will release its first-quarter earnings for fiscal 2026 on Oct. 29. The tech giant has been consistently delivering solid growth, driven by strong demand for its productivity suite, artificial intelligence (AI) offerings, and cloud solutions. Despite these tailwinds, the stock’s recent price action has been underwhelming. While MSFT shares are up roughly 29% so far this year, they’ve managed just a modest 5.8% gain over the last three months. The upcoming earnings report is expected to re ...

The Q3 earnings season has begun, and several big tech companies will be reporting their results this week. Valued at a market cap of almost $4 trillion, Microsoft (MSFT) is the second-largest company in the world. It is scheduled to publish its fiscal Q1 (ended in September) results on Oct. 29. Analysts tracking MSFT stock forecast Q1 revenue of $75.4 billion, up 15% year-over-year (YoY). Comparatively, adjusted earnings are forecast to grow by 11% YoY to $3.66 per share in Q1 of 2026. Microsoft has beat ...