US tech sell-off set to continue, China says it will remove tariffs on some US farm products

Group 1: Market Overview - Global stocks are experiencing a decline, particularly in the tech sector, following a selloff in semiconductor stocks due to concerns over high valuations related to the AI boom [3][4][19] - The NASDAQ index fell over 1% as investors worry about inflated valuations, with notable declines in stocks like Palantir, which dropped over 7% despite solid earnings [19][30] - Bitcoin fell below $100,000 for the first time since June, with Ether also experiencing a 9% drop, indicating a broader downturn in the cryptocurrency market [18][19] Group 2: Economic and Political Developments - The U.S. government shutdown has become the longest in history, now at day 36, with potential economic impacts worsening, particularly affecting air travel and food benefits [6][11][12] - China announced the removal of retaliatory tariffs on some U.S. farm products, which is part of a broader trade agreement aimed at stabilizing U.S.-China relations [5][6] Group 3: AI and Technology Sector Insights - A majority of fund managers believe AI-related assets are in a bubble, with 60% stating that global equities are overvalued, as indicated by Bank of America surveys [22][30] - Michael Burry, known for predicting the 2008 financial crisis, has taken significant short positions against Nvidia and Palantir, signaling concerns about the sustainability of the AI hype [25][26] - Qualcomm is entering the AI data race with new chips aimed at data centers, but the timing of adoption remains uncertain as companies may take time to integrate these new technologies [53][56] Group 4: Company-Specific Developments - AMD reported a 36% year-on-year revenue increase to approximately $9.2 billion, driven by its AI chip business, but its stock fell nearly 5% due to a less-than-expected outlook [34] - Alphabet's acquisition of cybersecurity firm Whiz is progressing, with a $32 billion deal under scrutiny by antitrust regulators [36] - Rivian's stock rose over 4% after reporting a narrower-than-expected loss and providing upgraded production guidance, contrasting with legacy automakers facing challenges [39]