Gold surges past $4,000 for the first time, Nvidia reportedly backs AI startup xAI

Group 1: Gold Market - Gold has surged past the $4,000 an ounce mark for the first time, driven by concerns over the US economy and the ongoing government shutdown, with a year-to-date increase of over 50% [2][3] - The price of gold is on track for its best annual performance since the 1970s, a period marked by rapid inflation and the end of the gold standard [3] Group 2: Artificial Intelligence Investments - Elon Musk's AI startup XAI has reportedly raised $20 billion, with Nvidia investing $2 billion as one of the backers [6] - SoftBank is acquiring ABB's robotics division for $5.4 billion, continuing its strategy to position itself in the AI sector [7][8] - Concerns have been raised about inflated valuations in the AI market, with some companies showing significant discrepancies between revenue and profit margins [9][10] Group 3: Federal Reserve and Economic Outlook - The Federal Reserve is facing challenges in making monetary policy decisions due to the government shutdown, which has deprived officials of key economic data [36][42] - Fed officials are divided on the pace of future interest rate cuts, with some advocating for more aggressive cuts while others express concerns about inflation [39][40] Group 4: Market Reactions and Sector Impacts - The ongoing government shutdown has led to mixed impacts across various sectors, with the airline industry currently managing but facing potential future challenges if the shutdown continues [19][21] - The SEC's inability to review deals during the shutdown is causing a slowdown in the IPO pipeline, which could affect market dynamics [29][32] Group 5: Notable Company Developments - Tesla has unveiled cheaper versions of its Model Y and Model 3 cars, but the announcement led to a decline in its stock price [43] - Intel is set to reveal details about its new PC chip, Panther Lake, which will utilize next-generation manufacturing processes [44] - Confluent's stock has surged amid reports of the company exploring a sale after receiving takeover interest [45]