Core Insights - Nebius has announced an agreement to acquire Tavily, enhancing its AI cloud platform with agentic search capabilities, which is crucial for the rapidly growing agentic AI market [1] - The acquisition aims to create a unified platform for enterprises to build and operate autonomous AI agents, integrating real-time search infrastructure into Nebius's existing offerings [1] - The agentic AI market is projected to grow significantly, from approximately $7 billion in 2025 to between $140 billion and $200 billion by the early 2030s, indicating a compound annual growth rate exceeding 40% [1] Company Overview - Nebius is positioned as an AI cloud company focused on providing a full-stack platform for developers and enterprises to manage their AI initiatives, from data and model training to production deployment [1] - The company is listed on NASDAQ (NASDAQ: NBIS) and is headquartered in Amsterdam, serving a diverse range of clients including startups and Fortune 500 companies [1] Acquisition Details - The acquisition of Tavily will allow Nebius to enhance its software stack, providing developers with the necessary tools to create enterprise-grade agentic systems without relying on multiple vendors [1] - Tavily's technology will complement Nebius's existing offerings, particularly the Nebius Token Factory, which provides high-performance inference for AI agents [1] - The transaction is expected to close in the coming weeks, although the transaction value has not been disclosed [1] Market Potential - The agentic AI market is anticipated to see exponential growth as enterprises increasingly deploy autonomous AI systems, with Tavily's agentic search representing a critical capability in this landscape [1] - Tavily has achieved over 3 million monthly SDK downloads and serves a developer community of more than one million users, indicating strong product-market fit [1] - Major clients of Tavily include Fortune 500 companies such as IBM, showcasing its relevance across various industries including financial services and logistics [1]

>> 5:00 A. M. IN NEW YORK CITY, 10:00 A.M. IN LONDON. LET'S SET YOU UP FOR THE DAY AHEAD.FUTURES GAIN AFTER TECH DRIVES A STOCKS NEAR A RECORD HIGH. INVESTORS AWAIT RETAIL SALES DATA OUT THIS MORNING. ALPHABET LINES UP SALES OF STERLING AND SWISS FRANC BONDS INCLUDING A 100 YEAR NOTE.EARNINGS CONTINUE WITH COCA-COLA, MARRIOTT, AND FOR NON-DECK. GOOD MORNING, WELCOME TO TUESDAY. U.S. FUTURES ARE WAKING UP TO MODEST GAINS AFTER THE S&P CAME WITHIN A WHISKER OF ALL TIME HIGHS YESTERDAY.WE HAVE A RAFT OF U.S. E ...

Summary of the Conference Call on Greater China Semiconductors Industry Overview - The semiconductor industry in Greater China is experiencing further strength in TPU (Tensor Processing Units), GPU (Graphics Processing Units), and memory sectors, while facing more downside in smartphone and PC semiconductors [1][4] Key Investment Insights - **Long-term Demand Drivers**: - **Top Picks**: TSMC, SMIC, Aspeed, MediaTek, Alchip, GUC, KYEC, ASE, FOCI, ASMPT, and AllRing are highlighted as top investment ideas [9] - **Memory Sector**: Winbond is noted as a top pick, with other significant players including Nanya Tech, APMemory, GigaDevice, and Macronix [9] - **China Semiconductor Equipment**: NAURA Tech and AMEC are mentioned as key players in the semiconductor equipment sector [9] - **Market Dynamics**: - **Tech Inflation**: Rising costs in wafers, OSAT (Outsourced Semiconductor Assembly and Test), and memory are expected to create margin headwinds for chip designers in 2026 [9] - **AI Cannibalization**: There is a noted shift in the semiconductor supply chain prioritizing AI semiconductors over non-AI semiconductors, leading to shortages in T-Glass and memory [9] - **Domestic GPU Supply**: The demand for domestic GPUs is questioned, particularly with the introduction of DeepSeek, which has demonstrated cheaper inferencing capabilities [9] Financial Metrics and Valuation - **Valuation Comparison**: - TSMC's current price is TWD 1,830.0 with a target price of TWD 2,088.0, indicating a 14% upside [11] - UMC's current price is TWD 62.7 with a target price of TWD 52.5, indicating a 16% downside [11] - SMIC's current price is HKD 69.9 with a target price of HKD 80.0, indicating a 14% upside [11] - **Memory Sector Valuation**: - GigaDevice's current price is CNY 290.9 with a target price of CNY 414.0, indicating a 42% upside [11] - Winbond's current price is TWD 107.0 with a target price of TWD 155.0, indicating a 45% upside [11] Market Trends - **Broader Semiconductor Cycle**: Logic semiconductor foundry utilization is reported at 70-80% in the first half of 2026, indicating that the sector is still not fully recovered [17] - **AI vs. Non-AI Growth**: Excluding NVIDIA's AI GPU revenue, non-AI semiconductor growth was slow at only 10% year-over-year in 2024 [18] Additional Insights - **Cloud Semiconductor Outlook**: Major cloud service providers (CSPs) such as Amazon, Google, Microsoft, and Meta have increased their capital expenditures by 64% year-over-year in the fourth quarter of 2025 [84] - **Future Projections**: The global semiconductor industry market size is projected to reach USD 1 trillion by 2030, with cloud AI semiconductor total addressable market (TAM) expected to grow to USD 235 billion by 2025 [93][99] Conclusion - The Greater China semiconductor industry is positioned for growth, particularly in AI and memory sectors, despite challenges in smartphone and PC segments. The focus on AI semiconductors and the robust demand from cloud service providers are key drivers for future performance.

Market Overview - The Dow Jones Industrial Average fell 224 points, or 0.45%, to 49,891.55, slipping below the key 50,000 mark, while the S&P 500 edged up 0.06% to 6,936.48, and the Nasdaq Composite rose 0.29% to 23,097.46, indicating a market divided between old-economy stocks under pressure and selective strength in technology and AI-linked names [18] Commodities - Gold futures surged 1.44%, reclaiming the $5,000 per ounce level, driven by Wells Fargo's bullish price target of $6,300 and a 15-month buying streak by China's central bank, highlighting its status as a hedge against economic uncertainty [2][11] - Silver also saw a significant increase, gaining over 4%, as investors turned to hard assets amid macro uncertainty and inflation risks [11] Cryptocurrency - Bitcoin fell below $69,000, continuing a volatile trend, with the Nasdaq Crypto Index dropping 2.66%, reflecting a cooling of speculative interest in the market [3][12] - The recent selloff marked Bitcoin's sharpest daily drop since 2022, indicating a lack of confidence in the cryptocurrency market [12] Technology Sector - The tech-heavy Nasdaq found support from selective buying in AI and semiconductor stocks, with NVIDIA trading higher due to continued confidence in long-term demand for AI infrastructure [7][15] - However, the software sector faced challenges, exemplified by monday.com, whose shares plunged 23% after issuing disappointing revenue and profit guidance, raising concerns about AI's impact on margins and pricing power [9][10] Upcoming Events - Markets are focused on upcoming earnings reports from major companies like Coca-Cola, McDonald's, and Cisco, as well as macroeconomic data including the January jobs report and inflation data, which could influence expectations for interest rates and growth [13]

>> LIVE FROM LONDON, THIS IS "BLOOMBERG DAYBREAK: EUROPE." JAPANESE STOCKS SURGE AND THE YEN URGES DUST AND JUST HIRE AS TAKAICHI WINS A SUPER MAJORITY AND A MANDATE FOR HER SPENDING PLANS. STARMER UNDER STRAIN AS THE PRIME MINISTER'S CLOSEST AIDE QUITS AMONG CONTROVERSY. WE WILL GET THE VIEW FROM THE REFORM UK DEPUTY LEADER.PLUS, EASING TENSIONS. OIL DECLINES AFTER IRAN DESCRIBES ITS NUCLEAR TALKS WITH THE U.S. AS A STEP FORWARD. HAPPY MONDAY, WELCOME TO A NEW WEEK.IT IS A BIG ONE WHEN IT COMES TO DATA, EA ...

WE HAVE HAD THE RIGHT PEOPLE TO TACKLE ALL THOSE PROBLEMS. WE THINK IT IS IN A STEADY STATE AND LOOK FORWARD TO MOVING ON WITH EVEN A STRONGER CABINET AND GOVERNMENT. YVONNE: THAILAND'S PRIME MINISTERS SPEAKING WITH HIS RULING PARTY, ON TRACK TO TRIPLE ITS NUMBER OF PARLIAMENTARY SEATS AFTER VOTERS SEEKING STABILITY HAD A SURPRISE ELECTION WIN TO THE ROYALIST ESTABLISHMENT.FROM BANGKOK, THIS IS INSIGHT WITH HASLINDA AMIN WHERE WE DIVE DEEPER INTO THE STORIES THAT MATTER WITH CRUCIAL CONTEXT AND SHARP ANALYS ...

Core Viewpoint - The recent $1 trillion decline in U.S. software giants like Microsoft and Salesforce has raised concerns, but many industry leaders believe the narrative of a software "Armageddon" is exaggerated, despite acknowledging that AI valuations appear inflated [1][5]. Group 1: AI Valuations and Market Sentiment - Arvind Jain, founder of Glean, a $7 billion AI unicorn, believes AI will not render software-as-a-service obsolete, emphasizing the importance of integration for future success [2][5]. - Andrey Khusid, founder of Miro, a $17 billion decacorn, acknowledges that AI valuations are excessive but predicts normalization within the next two years [5]. - Larry Li, founder of Amino Capital, suggests that the AI bubble is deflating, particularly for larger companies, indicating a potential market correction [5]. Group 2: IPO Market and Company Strategies - Discussions at the Web Summit highlighted that AI giants like OpenAI and Anthropic are competing to go public, aiming to attract investor interest in the rapidly growing sector [7]. - Khusid prefers to remain private, citing profitability and operational efficiency without the pressures of public markets [7][9]. - Many AI startups, including OpenAI, are not yet profitable, with OpenAI projected to lose $14 billion this year, yet investment in the sector remains robust, with over $340 billion directed towards global startups in 2025, 65% of which is in AI [9][10]. Group 3: Funding Landscape and Competitive Dynamics - Non-AI startups are facing a tougher funding environment, as they are often compared to AI companies that are experiencing extreme growth rates [10][11]. - The U.S.-China AI race is a significant topic, with the U.S. leading in innovation while China excels in scaling due to its supply chain advantages and a larger pool of AI engineers [13]. - Despite recent stock market volatility, the Dow Jones has surpassed the 50,000 mark, reflecting ongoing optimism in the AI sector, although a valuation reset is anticipated [14].

Trade Policy and Market Reactions - President Trump announced a significant reduction in U.S. tariffs on Indian goods from 50% to 18%, leading to a surge in Indian equity markets, with the Nifty 50 index rising 4.86% and the BSE Sensex increasing by 4.48% [2] - U.S.-listed Indian companies such as Infosys, Wipro, and HDFC Bank experienced notable stock increases of 4.3%, 6.8%, and 4.4% respectively, while the iShares MSCI India ETF saw a 3% rise [2] - The announcement of new tariffs on U.S. imports from countries trading with Iran could reach as high as 25%, raising concerns about market volatility, particularly for energy producers and sectors like airlines [3] Domestic Initiatives and Market Impact - An executive order was signed to increase the in-quota tariff-rate quota for lean beef trimmings by 80,000 metric tons for 2026, aimed at reducing ground beef prices, which averaged $6.69 per pound in December 2025 [4] - The TrumpRx.gov website was launched to provide discounted drugs, with Pfizer's stock rising 6.8% following its announcement to participate, offering an average 50% discount on certain drugs [5][6] - Analysts expressed skepticism about the effectiveness of TrumpRx, with some labeling it a "glorified coupon book" and suggesting it may not significantly impact consumer behavior [6][7] Market Performance and Economic Indicators - The Dow Jones Industrial Average (DJIA) reached a new all-time high of 50,115.67, following a significant rally of 1,207 points, while the broader market saw a rebound with the S&P 500 and Nasdaq also gaining [8][9] - Despite the rally, the S&P 500 and Nasdaq ended the week slightly down, indicating ongoing concerns about AI spending and aggressive tech selling [9] - Economic studies suggest that Trump's tariffs may slow economic growth, with U.S. consumers expected to bear 67% of the tariff burden by July 2026, translating to an average tax increase of $1,300 per household [10]

Core Insights - Eli Lilly and Company is gaining market share in the diabetes and obesity sectors, outperforming its main competitor, Novo Nordisk [1][3] - The company is actively exploring the potential of GLP-1 therapies beyond weight loss and diabetes, including applications for alcohol and tobacco addiction [1] - Eli Lilly's partnership with NVIDIA aims to address hard-to-treat diseases, enhancing its research capabilities [1] - A recent deal with the U.S. administration provides Eli Lilly with a three-year exemption from tariffs and allows for discounted sales of GLP-1 therapies through government channels, significantly expanding its market reach [3] - Strong performance from products like Mounjaro and Zepbound has led to an upgraded outlook for 2025, with robust prescription trends [3] - The anticipated approval and launch of Orforglipron, an oral GLP-1 therapy, in 2026 is expected to be a highly significant event in the pharmaceutical market [3]

♪ >> THIS IS "BALANCE OF POWER" LIVE FROM WASHINGTON, D. C. JOE: FROM BLOOMBERG'S WASHINGTON DC STUDIOS TO OUR TV AND RADIO AUDIENCES WORLDWIDE, WELCOME TO BALANCE OF POWER, I'M JOE MATHIEU.ROARING BACK, THE DOW TOPS 50,000 FOR THE FIRST TIME AS DEBT BUYERS LEAP BACK IN. BITCOIN BITES BACK. AMAZON AND GOOGLE ALL IN ON AI.ROMAINE BOSTICK STANDING BY TO UNPACK IT ALL AFTER A VOLATILE WEEK. HIGH-STAKES DIPLOMACY OR A PRELUDE TO STRIKES. WHAT WE ARE LEARNING ABOUT THE U.S. STATE DEPARTMENT ADVISING AMERICAN CIT ...