247Wallst·2026-01-16 12:55Core Viewpoint - The U.S. AI stock rally continues, driven by strong earnings from TSMC, but signs of caution are emerging as some investors rotate out of positions and precious metals show unusual strength, indicating potential hedging against risks [1][13]. Group 1: AI and Semiconductor Sector - TSMC's Q4 results confirmed ongoing AI infrastructure spending, beating estimates and raising its 2026 capex forecast, leading to bullish ratings from major banks [2]. - The semiconductor supply chain benefited from this momentum, with Jefferies raising Nvidia's price target to $275, while AMD's stock surged 11% due to strong performance in AI testing [3]. - AMD's Relative Strength Index (RSI) reached 60, indicating strong momentum without being overbought, suggesting a healthy rally [4]. Group 2: Investor Sentiment and Stock Movements - Stanley Druckenmiller sold his entire Nvidia stake, indicating a belief that easy gains for the stock may be over, with analysts divided on Nvidia's future prospects [5]. - Retail investors are increasingly engaging with high-beta stocks, as seen with AST SpaceMobile's significant price increase driven by social media sentiment [6]. - Micron Technology showed rational momentum with a 42% increase over the past month, supported by strong earnings growth and favorable valuation metrics [7]. Group 3: Tesla's Challenges - Tesla's stock has struggled, gaining only 0.6% this week and down 8% over the past month, with significant sales declines in key markets [8]. - The upcoming transition to a subscription model for Full Self-Driving (FSD) is tied to ambitious growth targets, but the product remains at Level 2, facing competition from other companies [9]. Group 4: Precious Metals and Economic Signals - Silver and gold prices have surged, with silver up 20% this week and 43% over the past month, indicating potential hedging against economic instability [11]. - Amazon's copper supply deal with Rio Tinto for AWS data centers highlights the importance of securing physical commodity supply chains amid AI infrastructure demands [12].